Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Achieved zero landfill disposal of waste material in FY2006
• Reduced CO2 emissions by 12.4% in terms of absolute value and 35% per unit of net sales from the FY2003 level in FY2006 despite an 8% increase in production.
• Reduced water consumption by 2% from the FY2004 level at eleven out of thirteen production sites in FY2006.
• Eliminated lead from insulation materials for all types of electric wires and cables.

Social Achievements

• Launched the Kami Fusen Yazaki Care Center, Shizuoka Prefecture’s first small-scale, multifunction residential nursing care facility.
• Established the Yazaki Business Support Co., Ltd. to expand employment opportunities for disabled people.
• Implemented various programs for human resource development, including the Adventure School and Global Training Program.

Governance Achievements

• Established a specialized section to monitor CSR activities within the Management Planning Office.
• Revised the Yazaki Green Procurement Guidelines to ensure full compliance with applicable environmental laws and regulations.

Climate Goals & Targets

Environmental Challenges

• Wire diameter reduction in wiring harnesses to accommodate increasing numbers of wires.
• Shortening production lead times for wiring harnesses.
• Compliance with the revised Consumer Product Safety Law in Japan.
• Reducing VOC emissions from automotive parts.
• Managing substances of concern in accordance with EU directives.

Mitigation Strategies

• Developed ultra-thin electrical wires (0.13mm2 cross-sectional area).
• Reassessed manufacturing processes to shorten lead times.
• Revised crisis management manual to comply with the revised Consumer Product Safety Law.
• Completed a total switchover to solvent-free adhesives for tapes.
• Established a special database for managing substances of concern and held a meeting of the Global Quality Assurance Committee.

Supply Chain Management

Responsible Procurement

• Yazaki Green Procurement Guidelines
• Supplier briefings on SOC reduction measures

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products (e.g., ultra-thin electrical wires, wood pellet-fired Aroace)

Reporting Standards

Frameworks Used: Environmental Reporting Guidelines of the Ministry of the Environment, Japan, Environmental Accounting Guidebook of the Ministry of the Environment, Japan, Sustainability Reporting Guidelines of the Global Reporting Initiative

Certifications: ISO 9001, ISO 14001

Sustainable Products & Innovation

• Ultra-thin electrical wires
• Wood pellet-fired Aroace
• Lead-free junction box
• Environmentally considerate indoor wiring joint box
• Energy-efficient vending machines

Awards & Recognition

• Special Recognition Award at the 10th Annual Environmental Report Awards (for Social & Environmental Report 2006)
• Gold Banksia Environmental Award (AAPL, Australia)
• Sustainability Award (AAPL, Australia)
• Labour-Management Relations Excellence Award and Welfare Program Excellence Award (Thai Yazaki Group)
• Saigon Times Top 40 Award (YEV, Vietnam)

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced global CO2 emission intensity by 23.8% from FY2010 levels by FY2016 (target was 20% reduction by FY2020).
• Reduced waste by 18.7% in domestic offices from FY2010 levels by FY2016.
• Avoided 110,000 tons of CO2 emissions in FY2016 through the use of products like Bio-Aroace and digital tachographs (cumulative avoided emissions since FY2011 reached 395,000 tons).

Social Achievements

• Introduced Yazaki Defined Contribution Pension (DC) Plan to support retired employees.
• Modified vacation and leave regulations for contract employees to be equivalent to permanent employees.
• Expanded continuous elderly care leave period to 365 days (longer than the statutory 93 days).

Governance Achievements

• Established the Internal Control Committee to monitor and assess the functions of Yazaki Group’s internal control.
• Introduced the Compliance Officer System to drive autonomous compliance activities.
• Held a Global Legal Conference for legal officers in overseas affiliated companies to unify compliance efforts.

Climate Goals & Targets

Environmental Challenges

• Rising yen impacting consolidated net sales.
• Rapid technological changes in the automotive industry (IoT, AI).
• Need to manage risks globally and adapt internal control systems to emerging risks.

Mitigation Strategies

• Cost reduction efforts to secure net operating profit.
• Proactive expansion of production to adapt to changing business environment.
• Established Yazaki Innovations, Inc. in Silicon Valley to gather information on emerging technologies.
• Strengthened global risk management activities and deployed global standard processes.

Supply Chain Management

Responsible Procurement

• Supplier CSR Guidelines
• Conflict minerals surveys

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Environmental Reporting Guidelines 2012, Ministry of the Environment of Japan

Certifications: ISO 14001

Sustainable Products & Innovation

• Yawaraka cable
• Bio-Aroace
• Sheathless electric wire
• Col tube
• AC charging coupler for Chinese market
• Lightweight relay unit
• Arofriend 27 taximeter
• 150ºC heat-resistant large size aluminum cables

Awards & Recognition

• Industrial Packaging Award (Japan Packaging Contest)
• WorldStar Award (WorldStar Competition)
• Excellent Prize (5th Let's Extend Healthy Life Expectancy! Award)

Environmental Metrics

ESG Focus Areas

• Offer solutions to increase society’s prosperity
• Build healthy and solid supply chains
• Establish a truly strong organization
• Contribute to development of local communities
• Strengthen the global environmental management system
• Enhance global governance and internal control

Environmental Achievements

• Reduced global CO₂ emissions per unit by 32.4% from FY 2010
• Reduced total VOC emissions by 54% from FY 2000
• Recycled more than 99% of Aroace absorption chiller-heaters by weight
• Decreased water consumption by 3.9% from the previous fiscal year

Social Achievements

• Recognized by the Tunisian government with the Inclusive Award for contributions to economic development and inclusion
• Established Yazaki Care Center Kamifusen, providing various services for senior citizens and community engagement
• Reached the target of doubling the number of female management candidates and females in expert jobs ahead of schedule
• Employed 290 persons with disabilities

Governance Achievements

• Established the Global Internal Control Committee to monitor and evaluate the effectiveness of internal control
• Introduced the Compliance Officer System to ensure autonomous compliance activities in each division
• Established Yazaki ai, a whistle-blower protection system

Climate Goals & Targets

Environmental Challenges

• High unemployment rate and economic disparity in Tunisia
• Labor shortage in the nursing care industry in Japan
• Risks related to climate change impacting supply chains and employee safety
• Increasing cyberattacks

Mitigation Strategies

• Continued operations in Tunisia during the Arab Spring, creating employment opportunities and collaborating with educational institutions
• Community engagement initiatives through Yazaki Care Center Kamifusen, including community salons and training programs
• Developing mitigation methods for natural disasters and enhancing fire prevention measures
• Implementing a robust information security management system (ISMS) and providing cybersecurity training

Supply Chain Management

Supplier Audits: Approximately 400 suppliers in Japan and 250 overseas received Supplier CSR Self-Assessment Check Sheets

Responsible Procurement

• Supplier CSR Guidelines
• Yazaki Green Purchasing Guidelines
• Conflict Minerals Survey

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons, torrential rain, storm surges, earthquakes, tsunamis, volcanic eruptions

Transition Risks

• Regulatory changes related to environmental protection and chemical substances

Opportunities

• Development of energy-efficient products, such as solar panels and regenerative brakes

Reporting Standards

Frameworks Used: GRI, SDGs, ISO 26000

Certifications: ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 9 (Industry, innovation, and infrastructure)
• Goal 12 (Responsible consumption and production)
• Goal 13 (Climate action)
• Goal 8 (Decent work and economic growth)
• Goal 11 (Sustainable cities and communities)

Yazaki's initiatives contribute to these goals through sustainable product development, responsible supply chain management, community engagement, and environmental conservation efforts.

Sustainable Products & Innovation

• Bio-Aroace wood pellet-fueled absorption chiller-heater
• DTG7 digital tachograph
• Arofriend 27 taxi meter
• Yawaraka Cable Premium 600V-CVT
• Baby Leaf Dog Food
• DTG3α Digital Tachograph
• Gas Alarm with Emergency Light and Night Light

Awards & Recognition

• Inclusive Award (Tunisia)
• White 500 certification (Japan)

Environmental Metrics

ESG Focus Areas

• Customers
• Local and Global Communities
• Global Environment
• Business Partners
• Employees

Environmental Achievements

• 35.5% percentage reduction in CO2 emissions per unit (Compared with fiscal 2010)
• 662,000 tons contribution to reducing CO2 through products
• 99.6% recycling rate of Aroace absorption chiller-heaters by weight
• 2% reduction in CO2 emissions from domestic logistics in fiscal 2019
• 53% reduction in annual electricity used with heaters at Fuji Factory
• 48% reduction in CO2 emissions at FSY (China) due to solar panel installation and electric water heater switch

Social Achievements

• Launched Yazaki Summer Camp for children of employees, with over 17,679 children participating cumulatively.
• Initiatives in Mercosur region focusing on human resource training and social contribution activities.
• Launched “the Eficiente Program” to promote the hiring of people with disabilities in Brazil.
• Reached target of doubling the number of female management candidates and females in expert jobs ahead of schedule.
• 98.6% rate of parental leave usage by qualified female employees.

Governance Achievements

• Established a code of conduct for all employees.
• Established a global internal control committee.
• Held Yazaki Global Suppliers Convention with 153 domestic and overseas suppliers.
• Improved internal authorization rules to strengthen management of important matters.

Climate Goals & Targets

Environmental Challenges

• Impact of COVID-19 pandemic on global business activities and supply chains.
• Economic disparities in Mercosur region leading to poverty and lack of education.
• Need to reduce CO2 emissions further to address climate change.
• Maintaining cleaning habits in overseas sites.

Mitigation Strategies

• Established COVID-19 Crisis Management Team for global response.
• Initiatives in Mercosur region focusing on human resource development and social contribution.
• Energy saving activities at factories and offices, including renewable energy use.
• Gradual implementation of cleaning habits through example and encouragement.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier CSR Guidelines, Supplier CSR Self-Assessment Check Sheet

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI (Global Reporting Initiative) Standards

Certifications: ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Bio-Aroace wood pellet-fueled absorption chiller-heater
• Digital tachograph
• Residential fire (thermal), gas, and CO alarm
• Battery fuse unit for power distribution
• Aro-eco cushioning material

Awards & Recognition

• Governor’s Praise Award at the 2019 Gender Equality Day Prefectural Awards (Tanshin Manufacturing Co., Ltd.)
• Notably Reliable Environmental Company (TJY-CD (China))

Environmental Metrics

ESG Focus Areas

• Climate Change
• Human Rights
• Supply Chain Management
• Diversity & Inclusion
• Occupational Health & Safety
• Community Development
• Governance
• Resource Efficiency
• Pollution Prevention
• Biodiversity

Environmental Achievements

• Reduced CO2 emissions per unit of sales by 26.4% compared to fiscal year 2010 (achieved 2020 target)
• Reduced VOC emissions by 58% compared with 2000 (at domestic sites)
• Recycled 96.9% of Aroace absorption chiller-heaters by weight in fiscal year 2020
• Reduced water consumption by 4.4% from the previous fiscal year (globally)

Social Achievements

• Increased male employee parental leave usage from 2.2% in FY2018 to 14.7% in FY2020
• Employed 329 persons with disabilities in FY2020 (2.67% employment rate)
• Implemented various COVID-19 prevention measures to protect employee health and safety
• Launched Kyushu Revitalization Activity to maintain employment and revitalize the regional economy

Governance Achievements

• Enacted Yazaki Group Human Rights Policy in FY2020
• Enacted Global Compliance Policy in August 2020
• Established a whistle-blowing system in each region
• Strengthened internal controls through the Global Internal Control Committee

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting production and operations
• Climate change and its impact on natural disasters and resource depletion
• Declining birth rates, aging population, and depopulation in local communities
• Resource depletion
• Maintaining a free and fair competitive environment
• Human rights risks in supply chain (especially ASEAN and Greater China)

Mitigation Strategies

• Implemented Global Flexible Production System for business continuity
• Accelerated environmental initiatives to achieve carbon neutrality
• Developed alternative sourcing strategies
• Implemented stringent COVID-19 prevention measures
• Promoted CSR procurement and supplier engagement
• Undertook human rights due diligence in high-risk regions
• Established a robust risk management and BCP framework

Supply Chain Management

Responsible Procurement

• Supplier CSR Guidelines
• Global Responsible Mineral Policy
• Yaei-kai (supplier cooperative)
• YAZAKI Green Purchasing Guidelines

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (typhoons, torrential rain, earthquakes, volcanic eruptions)

Transition Risks

• Regulatory changes related to carbon emissions
• Shift to electric vehicles

Opportunities

• Development of energy-efficient products
• Contribution to decarbonization

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001, ISO 9001, IATF 16949

UN Sustainable Development Goals

• Goal 7 (Affordable and clean energy)
• Goal 9 (Industry, innovation, and infrastructure)
• Goal 12 (Responsible consumption and production)
• Goal 13 (Climate action)
• Goal 8 (Decent work and economic growth)
• Goal 11 (Sustainable cities and communities)
• Goal 17 (Partnerships for the goals)

Yazaki's initiatives contribute to these SDGs through various programs and activities detailed in the report.

Sustainable Products & Innovation

• Bio-Aroace wood pellet-fired absorption chiller-heater
• YLD1 driving recorder for forklifts
• Optical communication system for relay transmission of wireless signal
• Grommet cover using recycled resin

Awards & Recognition

• Clarivate Top 100 Global Innovators (2015, 2016, 2021)
• Governor Reward for Health Creation Activity (FY2021)
• Certified Health & Productivity Management Outstanding Organizations (FY2021)

Environmental Metrics

ESG Focus Areas

• Safe and high-quality products and services
• Resolving social issues through business
• Open innovation
• Healthy and solid supply chains
• Strong organization
• Development of local communities
• Global environmental management
• Global governance and internal control

Environmental Achievements

• CO2 emissions reduction rate (global, compared to FY 2017): 87.5%
• Reduced VOC emissions (for applicable sites in Japan): 93.1% compared to the previous fiscal year
• Water usage (global): 97.6% compared to the previous fiscal year
• Total amount of discharge by the global Yazaki Group: 127,000 tons, a reduction of 31,000 tons compared to fiscal year 2018
• Total amount of waste in Japan: 4,610 tons, a reduction of 9.1% compared with fiscal year 2018
• Recycled 94.4% of Aroace absorption chiller-heaters by weight in fiscal year 2021

Social Achievements

• Rate of childcare leave taken by male employees (for applicable entities in Japan): 20.5%
• Employment rate of persons with disabilities (for applicable entities in Japan): 2.76%
• Zero serious accidents
• Yazaki Summer Camp programs
• Contributions to local communities through various initiatives

Governance Achievements

• Reorganization of the Global Internal Control Committee
• Compliance check sheets: 55 group companies in Japan conducted self-assessments
• Training to ensure Yazaki’s violation of the Antimonopoly Act case is not forgotten
• Results of Human Rights Due Diligence

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impact on operations and supply chains
• Rising raw material prices and ocean freight rates
• Semiconductor shortage
• Climate change impacts (natural disasters)
• Human rights issues in global supply chain
• Cybersecurity threats

Mitigation Strategies

• Established COVID-19 Crisis Management Team and BCPs
• Swift decision-making and safety countermeasures
• Emergency production lines
• Work-from-home arrangements
• Strengthened supply chain resilience
• Human rights due diligence
• Strengthened information security measures

Supply Chain Management

Supplier Audits: 848 suppliers in Japan and overseas received Supplier CSR Guidelines and assessment sheets

Responsible Procurement

• Supplier CSR Guidelines
• Supplier CSR Self-Assessment Sheet
• Human Rights Initiatives Assessment Sheet
• Global Responsible Mineral Policy

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Changes in energy prices and supply
• Regulatory changes

Opportunities

• Development of energy-efficient products and services

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001, IATF 16949

Sustainable Products & Innovation

• High-voltage wire harnesses
• Battery power components
• Solar thermal equipment
• Air-conditioning equipment using waste heat and renewable energy
• Bio-Aroace wood pellet-fired absorption chiller-heater
• Recycled polyamide resin protectors
• Hot Water Circulation Type ARORIZER

Awards & Recognition

• Automotive News PACE Award Finalist (four consecutive years)
• Clarivate Top 100 Global Innovators (four times)