TCFD
Approach to Sustainability and Sustainability Initiatives
The TAMRON Group recognizes climate change as an important management issue that affects its business activities and medium-to-long-term corporate value. Based on the recognition that the development of sustainable growth strategies contributes to the enhancement of corporate value and the fulfilment of social responsibility, we make information disclosures based on the TCFD (Task Force on Climate-related Financial Disclosures) recommendations.
For details of TCFD disclosure materials, please see here.
Information disclosure based on TCFD recommendationsGovernance
Important matters related to sustainability including climate change are discussed and determined by the CSR Committee, which is chaired by the President & CEO. The Committee works with other committees to strengthen the management structure, and monitors progress against each environmental target and reports to management on a quarterly basis. The reviewed results are reported to the Board of Directors once a year, and the Board of Directors exercises appropriate supervision. Ultimate responsibility for action on climate change rests with the President & CEO and the Director in charge of CSR, who drive action to address risks and opportunities across the Group.
Risk management systemStrategy
The TAMRON Group has evaluated impacts on its value chain based on two scenarios: 1.5°C and 4°C. The main factors behind risks and opportunities and countermeasures in each category are as follows.
Identified climate change risks and opportunities
| Category | Factors and business impacts | Main countermeasures |
|---|---|---|
| Transition risks (mainly 1.5℃ scenario) | - Higher costs due to the introduction of carbon taxes and emissions trading systems - Higher procurement costs due to ban on use of specified chemicals and materials as a result of tighter environmental regulations - Higher costs for reviewing manufacturing processes to switch to decarbonization technology |
- Increase in percentage of renewable energy procurement - Verification of supplier compliance with regulatory requirements, technology research focused on materials with a low environmental impact - Improvement in efficiency of production processes |
| Physical risks (mainly 4℃ scenario) | - Inundation of sites, suspension of operations, delivery delays and recovery expenses due to the increased severity of natural disasters such as typhoons and floods - Rising average temperatures that put additional strain on plant air conditioning systems and lead to higher costs |
- Establishment of a more resilient supply chain through the formulation of BCPs and diversification of suppliers - Enhancement of heat shielding and heat insulation measures and introduction of high-efficiency air-conditioning systems at plants |
| Opportunities | - Reduction of costs through the introduction of energy-saving equipment and process optimization - Capture of market share through growing demand for environmentally friendly products |
- Introduction of energy management systems to give visibility over energy consumption and promote improvement - Enhancement of an environmentally friendly product lineup |
Risk management system
Climate change risks and opportunities are positioned as important elements of our management strategy and are centrally managed by the Risk Management Committee, which is chaired by the President & CEO. The Committee uses a 5-level rating scale to evaluate the risks of each division based on a groupwide policy and implements key measures after reporting to the Board of Directors and discussing them. Groupwide risks are reviewed once a year and the Board of Directors regularly supervises the management status to encourage an evaluation of the potential impacts and enhancement of the management foundations.
Indicators and Targets
We have set CO2 emissions—which account for 98% of our greenhouse gas emissions—as one of our key climate change indicators, and manage targets related to CO2 emissions.
In Environmental Vision 2050, we aim to achieve zero CO2 emissions in our business activities by 2050, and have also set the interim target of reducing CO2 emissions by 30% compared with 2015 levels by 2030. We have also continued to calculate indirect emissions (Scope 3, hereafter). Category 1 (emissions produced from all products purchased or acquired) account for a large percentage of Scope 3 emissions, roughly 70% of the total. Going forward, we will consider reductions with a view to setting targets for Scope 3 emissions.
Target・Result
| Key Sustainability Issues | 2025 results | 2026 targets |
|---|---|---|
| Reducing CO2 emissions | CO2 emissions (Scope1,2) 21.9% reduction compared with FY2015 levels (Targets 15％) |
CO2 emissions (Scope 1,2) 2025: 15% reduction compared with FY2015 levels 2026: 18% reduction compared with FY2015 levels 2030: 30% reduction compared with FY2015 levels 2050: 100% reduction compared with FY2015 levels |