Climate Change Data

Environmental Metrics

ESG Focus Areas

• Human Rights
• Labor
• Environment
• Anti-Corruption

Environmental Achievements

• All 40 production units ISO 14001 certified
• Average environmental self-assessment score of 3.84 (out of 4)
• 40% decrease in accidents leading to sick leave between 2019 and 2020
• Widespread implementation of LED lighting and motion sensors to reduce energy consumption
• Four production sites installed solar panels or solar heating devices
• All Swedish facilities powered with 100% renewable energy
• Many production facilities reuse heat from production processes

Social Achievements

• Average self-assessment score for Labor Principles of 3.83 (out of 4), with no subsidiary scoring below 3
• Even gender distribution within the entire AQ Group (45% women, 55% men)
• No reported incidents of human rights abuses
• Support for the Hand in Hand foundation in India

Governance Achievements

• Average self-assessment score for Anti-Corruption Principles of 3.94 (out of 4)
• Zero reported corruption cases
• Implementation of a rigorous procurement process including cross-functional approval of suppliers
• All suppliers committed to AQ Supplier Code of Conduct

Climate Goals & Targets

Environmental Challenges

• Potential risk of human rights, anti-corruption, and labor principle violations if employees don't understand or follow the Code of Conduct
• Risk that suppliers may violate rules willfully or due to lack of knowledge
• Potential environmental risks from surface treatment facilities and land contamination

Mitigation Strategies

• Constant monitoring of the supply chain
• Regular supplier audits
• Enforcement of AQ Group Supplier Code of Conduct
• Continuous monitoring of environmental impact through ISO 14001 management system

Supply Chain Management

Responsible Procurement

• AQ Group Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: ISO 14001

Third-party Assurance: KPMG AB

Environmental Metrics

ESG Focus Areas

• Human Rights
• Labor
• Environment
• Anti-Corruption

Environmental Achievements

• All Swedish facilities powered with 100% renewable energy
• Widespread implementation of LED lighting and motion sensors to reduce energy consumption
• Four production sites installed solar panels or solar heating devices
• Reuse of excess heat from production processes to heat factories
• Reduction of business trips and increased use of digital meeting technology due to the Covid-19 pandemic
• Work to reduce scrap percentage from material use through improved programming and design adaptation
• Increased recycling of rest products from injection molding
• Continuous reduction of hazardous chemicals
• Implementation of a process to reuse packing material

Social Achievements

• Zero reported human rights abuses
• Average self-assessment score for Labor Principles of 3.83 (out of 4), with no subsidiary scoring below 3
• Even gender distribution within the entire AQ Group (43% women, 57% men)
• Active labor unions working well with collective agreements
• Continuous training for employees on safety and other relevant topics
• Focus on identifying risks and involving more people in safety-related work

Governance Achievements

• Zero reported corruption cases
• Self-assessment score for anti-corruption of 3.77 (out of 4)
• Implementation of a rigorous procurement process with cross-functional approval of suppliers
• All suppliers committed to AQ Supplier Code of Conduct
• Periodic market research of key material prices
• Reviews of personal expense claims
• Workshops on AQ's Core Values and Code of Conduct for new AQ companies

Climate Goals & Targets

Environmental Challenges

• Potential risk of human rights violations if employees don't understand or follow the Code of Conduct
• Risk of suppliers violating rules willfully or due to lack of knowledge
• Risk of environmental accidents at surface treatment facilities
• Risk of land contamination from current and previous activities
• Complexity in measuring carbon dioxide emissions (Scope 1 and 2)

Mitigation Strategies

• Continuous monitoring of the supply chain
• Constant monitoring of environmental impact through ISO 14001 management system
• Work on improving the measurement of carbon dioxide emissions

Supply Chain Management

Responsible Procurement

• AQ Group Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: UN Global Compact

Certifications: ISO 14001

Third-party Assurance: KPMG AB

Environmental Metrics

ESG Focus Areas

• Climate Change
• Environmental Sustainability
• Social Responsibility
• Governance

Environmental Achievements

• Reduced energy consumption through improved manufacturing processes, LED lighting, heat reuse, and shaded window films.
• 100% reduction in Scope 1 CO2 emissions (market-based) due to electric vehicle policy.
• Reduced plastic packaging by 100% for parts where alternative packaging was possible through the introduction of a paper shredder.
• Introduced a new waste fraction in the canteen to separate biowaste.

Social Achievements

• 12 accidents and 1 accident-causing sick leave reported using the IA system.
• All 128 employees covered by collective agreements, insured for damage and accidents, and have pension provisions.
• Internal education and training in ISO9001 and ISO14001 management systems.

Governance Achievements

• Active senior leadership oversight of sustainability initiatives.
• Regular updates provided to the board of directors.
• Employee training in AQ's Code of Conduct.
• Annual self-assessment against global sustainability goals.

Climate Goals & Targets

Environmental Challenges

• Calculating Scope 3 emissions.
• Reducing the amount of combustible waste.
• Reducing the use of plastic and polystyrene packaging material (customer-specific requirements).

Mitigation Strategies

• Launched a project in 2024 to calculate Scope 3 emissions using the 'Sustainability' module in Monitor ERP (reporting in 2025).
• Planning to measure combustible waste in 2024 and set reduction goals, separating waste into new fractions (wood, plastic, and paper packaging).
• Working with customers to change materials and designs to reduce costs and CO2 footprint; using paper shredder to replace plastic packaging where possible.
• Collaboration with suppliers like SSAB and Outokumpo for low-emission stainless steel.

Supply Chain Management

Supplier Audits: Yearly assessment; ISO 14001 certified suppliers preferred.

Responsible Procurement

• Collaboration with low-emission steel suppliers (SSAB, Outokumpo).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: UN Global Compact (AQ Group)

Certifications: ISO 14001 (preferred for suppliers)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Air Sensor with 91% reduced plastic consumption (project to go live in 2025/2026).

Awards & Recognition

• Not disclosed