Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced CO2 emissions by 24% compared to 1990 levels.
• Reduced waste generation and increased recycling rate.
• Developed and launched heat-reflective coating materials (Cool Life series) contributing to energy savings.

Social Achievements

• Launched internship programs for students.
• Implemented various initiatives for employee well-being, including childcare and nursing care leave.
• Made contributions to disaster relief efforts following the Great East Japan Earthquake.

Governance Achievements

• Established a CSR basic policy in January 2011.
• Implemented internal control systems.
• Strengthened compliance and risk management systems.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the Great East Japan Earthquake and subsequent power shortages.
• Power restrictions impacting production.
• Raw material supply issues.

Mitigation Strategies

• Established a disaster response headquarters.
• Implemented peak shift measures to reduce maximum power demand.
• Secured alternative raw materials and flexible responses with customers.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Strict checks and controls on specified substances at the raw material purchasing stage.

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters (earthquakes, floods)

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: Null

Certifications: ISO 9001:2008 (multiple departments)

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Cool Life series heat-reflective coating materials
• Vegetable oil offset inks
• Chitosan
• Biodegradable resin color masterbatches
• Zero-VOC water-based paint color bases
• Water-based flexo inks

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Energy saving
• Disaster response and supply chain responsibility
• Community engagement
• Workplace safety and health
• Environmental management
• Chemical substance management
• Corporate governance

Environmental Achievements

• Reduced CO2 emissions by 31% compared to 1990.
• Reduced energy consumption by 0.5% compared to the previous year (though this fell short of the 1% target).
• Achieved 75% reduction in CO2 emissions compared to 1998 (meeting the target).
• Reduced waste generation by 71% compared to 1999 (meeting the target).
• Reduced external landfill waste by 76% compared to 1999 (meeting the target).
• Developed and launched environmentally friendly products such as biomass thermoplastic polyurethane and lead-free composite pigments.
• Implemented energy-saving measures in the head office building, resulting in a 23% reduction in electricity usage.

Social Achievements

• Established a self-defense fire brigade and actively participated in disaster prevention training.
• Actively engaged in community activities such as cleaning and local events.
• Implemented various measures to improve workplace safety and health, including risk assessments and mental health programs.
• Offered various employee welfare programs, including childcare and nursing care leave.
• Provided training and development programs for employees at all levels.
• Successfully recovered from the Thailand flood disaster, demonstrating supply chain resilience.

Governance Achievements

• Strengthened corporate governance by expanding the board of directors and establishing a CSR and risk management promotion headquarters.
• Implemented a system for managing chemical substances and ensuring compliance with regulations.
• Established internal control mechanisms to ensure objective and transparent management.

Climate Goals & Targets

Environmental Challenges

• Thailand flood disaster causing significant damage to the factory.
• Meeting the 1% energy reduction target was not achieved due to increased energy consumption in the Tokai manufacturing plant.
• Maintaining a high recycling rate for waste solvents.

Mitigation Strategies

• Utilized the global supply chain to fulfill supply responsibilities after the Thailand flood.
• Implemented various energy-saving measures in production and office departments.
• Improved waste solvent handling methods to increase recycling rates.
• Strengthened disaster preparedness and business continuity plans (BCP) and business continuity management (BCM).

Supply Chain Management

Responsible Procurement

• Strict checks and controls on raw materials at the procurement stage to manage designated substances.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Environmental Agency's Environmental Reporting Guidelines 2007

Certifications: ISO 9001, ISO 14001

Sustainable Products & Innovation

• Biomass thermoplastic polyurethane
• High-durability synthetic leather adhesive
• Water-soluble heat-shielding glass coating
• Chitosan/flocculant
• Lead-free composite pigments

Environmental Metrics

ESG Focus Areas

• Environmental Management
• Human Rights
• Labor Practices
• Corporate Governance
• Community Engagement

Environmental Achievements

• Reduced final disposal amount of waste by 1% (target)
• Increased recycling rate by 1 percentage point (target)
• Reduced energy consumption per unit of production by 1% (target)

Social Achievements

• Implemented new personnel system in 2015, promoting diverse work styles
• Maintained low employee turnover rate within 3 years of joining
• Conducted compliance training for employees, including harassment prevention

Governance Achievements

• Established CSR Risk Management Headquarters to strengthen CSR and risk management systems
• Improved corporate governance by appointing two outside directors and two outside auditors

Climate Goals & Targets

Environmental Challenges

• Increased waste generation due to increased production of certain product groups
• Increased PRTR substances emissions due to increased production of products containing these substances
• Increased energy consumption per unit of production

Mitigation Strategies

• Implemented improvement measures in equipment and processing methods for waste reduction
• Promoting the adoption of alternative materials for PRTR substances and considering the introduction of solvent recovery equipment
• Improving efficiency in manufacturing and process improvement through energy consumption per unit management

Supply Chain Management

Responsible Procurement

• Checking for prohibited, reduced, and monitored substances in raw materials

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Environmentally friendly products using CO2 as a raw material

Awards & Recognition

• Encouragement Award at the 17th Green & Sustainable Chemistry Award (2018)

Environmental Metrics

ESG Focus Areas

• Human Rights
• Labor
• Environment
• Anti-corruption
• Corporate Governance
• Information Security
• Quality Management
• Compliance
• Risk Management
• Community Engagement

Environmental Achievements

• Not disclosed

Social Achievements

• Not disclosed

Governance Achievements

• Strengthened corporate governance by appointing external directors and auditors.

Climate Goals & Targets

Environmental Challenges

• Not disclosed

Mitigation Strategies

• Not disclosed

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Governance

Governance Achievements

• Established a Corporate Governance Code compliance framework.
• Implemented policies for handling policy-based stock holdings, related party transactions, and corporate pension fund management.
• Established clear guidelines for director and auditor nomination, selection, and dismissal.
• Implemented a system for constructive dialogue with shareholders.
• Established a robust internal control system, including risk management and compliance committees.
• Implemented measures to exclude anti-social forces.

Climate Goals & Targets

Environmental Challenges

• Lack of publicly released mid-term management plan (as of 2019).

Mitigation Strategies

• Actively working towards early publication of the mid-term management plan.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced final disposal amount by 7.1% compared to the previous year.
• Increased sales of environmentally friendly products by 2% compared to the previous year.

Social Achievements

• Implemented stress checks and counseling by clinical psychologists.
• Implemented mental health training for managers.
• Extended childcare flextime to children up to elementary school 4th grade.

Governance Achievements

• Established a third-party reporting window for ethical concerns through a law firm.
• Implemented company-wide compliance audits every three months.

Climate Goals & Targets

Environmental Challenges

• Increased energy consumption per unit due to a significant decrease in production.
• Deterioration in the recycling rate of waste plastics.
• Increase in PRTR target substance emissions due to increased production of products using these substances.

Mitigation Strategies

• Introduction of energy-saving equipment and improvement of operational methods.
• Review of waste plastic recycling methods.
• Introduction of depollution equipment, adoption of alternative products for PRTR target substances, and review of handling methods.

Supply Chain Management

Responsible Procurement

• Revised purchasing policy in April 2019, incorporating CSR aspects into supplier selection criteria.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Environment Agency's Environmental Report Guidelines 2012 edition

Certifications: ISO 14001

Sustainable Products & Innovation

• HPU urethane resin

Environmental Metrics

ESG Focus Areas

• Labor Safety and Health
• Quality Assurance
• Chemical Substance Management
• Logistics Safety
• Human Resource Development and Utilization
• CSR Procurement

Social Achievements

• Implemented mental healthcare initiatives including stress checks and counseling since 2014.
• Introduced assist suits to reduce physical burden in production.
• Established a company-wide safety and health patrol system.
• Implemented measures to prevent and mitigate the impact of the COVID-19 pandemic, including work-from-home options and enhanced communication tools.
• Extended childcare flextime to children up to elementary school 4th grade.
• Improved employee support systems for childcare and eldercare.

Governance Achievements

• Established a Quality Management Committee in 2013 to improve the overall quality assurance system.
• Implemented chemSHERPA for chemical substance information sharing.
• Revised purchasing policy in April 2019 to promote CSR throughout the supply chain.

Climate Goals & Targets

Environmental Challenges

• Mental health challenges among employees.
• Physical burden on employees in production.
• Logistics safety and driver shortage.
• COVID-19 pandemic impact.
• Low percentage of women in management positions.

Mitigation Strategies

• Stress checks, counseling, and management training.
• Introduction of assist suits.
• Company-wide safety and health patrols.
• COVID-19 countermeasures: work-from-home, communication tools, safety protocols.
• Initiatives to promote women's advancement.

Supply Chain Management

Responsible Procurement

• CSR Procurement policy including human rights, labor environment, environmental protection, and compliance.

Climate-Related Risks & Opportunities