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Sumitomo Rubber Conducts Nature-Related Risk Analysis Across All Business Operations in Line with TNFD Recommendations

 Sumitomo Rubber Industries, Ltd. is pleased to announce that the company has conducted an analysis of our business’ dependencies and impacts on nature across our entire areas of business, following the Taskforce on Nature-related Financial Disclosures (TNFD) final recommendations.

In 2023, we conducted a risk assessment in our Tire Business using TNFD-recommended methodologies. To further promote biodiversity conservation, the scope of our assessment has now been expanded to include the Sports Business and Industrial Products Businesses.
We identified “Water resources and wastewater” and “Local ecosystems” as areas of priority issues for the Sports Business, and “Water resources and wastewater,” “Local ecosystems,” and “Land use” for the Industrial Products Business. To develop response measures for these priority issues, we performed our analysis in three stages of value chain, namely upstream, direct operations, and downstream, and conducted regional analyses to further examine these issues.
 

As a result of the regional analyses, minor risks were identified in the upstream value chain for both Sports and Industrial Products businesses, as well as risks related to Water resources and wastewater and Local ecosystems in direct operations. With respect to Water resources and wastewater in direct operations, in particular, seven manufacturing plants, including the gold ball and tire factory in Indonesia, were identified as having high water security risk; we have set a target of achieving 100% recycling of factory wastewater at these plants by fiscal 2050 in our Long-Term Sustainability Policy, as part of our effort to reduce water stress.

One example of emerging risks, meanwhile, tighter regulations are being implemented against microplastics in Europe and North America. Sumitomo Rubber Group has been working on reducing nature-related risks at the product usage stage, through pilot projects for the mitigation of microplastic emissions from artificial turf used in sporting facilities and the development and installation of artificial turf that incorporates natural filling materials. The analysis also confirmed that, since the scope of our artificial turf installation projects has been limited to Japan, there are no significant differences in nature-related risks across different facilities.

To realize Our Philosophy, its corporate philosophy structure, the Sumitomo Rubber Group has studied the risks and opportunities of the entire value chain in order to identify issues possessing materiality. In the context of “Biodiversity,” one of the Material Issues, we envision ourself as “a company that understands its dependence on and impact on natural resources, such as natural rubber, and works to coexist with surrounding ecosystems.” To ensure that the benefits of ecosystems and natural resources are passed on to future generations, we strive to minimize the negative impacts of our business activities and work towards the conservation and restoration of biodiversity.

For more details on the analysis results, please visit the following page:
Preserving Biodiversity (TNFD): https://www.srigroup.co.jp/english/sustainability/environment/tnfd.html

<For your reference>
Sumitomo Rubber Registers as “TNFD Adopter” to Contribute to Solving Issues Related to Preservation of Biodiversity: Conducts a Nature-Related Risk Analysis in Line with TNFD Recommendations (News Release: January 29, 2024)
https://www.srigroup.co.jp/english/newsrelease/2024/sri/2024_007.html