Apple can no longer market its Apple Watch as a “CO2-neutral product” in Germany, following a court decision on Tuesday that supported environmentalists’ claims, stating that the U.S. tech giant misled consumers.
The company had advertised the watch online as “our first CO2-neutral product,” but a panel of judges determined this claim was baseless and violated German competition laws, according to a statement from the Frankfurt regional court.
An Apple representative mentioned that the ruling “largely supported our strict approach to carbon neutrality” and did not confirm whether the company plans to appeal the decision.
In June, Apple noted that the German lawsuit might “discourage the credible corporate climate actions the world needs.”
Nevertheless, a spokesperson indicated on Tuesday that Apple will discontinue the ‘carbon neutral’ label for Apple Watches to comply with upcoming EU legislation in September 2026, which limits the use of such terms.
Apple’s carbon neutrality claim was based on a project in Paraguay, where it offsets emissions by planting eucalyptus trees on leased land.
Ecologists have criticized these eucalyptus plantations, arguing that such monocultures damage biodiversity and have high water demands, calling them ‘green deserts.’
The Frankfurt court noted that leases for 75% of the project area are not secured beyond 2029, and Apple cannot ensure these contracts will be renewed.
“There is no secure future for the continuation of the forest project,” the statement read.
Alongside Apple, companies like Meta and Microsoft have invested in similar Latin American projects to earn carbon credits.
The environmental group Deutsche Umwelthilfe (DUH), which filed the lawsuit against Apple, celebrated the ruling as a victory against “greenwashing.”
“The alleged CO2 storage in commercial eucalyptus plantations lasts only a few years, contractual guarantees for the future are inadequate, and the ecological integrity of monoculture areas is not assured,” stated DUH head Juergen Resch.
