Climate Change Data

Polyplastics Co., Ltd.

Climate Impact & Sustainability Data (2023-04 to 2024-03, April 2022-March 2023)

Reporting Period: 2023-04 to 2024-03

Environmental Metrics

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Introduced nitrogen circulation equipment in the new LCP plant in Kaohsiung, reducing energy consumption by approximately 30% and CO2 emissions by approximately 9,000 tons annually.
  • Achieved a 98.6% recycling rate, a 3.8-point improvement from the previous year.
  • Reduced PRTR substance emissions by 40.2% from the previous year.

Social Achievements

  • Granted “Kurumin Certification” for the fourth consecutive time, supporting child-raising.
  • 100% of eligible women and 90.9% of eligible men took childcare leave.
  • Employs 2.51% employees with disabilities, exceeding the statutory employment rate.

Governance Achievements

  • Established the Carbon Neutral Business Strategy Office to plan and promote new business with carbon neutrality as a growth driver.
  • Implemented the Campaign to Eliminate Harassment in the Workplace.
  • Revised the Daicel Group Code of Conduct and Ethical Standards.

Climate Goals & Targets

Long-term Goals:
  • Establish a recycling-oriented scheme for all engineering plastics.
Medium-term Goals:
  • Reduce total GHG emissions by 50% (Scope 1, 2) by 2030 (compared to 2018).
  • Reduce PCF-focused GHG emissions intensity by 30% (including CO2 derived from raw materials) by 2030 (vs. 2018).
  • Achieve a 75% reduction in landfill volume by 2025 (vs. 2019).
Short-term Goals:
  • Reduce CO2 emissions to the same level as in 2018 by 2030.

Environmental Challenges

  • Tough year for the engineering plastics market due to large inventories accumulated by parts manufacturers.
  • Record high global temperatures and strengthened environmental policies and regulations.
  • Difficulties in installing combustion equipment to control emissions of PRTR substances.
Mitigation Strategies
  • Shifting to the use of renewable raw materials (bG-POM), aiming for sustainability certification for the entire Group.
  • Starting a Re-compounding business and entering the recycling business to meet the European ELV Directive.
  • Implementing energy conservation measures, energy conversion away from fossil fuels, and reducing emission intensity to meet GHG reduction targets.

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products and processes.

Sustainable Products & Innovation

  • bG-POM
  • LCP made from sustainable raw materials

Reporting Period: April 2022-March 2023

Environmental Metrics

ESG Focus Areas

  • Carbon Neutrality
  • Circular Economy
  • Developing Talented and Engaging Human Resources
  • Compliance

Environmental Achievements

  • Reduced CO2 emissions by 4,500 tons annually at the Fuji Plant through Advanced Control Technology (ACT) in the TOX process.
  • Reduced landfill and incineration without heat recovery rate to 10.8% by using dust from the dust collector as a raw material for cement.
  • Reduced PRTR substance emissions by approximately 67% from the previous year.
  • Completed PCF calculation for more than 90% of product grades.

Social Achievements

  • 100% childcare leave usage rate for women and 70.4% for men (FY2021).
  • Certified as a “Health and Productivity Management Organization 2023 (White 500)” by the Ministry of Economy, Trade and Industry and Japan Health Council.
  • Various social contribution activities including volunteer work, donations, and educational initiatives in multiple countries.

Governance Achievements

  • Implemented various compliance awareness activities across Group companies.
  • Established the Carbon Neutral Business Strategy Office.

Climate Goals & Targets

Long-term Goals:
  • Carbon Neutrality by 2050, ultimately Carbon Negative.
Medium-term Goals:
  • Reduce PCF by 46% (cradle-to-gate basis) by 2030 compared to 2013 levels.
  • Achieve zero-emissions for the group (landfill and incineration without heat recovery rate under 1%) by 2030.
  • Group recycling rate of at least 97% by 2025.
  • Daicel Group Total GHG emissions (Scopes 1, 2) 50% reduction (vs. 2018) by 2030.
Short-term Goals:
  • Reduce PRTR emissions by 50% (Fuji Plant vs. 2019) by 2023 and 75% by 2024.

Environmental Challenges

  • Global economic uncertainties including COVID-19 lockdowns, semiconductor shortages, rising raw material prices, inflation, and logistics disruptions.
  • Increasing environmental regulations and customer demand for sustainable products.
  • High energy consumption in engineering plastics production.
  • Difficulty in collecting used engineering plastics for recycling.
Mitigation Strategies
  • Developing innovative POM made from CO2 and H2 captured from manufacturing processes.
  • Launching a new Re-compounding Service to recycle molding scraps.
  • Implementing Advanced Control Technology (ACT) to reduce energy consumption.
  • Exploring chemical recycling, energy recovery, and CO2 reuse technologies.
  • Setting a target to reduce PCF by 46% by 2030.

Supply Chain Management

Responsible Procurement
  • Responsible mineral procurement

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products and sustainable raw materials.

Reporting Standards

Frameworks Used: SDGs

Certifications: Health and Productivity Management Organization 2023 (White 500)

Sustainable Products & Innovation

  • DURACON® bG-POM (utilizing biomass methanol)
  • POM contributing to carbon recycling (made from CO2 and H2)

Awards & Recognition

  • Award for excellence in odor control (Nantong Plant)