Sustainability

Sustainability Management

Approach and Policy

NGK Group Basic Sustainability Policy

1. Basic Approach

By providing new value through our unique ceramic technologies under the NGK Group Philosophy of "Enriching Human Life by Adding New Value to Society," NGK Corporation and its Group companies (hereinafter, the ”NGK Group”) hope to contribute to the achievement of a sustainable society and earn the trust of society by meeting its expectations toward us. Setting this as the NGK Group's basic approach to sustainability, and keeping Environment, Society, and Governance (ESG) and the Sustainable Development Goals (SDGs) at the forefront in realizing the NGK Group Philosophy, we aim to contribute to the achievement of carbon neutrality and a digital society as we continuously enhance our corporate value.

2. Identification of material issues (Materiality) and promotion of initiatives

For the realization of the NGK Group Philosophy and for the sustainable advancement of society and the NGK Group, we will identify material issues faced by the NGK Group and our stakeholders as Materiality, and will address these in accordance with the NGK Group Code of Conduct as a guideline for our actions.

3. Responsibilities of the Board of Directors

The Board of Directors seeks to correctly recognize the ESG factors and other sustainability issues of the NGK Group and to connect these to the enhancement of our medium- to long-term corporate value by appropriately supervising and addressing initiatives aimed at sustainability issues. The Board of Directors also engages in appropriate disclosure of information and, based on insights gained through valuable dialogue with diverse stakeholders, strives to improve our management and to live up to the trust and expectations of society.
April 2023 Resolution of the NGK Insulators, Ltd. Board of Directors
[Company Name (Trade Name) to Change to NGK Corporation in April 2026]

Governance

Risks and opportunities related to the NGK Group’s sustainability issues, including ESG factors, are consolidated and reviewed by the Sustainability Management Committee. The committee’s activities are reported to the Board of Directors at least once a year. Matters requiring action are deliberated or reported to the Executive Committee and the Board of Directors, and then implemented as measures.
The Risk Management Committee formulates policies related to risk management, establishes the necessary framework, and monitors implementation. Individual risks are managed by relevant committees and other bodies.
The President chairs both the Sustainability Management Committee and the Risk Management Committee. Members include executive officers and division heads responsible for corporate and business divisions.

Sustainability Promotion Framework Chart
This chart explains our Sustainability Promotion Framework Chart. The Sustainability Management Committee takes the lead in coordinating with each committee to implement initiatives. It then reports the details of its activities to the Board of Directors.
FY2025 Sustainability Management Committee Achievements
Times Topics of discussion
1st
(May 2025)
  • Reports on Subcommittee Activities
  • Suppliers of Renewable Energy in Japan
  • Update on materiality disclosure
  • Revisions to the Corporate Governance Report and Securities Report
  • Integrated Report Production Plan
  • Green Finance Report
2nd
(July 2025)
  • Achievements of 159th period and goals for 160th period of our fifth 5-Year Environmental Action Plan
  • Updates to TNFD Disclosures
  • Review of the NGK Group Environmental Policy
3rd
(September 2025)
  • Status of support for CSRD and ISSB (SSBJ)
  • Selection for the FY2025 JPX-Nikkei Human Capital 100 Index
4th
(December 2025)
  • Renewable Energy Procurement Toward 2030
  • Report on the Environment Action Subcommittee (5-Year Environmental Action Plan, Scope 3, Systemization Initiatives)
  • Revision of the Social Contribution Activities Policy and Support for Wheelchair Tennis Players
  • Report on External ESG Evaluations
  • New Supplier SAQ
  • Establishment of a Whistleblowing Desk for External Stakeholders
5th
(February 2026)
  • Support for Wheelchair Tennis Players

Risk Management

The NGK Group identifies and addresses key sustainability-related risks and opportunities by designating the most important issues as materiality items through deliberations by the Management Council and the Board of Directors.
We first evaluated a broad range of environmental and social issues that could become materiality candidates using two criteria: their impact on the business and stakeholder requests and expectations. Based on this assessment, we developed a materiality map. The ESG Management Committee then identified materiality candidates and examined the associated risks, opportunities, and key initiatives. After these discussions, the Management Council and the Board of Directors approved the final materiality items.

Strategy, Metrics and Targets

The NGK Group has established KPIs for all identified materiality items and is advancing initiatives to achieve them.

Sustainability Activity Priority Themes

Based on the NGK Group Basic Sustainability Policy, the NGK Group promotes environmental and social initiatives aligned with its identified materiality items. We also strengthen the effectiveness of governance as the foundation of value creation and strive to achieve sustainable growth.

Materiality
E (Environmental)
  • Initiatives for climate change
  • Promotion of resource recycling
  • Prevention of environmental pollution
  • Conservation and restoration of biodiversity
S (Social)
  • Pursuit of quality and product safety
  • Contribution to digital social infrastructure
  • Enhancing value of human resource
  • Respecting human rights
  • Promotion of sustainable procurement
Foundation of Value Creation (Governance)
G (Governance)
  • Compliance
  • Risk management
  • Corporate governance

Initiatives

NGK Group Signs UN Global Compact

NGK Group has signed the United Nations Global Compact, a voluntary corporate initiative proposed by the United Nations, and advances its business activities using the Sustainable Development Goals (SDGs) as a key framework. Through these efforts, we recognize it as an important responsibility to help address a wide range of social issues.

This is the logo of the UN Global Compact

Position on SDGs

NGK Group operates businesses in the fields of energy, ecology, and electronics. We have helped protect clean air and water and contributed to more comfortable lives. Today, we continue to leverage our unique ceramic technologies to provide products and technologies that support the Sustainable Development Goals (SDGs) and create new value for the realization of a sustainable society.

This is the logo of the SDGs.
NGK Group and SDGs
Goals Value provided by the NGK Group
End poverty in all its forms everywhere
  • Creating appropriate employment helps to end poverty
End hunger, achieve food security and improved nutrition, and promote sustainable agriculture
  • The social infrastructure created by the NGK Group’s products helps secure equal access to work opportunities
Ensure healthy lives and promote well-being for all at all ages
  • Micro-lenses are increasingly used instead of mercury in UV LED light sources for applications such as the sterilization of water and air, thus contributing to reduced use of mercury
  • Ceramics for purifying automobile exhaust make exhaust gas clean
Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all
  • Creating appropriate employment gives people the chance to have equal access to education
Achieve gender equality and empower all women and girls
  • The social infrastructure created by the NGK Group’s products helps provide more opportunities for women to enhance their abilities
  • Securing equal opportunities for women to participate and be leaders in society
Ensure availability and sustainable management of water and sanitation for all
  • Ceramic membrane filters provide highly safe water
  • Ceramic membrane filters purify wastewater
Ensure access to affordable, reliable, sustainable, and modern energy for all
  • Insulators are indispensable to stable power supply
  • Ceramics for purifying automobile exhaust make exhaust gas clean, thus enabling clean usage of fossil fuels
  • AMB and DCB substrates support stable power supply in EVs and renewable energy applications that use power modules
Promote sustained, inclusive and sustainable economic growth, full and productive employment, and decent work for all
  • Creating appropriate employment and providing employees with a satisfying work environment contributes to economic growth
Build resilient infrastructure, promote inclusive and sustainable industrialization, and foster innovation
  • Thin lithium-ion rechargeable batteries provide power for the new IoT generation
  • Ceramics used in electronics make ICT cheap and ubiquitous
  • Ceramics for semiconductor manufacturing equipment let the semiconductor industry be the foundation for modern daily life
  • Metal-related products are widely used in mobile phones, automobiles, industrial equipment, and other devices that undergird modern life
Reduce inequality within and among countries
  • We prevent discrimination and take prompt and appropriate action when violations occur
Make cities and human settlements inclusive, safe, resilient, and sustainable
  • Ceramics for purifying automobile exhaust make exhaust gas clean
Ensure sustainable consumption and production patterns
  • We efficiently use the natural resources used to make ceramics
Take urgent action to combat climate change and its impacts
  • AMB and DCB substrates support stable power supply in renewable energy applications that use power modules
Conserve and sustainably use the oceans, seas, and marine resources for sustainable development
  • Ceramic membrane filters purify wastewater to prevent marine pollution
Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt and reverse land degradation and halt biodiversity loss
  • We protect biodiversity on land owned by the NGK Group
Promote peaceful and inclusive societies for sustainable development, provide access to justice for all, and build effective, accountable and inclusive institutions at all levels
  • We comply with the rules and regulations of the countries and regions in which we do business, and ensure respect for and strict compliance with international treaties
Strengthen the means of implementation and revitalize the global partnership for sustainable development
  • We encourage and promote effective partnerships among governments, corporations, and society as a whole