Environmental Activity Goals and Results

Goal achieved or steadily progressing:

Items
Climate Change Greenhouse gas
Mitigation and emissions
Adaptation
Scope 1+2*1

BoundaryGoals   Goal not achieved:

Fiscal 2022 Results

Sumitomo Chemical Group
Consolidated

Reduce 36% compared tofiscal 2020 levels by 2030

Reduced 11% relative to fiscal 2020

Scope 3*2

Sumitomo Chemical Group
Consolidated

Reduce 14% relative to fiscal 2020 for
categories 1 and 3*3
by fiscal 2030

Reduced 4.1% relative to fiscal 2020

Unit energy
consumption*4

Sumitomo Chemical Group
Consolidated

Improve more than 3% over the three years of Improved 14% relative to fiscal 2021
the Corporate Business Plan (set the base yearat fiscal 2021 in tandem with the start of a newcorporate business plan (fiscal 2022–2024))

Unit energy
consumption
in the logistics
division

Sumitomo Chemical and Group
companies in Japan*5

Improve over 1% per year on average over
five years

Evaluation

Worsened by an annual average of0.2% over five years

Note: Further details on goals based on the Act on the Rational Use of Energy and results are provided in the supplementary data (pages 1–2).
*1 Scope 1: Direct greenhouse gas emissions from operators themselves (fuel burning and industrial processes)
Scope 2: Indirect emissions from purchases of power and heat from outside the factory*2 Scope 3: Emissions from the manufacturing and transportation of purchased raw materials*3 Category 1: Purchased goods and services
Category 3: Fuel and energy activities not included in Scopes 1 or 2
*4 Energy consumption divided by consolidated net sales*5 Within the scope of specified shippers according to the definition stipulated under the Act on the Rational Use of Energy
Goal achieved or steadily progressing:

Items
Contribute
to Recycling
Resources

Promoting theeffective use ofplastic resources

Boundary

Fiscal 2022 Goals

Fiscal 2022 Results

Evaluation   Goal not achieved:

Fiscal 2023 Goals

Sumitomo
Chemical andGroup companies
in Japan

Improve total amount of valuable Improved 1.7% relative toresources and effective usage*6
fiscal 2020
by at least 1% on average per year
relative to fiscal 2020

Improve total amount of valuable
resources and effective usage byat least 1% on average per year
relative to fiscal 2020

Group companies
overseas

Improve total amount of valuable Worsened 14.6% relative toresources and effective usage*6
fiscal 2020
by at least 1% on average per year
relative to fiscal 2020

Improve total amount of valuable
resources and effective usage byat least 1% on average per year
relative to fiscal 2020

Reduce theamount ofindustrial waste
sent to landfills

Sumitomo
Chemical

Maintain 80% reduction
compared to fiscal 2000 levels

Maintain 80% reduction comparedto fiscal 2000 levels

Sumitomo
Chemical andGroup companies
in Japan

Maintain waste volume at below Reduced by 4.8% relative tofiscal 2015 levels to fiscal 2022
fiscal 2015Maintain waste volume at below
fiscal 2015 levels to fiscal 2023

Promoting theeffective use ofindustrial waste

Sumitomo
Chemical andGroup companies
in Japan

Improve effective usage rate*7
by at least 1% on average peryear relative to fiscal 2020

Improved 1.0% relative tofiscal 2020

Improve effective usage rate byat least 1% on average per year
relative to fiscal 2020

Group companies
overseas

Improve effective usage rate*7
by at least 1% on average peryear relative to fiscal 2020

Improved 1.0% relative tofiscal 2020

Improve effective usage rate byat least 1% on average per year
relative to fiscal 2020

Sumitomo Chemicaland Group companies in Japan• High concentrations of PCB*8:	Work toward appropriate storage
and recovery of waste containing
high concentrations of PCBs andcomplete PCB waste treatment atan early stage• Minute amounts of PCB*9:	Work toward appropriate storage
and recovery of waste containing
minute amounts of PCBs andcomplete PCB waste treatment byMarch 2025

• High concentrations of PCBs:	Sumitomo Chemical:
Completed treatment	Group companies in Japan:
Completed treatment• Minute amounts of PCBs:	Implemented the treatmentof waste containing minuteamounts of PCBs at certain
factories; continued topromote the storage andrecovery of untreated waste• High concentrations of PCBs:	Work toward appropriate storage andrecovery of waste containing highconcentrations of PCBs and complete
PCB waste treatment at an early stage• Minute amounts of PCBs:	Work toward appropriate storage andrecovery of waste containing minuteamounts of PCBs and complete PCB
waste treatment by March 2025

Properly treated
PCB waste

Reduced by 92.5% relative
to fiscal 2000

Note: Further details are provided in the supplementary data (pages 3–23).
*6 Effective usage amount = (amount internally recycled and reused + amount of internally recovered heat) + (amount externally recycled and reused + amount of externallyrecovered heat)*7 Effective usage rate = {(amount internally recycled and reused + amount of internally recovered heat) + (amount externally recycled and reused + amount of externallyrecovered heat)} ∕ amount of waste generated × 100*8 High concentrations of PCBs: Polychlorinated biphenyls (PCBs) intentionally used as insulation oil in such items as electric appliances*9 Minute amounts of PCBs: PCBs unintentionally mixed into insulation oil in such items as electric appliances (over 0.5 mg/kg)

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Environmental Activity Goals and Results

Goal achieved or steadily progressing:

Items
Sustainable
Use ofNatural
CapitalBoundary

Severeenvironmental
accidents

Sumitomo Chemicaland Group companies
in JapanLaws andregulations, etc.

Fiscal 2022 Goals

Fiscal 2022 Results

Evaluation   Goal not achieved:

Fiscal 2023 Goals

000

Sumitomo Chemical

Properly respond to
more stringent laws andregulations and proactively
address trends in newenvironmental regulations

Offered industrial insights incollaboration with Japan Chemical
Industry Association and otherorganizations at governmental
committee meetings, including
those held for the Air Pollution
Control Act (related to photochemical oxidants)

Properly respond to more
stringent laws and regulations
and proactively address
trends in new environmental
regulations

Environmental
protection
management
methods, etc.

Sumitomo Chemical

Provide individual support
to Group companies forresponding to environmental
regulations

Provided individual support
related to the Waste Management
and Public Cleansing Law, the Soil
Contamination Countermeasures
Act, the Act on Rational Useand Proper Management ofFluorocarbons, the PRTR Act andWater Pollution Prevention Act.

Provide individual support
to Group companies forresponding to environmental
regulations

Conservation ofBiodiversity

Sumitomo Chemical

Ensure compliance with
“Sumitomo Chemical’sCommitment to theConservation of Biodiversity”
and strengthening effort

Participated in biodiversity
conservation initiatives throughthe nature symbiosis website
promoted by the Ministry of theEnvironment

Ensure compliance with
“Sumitomo Chemical’sCommitment to theConservation of Biodiversity”

Prevention ofair and waterpollution

Sumitomo Chemical

Meet voluntary management criteria*1

The legal emission standard limitwas exceeded, albeit slightly, atsome worksites

Meet voluntary
management criteria

Prevention ofozone layer
depletion

Sumitomo Chemicaland Group companiesin Japan• Eliminate the use ofrefrigeration units that use
CFCs as coolants by fiscal
2025• Eliminate the use ofrefrigeration units that use
HCFCs as coolants by fiscal
2045

Systematically replaced refrigeration units that use CFCs andHCFCs as coolants• Eliminate the use ofrefrigeration units that use
CFCs as coolants by fiscal
2025• Eliminate the use ofrefrigeration units that use
HCFCs as coolants by fiscal
2045

Response to PRTR

Sumitomo Chemical

Maintain 60% lower total
emissions relative to fiscal
2008

Reduced emissions by 89.9%
relative to fiscal 2008

Maintain 60% lower total
emissions relative to fiscal
2008

Sumitomo Chemicaland Group companies
in Japan

Maintain total emissions of
air and water pollutants at
below fiscal 2015 levels tofiscal 2022

Reduced emissions by 13.7%
relative to fiscal 2015

Maintain total emissions of
air and water pollutants at
below fiscal 2015 levels

Reduction of VOCemissions

Sumitomo Chemical

Maintain VOC emissions
Reduced emissions by 62.5%
reductions at 30% relative to relative to fiscal 2000
fiscal 2000

Maintain VOC emissions
reductions at 30% relative tofiscal 2000

Effective use ofwater resources

Sumitomo Chemical

Promote effective and efficient use of water resources

Water usage worsened by 4.1%
relative to fiscal 2021

Promote effective and efficientuse of water resourcesGroup companies
overseas

Improve unit water
consumption by at least 1%
on average per year

Worsened 4.3% relative to fiscal
2020

Improve unit water
consumption by at least 1%
on average per year

Sumitomo Chemicaland Group companies
in Japan

Keep hazardous materials
strictly within Company
premises*2

Leaks occurred, albeit minor,
within the premises of someworksites

Keep hazardous materials
strictly within Companypremises

Prevention of soiland groundwatercontamination

Note: Further details are provided in the supplementary data (pages 3–23).
*1 Voluntary management targets that are stricter than the mandated levels and criteria of relevant laws and regulations, including agreements reached with local authorities.
*2 Keep hazardous materials strictly within Company premises: Controlled on the premises.

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