Mitsui High-tec,Inc.

Climate Impact & Sustainability Data (2022-02 to 2023-01, 2023)

Reporting Period: 2022-02 to 2023-01

Environmental Metrics

Total Carbon Emissions:98,000 t-CO2e (Scope 1 & 2 in FY2021)

Scope 1 Emissions:5,000 t-CO2e (FY2021)

Scope 2 Emissions:93,000 t-CO2e (FY2021)

Renewable Energy Share:3% (since April 2022, domestic sites)

Waste Generated:6,523 tons (FY2022, domestic operations)

ESG Focus Areas

Climate Change
Resource Conservation
Employee Fulfillment
Diversity & Inclusion
Supply Chain Management
Corporate Governance
Compliance

Environmental Achievements

Reduced total energy consumption by 3.5% in fiscal 2021 at all domestic business sites.
Achieved a recycling rate above 98% in fiscal 2022 for domestic operations.
Utilized renewable energy for 3% of purchased electricity at all domestic business sites since April 2022.

Social Achievements

Revised companywide training system in 2021 to better develop employee abilities and motivation.
Increased percentage of women in new hires (college graduates) from 18.4% in FY2021 to 23.8% in FY2022.
Increased percentage of women managers from 1.6% in FY2021 to 1.8% in FY2022.
Improved employee stress check participation rate from 91.2% in FY2021 to 95.7% in FY2022.
Reduced industrial accident frequency rate from 0.76 in FY2021 to 0.46 in FY2022.
Reduced industrial accident severity rate from 0.03 in FY2021 to 0.02 in FY2022.

Governance Achievements

Transitioned to a company with an Audit & Supervisory Committee in April 2022.
Established the Nomination Advisory Committee and the Remuneration Advisory Committee.
Established the Compliance Committee and a whistleblowing hotline.
Created the Mitsui High-tec Group Code of Conduct in October 2022.

Climate Goals & Targets

Long-term Goals:

Achieve carbon neutrality by fiscal 2050

Medium-term Goals:

Increase the ratio of renewable energy usage

Short-term Goals:

Reduce CO2 emissions by 60% by fiscal 2030 (compared to fiscal 2021 levels, including emissions from production increases)

Environmental Challenges

Climate change related risks (transition risks from decarbonization policies, physical risks from extreme weather events)
Supply chain disruptions
Maintaining consistent product quality amid rising temperatures
Water shortages
Flood risks at low-lying business sites

Mitigation Strategies

Promoting decarbonization measures (energy conservation, renewable energy, solar panels)
Strengthening supply chain resilience through business continuity plans (BCPs)
Improving product quality control
Identifying and mitigating risks at business sites
Improving risk management systems throughout the Mitsui High-tec Group

Supply Chain Management

Responsible Procurement

Basic Procurement Policy (fair transactions, partnerships, compliance, green procurement, confidentiality, ethical conduct)

Climate-Related Risks & Opportunities

Physical Risks

Abnormal weather events
Water shortages
Rise in sea levels
Increase in average temperatures

Transition Risks

Strengthening of decarbonization policies
Changes in demand for gasoline vs. electric vehicles and semiconductors

Opportunities

Growth in demand for electric vehicles and semiconductors
Advances in technologies related to energy conservation, renewable energy, and decarbonization

Reporting Standards

Frameworks Used: GRI Standards, SASB Standards, TCFD Recommendations, ISO 26000, SDGs

Certifications: ISO 14001:2015, ISO 9001, IATF 16949

Sustainable Products & Innovation

Motor cores for electric vehicles
Leadframes for semiconductors in electric vehicles

Reporting Period: 2023