Climate Change Data

AMADA CO., LTD.

Climate Impact & Sustainability Data (2024)

Reporting Period: 2024

Environmental Metrics

Total Carbon Emissions:337,570 t-CO₂ (all products, 2023)
Renewable Energy Share:100% (domestic, 2022)
Water Consumption:427,500 m³ (2019)
Waste Generated:6,251 tons (2019)

ESG Focus Areas

  • Climate Change
  • Recycling
  • Biodiversity
  • Chemical Substance Management
  • Human Resources
  • Governance

Environmental Achievements

  • Reduced CO₂ emissions for all products by 58.4% (vs. fiscal 2013)
  • Reduced CO₂ emissions at all business sites and plants by 73.4% (vs. fiscal 2013)
  • Achieved a Groupwide zero emission rate of less than 1% (0.81%) in fiscal 2019
  • Reduced water consumption by exceeding the 2030 target of 10% reduction versus 2019 levels by the end of fiscal 2022
  • Joined RE100 initiative (first in Japan's machine tool industry)
  • Obtained SBT certification for greenhouse gas emission reduction

Social Achievements

  • Received the “Kurumin” certification mark as a company supporting childcare
  • Recognized as a 2024 Certified KENKO Investment for Health Outstanding Organization
  • Established the Sustainability Department to accelerate the Group’s sustainability efforts
  • Overseas Business Study Program for young employees
  • Ongoing programs to cultivate female leaders

Governance Achievements

  • Strengthened management foundation for fairness and transparency
  • Ensured thorough compliance and strengthened risk management
  • Established the AMADA Group’s Environment ECO Committee, chaired by the representative director

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050
Medium-term Goals:
  • Reduce CO₂ emissions for all products by 50% (vs. fiscal 2013) by fiscal 2030
  • Reduce CO₂ emissions at all business sites and plants by 75% (vs. fiscal 2013) by fiscal 2030
  • Reduce total water consumption by 10% by fiscal 2030 (compared to fiscal 2019)
Short-term Goals:
  • Reduce CO₂ emissions for all products by 50% (vs. fiscal 2013) by fiscal 2025
  • Reduce CO₂ emissions at all business sites and plants by 70% (vs. fiscal 2013) by fiscal 2025

Environmental Challenges

  • Climate change (transition and physical risks)
  • Supply chain disruptions due to climate events
  • Rising energy and raw material costs
  • Reputational risks related to insufficient climate change action
  • Water stress risk at 16 bases
Mitigation Strategies
  • Working to reduce the cost of carbon pricing by reducing CO₂ emissions
  • Creating resource-saving products and increasing use of renewable energy
  • Addressing international initiatives (SBT certification, climate change disclosure)
  • BCP measures (in-house power generation, storage batteries)
  • Promoting reduction of water consumption in production
  • Implementing AMADA Group Green Procurement Guideline for suppliers

Supply Chain Management

Responsible Procurement
  • AMADA Group Green Procurement Guideline

Climate-Related Risks & Opportunities

Physical Risks
  • Intensification of abnormal weather
  • Decreased productivity due to water stress
Transition Risks
  • Carbon pricing/emissions trading
  • Rising energy/raw materials costs
  • Reputational changes among investors
Opportunities
  • Spread of low-carbon products
  • Increased revenue in the laser business through automation and IoT solutions

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14001, SBT

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 9 (Industry, Innovation and Infrastructure)
  • Goal 12 (Responsible Consumption and Production)
  • Goal 13 (Climate Action)

The company's initiatives contribute to these goals through renewable energy adoption, energy efficiency improvements, waste reduction, and climate change mitigation efforts.

Sustainable Products & Innovation

  • AMADA Eco-Products

Awards & Recognition

  • 3rd Green Infrastructure Awards (Excellence Award)
  • Kanto Bureau of Economy, Trade and Industry Director-General’s Award for excellent plant greening (Fujinomiya Works, 2021)
  • Japan Greenery Research and Development Center Chairman’s Award (Isehara & Fujinomiya Works, 2016)
  • Kanto Bureau of Economy, Trade and Industry Director-General’s Award (Isehara Works, 2019)
  • 2018 Kanagawa Global Environmental Award (ENSIS-AJ series)
  • Director-General of the Agency for Natural Resources and Energy Award (ENSIS-AJ series, 2016)
  • 3rd Kanagawa Global Environmental Award (FOL-3015AJ & ACIES series, 2013)
  • 2013 Minister of the Environment Award for Global Warming Prevention Activities
  • Heat Pump & Thermal Storage Utilization Award (2010)
  • 27th Promotion Award for Technology Promotion from The Society of Heating, Air-Conditioning and Sanitary Engineers of Japan