Climate Change Data

Environmental Metrics

ESG Focus Areas

• Safety
• Quality
• Efficiency
• Environmental Protection
• Human Resources Development
• Corporate Governance
• Corporate Social Responsibility

Environmental Achievements

• Installed 2,000 square meters of solar panels at the Shido Plant (maximum output: 260 kw)
• Used a barge to transport products, overhauling the port adjacent to the Shido Plant
• Conserved energy use at offices and plants
• Introduced eco-friendly products with features that minimize noise and other pollution
• CREVO G4 rough terrain crane series equipped with Fuel Monitoring and Eco Mode functions to reduce CO2 emissions, fuel consumption, and operational noise.

Social Achievements

• Launched Physical and Mental Wellness Program in 1981, providing access to a Fitness Center for employees and their families.
• Developed an action plan to promote the empowerment of women in 2016, aiming to increase the percentage of female employees to 10% in 10 years.
• Established a new training center to enhance the skills of authorized service personnel.
• Implemented safety training using virtual reality.
• Organized blood drives twice a year, with over 400 employees participating.
• Accepted nursing students for on-site practical training.
• Supported an interactive science event to inspire children's interest in science.
• Assisted with cultural restoration projects (Moai Restoration Project, Angkor restoration).

Governance Achievements

• Established Corporate Governance Guidelines.
• Established the Audit and Supervisory Board with two outside members.
• Established the Nominating and Compensation Committee with outside members.
• Implemented a compliance assurance system, including Compliance Officers, Compliance Committee, Compliance Manual, and internal/external reporting hotlines.
• Regularly evaluates the effectiveness of the Board of Directors.

Climate Goals & Targets

Environmental Challenges

• Vulnerability to economic fluctuations in the lifting equipment industry.
• Declining birthrate and aging population in Japan impacting workforce availability.
• Need to adapt to rapid technological changes (IoT, AI, electrification).
• Maintaining competitiveness in a global market.

Mitigation Strategies

• Focus on self-support efforts (Tadano Red Arrow) and large-scale investments (Tadano Yellow Arrow) to build a stronger company.
• Construction of a new Kozai Plant for flexible manufacturing and global reach.
• Investment in R&D for technological innovation (AI, automation, electrification).
• Promoting diversity and flexibility in the workplace (female, senior, and foreign workers).
• Strengthening global sales and service networks.
• Implementing Total Quality Management (TQM) throughout the value chain.
• Focusing on four synergistic strengths: product competitiveness, product quality, service capability, and used crane value.

Supply Chain Management

Responsible Procurement

• Tadano Group CSR Guidelines (fair transactions, no collusion, no unfair advantage, no personal profit)

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• CREVO G4 rough terrain crane series with Fuel Monitoring and Eco Mode
• ZE600 series truck loader cranes with start/stop system

Awards & Recognition

• Monozukuri Nippon Grand Award (2018)

Environmental Metrics

ESG Focus Areas

• Safety
• Employee Well-being
• Quality
• Supplier Relations
• Environmental Sustainability
• Community Engagement

Environmental Achievements

• Installed 2,000 square meters of solar panels at Shido Plant (maximum output: 260 kw)
• Used a barge to transport products, overhauling the port adjacent to the Shido Plant
• Implemented energy-saving measures in offices and plants
• Model upgrades comply with new exhaust gas standards; introduced eco-friendly products minimizing noise and pollution

Social Achievements

• Launched Physical and Mental Wellness Program in 1981
• Established Employee Health Management Declaration
• Action plan to promote the empowerment of women (aiming to increase female employees from 7% to 10% in 10 years)
• Developed a work environment and job rotation system to promote women's advancement
• Provided more training opportunities for women
• Tadano Kyoei Society activities with suppliers (safety workshops, presentations, plant tours, SVE conferences)
• Annual supplier awards ceremony
• Summer Plant Tours for Families
• Support for interactive science event
• Donations to 46 organizations through Heartful Pocket
• Blood drives twice a year, with over 400 employees participating
• On-site practical training for nursing students

Governance Achievements

• Established Tadano Group CSR Charter and CSR Guidelines
• Established Tadano Group Safety Fundamentals 2.0 Card
• Implemented TQM activities
• Observed quiet period for financial results
• Disclosed corporate information through TDnet
• Held biannual financial results briefings for securities analysts

Climate Goals & Targets

Environmental Challenges

• Unexpected issues arising in extreme climates affecting product operation
• Maintaining and further developing a culture of health in the workplace

Mitigation Strategies

• Established a low-temperature testing facility (-40°C to 60°C)
• Continued Physical and Mental Wellness Program
• Established Employee Health Management Declaration

Supply Chain Management

Responsible Procurement

• Tadano Group CSR Guidelines
• SCOOP (Super Cooperation) program
• SVE (Super Value Engineering) activities
• Tadano Kyoei Society

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• CREVO G4 rough terrain crane series (Fuel Monitoring and Eco Mode)

Awards & Recognition

• 2018 Certified Health & Productivity Management Organization
• 2018 Monozukuri Nippon Grand Award (Special Prize of the Minister of Economy, Trade and Industry)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Declared a target of achieving Net Zero Carbon Emissions by 2050.
• Set long-term environmental targets for 2030: 25% reduction in CO2 emissions from business activities, 35% reduction in CO2 emissions from product use, and 50% reduction in industrial waste from business activities.
• Announced plans to commercialize the world’s first zero-CO2-emission electric rough terrain crane in 2023.
• Installed solar panels at multiple plants.
• Implemented modal shift using barge vessels for product transportation.

Social Achievements

• Launched Physical and Mental Wellness Program in 1981.
• Obtained “Kurumin” certification in May 2022 for childcare support initiatives.
• Implemented various initiatives to improve employee job satisfaction and productivity.
• Aiming to increase the percentage of female employees to 10% by the end of FY 2026.
• Held major customer events in the US and UK.

Governance Achievements

• Established the Corporate Governance Guidelines.
• Increased the number of Outside Directors.
• Established the CSR Committee, Risk Committee, and Compliance Committee.
• Implemented a compliance assurance system.
• Established an internal reporting system.

Climate Goals & Targets

Environmental Challenges

• Unstable procurement environment and sharp rises in raw material prices.
• Delays with parts due to semiconductor shortages and lockdowns in China.
• Disruptions to the supply chain caused by the Ukrainian crisis.
• Falling behind or taking the lead within the lifting equipment industry in terms of the development, production, and sales of electrified products.
• Changes in social and economic structures resulting from climate change.

Mitigation Strategies

• Concerted group efforts to deal with production constraints.
• Resuming operations and working on the recovery of production.
• Implementing a restructuring plan and leveraging the strengths of both companies.
• Promoting ESG and SDGs as priority points in the Mid-Term Management Plan (21-23).
• Developing and implementing a business continuity plan.

Supply Chain Management

Responsible Procurement

• Promoting environmentally-friendly product development through the non-use of substances of concern with the understanding and cooperation of our suppliers.
• SVE activities with suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Increased frequency of disasters affecting our plants and supply chains.

Transition Risks

• Falling behind or taking the lead within the lifting equipment industry in terms of action to address climate change.
• Changes in social and economic structures which use our products (Shrinkage of the fossil fuel market, reinforcement of CO2 emission regulations in all countries, and GX investment in wind power generation and other areas).

Opportunities

• Development of energy-efficient products (electric rough terrain crane)
• Increased product demand resulting from the use of AI and robots for automation and work support.

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 9001, ISO 14001

Sustainable Products & Innovation

• World’s first electric rough terrain crane
• E-Pack electrohydraulic system

Awards & Recognition

• Special Prize of the Minister of Economy, Trade and Industry in the Monozukuri Nippon Grand Award (2018)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Supply Chain Management
• Community Engagement
• Employee Well-being
• Product Safety

Environmental Achievements

• Reduced CO2 emissions from business activities by 25% compared to 2019 baseline (Scope 1 & 2)
• Reduced CO2 emissions from product use by 35% compared to 2019 baseline
• Reduced industrial waste from business activities by 50% compared to 2019 baseline
• Installed solar panels at multiple plants
• Implemented modal shift in product transportation
• Developed world's first electric rough terrain crane
• Introduced e-PACK electro-hydraulic system reducing CO2 emissions

Social Achievements

• Obtained “Kurumin” certification for childcare support initiatives
• Increased ratio of female employees to 9.7% (targeting 10% by end of FY2026)
• Implemented unconscious bias training for senior managers
• Launched Job Challenge Program and Internal FA Program for employee development
• Introduced a cafeteria plan for employee benefits
• Promoted remote work as a permanent option
• Consistently recognized in the Certified Health & Productivity Management Organization Recognition Program
• Supported various community initiatives including forestation, beach cleaning, and donations to charities

Governance Achievements

• Established CSR Committee, Risk Committee, and Environmental Committee
• Established CO2/Energy Reduction Subcommittee
• Regularly identifies, evaluates, and manages climate change risks
• Supports TCFD recommendations
• Implemented robust safety management system, including safety training and AED installation

Climate Goals & Targets

Environmental Challenges

• Climate change impacts on operations and supply chains
• Transition risks associated with electrification and decarbonization
• Maintaining strong supplier relationships
• Attracting and retaining diverse talent
• Balancing work-life balance for employees

Mitigation Strategies

• Developing and implementing strategies to reduce CO2 emissions
• Investing in renewable energy sources
• Developing sustainable products
• Strengthening supplier relationships through SVE activities and the Tadano Kyoei Society
• Implementing diversity and inclusion initiatives
• Promoting remote work and flexible work arrangements
• Investing in employee well-being programs

Supply Chain Management

Responsible Procurement

• Tadano Group CSR Charter and Compliance Regulations
• SVE activities and SCOOP program
• Tadano Kyoei Society

Climate-Related Risks & Opportunities

Physical Risks

• Worsening working environments at construction and manufacturing sites
• Increased risk of disasters affecting plants and supply chains

Transition Risks

• Falling behind in the development, production, and sales of electrified products
• Changes in social and economic structures in markets and customers

Opportunities

• Increased demand for electrified products
• Opportunities in renewable energy construction

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 9001, ISO 14001, Kurumin

Sustainable Products & Innovation

• Electric rough terrain crane
• e-PACK electro-hydraulic system
• CREVO G5 Series with environmentally friendly engine

Awards & Recognition

• Special Prize of the Minister of Economy, Trade and Industry in the Monozukuri Nippon Grand Award (2018)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Safety
• Supply Chain Management
• Community Engagement

Environmental Achievements

• Launched the electro-hydraulic system “e-PACK” for rough terrain cranes, achieving zero CO2 emissions during crane operations.
• Announced plans to commercialize the world’s first electric rough terrain crane (EVOLT).
• Installed a large-scale solar power generating system at the Tadotsu Plant, covering over 30% of annual power consumption.
• Reduced CO2 emissions from business activities by 32% (compared to FY2019 baseline, note that FY2022 data covers only 9 months).

Social Achievements

• Obtained “Kurumin” certification for childcare support initiatives.
• Increased the ratio of female employees to 9.7% (aiming for 10% by the end of FY2026).
• Implemented unconscious bias training for senior managers.
• Introduced a cafeteria plan to meet diverse employee needs.
• Reduced work-related accidents (frequency rate).

Governance Achievements

• Increased the number of Outside Directors on the Board to five.
• Established the Tadano Group CSR Charter and Compliance Regulations.
• Implemented a robust compliance assurance system with internal and external reporting channels.

Climate Goals & Targets

Environmental Challenges

• Production constraints due to the Russo-Ukrainian war and supply chain disruptions.
• Restructuring of European operations progressing slower than expected.
• Shortage of construction workers, especially in Japan.
• Climate change related risks (transition and physical risks).

Mitigation Strategies

• Developing alternative sourcing strategies.
• Accelerating restructuring of European operations.
• Implementing technological innovations to simplify and partially automate crane operations (AI).
• Developing electrified products to reduce CO2 emissions.
• Formulating and operating a business continuity plan.

Supply Chain Management

Responsible Procurement

• Tadano Group CSR Charter and Compliance Regulations
• Promoting environmentally-friendly product development through the non-use of substances of concern.

Climate-Related Risks & Opportunities

Physical Risks

• Increasing natural disasters affecting workplaces and supply chains.

Transition Risks

• Falling behind in the development and sales of electrified products.
• Changes in social and economic structures due to decarbonization efforts.

Opportunities

• Increased demand for products used in renewable energy projects.
• Development of energy-efficient products.

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 9001, ISO 14001, Kurumin

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation and Infrastructure)
• Goal 13 (Climate Action)
• Goal 8 (Decent Work and Economic Growth)
• Goal 11 (Sustainable Cities and Communities)

Tadano's initiatives contribute to these goals through the development of sustainable products, responsible business practices, and community engagement.

Sustainable Products & Innovation

• e-PACK
• EVOLT electric rough terrain crane
• APU (auxiliary power unit)

Awards & Recognition

• Special Prize of the Minister of Economy, Trade and Industry in the Monozukuri Nippon Grand Award (2018)

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Not disclosed

Social Achievements

• Acquired Tadano Utilities Ltd. (manufacturer of aerial work platforms), expanding product offerings and market share.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Truck chassis supply constraints impacting aerial work platform sales.
• Decreased demand for aerial work platforms in some markets.

Mitigation Strategies

• Acquisition of Tadano Utilities Ltd. to address market demand for self-propelled aerial work platforms.
• Improved service quality through expanded service network and training programs.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed