Fiscal 2019 CSR Activity Report

Contributing Solutions to Social Issues through Business Activities

Value Creation

Leverage innovation to address global-scale environmental issues such as climate change and provide solutions for various social issues such as the need to improve the quality of medical care, the need to reduce the burden on medical staff, and health maintenance and longevity, thereby helping to build a more sustainable world.

Basic Approach

Global environmental issues continue to escalate, marked by climate change, rising CO2 concentrations, and population growth-induced water shortages and resource depletion. More than seven billion people live on Earth, a number that is expected to surpass 10 billion by 2050. Meanwhile, developed countries as well as many emerging countries are expected to face rapid population aging, as average lifespans increase and birthrates decline.
In the world of the 21st century, the most critical shared challenges are to resolve global-scale environmental issues and to provide healthcare that helps people lead healthy, independent lives, which involves delivering high-quality medical care that reduces the burden on both patients and medical staff.

As basic strategies of the medium-term management program, Project AP-G 2019, Toray Group has implemented the Green Innovation Business Expansion Project (Green Innovation Project) and the Life Innovation Business Expansion Project (Life Innovation Project) to expand business in growth sectors. These efforts are directed by the Global Environment Business Strategic Planning Department and the Life Innovation Business Strategic Planning Department, respectively. The progress on the projects has been followed up by company-wide management committees and other bodies. To strength the initiatives, in 2018, the Group established and announced the Toray Group Sustainability Vision to clearly outline the world as envisioned by the Toray Group in 2050, and also set KPIs to be achieved by 2030 as long-term targets. To help ensure the achievement of the Sustainability Vision, the Group has made the Green Innovation Project and Life Innovation Project group-wide projects led by the president of Toray Industries under the Long-Term Corporate Vision, TORAY VISION 2030, and the Medium-Term Management Program, Project AP-G 2022, which were announced in May 2020.

In the Green Innovation Project, Toray Group works to achieve “a net-zero-emissions world, where greenhouse gas emissions are completely offset by absorption,” “a world where resources are sustainably managed,” and “a world with a restored natural environment, with clean water and air for everyone,” as outlined in the Toray Group Sustainability Vision. Here are some specific examples of Toray initiatives under this vision. To accelerate efforts to fight climate change, the Group will expand aircraft and automobile applications for its advanced materials and help reduce CO2 emissions by improving fuel efficiency through vehicle weight reduction. It will also work to help society transition to renewable energy by supplying materials for wind, solar and hydrogen power applications. To enhance the sustainable use of recycled resources, the Group will promote initiatives for resource recycling and bio-technology. To help ensure safe water and air, it will proceed with initiatives in areas such as water treatment membranes and air filters.

In the Life Innovation Project, Toray Group seeks to build “a world where everyone enjoys good health and hygiene,” as set out in the Toray Group Sustainability Vision, and accelerate its initiative of “contributing to better medical care and hygiene for people worldwide.” Life Innovation products have so far been defined as those that improve the quality of medical care, reduce the burden on medical staff, and support people’s health maintenance and longevity. Now, the definition has been broadened to include products that support personal safety and help the elderly and home-care recipients to live more independent lives (improvement of activities of daily living [ADLs]).

Structure

For more information on the structure for implementing the Green Innovation and Life Innovation projects, please visit the links for the related topics in the Activity Reports below.

CSR Road Map Targets and Results

Help address social issues by developing innovative materials and new technologies, focusing on the fields of Green Innovation and Life Innovation

CSR-related materiality

  • Contributing to the solution of environmental issues through business activities
  • Contributing to health maintenance and longevity through business activities
  • Initiatives for managing water resources
■KPI
Sales of Green Innovation products
■Reporting scope
Toray Group
■Fiscal 2019 Target
900.0 billion yen

Fiscal 2019 Result

820.1 billion yen

■KPI
Sales of Life Innovation products
■Reporting scope
Toray Group
■Fiscal 2019 Target
270.0 billion yen

Fiscal 2019 Result

223.2 billion yen

■KPI
Contribution of Toray water treatment products (converted to treated water amount) (tons/day)
■Reporting scope
Toray Group
■Fiscal 2019 Target
59.0 million tons/day

Fiscal 2019 Result

50.95 million tons/day

Looking to the Future

In fiscal 2019, the Green Innovation Project generated consolidated net sales of 820.1 billion yen against a target of 900 billion yen. The main reason for this shortfall was a greater-than-expected drop in demand for lithium-ion battery separators and resins for automobiles and motorcycles. On the other hand, the CO2 emissions avoided by the use of Toray Group products throughout the value chain increased due to business expansion. The Group will continue to help address resource, energy, and global environmental issues through its businesses.
Worldwide issues such as climate change, water scarcity, and resource depletion will become more serious, inducing a transition to more sustainable modes of production and consumption. Initiatives will be implemented for moving to a circular economy where used products are recovered and regenerated to make new ones. This will enable a further transition from a mass production/mass consumption linear business scheme to business models such as PaaS (products as a service), sharing, product life extension, resource collection and recycling, and circulated supply chains. The Green Innovation Project will take advantage of this transition to create new business opportunities and development.

In fiscal 2019, the Life Innovation Project generated consolidated net sales of 223.2 billion yen. Moving forward, Toray Group will continue to leverage its strengths in advanced materials in Life Innovation fields. In the Pharmaceuticals & Medical Products Business, the Group will accelerate its entry into new fields such as diagnostic medicines.

Activity Reports

Click below on activity reports for fiscal 2019