Climate Change Data

VMI Group

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

ESG Focus Areas

  • Environmental sustainability
  • Social sustainability
  • Governance

Environmental Achievements

  • Conducted a Life Cycle Assessment (LCA) for their MAXX tire building machine.
  • Launched the innovative UNIXX Belt Maker, reducing material waste by up to 50%.
  • Reduced the number of identified environmental aspects by 2.9% in VMI China compared to 2021.
  • Achieved a 47% reduction in hazardous waste in VMI China.
  • Replaced two heating boilers in VMI China, resulting in a reduction in NOx emissions.
  • Replaced two diesel oil forklifts with electric ones in VMI China.
  • Halved gas consumption in VMI Netherlands over the past twenty years while doubling facility space.

Social Achievements

  • Achieved zero Lost Time Incidents (LTIs) in 2022 in overseas production plants.
  • More than 90% of employees reported being proud of their work and employer.
  • Celebrated VMI's 75th anniversary with events at all locations.
  • Implemented a vitality program covering mental and physical well-being.
  • Introduced an anti-harassment policy and training program for all employees.
  • Implemented a comprehensive onboarding program for new staff.

Governance Achievements

  • Conducted a materiality analysis to prioritize sustainability efforts.
  • Implemented a risk management framework addressing operational, technological, financial, environmental, and social risks.
  • Adheres to TKH Group's Code of Conduct.
  • Underwent a SMETA audit.

Climate Goals & Targets

Medium-term Goals:
  • Replace all cars to full electric cars by 2030
  • Achieve carbon neutrality in own operations by 2030 (scope 1 and 2)
Short-term Goals:
  • Replace fossil fueled cars to hybrid cars by 2025

Environmental Challenges

  • Serious disruption in parts deliveries, impacting machine assembly and timely delivery.
  • Rapidly rising costs of energy, raw materials, labor, and parts.
  • Need to significantly expand production capacity.
Mitigation Strategies
  • Heavy investment in production expansions (four new buildings in Leszno, Poland).
  • Collaboration with diverse suppliers and maintaining a backup of crucial components.
  • Continuous training for employees, competitive salaries, and strategies for leadership succession.
  • Regular maintenance and periodic upgrades of infrastructure.

Supply Chain Management

Responsible Procurement
  • Use of recycled materials
  • Availability of recycled products
  • Responsible sourcing of minerals
  • Sustainable procurement policy
  • ISO 20400 training for buyers

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ISO 9001, ISO 14001, ISO 45001

Certifications: ISO 9001, ISO 14001, ISO 45001, EcoVadis Bronze rating

Sustainable Products & Innovation

  • UNIXX Belt Maker
  • REVOLUTE machine
  • LAT100