Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced energy consumption (electricity, gas, gasoline, kerosene, etc.) by 1.0% compared to 2018.
• Reduced waste generation by 1.0% compared to 2018.
• Reduced water usage by 1.0% compared to 2018.

Social Achievements

• Held H-one Festival, engaging employees and the local community.
• Donated masks to the Saitama Social Welfare Council and Saitama Medical Association.
• Various community engagement activities in Japan, America, Canada, China, Thailand, India, and Indonesia (e.g., tree planting, cleaning activities, donations).

Governance Achievements

• Established and maintained an environmental management system certified to ISO 14001:2015.
• Conducted environmental education and training for employees.
• Regular management reviews and inter-site meetings to discuss environmental performance.

Climate Goals & Targets

Environmental Challenges

• Increased energy consumption in 2019 compared to 2016 (6.6%).
• Increased waste generation in 2019 compared to 2016 (3.2%).
• Air leaks in production lines leading to energy loss.

Mitigation Strategies

• Implemented various energy-saving measures (e.g., compressor optimization, LED lighting, improved transportation efficiency).
• Improved waste sorting and reduction practices.
• Identified and repaired 150 air leaks in HPT (Thailand).

Supply Chain Management

Responsible Procurement

• Collaboration with suppliers on CO2 reduction.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ISO 14001:2015

Certifications: ISO 14001:2015

Environmental Metrics

ESG Focus Areas

• Climate Change
• Human Capital Management
• Governance

Environmental Achievements

• Reduced CO2 emissions by 46% compared to 2013 (Scope 1+2)

Social Achievements

• Promoting diverse workforce including active female recruitment and male parental leave
• Focusing on creating a safe and comfortable work environment and achieving work-life balance

Governance Achievements

• Strengthening corporate governance to enhance transparency and fairness
• Establishment of an Investment Deliberation Council to enhance oversight of growth investments

Climate Goals & Targets

Environmental Challenges

• 150 billion yen impairment loss in China impacting financial statements
• High dependence on a single major customer
• Shift to BEV and competition with local OEMs in China

Mitigation Strategies

• Implementing 'Change 2027' mid-term management plan to improve financial health and diversify business
• Improving profitability of existing businesses and diversifying customers
• Focusing on high-profit products and shifting resources to R&D, particularly in fuel cell bipolar plates for FCEV

Supply Chain Management

Responsible Procurement

• Supplier Sustainability Guidelines

Climate-Related Risks & Opportunities

Opportunities

• Development of energy-efficient products
• Expansion into fuel cell bipolar plates for FCEV

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO14001, ISO9001

UN Sustainable Development Goals

• SDG 7 (Affordable and clean energy)
• SDG 5 (Gender equality)
• SDG 16 (Peace, justice and strong institutions)

The report mentions alignment with SDGs but lacks specific details on how initiatives contribute to each goal.

Sustainable Products & Innovation

• Fuel cell bipolar plates for FCEV
• Logistics baskets with Ocado