Climate Change Data

TOYOBO CO., LTD.

Climate Impact & Sustainability Data (2022)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:900 thousand tonnes CO2
Water Consumption:85,924 thousand m3

ESG Focus Areas

  • Climate Change
  • Circular Economy
  • Human Rights
  • Employee Well-being
  • Supply Chain Management
  • Biodiversity
  • Governance

Environmental Achievements

  • 26% reduction in Scope 1 and 2 GHG emissions (900 thousand tonnes CO2) compared to FY2014
  • 33.8% of total sales from ECO-PARTNER SYSTEM® products (aiming for 40% by 2031 and 60% by 2051)
  • 0.4% consolidated final disposal rate

Social Achievements

  • Employee engagement score: 33% positive response rate on "no difficulty in daily work" and 42% on "respect the diverse views and ideas of each person"
  • 72.3% annual paid leave utilization ratio
  • Launched "Lunchtime Learning" program for employee communication
  • Established a new plant for artificial kidney hollow fiber membranes in collaboration with Nipro Corporation

Governance Achievements

  • Established the Nomination and Compensation Advisory Committee
  • Increased the number of outside directors to five
  • Implemented a "three lines of defense" structure for quality control
  • Revised officer compensation system

Climate Goals & Targets

Long-term Goals:
  • [object Object]
Medium-term Goals:
  • Achieve 40% sales ratio of ECO-PARTNER SYSTEM® products by 2031
  • Increase the ratio of women managers to 5.0% by 2026
  • Obtain White 500 certification for outstanding health and productivity management by 2026
Short-term Goals:
  • Reduce GHG emissions by at least 46% by 2031 (compared to 2014)

Environmental Challenges

  • Rising raw material prices impacting profitability
  • Quality-related misconduct incidents in the engineering plastics business
  • Need to further reduce GHG emissions
  • Need to increase the ratio of women managers
Mitigation Strategies
  • Price adjustments and new production lines for high-demand products
  • Implementation of a "three lines of defense" structure for quality control, data integrity measures, and thorough investigations
  • Introduction of an internal carbon pricing system, renewable energy adoption, and fuel conversion
  • New women empowerment promotion action plan with numerical targets and support programs

Supply Chain Management

Supplier Audits: 93% response rate from primary suppliers in 2022

Responsible Procurement
  • CSR Procurement Guidelines
  • Green Procurement Guidelines

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events (wind and flood damage)
Transition Risks
  • Rising carbon prices
  • Declining demand for products derived from petrochemical raw materials
Opportunities
  • Growing demand for low-carbon products
  • Development of energy-efficient products and renewable energy materials

Reporting Standards

Frameworks Used: GRI, TCFD

Certifications: ISO 14001

UN Sustainable Development Goals

  • Goal 7 (Affordable and clean energy)
  • Goal 12 (Responsible consumption and production)
  • Goal 13 (Climate action)
  • Goal 8 (Decent work and economic growth)
  • Goal 3 (Good health and well-being)
  • Goal 11 (Sustainable cities and communities)
  • Goal 6 (Clean water and sanitation)

Initiatives contribute to these goals through various environmental, social, and governance programs

Sustainable Products & Innovation

  • ECO-PARTNER SYSTEM® products
  • Biomass plastics (PEF, bio-based PET)
  • Recycled materials
  • Forward osmosis (FO) membranes
  • Reverse osmosis (RO) membranes

Awards & Recognition

  • Certified Health & Productivity Management Outstanding Organization
  • Eruboshi (second level) company certification