Note:

This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

July 30, 2024
To whom it may concern:
Company name:
Furukawa Co., Ltd.
Name of representative: Minoru Nakatogawa
President & Representative Director(Securities code: 5715; TSE Prime Market)
Inquiries:
Tomohiro Takagi
General Manager,
Sustainability Promotion Department.
Telephone: +81-3-6636-9537

Notice Concerning the Furukawa Company Group CO2 Emission Reduction Targets
Furukawa Co., Ltd. (the Company) hereby announces that it has set the “Furukawa Company Group CO2Emission Reduction Targets” as follows.
By formulating CO2 emission reduction targets and a roadmap, we will further promote “CO2emission reduction (Scope 1 and 2),” an item of Materiality (Key Issues) related to our sustainability
initiatives.
Furukawa Company Group CO2 Emission Reduction Targets- Reduce CO2 emissions (Scope 1 and 2) by 25% (vs FY2023) by FY2030- Achieve carbon neutrality by FY2050
1. Reduce CO2 emissions (Scope 1 and 2) by 25% (vs FY2023) by FY2030
For Scope 1, we aim to achieve a 8% reduction (vs FY2023) by FY2030 by switching to electric forklifts,
electrifying our air conditioning systems, and switching from heavy oil furnaces to liquefied petroleum gas(LPG) furnaces. For Scope 2, we aim to achieve a 31% reduction (vs FY2023) by FY2030 by introducing solar
power and other renewable energy power generation equipment, upgrading to energy-efficient production
facilities, and purchasing renewable energy. By taking these measures, we aim to achieve a 25% reduction (vsFY2023) in overall emissions (Scope 1 and 2) by FY2030 (see Figure 1). To fund our carbon-neutral
initiatives, we are looking to invest approximately ¥2 billion, which we plan to raise through the sale ofstrategic shareholdings.
Compared with the peak of 27,000 tons in FY2014, the Group achieved a reduction of approximately
10,000 tons (37.0%*1) by FY2023 (see Figure 2). In FY2023, however, we expanded the scope of calculationof CO2 emissions, from major domestic production operations to a consolidated basis, including overseasoperations. Accordingly, we are using FY2023 as the benchmark year for setting the aforementioned reduction
targets.
In April 2021, the Japanese government set a greenhouse gas emission reduction target of 46% (vsFY2013) by FY2030 (a 38% reduction target for the industrial sector*2). In comparison, the Furukawa
Company Group is targeting a 39.1% reduction by FY2030 based on its estimated emissions for FY2013*3.
*1 Comparison between 27,000 tons (FY2014) and 17,000 tons (FY2023, before expanding the scope ofcalculation).
*2 Based on the government’s “Plan for Global Warming Countermeasures” announced in October 2021.
*3 Calculated by adding the expanded scope of calculation for FY2023 to the actual figures for FY2013.

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Figure 1 Roadmap to carbon neutrality

Figure 2 CO2 Emissions (FY2013 to FY2023)

2. Achieve carbon neutrality by FY2050
We will continue introducing solar power and other renewable energy power generation equipment, upgrading
to energy-efficient production facilities, and purchasing renewable energy. In addition, we will aim to achievecarbon neutrality by FY2050 through appropriate management of Company-owned forests to absorb CO2.

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3. Efforts to achieve the targets(1) Develop strategy based on TCFD scenario analyses
We have already conducted Task Force on Climate-related Financial Disclosures (TCFD)-based scenario
analyses in the Rock Drill Machinery and Metals segments. Going forward, we will expand the number ofsegments subject to such analyses as we develop a strategy to reduce overall CO2 emissions.
(2) Use ICP
By applying internal carbon pricing (ICP), we are able to evaluate the effect of CO2 emission reductions asinvestment profitability and promote environmental investments accordingly. We introduced ICP in FY2022.
4. Scope 3 emissions
The Group began disclosing its Scope 3 emissions (Category 4*4, Category 5*5, Category 6*6, and Category
11*7) in FY2023 (https://www.furukawakk.co.jp/en/sustainability/library/csr_report.html). Going forward, wewill further expand the number of categories for such disclosure and consider reduction targets for Category
11.
*4 Category 4: Emissions from upstream transportation and distribution.
*5 Category 5: Emissions from waste from generated in operations.
*6 Category 6: Emissions from business travel.
*7 Category 11: Emissions from the use of sold products. (In the Furukawa Company Group, this category
covers products sold by the Rock Drill Machinery and UNIC Machinery segments.)

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