Chemical Substance Management and Reducing Environmental Impact

Basic approach

In line with the TOYOBO Group Fundamental Policy on the Global Environment, Toyobo group endeavors to manage chemical substances appropriately throughout the product lifecycle (research, development, design, manufacturing, sales, use, and disposal), in order to help conserve the global environment, support disaster prevention, ensure workers' health and safety, guarantee product safety, and ensure conformity with each country's chemical substance regulations.

Structure

In order to promote appropriate management of chemical substances, Toyobo group has established a management structure at each production site. Each Solutions Division supervises the activities of the production sites and group companies under their jurisdiction.

In addition, we have created the TOYOBO Chemical Substance Management Classification in compliance with relevant laws and regulations—both international and domestic—as well as client requests. This classifies the chemical substances we handle into five levels, and the management procedures are specified for each level or “rank.” Use of substances in rank A and B is permitted only when the risks are thoroughly assessed, mitigation measures are taken, and the risk is deemed tolerable. We are continuously making efforts to reduce the overall usage volume of rank A and B substances by optimizing and replacing these substances.

Chemical Substance Management Structure

TOYOBO Chemical Substance Management Classification

*1

Chemical Substances Control Law: Act on the Regulation of Manufacture and Evaluation of Chemical Substances

*2

POPs (treaty): Stockholm Convention on Persistent Organic Pollutants

*3

PIC (treaty): Rotterdam Convention on the Prior Informed Consent Procedure for Certain Hazardous Chemicals and Pesticides in International Trade

*4

RoHS: Restriction of the use of certain Hazardous Substances in electrical and electronic equipment

*5

REACH: Registration, Evaluation, Authorisation and Restriction of Chemicals

*6

PRTR: Pollutant Release and Transfer Register

Initiatives

Recent years have seen new requirements to manage chemical substances within the supply chain. In addition to the European RoHS Directive and REACH regulations, such requirements also apply in Japan, following the coming into effect of the Act on the Regulation of Manufacture and Evaluation of Chemical Substances (Chemical Substances Control Law), as well as other regulations relating to chemical substance management. Additionally, the Globally Harmonized System of Classification and Labeling of Chemicals (GHS) has been adopted by the United Nations.

In view of this situation, Toyobo has introduced a chemical substance management system (TCAS^*1) covering every stage from procurement through to manufacturing and sales. We revise the content of chemical substance surveys for our suppliers as necessary in accordance with the laws and regulations of each country and revisions to the Japanese "chemSHERPA^®"^*2 and other regulations. This is to realize green procurement while providing accurate and prompt support to our customers. We employ this system to investigate the use of regulated substances and carry out surveys regarding content in products.

*1

Toyobo Chemical Administration System

*2

A scheme that facilitates sharing information on chemical substances in products led by the Ministry of Economy, Trade and Industry

Green procurement

We prioritize procurement of raw materials with a low environmental impact, and work with business partners who take a proactive approach to protecting the environment. To this purpose, we have established our group-wide Green Procurement Standards (selection standards for suppliers and selection standards for materials) in Green Procurement Guidelines, which are made known to our suppliers and widely available on our website.

In particular, with regard to chemical substances management, we have established the following criteria for selecting materials, and we comply with various chemical substances management regulations, including the European RoHS Directive and REACH regulations.

(1)

Not containing any of our prohibited substances, Rank A and B in TOYOBO Chemical Substance Management Classification.

(2)

Identifying the content of the hazardous substances specified by our company, Rank A, B, C, and D in TOYOBO Chemical Substance Management Classification.

• Green Procurement Guidelines

Supplier monitoring

Our group has established "CSR Procurement Guidelines", and we ask our business partners to cooperate in initiatives that support the development of a sustainable society throughout the supply chain. "CSR Procurement Guidelines" also includes the above-mentioned promotion of green procurement.
Our group conducts "CSR procurement survey" based on "CSR Procurement Guidelines" and monitors the status of CSR initiatives. As a result of the questionnaire survey, we are asking our suppliers to make improvements. For the results of the latest questionnaire and the countermeasures (corrective measures), please refer to the following items.

• Supply Chain Management > CSR Procurement Survey
• CSR Procurement Guidelines

Participating in initiatives

We also participate in Joint Article Management Promotion-consortium (JAMP) for the smooth disclosure and transmission of information on chemical substances contained in products in supply chain.

Basic approach

In line with the TOYOBO Group Fundamental Policy on the Global Environment, with regard to chemical substances that are emitted into the atmosphere or into water areas, Toyobo group has set self-management standards stricter than the statutory requirements and reduction targets. Based on these, we implement rigorous management and are working to reduce emissions.

Targets and results

We have set ourselves the targets of reducing emissions into the atmosphere of substances that have an impact on the environment by 60%, and of reducing such emissions into water area by 80%, compared to fiscal 2015, by fiscal 2031.

Japan Total: TOYOBO CO., LTD. and domestic consolidated subsidiaries

In fiscal 2022, we succeeded in reducing emissions into the atmosphere by 60%, compared to fiscal 2015. This was due to an operation of VOC recovery equipment at several plants.
Emissions of environment pollutants into water also reduced by 71% compared to fiscal 2015.

Environmental compliance

There were no incidents of non-compliance with air pollution or water quality permits, standards and regulations for the three years from fiscal 2020 to 2022.

Initiatives

Compliance with the Pollutant Release and Transfer Register Act (PRTR Law)

Toyobo group estimates and reports the amount of emissions and amount transferred for chemical substances that are subject to PRTR Law. Based on the overall results that are announced each year, we strive to utilize this information effectively in reducing the amount of emissions and the amount transferred.

We are proceeding with the improvement and replacement of production equipment and installations, the improvement of operating conditions, the installing of equipment for removing relevant substances, and the adoption of substitute raw materials and auxiliary materials, in order to reduce emissions.

Initiatives for preventing air and water pollution

Toyobo group complies with environmental regulations set by national and local government authorities and rules set by environmental conservation agreements. In addition, we implement management for air emission and water discharge from our production sites, by setting self-management standards more rigorous than the statutory requirements in some cases.

We have installed monitoring systems within our production process, and remove harmful chemical substances from gases and water emitted at our production site by utilizing a variety of environmental protection technologies, including in-house developed VOC treatment equipment. We also strive to improve our manufacturing processes so as to minimize the amount of these substances that is used and emitted.