We consider climate change to be a priority issue for sustainability management. In line with the framework of the Task Force on Climate-related Financial Disclosures (TCFD)*, we have comprehensively identified risks and opportunities that our business could be directly impacted by climate change. We also identified risks and opportunities that could indirectly affect our customers and supply chain and identified significant risks (including mitigation measures) and opportunities based on qualitative analysis and assessment of their impact. In the future, we will work to formulate specific action plans.
*For reference: TCFD official site(

Key Risks

Risk Classification Mitigation Measures Against Key Risks Estimated Business and Financial Impact
1.5°C/2°C Scenario*1 4°C Scenario*1
Transition risks Policies and regulations Promoting initiatives to reduce CO2 emissions related to Scope 1 and 2*2 Large Medium
Markets Improving procurement capacity for low-carbon products Large Medium
Technology Promoting development and strengthening sales of new technologies and eco-friendly products and services Medium Small
Reputation Reduce procurement costs by improving operational efficiency in digital transformation (DX) promotion, etc. Large Medium
Physical risks Acute Strengthening supply chain management and improving responsiveness Medium Small
Chronic Improving power generation efficiency Medium Small

Main Opportunities

Classification of Opportunities Main Opportunities Estimated Business and Financial Impact
1.5°C/2°C Scenario*1 4°C Scenario*1
Reputation Growing market capitalization by being evaluated as an excellent company Large Medium
Resource efficiency Expanding market opportunities associated with the increasing adoption of electrification, such as advanced driver-assistance systems (ADAS) and autonomous driving, etc. Medium Medium
Energy sources Increasing opportunities to expand sales through assistance measures for renewable energy, etc. Medium Medium
Products and services Expanding sales by providing energy-efficient (energy-saving, etc.) products and services, etc. Medium Medium
Resilience Expanding sales of products and services through local infrastructure (e.g., smart cities) and disaster preparedness Medium Medium

*1 The "1.5°C and 2°C Scenarios" recommended by the TCFD are scenarios that promote severe climate change measures, while the "4°C Scenario" is a scenario in which no measures are taken to combat global warming beyond the current level.

*2 Scope 1: Direct greenhouse gas emissions by our company
Scope 2: Indirect emissions from the use of electricity and the like supplied by other companies