Probe ties Asia Symbol-linked plantations in Borneo to vast rainforest loss despite no-deforestation pledges.

A joint investigation has found that plantations feeding a mill in Asia Symbol’s supply chain cleared tens of thousands of hectares of Indonesian rainforest, including endangered orangutan habitat, raising serious questions about “carbon-neutral” claims and global green finance.

Record Deforestation Behind ‘Carbon-Neutral’ Pulp
An investigation by AFP and The Gecko Project used satellite data, audit reports, trade records and ship-tracking to trace wood from plantations in Borneo to the Phoenix Resources International (PRI) mill in Indonesia, which supplies pulp to Asia Symbol facilities in China. Plantations supplying PRI, including Industrial Forest Plantation (IFP), cleared nearly 30,000 hectares of rainforest between 2016 and 2024, within a concession of more than 100,000 hectares in Central Kalimantan. Much of this land was orangutan habitat. Asia Symbol has a public no-deforestation policy and has marketed “carbon-neutral” packaging, including ibuprofen boxes supplied to UK-based healthcare firm Haleon.

No-Deforestation Promises Versus Supply Chain Reality
Asia Symbol had previously pledged to stop sourcing from IFP “indefinitely” and says it does not use wood from natural forests or from forests converted to plantations. Yet investigators found timber from IFP and other concessions flowing into PRI, whose pulp then went to Asia Symbol’s mills in Jiangsu and Shandong. In June 2025, the cargo ship MV Sailboard delivered PRI-marked pulp to Rugao, China, where local reports celebrated the shipment under a banner carrying Asia Symbol’s logo. Asia Symbol’s parent, Singapore-headquartered Royal Golden Eagle (RGE), committed to deforestation-free supply chains in 2015, secured a US$1 billion sustainability-linked loan in 2024, and is seeking to regain Forest Stewardship Council (FSC) certification. FSC says RGE’s suspension remains in place. Greenpeace and Rainforest Action Network argue the new findings show RGE remains “in the business of deforestation” and accuse the group of greenwashing.

Local Communities Face Flooding, Lost Livelihoods And Disputes
Although the plantations operate with Indonesian government permits, communities inside and around IFP’s concession report severe impacts. In Humbang Raya, village secretary Agau described how once-biodiverse forest, rich in wildlife, has been replaced by acacia and eucalyptus, with animals gone and residents pushed to leave in search of work. Locals in Sei Gawing say they fear drinking river water because of plantation run-off, and floods have become more frequent and severe as tree cover that once absorbed rain has vanished. Farmer Ika Magdalena says her land was taken into the concession without compensation; she now runs a small snack stall. Environmental group WALHI Central Kalimantan says jobs mostly go to outsiders, while communities lose food and income sources with “no alternative options.”

Corporate And Government Responses Under Scrutiny
Asia Symbol confirmed PRI has supplied it since January 2025 and said it has begun a focused review of PRI-related sourcing, including adopting global no-deforestation commitments and potential corrective actions. It maintains that its “carbon-neutral” products for Haleon did not use PRI pulp but has not clearly explained how it separates pulp streams in practice. RGE insists its supply chain is “100 percent deforestation free,” yet previous attempts to regain FSC certification stalled after allegations that staff from an affiliate attacked an Indigenous community. In 2023, Asia Symbol acknowledged deforestation in two other concessions and promised to stop using their products, a pledge that was not fully kept. Central Kalimantan’s forestry agency says IFP has “never committed any violations” and contributes taxes and reforestation funds, but activists argue official safeguards and replanting promises are inadequate to offset forest loss.

Buyers And Green Finance Start To Pull Back
Haleon said it found no direct evidence that deforestation-linked material entered its own supply chain, but called the allegations against Asia Symbol and upstream plantations “very concerning.” The company has asked suppliers to ensure no materials from Asia Symbol or plantation firms “associated with risk of deforestation” are used in Haleon products. Campaigners note that RGE has obtained billions in green credit from major banks, including Mitsubishi UFJ, on the strength of its deforestation-free pledges. New evidence that linked concessions have cleared rainforest for years could heighten scrutiny from lenders, auditors and global brands relying on certification to assure consumers their packaging is sustainable. For communities like Humbang Raya, however, the priority is simple: stopping further permits for forest clearing. “You plant one tree, a million are lost. It’s not balanced,” said Agau, warning that their livelihoods and “only hope” depend on the forest that remains.

The exposure of ongoing forest clearance in supply chains linked to Asia Symbol and RGE highlights how easily “carbon-neutral” labels can mask deep environmental and social damage. For Indonesians, the findings underscore the cost of prioritising short-term plantation gains over orangutan habitat, flood protection and rural livelihoods. For Singaporeans, whose financial sector and conglomerates play outsized roles in regional pulp and paper, the case raises hard questions about due diligence, green finance integrity and how responsibly sourced claims are verified, with implications for trust in eco-branded products across Southeast Asia.

Sources: Malay Mail (2026) , RFI (2026)

Keywords: Industrial Forest Plantation, Phoenix Resources International Mill, RGE Sustainability Linked Loan, Haleon Supply Chain, FSC Suspension, Borneo Community Impacts