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