Response to Climate Change
Response to Climate Change
We believe that climate change, which has a significant impact on the Earth and our business activities, presents both risks to our group's management, and at the same time new business opportunities. In order to achieve a sound corporate development and a sustainable society, we are promoting initiatives to solve environmental issues and working to expand disclosure of environmental related information.
Approach to Reducing Greenhouse Gas (GHG) Emissions
In order to move forward with measures to realize a carbon-free society and firmly ensure the reduction of greenhouse gas (GHG) emissions along the supply chain, we began calculating GHG emissions for the entire supply chain (Scope 3) of the Wacoal Business (Domestic) in 2021. Moreover, in addition to disclosing reduction targets for Scope 1 and Scope 2 GHG emissions from our operating bases in Japan in pursuit of our 2030 nonfinancial goals, in June 2022 the Company disclosed reduction targets for the aforementioned Scope 3 GHG emissions of the Wacoal Business (Domestic).
GHG Emissions Reduction Process
Currently, the Subcommittee for Carbon-Neutral, which operates under the Sustainability Committee, takes the lead in reviewing specific action plans for achieving GHG emissions reduction targets. In pursuit of our goal of realizing net-zero GHG emissions at all of our operating bases in Japan, we plan on installing solar power generating systems at our Wacoal distribution centers and Wacoal Manufacturing Japan as well as gradually converting to the use of renewable energy at our existing operating bases. Meanwhile, in order to reduce GHG emissions along the supply chain, it is imperative that we work in unison with our suppliers. We intend to develop an action plan and course of action for reducing GHG emissions while urging our suppliers to do their part in helping to reduce GHG emissions along the supply chain.
Initiatives in Fiscal 2025 and Plan for Fiscal 2026
■Domestic Business Sites
Based on a plan formulated in 2024, we are promoting efforts to reduce greenhouse gas emissions. In addition to improving how our facilities are run, we are gradually upgrading them to more cost-effective, energy-saving equipment.
Furthermore, in order to reduce emissions (Scope 3) in the supply chain of our domestic businesses, we are focusing on Category 1—which accounts for the highest emissions—and aiming to calculate emissions by making use of primary data. This will enable us to get a more accurate picture of emissions that reflects our suppliers' reduction efforts.
Furthermore, we hold briefing sessions for suppliers on our environmental policies and efforts, and are also working to strengthen engagement.
■Overseas Business Sites
We started to track our own emissions (Scope 2) at our sewing and raw material manufacturing factories in the fiscal year ended March 31, 2025. We are currently investigating the possibility of reducing emissions at the target factories, and plan to continue this investigation in the fiscal year ending March 31, 2026.
Energy saving efforts in distribution
Wacoal Distribution Corp. has introduced a solar power generation system to promote corporate environmental activities and reduce power consumption. A solar energy power generation system will serve as the Shiga maximum scale as a production of electricity for enterprises.
・Roof of Wacoal Distribution's West Distribution Center(1-1 Chishiro-cho, Moriyama-shi, Shiga Prefecture, Japan)
・The rooftop installation promises to heighten the efficiency of the insulation and air-conditioning of the operating base's fifth floor.
In the fashion field, the modal shift has already been conducted ahead of other competitors in the same industry.
Acquisitions of the ISO 14001 Environmental Management System Standard and the Kyoto Environmental Management System Standard (KES) Certifications
Companies with ISO 14001 environmental management system Certification
Wacoal Corp. (Head Office Building), Wacoal Service Co., Ltd., Wacoal Distribution Corp. (Moriyama Distribution Center), and Wacoal Manufacturing Japan Corp. (Nagasaki Factory) Wacoal Health Insurance Society
Companies with KES environmental management system Certification
Torica Co., Ltd.
Response to Initiatives for Recommendations of the TCFD
In September 2021, our group announced our support for the recommendations of the TCFD. In line with the TCFD's recommendations, our group has disclosed information on four areas of "governance," "strategy," "risk management" and "metrics and targets" since the end of June 2022.
Scenario analysis based on recommendations of the TCFD
While the Wacoal Group conducted and published a scenario analysis on climate change based on the recommendations of the TCFD during the fiscal year ended March 31, 2023, we identified risks and opportunities again during the fiscal year ended March 31, 2025 to expand the scope of scenario analysis including the upstream of the supply chain. In the scenario analysis during the fiscal year ended March 31, 2025, we examined countermeasures and identification of risks and opportunities for Wacoal Business (Domestic), which has the highest percentage of overall sales in our group, in two hypothetical scenarios in which the global temperature increased by 2°C and 4°C. The scenario analysis showed that while a rise of 2°C had some positive impacts, such as gaining support from environmentally conscious consumers, transition risks, such as the introduction of carbon taxes and higher costs of raw materials, could have a negative impact on business. In addition, it was found that a rise of 4°C could lead to physical risks, such as storms, floods, and other extreme weather, that could have a negative impact on business. Type of risk or opportunity, their specific details, degree of potential impact, and countermeasures are described in the table below. We will expand the scope of scenario analysis sequentially in the future, and we will continue making efforts to enable detailed risk analysis for the entire group.
Environment-related data
Greenhouse Gas (GHG) Emissions, Energy, Water, Waste, Brassiere Recycling Activities