Responsibility for global environmental issues throughout the product lifecycle

The earth's environment faces various issues, including global warming and pollution due to waste. The world economy could become adversely affected due to climate change and it's also concerned about the impact on business activities and production activities at suppliers by an increase in natural disasters. Mizuno recognizes the importance of reducing environmental burden, such as greenhouse gas, in conducting its business. It also recognizes the importance in developing and offering environmentally friendly products and services so as to help the world lead worry-free lives and pass on to future generations an environment where everyone can actively enjoy sports.

At Mizuno, we have identified climate change, waste, and chemical substances as important issues, and we are advancing the analysis of risks and opportunities for each. In response to the growing societal interest in natural capital, including biodiversity, we will work to enhance understanding within the company. We will also build a structure that enables us to report the impact of our group's initiatives, as well as our business, strategy, and finance.

■Risks

• Physical damage to business locations, stores, and administrative facilities due to climate change
• Suspension of operations by suppliers and delays in raw material procurement due to climate change
• Increased compliance costs due to tightened environmental regulations
• Increased costs associated with the adoption of renewable energy
• Reduction in outdoor sports due to rising temperatures and increased risk of heatstroke
• Increased disposal costs due to increased waste emissions
• Risks of harmful chemical leaks

■Opportunities

• Cost reduction through energy conservation, introduction of renewable energy, waste reduction, and promotion of recycling
• Expansion of sales through the development and sale of environmentally friendly products and products that respond to climate change

To accelerate its efforts aimed at reducing climate change, in August 2020, Mizuno reexamined its long-term environmental target and decided to achieve net zero by 2050. At the same time, in addition to its existing Scope 1 and 2 emissions reduction targets for 2030, Mizuno set a Scope 3 emissions reduction target and announced it in May 2021.

2050
Aiming to achieve net zero

2030 (Greenhouse Gas Emissions Reduction compared to 2018)
Scope 1 & 2: 50.4% reduction
Scope 3: 58.1% reduction (Categories 1 & 12 per billion yen of added value)

KPI	FY2023 Results	FY2024 Goal	Mid-term Goals	Department in charge
Apparel: environmentally friendly products	17.4%	30%	2028:100% (in all categories of new products)	Global Apparel Product Department
Footwear: environmentally friendly products	49.8%	61.5%	2027:100% (in all categories of new products)	Global Footwear Product Department
Equipment: Reduction of material loss in the manufacturing process, reduction of energy consumption during production, and reduction and simplification of secondary materials		Starting from 2024, we will advance and finalize the development of a progress management system.	30% reduction by 2030 (compared to 2018)	Global Equipment Product Department

For more details, please refer to the link below:
Link: https://corp.mizuno.com/en/articles/0031

In Mizuno's entire business activities, indirect emissions known as Scope 3 account for approximately 97% of greenhouse gas emissions. Specifically, "purchased products and services" make up about 80% of the total, making the reduction of greenhouse gas emissions through products essential. We will continue to promote product planning and development aimed at reducing greenhouse gas emissions.

For initiatives related to "Responsibility for global environmental issues throughout the product lifecycle," please refer to the following links:

Link: Policies and Systems

Link: Environmental Management System

Link: Mitigation of Environmental Impact in Products

Link: Climate Change

Link: Water Use and Management

Link: Reduction of hazardous chemical substances

Link: Reduction of waste

Link: Business activities and environmental burden

Towards realizing net zero by 2050, we will continue to advance initiatives such as innovating manufacturing processes and utilizing renewable energy. In addition, we will accelerate environmentally conscious efforts, such as promoting recycling, reducing waste, and using water efficiently.