It’s time for investors to rethink ‘forever chemicals’

Written for PA Future – editorial panel contribution

Investors are in a position to lead the shift toward reducing reliance on chemicals linked to a range of health issues, writes Amy Clarke

Nearly every person on the planet carries traces of per- and polyfluoroalkyl substances (PFAS), also known as “forever chemicals”. In the US, the Centers for Disease Control and Prevention (CDC) estimates that over 99% of the population has at least one type of PFAS in their bodies. 1

What are PFAS?

PFAS are a class of over 12,000 man-made chemicals prized for their heat, oil, stain, and water resistance. Their versatility has led to widespread use across industries, from cookware and waterproof clothing to semiconductors and firefighting foams.

The very trait that makes PFAS products commercially valuable, chemical permanence, also makes them a serious threat. They don’t break down in the environment; instead, they accumulate in living organisms, and are now present in the deepest oceans and the highest reaches of the Arctic. 2

Exposure to these forever chemicals is linked to a range of human health issues, including kidney cancer, thyroid dysfunction, immune disorders, and developmental delays.

Environmentally, they contaminate food chains and ecosystems with aquatic life, groundwater, and agricultural systems being particularly vulnerable.

From rivers to rainfall to human bloodstreams, PFAS are now omnipresent — and they’re not going anywhere on their own.

Common examples of products with PFAS:

• Non-stick cookware (e.g., Teflon)
• Water-repellent clothing and outdoor gear
• Stain-resistant carpets and upholstery
• Food packaging (e.g., fast food wrappers, microwave popcorn bags)
• Firefighting foams (especially at airports and military bases)
• Electronics and semiconductor manufacturing
• Metal plating and photo imaging

In focus now: tightening pressure and legislative action

In May 2025, an Italian court ruled that PFAS exposure caused the cancer-related death of wastewater worker Pasqualino Zenere. This marks the first legal recognition globally of a PFAS-related fatality. 3 The case, part of a wider lawsuit against chemical company Miteni, was driven by community activism and reinforced by medical data. Previous to this ruling, the legal landscape around PFAS has been shifting globally.

For example, in the US:

• 3M, and US tech company, committed to a $10.3 billion settlement with US water utilities to resolve PFAS-related water contamination claims. 4
• US biotech and manufacturing company DuPont has settled thousands of PFAS lawsuits and carved out liabilities into spin-off entities, raising ESG red flags around accountability. 5

In Europe, the momentum against PFAS is also strong:

• The European Chemicals Agency (ECHA) is evaluating a proposed PFAS ban that would cover over 10,000 substances. 6
• France has passed legislation banning PFAS in cosmetics, textiles, and other consumer goods by 2026, with broader restrictions for 2023 under consideration. 7
• Germany, the Netherlands, Denmark, Sweden, and Norway have jointly proposed comprehensive PFAS bans, reflecting mounting regional consensus. 8

Sectoral impacts: What this means for impact investors

For impact investors, the implications are wide-ranging. PFAS have moved from a niche environmental concern to a material financial risk, as well as a strategic opportunity.

Sectors under scrutiny

Chemical manufacturers, textile producers, electronics firms, and food packaging companies face rising regulatory pressure. Companies that are slow to transition away from PFAS are vulnerable to reputational harm, regulatory fines, and long-term liability.

Concerns for impact investors include companies with opaque supply chains or legacy PFAS usage. In these cases, investors are able to engage for disclosure, phase-out strategies, and risk assessment.

Innovation in clean tech and materials

PFAS bans are fuelling demand for safer alternatives, and there’s a clear push to move away from the persistent chemicals: the PFAS filtration market is projected to reach just under $3 billion by 2030. 9 Opportunities include:

• Filtration and remediation: Companies developing PFAS removal systems (e.g., reverse osmosis, activated carbon) are seeing increased investment and government contracts.
• Substitution: Startups creating PFAS-free textiles, non-toxic food packaging, and green coatings are gaining market share.

Engagement versus exclusion

For impact investors, the opportunity lies not just in divestment but in strategic engagement.

• Advocate for full supply chain transparency
• Support companies that adopt the polluter pays principle 10
• Push for third-party certification and clearer labelling around PFAS content

Engagement tools like shareholder resolutions and collaborative investor networks can drive measurable change, particularly in sectors not yet subject to stringent regulation.

The opportunity ahead

The PFAS crisis challenges us to think differently about permanence, not just in chemicals, but in systems. If PFAS symbolise the consequences of short-term convenience, impact investors are uniquely positioned to lead the shift toward long-term resilience. By backing clean alternatives, pressing for corporate transparency, and helping to shape the policy environment, we can accelerate the transition away from harmful legacy chemicals.