Long-Term Sustainability Policy: “Driving Our Future Challenge 2050”

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  • The Sumitomo Rubber Group

Long-Term Sustainability Policy: “Driving Our Future Challenge 2050”

When we announced the Sumitomo Rubber Group’s Mid-Term Plan in February 2020, we identified “Promoting ESG Management” as one of the key Value Drivers for achieving our goals. Accordingly, we have pledged to redouble our efforts to work toward the solution of various environmental and social issues throughout our business activities so that we may contribute to the realization of a sustainable society.
In light of radically evolving conditions associated with social issues, including the growing repercussions of climate change, we came to the conclusion that a new policy, one based on long-term perspectives that look to the world of 2050 and beyond, would be essential to our efforts to ensure the sustained growth and development of both our group and society as a whole. We formulated the Long-Term Sustainability Policy: “Driving Our Future Challenge 2050” in August 2021 and are working towards the targets.

Fiscal 2023 Targets and Results

Challenge Targets Set Forth under “Driving Our Future Challenge 2050”

2050 Challenge Target Themes Action Plans Targets (Target Year) Relationship with Material Issues
(Materiality) to Address

Environment
Protecting the Global Environment & Safety

Environment
  • Product Innovation
  • Realizing the SMART TYRE CONCEPT
  • Concept Tire Completion (2029), Equip all new tires with SMART TYRE CONCEPT technology (2030)
Innovation for Solving Social Issues
  • Establishing a Sustainable Product Certification System
  • Securing a Standard Certification Rate of 100%, including a Gold Certification Rate of 30% (2030)
Circular Economy
  • Carbon Neutrality
  • Carbon Neutrality
    (Scope 1 and 2)
  • 55% Reduction in Emissions Compared to 2017 Levels (2030), Full Carbon Neutrality (2050)
Climate Change
  • Carbon Neutrality
    (Scope 3)
  • 25% Reduction in Category 1 Emissions Compared to 2021 Levels and a 10% Reduction in Category 4 Emissions (2030)
  • The Utilization of Hydrogen
  • Introducing Hydrogen Production Equipment for Use in Hydrogen Boilers (2025)
  • Resource Circulation and Sustainable Raw Materials
  • Increasing the Usage Rate of Sustainable Raw Materials
  • Sustainable Raw Material Content Targets by Product Line
    • Tires: 40% (2030), 100% (2050)
    • Sports: 20% of All Practice Golf Balls Sold (2030), 100% of All Golf Balls Sold (2050) Launch of 100% Sustainable Tennis Balls (2030), 100% of All Tennis Balls Sold (2050)
    • Industrial Products (by Weight): 40% (2030), 100% (2050)
Circular Economy
  • Reducing Plastic Usage
  • 40% Reduction in Plastic Used in Tire Labels, Packing Materials, Sales Promotion Tools, etc., Compared with 2019 Levels (2030)
  • Water Resources
  • Reducing Water Usage
  • 100% Recycled Water Usage at Bases of Operations in Areas with High Water Security Risk (2050)
Biodiversity
  • Supply Chain Management for the Environment
  • Sustainable Natural Rubber (SNR) Policy
  • Raw Material Procurement in Line with SNR Policy
    • Applied to Major Suppliers (2030), Applied to All Suppliers (2050)
Biodiversity, Human Rights

Social
Harmonious Coexistence with Society

Social
  • Safety & Health
  • Thoroughgoing Occupational Safety & Health
  • Zero Serious Accidents
Human Rights
  • Promoting Health and Productivity Management
  • Strengthening the Occupational Health System & Cultivating Culture of Health
  • Organizational Culture
  • Developing Leadership
  • Global Introduction of 360° Feedback (2030), Ongoing Executive Coaching (2030), 80% Positive Responses on Organizational Health Survey (2030)
Diverse Talents
  • Respect for Diversity & Harmony
  • Promoting Diversity & Inclusion
  • Expansion of Unconscious Bias Training to All Levels (2030) (non-consolidated basis)
Diverse Talents
  • Promoting Women’s Empowerment
  • Ongoing Career Development Program for Women
  • Ratio of Female Managers: 7% (2025), 12% (2030) (non-consolidated basis)
  • Respect for Human Rights
  • Establishing a Human Rights Management System
  • Creation of a Human Rights Management System and Due Diligence Process (2024), Establishment and Implementation of Human Rights Due Diligence (2025)
Human Rights
  • Supply Chain Managemen
  • Actively Seeking Third-Party Assessments (EcoVadis)
  • Procurement of 95% (purchase value basis) of Tire Raw Materials from Suppliers Who Earned Standard (45 points) or Higher Scores (2030)
    *Planning the phased rollout of this procurement approach to businesses other than the Tire Business.
Human Rights

Governance
Reinforcing the Foundations of Our Business

Governance
  • Enhancing Corporate Governance
  • Increasing the Diversity of Board Members
  • Establishment of a Framework for Improving the Effectiveness of the Board of Directors with an Eye Toward External Changes & Our Shifting Business Situation
Governance
  • Improving the Effectiveness of Governance
  • Analyzing the Results of Third-Party Assessments to Enact Measures to Enhance Effectiveness
  • Thoroughgoing Compliance
  • Transparency with Respect to Taxes
  • Formulation of Tax Policy
  • Enactment of a Global Tax Strategy (2025)
Governance
  • Instilling “Our Philosophy”
  • 80% Supportive Response on “Our Philosophy” Entrenchment Survey (2030)