Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced overall volume of burnable waste through periodic patrols and improved recycling.
• Upgraded fuel-oil-fired heating units to electric air conditioners and adopted LEDs for plant illumination, reducing CO2 emissions by 130 tonnes/year at Kyoto Plant and 63 tonnes/year at Shiga Plant (though overall CO2 emissions increased due to increased air conditioning use).
• Reduced CO2 emissions by 55 tonnes/year at Kyoto Plant by fixing air leakages.
• Increased the number of truckloads for delivery transportation, dropping vehicle weight per product and greatly reducing CO2 emissions.
• Reused close to 500 pallets a year, eliminating about 3 tonnes of waste wood chips.
• Made wooden crates for winder rolls reusable, saving about 4 tonnes of waste wood chips annually.
• Achieved a 99.7% recycling rate at the Shiga Plant.

Social Achievements

• Introduced a “Cool Biz” casual summer dress code to reduce energy consumption.
• Participated in Nishiyama Forest Volunteer program.
• Participated in blood donation drives.
• Rented out Kyoto Plant grounds to various groups, helping to revitalize the region.
• Cultivated a “green curtain” of bitter gourd to minimize daily temperature rise at Kyoto Plant.
• Provided work experience for students from neighboring junior high schools.
• Held internal explanatory meetings on chemical risk assessment.
• Held seminars on investigating chemical substances in products for business partners.
• Supported the CAT Ladies Golf Tournament, donating charity funds to the Hakone Town Resource Maintenance Foundation.

Governance Achievements

• Conducted internal audits twice yearly and underwent an annual audit by external auditors to maintain ISO 14001 certification.
• Launched an emergency preparedness initiative with periodic emergency response training.
• Implemented training related to the fiscal 2015 revision of ISO standards.
• Participated in the “Light-Down Campaign” to reduce CO2 emissions.

Climate Goals & Targets

Environmental Challenges

• Increased CO2 emissions year-on-year at both plants due to the introduction of air conditioning for summertime and additional air conditioning use due to increased production and temperature variability.
• Increased water consumption due to increased production and water leakages.
• Need to conduct detoxifying treatment of PCB waste within a scheduled time limit.

Mitigation Strategies

• Introduced sound sensors to detect and fix water leakages.
• Implemented energy-saving facilities investment.
• Completed treatment of high-density PCB waste unit at Kyoto Plant.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Green procurement for office goods
• Seminars on chemical substances in products for business partners
• Declarations of non-use and non-inclusion of banned substances from business partners

Climate-Related Risks & Opportunities

Physical Risks

• Increased temperature variability affecting air conditioning needs

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products (e.g., fuel cell forklift)

Reporting Standards

Frameworks Used: ISO 14001

Certifications: ISO 14001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Driverless forklift
• Fuel cell forklift

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environmental Preservation
• Community Development
• Quality Improvement
• Waste Reduction
• Energy Efficiency
• Green Product Manufacturing

Environmental Achievements

• Reduced burnable waste through regular patrols and workplace cooperation.
• Adopted LEDs for plant illumination and updated geothermal heat pumps and air conditioners at Kyoto and Azuchi plants.
• Reduced CO2 emissions at Shiga Plant following LED adoption and inverter installation for air compressors.
• Implemented various measures including “Cool Biz” dress code to reduce energy consumption.
• Reduced water consumption at Kyoto Plant by minimizing water leaks.
• Achieved class-leading energy efficiency in electric forklift trucks for the European market.
• Introduced counterbalanced electric forklift trucks with high-performance lithium-ion batteries in Japan.
• Introduced a driverless forklift with an electric head, significantly increasing energy efficiency.
• Introduced a new engine conforming to Japanese regulations on diesel emissions, reducing fuel consumption and CO2 emissions.
• Reduced CO2 emissions by 25 t/year through LED lighting upgrades.
• Reduced CO2 emissions by 15 t/year through air conditioner upgrades.
• Reduced waste through reuse of packing materials and simplified product shipment protection.
• Reduced wood waste through improved pallet return system.

Social Achievements

• Participated in community initiatives such as weeding work and trash collection.
• Participated in Lake Biwa regeneration initiatives.
• Participated in blood donation drives.
• Opened regional social welfare facilities.
• Provided work experience for students from neighboring junior high schools.
• Cooperated with the Hakone Trust by sponsoring a charity golf tournament.
• Participated in local disaster drills.
• Participated in Nagaokakyo City’s Environmental Fair.

Governance Achievements

• Established environmental policies and organizational structure.
• Implemented an environmental management system.
• Conducted internal and external environmental audits.
• Launched an emergency preparedness initiative.
• Completed treatment of all PCB waste units according to schedule.
• Held professional training sessions to develop QMS/EMS internal auditors.

Climate Goals & Targets

Environmental Challenges

• Increased CO2 emissions at Kyoto and Azuchi plants due to increased production and warmer temperatures.
• Increased water consumption at Azuchi Plant due to production growth and increased personnel.
• Increased water consumption at Shiga Plant due to temperature variability and efforts to maintain water quality.
• Not all business partners complied with requests for Declarations of Non-use/Non-inclusion of Prohibited Substances.

Mitigation Strategies

• Continued implementation of waste reduction initiatives.
• Continued monitoring of factors other than production increases to address CO2 and water consumption increases.
• Regularly submitting requests to suppliers who have not yet responded to SVHC surveys.

Supply Chain Management

Responsible Procurement

• Green procurement guidelines
• Requests for Declarations of Non-use/Non-inclusion of Prohibited Substances

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ISO 14040

Certifications: ISO certifications (specific certifications not detailed)

Sustainable Products & Innovation

• Electric forklift trucks
• Driverless forklift trucks
• Diesel forklift trucks with improved emission control

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced burnable waste by 12% year-on-year at Shiga Plant
• Upgraded factory lighting with LEDs, reducing CO2 emissions by 194 tonnes/year
• Updated air conditioners, reducing CO2 emissions by 7 tonnes per year
• Reduced compressed air leaks, reducing CO2 emissions by 23 tonnes/year
• Reduced CO2 emissions of major models compared to older vehicles

Social Achievements

• Participated in community cleanup initiatives
• Hosted work experience for students from neighboring junior high schools
• Cooperated with blood donation drives (199 donors at Kyoto Plant, 142 at Shiga Plant, 59 at Azuchi Plant)
• Participated in local disaster drills

Governance Achievements

• Expanded ISO 2015 certification to former UniCarriers Corporation plants
• Established a system for reporting environmental data to MHI semiannually

Climate Goals & Targets

Environmental Challenges

• Waste reduction efforts plateaued at some plants
• Increased CO2 emissions at Kyoto Plant due to increased production and revised calculation method
• Increased water consumption at Kyoto and Azuchi Plants due to increased production
• Increased electricity consumption at Kyoto and Azuchi Plants due to increased production and air conditioning load

Mitigation Strategies

• Continued efforts to improve sorting accuracy and recycling rate
• Investing in energy-efficient environmental upgrades at Azuchi Plant
• Repairing water leaks at Kyoto and Azuchi Plants
• Considering measures to improve waste emissions intensity
• Considering ways of increasing the number of recyclable items

Supply Chain Management

Responsible Procurement

• Guidance on EMS registration for top suppliers
• Requesting non-use/non-containment declarations for banned substances

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• FD Series 12-tonne Diesel Engine Forklift
• FB 1.4–2.0 Tonne Electric Forklift Models
• Rack Fork Auto (laser-guided unmanned forklift truck)

Awards & Recognition

• Award for outstanding achievements in “raising awareness of safety management philosophy”

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced CO2 emissions at Kyoto and Azuchi Plants following production transfer to Shiga Plant
• Reduced electricity consumption at Kyoto Plant
• Improved recycling rate at Shiga and Azuchi Plants
• Reduced VOC emissions intensity at all three plants
• Reduced burnable waste at Shiga Plant by reviewing sorting standards
• Replaced air conditioners and ventilation fans with highly efficient devices, reducing CO2 emissions by 18.5 tonnes/year
• Updated lighting at Kyoto Plant with LEDs, reducing CO2 emissions by 41.6 tonnes/year
• Reduced compressed air leaks at Shiga D Plant, reducing CO2 emissions by 63.9 tonnes/year

Social Achievements

• Participated in community activities (e.g., cleanup campaigns, weeding projects)
• Provided work experience for students from neighboring junior high schools
• Participated in the Hataraku Norimono Collection 2019
• Participated in Nagaokakyo City’s Environmental Fair
• Cooperated with blood donation drives
• Rented out Kyoto Plant grounds to community groups
• Supported the CAT Ladies Golf Tournament for charity

Governance Achievements

• Expanded certifications through ISO audits (despite some nonconformities)
• Complied with laws and regulations, avoiding improvement guidance notices (except for one omission)
• Implemented ISO Internal Auditor Skill Improvement Training Sessions

Climate Goals & Targets

Environmental Challenges

• Increased burnable waste at Azuchi Plant
• Increased electricity consumption at Shiga and Azuchi Plants due to production transfer and air conditioner installation
• Increased water consumption at Shiga Plant due to production transfer
• Deterioration in waste emissions intensity (excluding valuable resources and waste paper) at all three plants
• Low recycling rate for wood chips and other materials from Kyoto Plant
• Revision of calculation method for VOC emissions impacted results
• Failure to improve understanding of environmental accounting costs in-house
• Inconsistent CO2 emissions reduction in development vehicles
• Lack of company-wide plan for determining usage and changing parts containing environmentally hazardous substances
• SVHC surveys not yet submitted by 20 suppliers
• Non-use/non-inclusion declarations not yet submitted by 10 suppliers
• Some suppliers lacking EMS registration
• Groundwater used at Shiga Plant impacting water intensity reduction
• Low returnable container return rate

Mitigation Strategies

• Continued promotion of patrols to raise awareness regarding waste sorting and transforming waste into valuable resources
• Considering ways of improving the recycling rate for wood chips and other materials from the Kyoto Plant
• Holding briefing sessions to expand knowledge of environmental protection costs
• Officially standardizing the CO2 emissions reduction calculation standard
• Establishing a company-wide plan for determining usage and changing parts
• Promoting trivalent plating of sheet metal and machined parts at Azuchi Plant
• Continuing to persuade suppliers who have not yet submitted surveys
• Continuing to request unregistered companies to acquire EMS registration
• Considering countermeasures to reduce water consumption beyond leak repair
• Monitoring the amount of waste per unit of sales
• Promoting the use of returnable containers among specific suppliers

Supply Chain Management

Responsible Procurement

• Guidance on EMS registration and non-use/non-inclusion declarations for banned substances

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• ECO Mode in new forklift models
• New turbodiesel engine complying with emission regulations