The Global Compact (GC) was proposed by the former UN Secretary General Kofi Annan　in 1999 and officially　launched in 2000 at the UN Headquarters in New York.

n March 2009, Sumitomo Corporation Group signed the UN Global Compact　and declared its support for the 10 principles, shares the same values as our　Corporate Mission Statement. We are raising the awareness of our officers and　employees around the world regarding their purpose and making efforts to further　increasing our corporate value by constantly seeking out areas of our business　activities that can be improved in light of the values advocated by the 10 principles.

We are also actively participating in the activities of Japan’s local network, Global Compact Network Japan, as one of the member companies. In FY2022, we took part in working groups on: environmental management related to climate change, biodiversity and other environmental issues; human rights due diligence; reporting; supply chain; SDGs; ESG; CSV and circular economy. Through this involvement, we acquire information　on recent global trends in these areas, learn of examples of superior initiatives, and　are provided insight from specialists. This knowledge is utilized to help the Company promote Sustainability.

The Global Compact's 10 Principles

• We also support the Universal Declaraion of Human Rights, which the 10 principles of the UN Global Compact are derived from.

Sumitomo Corporation recognizes the importance of climate-related financial disclosures and supports the recommendations of the TCFD*, and further expand its information disclosure in accordance with the recommendations.

• The Task Force on Climate-related Financial Disclosures was established by the Financial Stability Board(FSB). The final report to recommend further expansion of information disclosure was released in June, 2017.

Disclosure based on TCFD Recommendations

Our business depends largely on natural capital, and biodiversity conservation is an important issue for the company. In June 2022, Sumitomo Corporation joined the TNFD Forum, a network of institutional supporters who share the vision and mission of TNFD*2. We will make further efforts to conserve biodiversity going forward.

• Taskforce on Nature-related Financial Disclosures. A global initiative aimed to develop and deliver a risk management and disclosure framework for organizations to report and act on evolving nature-related risks.

Trial Analysis based on TNFD Beta Framework

As a member of the Subcommittee on Global Environment of the Committee on Environment and Safety of Keidanren (Japan Business Federation), our company addresses global warming and climate change and helps design environmental policies that will not harm the economy. We also participate in Sustainability Promotion Committee and Global Environment Committee of Japan Foreign Trade Council, Inc. to discuss how to realize a low-carbon society and a recycling society, and how to comply with environment-related laws and regulations. In addition, we participate in the Social Contribution & ABIC Committee to cooperate in the expansion of ABIC activities and exchange information concerning social contribution activities in our industry. When assessing whether to join membership with an industry group, we confirm whether the group‘s climate change initiatives are consistent with our policy on climate change. Also, we implement appropriate climate change countermeasures regardless of the level of influence of the affiliated industry group.

Stakeholder Capitalism Metrics

In January 2021, Sumitomo Corporation supported and signed the Stakeholder Capitalism Metrics, a standard for non-financial information disclosure released by the International Business Committee (IBC) of the World Economic Forum (WEF). While utilizing this metrics, we will further expand the disclosure of non-financial information to our stakeholders.

Disclosure based on IBC Stakeholder Capitalism Metrics

We are a shareholder of Japan CCS Co.,Ltd. (JCCS). The company is conducting demonstration tests on the use of CCS technology, which involves capturing and storing CO2 in the ground, as well as chemical synthesis of CO2.
We joined the Global CCS Institute (GCCSI) to meet conditions desirable to apply CCS. Since 2021, the company has been participating in the Asia CCUS Network to share knowledge with and educate Asian countries with regard to CCUS.

In January 2020, Sumitomo Corporation supported the "Keidanren Declaration on Biodiversity and Action Guidelines (Revised edition)" formulated by Keidanren and the Keidanren Committee on Nature Conservation.
This Declaration sets forth the determination and action guidelines to address biodiversity conservation issues from the corporate perspective in order to realize a sustainable society through building a society in harmony with nature. Recognizing the importance of biodiversity and natural activities, we will continue to work to maintain and conserve biodiversity to realize a sustainable society.

KNCF, which was established in 1992 and is comprised of Keidanren member companies that actively work on nature and biodiversity conservation, supports nature conservation activities and promotes exchange with NGOs. Sumitomo Corporation is participating in KNCF as its member.

CBCC was established in 1989 with the support of Keidanren to provide support for activities that help Japanese companies to be accepted as good corporate citizens by communities in which they operate outside of Japan. As a member of CBCC, Sumitomo Corporation collects the latest information about CSR and engages in CSR dialogue with related organizations in and outside Japan.