Medium- and Long-Term Environmental Conservation Targets and Results

The shift to a decarbonized society has been accelerated, with each country declaring substantially zero emissions of CO₂ and carbon neutrality. In its Environmental Vision, the Kubota Group announced its commitment to take up the challenge of achieving carbon neutrality by 2050. Based on these global trends and the image for the company expected by society in the future, in our Long-Term Environmental Conservation Targets 2030, in 2022 we expanded the boundary of our CO₂ reduction target from the Kubota Group in Japan to a global boundary, and revised our target upward. We will continue energy-saving to reduce energy consumption at our sites, reduce CO₂ emissions through fuel conversion by adopting electric furnaces and so forth, and by expanding our use of renewable energies, we will promote initiatives to achieve carbon neutrality.

• Kubota Group Scope 1 and 2 CO₂ Emissions (Progress on Long-Term Environmental Conservation Targets 2030)

  

• CO₂ emissions of companies that have been acquired or sold that significantly impact overall Group emissions have been adjusted retroactively to before the acquisition or sale. Namely, Great Plains Manufacturing, Inc. (acquired in 2016), Escorts Kubota Ltd. (acquired in 2022), and P.T. Metec Semarang (sold in 2017). The CO₂ emissions that have not been adjusted are 714 kilotons CO₂e in 2014, 674 kilotons CO₂e in 2015, and 647 kilotons CO₂e in 2016, 645 kilotons CO₂e in 2017, 647 kilotons CO₂e in 2018, 630 kilotons CO₂e in 2019, 570 kilotons CO₂e in 2020, and 613 kilotons CO₂e in 2021, 585 kilotons CO₂e in 2022.

• Revision of Targets (2022)

• Trends in Sales Ratio of Eco-Products^*1

  

1. *1.The sales ratio of products that have fulfilled the internal requirements in our own Eco-Products Certification System
   Sales ratio of Eco-Products (%) = Sales of Eco-Products / Sales of products (excluding construction work, services, software, parts and accessories) × 100
2. *2.The sales ratio comes to 69.7% when excluding Escorts Kubota Ltd., a Group company acquired in FY2022

1. *1 The global production sites subject to the Medium-Term Environmental Conservation Targets are as follows.
   No. of Sites Total 70 sites (27 in Japan, 3 in China, 14 in other Asia, 12 in North America, 14 in Europe) 70 sites (100%)
   

   No. of Sites	Total
   70 sites (27 in Japan, 3 in China, 14 in other Asia, 12 in North America, 14 in Europe)	70 sites (100%)

2. *2 CO₂ emissions indicate 90.6% of base-year Scope 1 and 2 emissions and include greenhouse gases from non-energy sources. We use the emissions coefficient for electric power of the base year in our calculation of CO₂ emissions from energy sources.
3. *3 VOCs (volatile organic compounds) comprise the six substances that are most prevalent in emissions from the Kubota Group: xylene, toluene, ethylbenzene, styrene, 1, 2, 4-trimethylbenzene, and 1, 3, 5-trimethylbenzene.
4. *4 The figures per unit of production represent the intensity of the environmental load per unit of money amount of production. The exchange rate for FY2014 is used when translating the money amount of production of overseas sites into Japanese yen.
5. *5 The applicable boundary is global sites.
6. *6 In Japan, specially controlled industrial waste as defined in the Waste Management and Public Cleaning Law; Overseas, waste that is defined as hazardous in each country or region.
7. *7 Recycling ratio (%) = (Sales amount of valuable resources + External recycling amount) / (Sales amount of valuable resources + External recycling amount + Landfill disposal) × 100. Heat recovery is included in the external recycling amount.
8. *8 The sales ratio of products that have fulfilled the internal requirements in our own Eco-Products Certification System Sales ratio of Eco-Products (%) = Sales of Eco-Products / Sales of products (excluding construction work, services, software, parts and accessories) × 100
9. *9 Not subject to the third-party assurance.
10. *10 Usage ratio of recycled materials (%) in the cast metal products and parts manufactured by the Kubota Group (ductile iron pipes, fittings, machine cast products (engine crankcase, etc.))
11. *11 ▲ indicates a negative figure.
12. *12 In accordance with internal standards, we provide information on materials through material labeling and specification sheets for plastic components.
13. *13 Targeting tractors and combine harvesters (output range: 56 kW < P < 560 kW) equipped with engines compliant with the European emissions regulations (Europe Stages IV and V) level, shipped to Europe, North America, Japan, and Korea
14. *14 Some internal standards regarding the method of providing material information have been developed due to the reorganization or new establishment of businesses.
    They went into operation in 2023.

• Trends in Reduction Ratio of CO₂ Emissions per Unit of Production^*1

  

• Trends in Reduction Ratio of Energy Use per Unit of Production^*1

  

• Trends in Reduction Ratio of Waste Discharge per Unit of Production^*1

  

• Trends in Waste Recycling Ratio^*1

  

• Trends in Reduction Ratio of Water Consumption per Unit of Production^*1

  

• Trends in Reduction Ratio of VOC Emissions per Unit of Production^*1

  

1. *1.The environmental impacts of companies that have been acquired or sold that significantly affect the Group's overall environmental impacts have been retroactively adjusted to before the acquisition or sale. The companies subject to calculation adjustments are Great Plains Manufacturing, Inc. and Escorts Kubota Ltd., which were made Group companies in 2016 and 2022, respectively, and P.T. METEC SEMARANG, which was spun off in 2017.