IKEA has backed down on its key climate target in Australia, foiled by what the Swedish ready-to-assemble furniture giant says is inadequate electric-vehicle charging infrastructure and the absence of a national strategy for decarbonising the freight sector.

Ingka Group, which operates the IKEA stores in Australia, said it wanted to eliminate carbon emissions from deliveries around the world by 2025. The company has now dropped that target to a goal of 90 per cent by 2028.