LIXIL endorses international initiatives, such as the Task Force on Climate-related Financial Disclosures (TCFD)^*1 and the Task Force on Nature-related Financial Disclosures (TNFD)^*2. In January 2024, we registered as a TNFD Early Adopter, thereby declaring our commitment to provide early disclosures aligned with the TNFD recommendations.

To achieve the LIXIL Environmental Vision 2050, we have established Climate Change Mitigation and Adaptation, Water Sustainability, and Circular Economy as three focus areas. Additionally, Conservation of Biodiversity has been designated as a material issue and a common foundation for our environmental focus areas. LIXIL identifies and assesses the risks and opportunities posed by LIXIL’s business operations, climate change, and the relationship between dependencies and impacts on natural capital and biodiversity, as well as their relevance to our other material issues. These risks and opportunities are reported to the Board of Executive Officers and Board of Directors responsible for approval and supervision to further reflect environmental and business strategies into our practices.

*1 Announced endorsement in March 2019

*2 Announced endorsement in December 2023