Climate Change Data

SENJU METAL INDUSTRY CO., LTD.

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Scope 1 Emissions:3,054 tCO2e/year
Scope 2 Emissions:3,754 tCO2e/year
Renewable Energy Share:88.5% (as of Q4 2022)
Total Energy Consumption:37,520 MWh/year
Water Consumption:379,016 m3/year
Waste Generated:1,120.1 tons/year

ESG Focus Areas

  • Climate change
  • Resource recycling
  • Responsible mineral procurement
  • Human resource development
  • Comfortable work environment
  • Society 5.0, Contribution to DX
  • Stable supply chain
  • Risk management

Environmental Achievements

  • Received the Silver Prize in the Panasonic Group’s ECO-VC Activity for Pb-free low melting point Sn-Bi solder paste, contributing to carbon neutrality.
  • Reduced energy consumption by approximately 4% in FY2022 through energy-saving initiatives.
  • Achieved over 99% recycling rate for waste emissions at domestic sites since 2016.
  • Reduced greenhouse gas emissions (Scope 3) by approximately 8% in FY2022 through efficiency improvements in transportation.

Social Achievements

  • Established a personal statement system to improve workplace environments and employee fulfillment.
  • Implemented various measures to support work/life balance, including childcare leave, paternity leave, and nursing care leave.
  • Promoted the advancement of women through a general entrepreneur action plan.
  • Engaged in community outreach activities, including donations and environmental cleanup efforts.

Governance Achievements

  • Established a robust corporate governance system with a Board of Directors, auditors, and inspectors.
  • Implemented a risk management system to address natural disasters, information security, intellectual property, and other risks.
  • Established an internal reporting hotline (Smile Mail) for anonymous reporting of misconduct.

Climate Goals & Targets

Long-term Goals:
  • Achieve a zero-emission society by 2050.
Medium-term Goals:
  • Reduce CO2 emissions by 25% from FY2013 levels by FY2030.

Environmental Challenges

  • Supply chain disruptions due to the COVID-19 lockdown in Shanghai and flooding in Malaysia.
  • Challenges in mass production of low-temperature solder due to its rigidity and brittleness.
  • Increasing number of non-work-related accidents such as falls.
Mitigation Strategies
  • Established a BCP system to ensure supply continuity during disruptions.
  • Developed MILATERA, a low-temperature soldering solution to overcome challenges associated with low-temperature solder.
  • Implemented various safety measures, including automation, risk assessments, and safety training, to reduce accidents.

Supply Chain Management

Responsible Procurement
  • Compliance with IATF16949, ISO9001, ISO14001; adherence to RBA supply chain assessment guidelines; responsible mineral procurement through RMI and RMAP.

Climate-Related Risks & Opportunities

Physical Risks
  • Flooding, earthquakes, typhoons
Opportunities
  • Development of energy-efficient products (MILATERA)

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001 (17 sites)

Sustainable Products & Innovation

  • MILATERA low-temperature soldering solution

Awards & Recognition

  • Panasonic ECO-VC Award Silver Prize
  • Intel Corporation EPIC Outstanding Supplier Award
  • TDK-Lambda Corporation Excellent Supplier Award

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:4.72 kt-CO₂ (Scope 1 & 2)
Scope 1 Emissions:3.71 kt-CO₂
Scope 2 Emissions:1.01 kt-CO₂
Scope 3 Emissions:165.6 kt-CO₂ (Category 1 only)
Renewable Energy Share:99.3% (Japan)
Total Energy Consumption:42,070 MWh
Water Consumption:387,274 m³
Waste Generated:886.3 tons
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Climate Change
  • Resource Recycling
  • Responsible Mineral Procurement
  • Human Rights
  • Occupational Health and Safety
  • Diversity and Inclusion
  • Business Continuity
  • Information Security
  • Intellectual Property Protection

Environmental Achievements

  • Reduced Scope 1 and 2 CO2 emissions to 4.72 kt-CO₂ in FY2023 (a reduction of 2 kt-CO₂ compared to FY2022).
  • Achieved a 99.3% renewable energy conversion rate for purchased electricity at all group sales locations in Japan by June 2023.
  • Developed a PFAS-free foam fire extinguishing agent.
  • Developed air-reflow compatible high-reliability solder paste (M705-S280-T) reducing energy consumption in the mounting process by approximately 50%.
  • Achieved a waste recycling rate of over 99% since FY2016 and recycled 2.7 tons of glass debris in 2023.

Social Achievements

  • Launched MILATERA, a low-temperature soldering solution that contributes to carbon neutrality.
  • Provided a base salary increase and special bonuses in 2024.
  • Issued a special dividend to employees.
  • Implemented a teleworking system.
  • Improved employee engagement through soldering aptitude tests and training programs.
  • Supported employees with childcare leave, nursing care leave, and cancer insurance.

Governance Achievements

  • Strengthened corporate governance system by appointing auditors and establishing committees.
  • Established a dedicated internal reporting hotline (Smile Mail) and an external consultation service.
  • Implemented measures to prevent risks and minimize losses related to natural disasters, information security, intellectual property, infectious diseases, and export management.
  • Obtained ISO9001 and IATF16949 certifications at multiple sites.
  • Implemented a responsible mineral procurement policy, ensuring compliance with RMI regulations and RMAP certification.

Climate Goals & Targets

Long-term Goals:
  • Realize a zero-emission society by 2050.
Medium-term Goals:
  • Reduce CO₂ emissions by 25% compared to FY2013 by FY2030.
  • Develop products using 100% 3R materials.
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Fluctuations in metal prices and exchange rates.
  • Increasing frequency and severity of natural disasters.
  • Risks related to chemical substances, including PFAS.
  • Maintaining a stable supply chain.
  • Cybersecurity threats.
  • Ensuring compliance with evolving regulations.
Mitigation Strategies
  • Developed a system to centrally control exchange risks.
  • Implemented BCP measures, including decentralization of manufacturing sites, automation, and teleworking.
  • Developed PFAS-free products and implemented strict chemical substance management.
  • Established a multi-purchasing system for raw materials.
  • Developed a basic action plan to improve information security.
  • Conduct regular compliance training and audits.

Supply Chain Management

Supplier Audits: Annual audits of suppliers in Japan and overseas.

Responsible Procurement
  • Compliance with laws and social norms.
  • Respect for human rights.
  • Responsible mineral procurement (RMI, RMAP).

Climate-Related Risks & Opportunities

Physical Risks
  • Natural disasters (earthquakes, typhoons, floods)
Transition Risks
  • Changes in regulations related to chemical substances and emissions.
Opportunities
  • Increased demand for eco-friendly products.

Reporting Standards

Frameworks Used: GRI Standards

Certifications: ISO 14001 (18 sites), ISO 9001 (22 sites), IATF16949 (18 sites)

Third-party Assurance: Third-party verification for Scope 1 and 2 emissions

UN Sustainable Development Goals

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

Initiatives contribute to these goals through various ESG activities.

Sustainable Products & Innovation

  • MILATERA
  • PFAS-free foam fire extinguishing agent
  • Air-reflow compatible high-reliability solder paste (M705-S280-T)

Awards & Recognition

  • TDK Corporation Supplier Environmental Award (FY2022)
  • Intel Corporation EPIC Outstanding Supplier Award
  • DENSO CORPORATION Excellent Performance Award
  • Panasonic System Networks Malaysia Sdn. Bhd. Best Supplier Award