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バリューチェーンを通じたカーボンニュートラルの達成に向け、国内で製造する製品に初めてグリーンスチールを採用

To achieve Carbon Neutrality through the value chain, green Steel is being utilized for the first time in products manufactured domestically.

Hitachi ·  Dec 11 23:00

Hitachi Ltd Sponsored ADR (hereinafter, Hitachi) will be adopting green steel, which is a steel material that has reduced CO2 emissions in the manufacturing process, for the first time as a component of products manufactured domestically by the Hitachi Group, specifically in the Electric Machine produced by Hitachi Industrial Products Inc.
Hitachi has established an environmental long-term goal, "Hitachi Environmental Innovation 2050," aiming to achieve Carbon Neutrality by 2050 through its entire value chain. To reduce CO2 emissions from products and services purchased upstream in the value chain, Hitachi has been fully adopting Green Aluminum starting from the fiscal year 2023, advancing collaboration and partnership with procurement partners. Efforts are required across industries to create innovation towards achieving the national goal of Carbon Neutrality by 2050, and through co-creation with Nippon Steel Corporation (hereinafter, Nippon Steel), Hitachi has adopted green steel that applies the mass balance method.
The Hitachi Group will continue to adopt and consider environmentally friendly procurement items through collaboration and cooperation with procurement partners to realize a sustainable society.

*1 From the fiscal year 2023, all aluminum ingots (AL≧99.7%, standard ingots) procured for domestic use will primarily be those manufactured based on hydropower. *2 Steel products that pool the amount of CO2 and other GHG (Greenhouse Gas) emission reductions from additional reduction projects implemented by steel manufacturers and distribute that reduction quantity with certificates to any products from that steel manufacturer. This follows the "Guidelines for Green Steel Applying the Mass Balance Method" established by the Japan Iron and Steel Federation.

Background and Overview

Hitachi aims to become a Climate Change Innovator, accelerating the decarbonization of society while deepening collaboration with various stakeholders from a Global perspective.
Among the total greenhouse gas emissions across the Hitachi Group's entire value chain, purchased products and services (Scope 3 Category 1) account for 10.2%*3, and Hitachi is promoting the reduction of environmental burden together with procurement partners through the establishment of guidelines such as the "Hitachi Group Sustainable Procurement Guidelines." From the fiscal year 2023 onward, Hitachi is intensively working on reducing CO2 emissions targeting about 100 procurement partners selected from various industries. Particularly, since the iron and steel industry accounts for 38%*4 of the CO2 emissions in domestic industry sectors, efforts to reduce emissions have become an urgent issue.
Hitachi will adopt the green steel "NSCarbolex Neutral," developed by Nippon Steel, as the non-oriented electrical steel sheet for electric machines aimed at the iron and steel industry manufactured by Hitachi Industrial Products, contributing to the reduction of CO2 emissions across the industry and the realization of a sustainable society.
Hitachi will accelerate its efforts toward achieving Carbon Neutrality through the value chain by considering the adoption of Green Steel in other products and increasing the number of procurement partners for collaboration.

*Fiscal year 2023. Greenhouse gas emissions across the entire value chain are calculated with reference to the GHG Protocol standards. For details, please refer to the "Sustainability Report 2024." *4 Source: October 16, 2024, Secretariat of the Green Steel Research Group for the Promotion of GX, Ministry of Economy, Trade and Industry "Regarding the situation surrounding the Steel Industry."

About Hitachi Group's initiatives in procurement.

Hitachi places emphasis on sustainability in the value chain. In transactions with procurement partners, it thoroughly implements procurement activities based on various policies and codes of conduct. Additionally, to share its sustainable procurement policy, sustainable procurement guidelines have been distributed to approximately 30,000 procurement partners, and explanations and requests for compliance are continuously provided through sustainable procurement seminars. For more details, please visit Hitachi's website on sustainable procurement.

About Hitachi Ltd Sponsored ADR.

Hitachi promotes social innovation businesses to realize a sustainable society through data and technology. Under the organizational structure of three sectors - "Digital Systems & Services" supporting customers' DX, "Green Energy & Mobility" contributing to the realization of a decarbonized society in Energy and Railroads, and "Connective Industries" providing solutions by digitally connecting products across various industries - it resolves challenges faced by customers and society through Lumada solutions that utilize IT, OT (control and operation technology), and products. By utilizing digital, green, and innovation as driving forces, it aims for growth through co-creation with customers. The revenue for the three sectors for the fiscal year 2023 (ending March 2024) is 8 trillion 564.3 billion yen, with 573 consolidated subsidiaries as of the end of March 2024, employing approximately 0.27 million people worldwide.

  • Hitachi's website.
  • About Lumada.

Contact information

Hitachi Ltd Sponsored ADR Value Integration Headquarters Component Procurement Headquarters Materials & Energy Procurement Department
〒100-8608 1-18-13 Soto-Kanda, Chiyoda-ku, Tokyo, Japan

  • E-Mail : materials.procurement.42@hitachi.com
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