Teijin Group Slavery & Human Trafficking Statement for FY 2023

This statement is made in accordance with Section 54 of the Modern Slavery Act 2015
and covers the steps that the Teijin Group has taken during financial year from April 1,
2023 to March 31, 2024 (“FY2023”) to ensure that slavery and human trafficking is nottaking place in our business and our supply chains.
The Teijin Group recognizes that any activity of our business or our supply chains should
not prevent anyone from enjoying human rights and, moreover, should have a positive
influence on respecting the dignity and rights of all human beings. We also recognize
slavery and human trafficking are global human rights issues of our time. The TeijinGroup will continue to carry out actions to ensure that slavery and human trafficking is
not occurring in any part of our own business and in any of our supply chains.
1. Our business and organizational structure
The Teijin Group began with the establishment of Japan’s first rayon manufacturer in
1918. The Teijin Group now combines wide range of businesses including Aramid,
Carbon Fibers, Resin, Composites, Fibers & Products Converting, Pharmaceutical &Medical Equipment, IT, and Environment Engineering. The number of Teijin Group
companies is 167 in total, including 56 in Japan and 111 overseas (as of March 31, 2024).
There are 21,834 employees in the Teijin Group in total, including 9,634 in Japan and12,200 overseas (as of March 31, 2024). Teijin Group's net sales in FY2023 are 1,032.8
billions of yen, 54.1% of which is overseas net sales.
For further details of the Teijin Group and our business, please visit the Teijin’s website
at the following link:
https://www.teijin.com/
2. Our policies in relation to slavery and human trafficking
In the following policies, the Teijin Group states that the Teijin Group will prevent any
slavery and human trafficking in any part of our own business and in any of our supply
chains.
1) Teijin Group’s Purpose
The Teijin Group has set out the Purpose of “Pioneering solutions together for a healthyplanet” as its common value. Centering on that Purpose, we practice three values, (1)Empowering ourselves to address challenges, (2) Fostering growth through diversity andexpertise” and (3) Safeguarding our planet and all life on it, with the aim of achieving ourlong-term vision: “To be a Company that Supports the Society of the Future.”12) Teijin Group Code of Conduct
The Teijin Group has established Teijin Group Code of Conduct as standard for actionthat aligns with our Purpose.
Teijin Group Code of Conduct states “We — The Teijin Group, including its officers andemployees — act according to our conscience, with the aim of enhancing the quality oflife for all stakeholders.” and “We act with integrity in compliance with laws andregulations, and show respect for human rights and local communities in which we
operate.”In order to better understand and practice Teijin Group Code of Conduct, we have also
formulated How We Behave for each item of Teijin Group Code of Conduct and we havebeen conducting publicity activities within our group.
For further details of Teijin Group Code of Conduct and How We Behave, please visit the
Teijin’s website at the following link:
https://www.teijin.com/about/philosophy/3) Teijin Group Human Rights Policy
The Teijin Group has established Teijin Group Human Rights Policy as our basic stanceto respect every human’s dignity and rights.
Teijin Group Human Rights Policy states “Acknowledging that it is our important
corporate social responsibility to value human rights, we do our best to avoid direct
involvement, as well as indirectly influence through our relevant external parties, any
abuse of human rights.” In addition, we clearly state “"our relevant external parties" areall external organizations and people, including suppliers and partners, with whom werelate in our business” in our Human Rights Policy.
We also express in our Human Rights Policy that we follow the fundamental principles
described in the United Nation (UN) International Bill of Human Rights (the Universal
Declaration of Human Rights, the International Covenant on Civil and Political Rights,
and the International Covenant on Economic, Social and Cultural Rights), and theInternational Labor Organization (ILO) Declaration on Fundamental Principles andRights at Work and we respect the UN Guiding Principles on Businesses and Human
Rights and the 10 Principles of the UN Global Compact. Teijin Limited has joined the
UN Global Compact since March 2011.
Furthermore, Teijin Group Human Rights Policy states “We develop the human rights due
diligence process to identify actual or potential negative impacts on human rights andseek to prevent or mitigate the negative impacts.”

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The Chief Executive Officer of the Teijin Group takes responsibility for implementing
this Human Rights Policy.
For further details of Teijin Group Human Rights Policy, please visit the Teijin’s website
at the following link:
https://www.teijin.com/csr/policy/human_rights.html
4) Policies for purchasing and procurement
Teijin Group Basic Policy for Purchasing and Procurement
Teijin Group Basic Policy for Purchasing and Procurement states “The Teijin Group
promotes purchasing and procurement from suppliers that respect human rights and do
not commit human rights infringements such as unjust discrimination, slave labor, forcedlabor, child labor, human trafficking, etc.”
Teijin Group Basic Stance of Persons in Charge of Purchasing and Procurement
We have also determined Teijin Group Basic Stance of Persons in Charge of Purchasing
and Procurement that describes in specific terms how purchasing and procurement
personnel should behave. Teijin Group Basic Stance of Persons in Charge of Purchasing
and Procurement states “Purchasing/procurement personnel do not force inappropriate
transaction terms on suppliers nor force them to accept unreasonably low prices, etc. andpromote purchasing and procurement from suppliers that respect human rights and do notsupport forced labor or long working hours.”
Teijin Group CSR Procurement Guidelines
In accordance with Teijin Group Basic Policy for Purchasing and Procurement, we have
prepared Teijin Group CSR Procurement Guidelines including items relating to humanrights, such as forced labor, child labor and young workers, foreign workers, working
hours and holidays, wages and welfare benefits, discrimination, harassment, freedom of
association, consideration for local communities, contact point for consultations andinternal reporting, and responsible supply chain promotion. The Teijin Group isrequesting our suppliers to conduct activities in compliance with our Guidelines.
For further details of Teijin Group Basic Policy for Purchasing and Procurement, TeijinGroup Basic Stance of Persons in Charge of Purchasing and Procurement and TeijinGroup CSR Procurement Guidelines, please visit the Teijin’s website at the following
link:
https://www.teijin.com/csr/social/purchase_procurement/procurement.html
3. Our due diligence processes in relation to slavery and human trafficking in ourbusiness and supply chains3In accordance with our Human Rights Policy which states the human rights due diligence,since FY2018, the Teijin Group has begun building a process for human rights due
diligence to identify, prevent, mitigate and account for how we address our negative
human rights impacts. Our current human rights due diligence process is as follows:
1) Human rights risk assessments and human rights impact assessments
The Teijin Group conducts human rights risk assessments every few years to identify andunderstand the negative human rights risks and impacts of each of our businesses. Basedon the results of this risk assessments, we conduct human rights impact assessments toanalyze and evaluate the identified negative human rights risks and impacts.
2) Supplier surveys
The Teijin Group implements supplier surveys every year. We have developed andlaunched our own CSR procurement questionnaire for surveying and rating our supplier’s
status of efforts on Corporate Social Responsibility (CSR). This survey utilizes aquestionnaire to confirm whether or not suppliers are complying with the Teijin GroupCSR Procurement Guidelines, and the results are used to determine their place in a 5level ranking system. Through such survey, we identify the risks of each of the suppliers.
Moreover, we conduct detailed interviews, etc., with the suppliers that we consider may
be at risk based on their responses. If we confirm that there is a risk, we request those
suppliers to create an improvement plan and we check their implementation status andprovide support as necessary.
Additionally, we adopt a database-based compliance survey of supplier in preliminary
surveys when selecting new suppliers.
3) Dialogues
We hold dialogues with international NGOs, leading experts who active in the fields of“Business and Human Rights” and stakeholders that are potentially or actually affectedby operations of our business and our supply chains.
4) Whistle-blowing
We establish counseling and reporting center, which will also have the effectiveness in
identifying human rights issues that were not captured in the above series of processes.
5) Activities to prevent and mitigate negative human rights impacts
Based on the findings through the above assessment activities, the Teijin Group conducts
the activities to prevent and mitigate negative human rights impacts in cooperation with
our suppliers and other relevant parties.
6) Communication
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The Teijin Group regularly discloses information how we address the negative humanrights impacts and risks through this statement, integrated report and Teijin’s website.
4. Our steps to ensure that slavery and human trafficking is not taking place in ourbusiness and supply chains
1) Human rights risk assessments and human rights impact assessments
In FY2018, the Teijin Group conducted a human rights risk assessment with the supportof an external NGO in order to sort out the types of human rights issues that could beconsidered for each our business, and to identify places where such issues might become
apparent. As a result of quantitative analysis of the human rights violation risk in eachbusiness, from the two perspectives of “country / region” and “business contents”, basedon the characteristic of each businesses (country / region of operation and business
contents etc.) and the characteristic of our suppliers of each business (place of operation,
types of their products and business contents etc.), we have confirmed that in the businessof Fibers & Products Converting, human rights issues are most likely to take place,particularly in the countries of Myanmar, China, Vietnam and Thailand and wecontinuously promote improvement in the business of Fibers & Products Converting as ahigh priority business.
Following the first assessment in FY2018, we conducted the second assessment fromMarch to December 2023. The assessment targeted 12 businesses: Aramid, Carbon Fibers,
Resin, Composites, Fibers & Products Converting, Pharmaceutical, Home Healthcare, IT,
Material new business, Healthcare new business, Engineering, and Corporate Business
Incubation. As part of the assessment, we evaluated geographical risk, product risk,
employment risk and industry risk based on qualitative information about each businessand quantitatively analyzed the aggregate total risk of each business as its human rights
violation risk. Through this assessment, we confirmed that product risk and industry risk
are increasing in the Aramid business in addition to the Fibers & Products Converting
business, and are taking measures accordingly for each risk.
For further details of Teijin Group human rights risk assessments (survey), please visit
the Teijin’s website at the following link:
https://www.teijin.com/csr/human_rights/initiatives.html
2) Supplier surveys
We survey our suppliers using our CSR procurement questionnaire, which includes
questions regarding human rights issues such as not employing children under the age of
15 years and not allowing young workers to engage in late-night work or overtime work.
Based on the results, we give our suppliers a ranking from A to E, with suppliers ranked
D and E singled out as our priority target for improvement guidance. In FY2023, we sent
our questionnaire to 1,500 suppliers and received responses from 686 companies. We
5confirmed the details of 60 suppliers ranked D or E in the general evaluation or in theevaluation of questions regarding human rights issues and requested seven suppliers thatremained at risk to submit an improvement plan.
For further details of Teijin Group supplier surveys, please visit the Teijin’s website at thefollowing link:
https://www.teijin.com/csr/materiality5/csr_procurement.html?open=tab-02#anc-04
3) Efforts in the business of Fibers and Products Converting
In the business of Fibers & Products Converting, which is identified as the business where
human rights issues are most likely to take place, we are strengthening efforts related tosupplier surveys.
Teijin Frontier Co., Ltd. (“Teijin Frontier”), a Teijin Group company with an integrated
value chain from material development/procurement to product realization operating ona global scale, in the Teijin Group’s business of Fibers & Products Converting, has createdan original Standards for Sustainable Procurement in Japanese, English and Chinese andsends it to its suppliers in Japan and overseas such as Myanmar, China, Vietnam, andThailand that conduct transactions on a continuous basis. In FY2023, Teijin Frontiercontinued to send its Standards for Sustainable Procurement to new suppliers including
suppliers of the subsidiaries of Teijin Frontier.
In addition, based on the results of the above Teijin Group supplier surveys, Teijin
Frontier requests its suppliers to cooperate in on-site-survey. In FY2023, Teijin Frontier
was able to conduct actual condition surveys of 21 processing or sewing factories etc. inJapan and overseas, including remote surveys.
4) Efforts with foreign technical intern trainees in Japan
We recognize that, in general, there are issues with foreign technical intern trainees inJapan, such as long working hours, poor work environments, and low wages and weshould address such issues.
In the CSR questionnaire survey given to our suppliers in Japan, we confirmed their status
with regard to foreign technical intern trainees. Of the 126 suppliers that indicated thatthey were accepting foreign technical intern trainees, we confirmed that no acts of slavery,
human trafficking or any other human rights violation have occurred at 124 suppliers,
suspended business transactions with one supplier and requested the remaining supplierto submit an improvement plan.
The business of Fibers & Products Converting, which has adopted foreign technical interntrainees by utilizing the foreign technical intern training system for years, conducted its
internal survey and found the fact that the foreign trainees have come to Japan by paying
a large fee to the sending agency in their own country. To improve this, Teijin Frontier
has launched so called, ‘ZERO-FEE PROJECT’ which would eliminate the foreign
trainee's fee burden by having the factory that accepts the foreign trainee pay such fee
6from FY2019. Subsidiaries of Teijin Frontier that accept the foreign trainee haveestablished a Code of Conduct regarding Foreign Workers and informed the supervisingorganization, and from FY2020, such subsidiaries have borne such fee required forsending foreign trainees. In order to secure this ZERO-FEE, such subsidiaries havedecided to accept foreign trainees from the supervising organization that discloses theinformation on fees at the sending agency. Such subsidiaries also confirm directly withthe foreign trainees that they have not paid such fees.
Also, we are conducting periodic survey on the treatment status of the foreign technicalintern trainees employed by our suppliers. We have confirmed that there were no serious
violations of the laws such as Japanese Labor Standards Act.
5) Whistle-blowing
Since 1999, the Teijin Group has established counseling and reporting center for all TeijinGroup company employees.
We also have the reporting desk on the Teijin’s website to receive notifications from otherthan the Teijin Group company employees, such as suppliers.
For further information of the Teijin Group whistle-blowing procedures, please visit the
Teijin’s website at the following link:
https://www.teijin.com/csr/materiality5/compliance.html
5. Training
We not only provide education and training targeting all officers and employees(including contract/temporary employees) but also conduct activities to raise awarenessof human rights among our suppliers as part of our human rights due diligence.
1) Training for officers and employees
The Teijin Group has been holding the Corporate Ethics Workshop every year during
Cooperate Ethic Month (October) targeting all officers and employees (including
contract/temporary employees) of our group. Our corporate ethics workshop includes
case studies and group discussions. We are deepening our understanding of the policiesof the Teijin Group on human rights through this workshop.
For further information of the Teijin Group Corporate Ethics Workshop, please visit the
Teijin’s website at the following link:
https://www.teijin.com/csr/materiality5/compliance.html
Furthermore, we have organized e-learning program for employees in the business ofFibers and Products Converting. In this program, each participant takes 3 courses:
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beginner, intermediate, and advanced. In FY2023, 93 employees in Japan and overseas
took these courses. In addition, we have adopted new training in the form of a game.
2) Training for suppliers
Every year, we ask our suppliers to confirm their human rights risks and recognize the
Teijin Group’s policy through our CSR procurement questionnaire survey, which asks
suppliers if they are complying with the Teijin Group CSR Procurement Guidelines. We
also provide each supplier with feedback on the survey results and corrective advice topromote the recognition of issues and concrete improvement.
In the business of Fibers & Products Converting, since 2014, Teijin Frontier has been
holding a CSR Supply Chain Seminar every year for local processing, sewing andembroidery factories, material manufacturers, etc. with the aim of enforcing legal
compliance and the protection of human rights. In FY2023, Teijin Frontier held suchseminars for Vietnam, China and Japan respectively, of which the seminars for China andJapan were held using a remote conference system. The Teijin Group believes it isimportant to raise awareness of CSR procurement locally on an ongoing basis.
For further information of the Teijin Group CSR Supply Chain Seminar, please visit the
Teijin’s website at the following link:
https://www.teijin.com/csr/materiality5/csr_procurement.html?open=tab-02#anc-05

6.

Assessing the effectiveness of our efforts to ensure that slavery and humantrafficking is not taking place in our business and supply chains

1) Dialogues with external experts
To step up our efforts for ensuring that human rights are respected in line withinternational trends and standards related to business and human rights efforts, we holdregular dialogues with CRT Japan, an external body that has expertise in this area and iswell versed in trends in and outside of Japan. We use these dialogues to understand theissues impacting human rights and the business environment surrounding the TeijinGroup on a real-time basis and to discuss which direction we should take.
For further information of the dialogues between the Teijin Group and external experts,
please visit the Teijin’s website at the following link:
https://www.teijin.com/csr/human_rights/pdf/status_2023_EN.pdf

2) Ongoing monitoring
In order to assess the effectiveness of the steps we are taking to ensuring that slavery andhuman trafficking is not taking place in our business and supply chains, the Teijin Groupwill continue to (i) conduct the human rights risk assessments periodically and based on
the risk assessments, conduct the human rights impact assessments, (ii) review the results8

of the surveys of our suppliers and (iii) monitor the number and the contents of reports
made through the whistle-blowing procedures from employee, suppliers or others whoconvey concerns about slavery and human trafficking.
This statement was made by Teijin Limited on behalf of itself and Teijin Group companies,
and approved by the board of directors of Teijin Limited on June 4th, 2024.
June 4th, 2024

Akimoto Uchikawa
President and CEO, Teijin Limited

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