We consider global environmental problems to be an important challenge in management as a general trading company which provides products and services and invests in businesses in an extensive range of fields in Japan and overseas.
The ITOCHU Europe Bloc, in accordance with the ITOCHU Group Environmental Policy, is engaged in global corporate management and activities with a constant awareness of global environmental problems in order to contribute to the realization of a sustainable society.
ITOCHU Group Environmental Policy
Global environmental concerns such as climate change pose a critical threat to the sustainability of earth. Given the global nature of our operations, it is a top management priority for us to address these concerns and contribute to building a sustainable society. We will do so by committing to make continuous improvements to our environmental management system, reducing the environmental impacts of our businesses throughout their lifecycles, and engaging in business activities that make positive contributions to the environment.
- 1. Compliance with Laws and Regulations
We shall comply with international declarations, agreements, and treaties, as well as with the laws and regulations of the countries and regions in which we operate. We shall also comply with any other agreements that we have consented to.
- 2. Response to Climate Change
We shall reduce greenhouse gas emissions and increase the efficiency of energy use within our own operations, as well as externally provide products and services that contribute to the mitigation and adaptation to climate change.
- 3. Environmental Pollution Prevention
We shall prevent and reduce environmental pollution caused by chemical substances and oils, reduce emissions of air pollutants, and reduce and properly process hazardous waste and wastewater.
- 4. Promotion of Resource Circulation
We shall contribute to the formation of a circular society by promoting the sustainable use of resources (such as fossil fuels, minerals, food, animals and plants), a reduction in the amount of resources used, a reduction in the amount of waste discharged and recycling across our business investments and the supply chain of our products and services.
- 5. Conservation and Effective Use of Water Resources
We shall reduce water consumption through efficient water use and recycling, as well as take necessary measures to appropriately treat effluents.
- 6. Biodiversity Conservation
We shall recognize the value of the benefits that we receive from the natural ecosystem, minimize our impact on biodiversity, and contribute to its conservation.
- 7. Transparency
We shall proactively disclose environmental information and maintain a communicative relationship with our stakeholders.
Chief Executive for Europe & CIS Bloc
CEO, ITOCHU Europe PLC
ITOCHU Europe Green Finance Framework
As the regional headquarters of ITOCHU's operation in Europe, ITOCHU Europe Plc (ITOCHU Europe) established its Green Finance Framework in March 2019 (*1), and within the same month, raised its first green loan of EUR150Million mainly from Mizuho Bank through ITOCHU Treasury Centre Europe Plc, ITOCHU's group finance vehicle for Europe and the Middle East. This was the first green finance procured by any of the Japanese trading houses (so-called "Sogo shosha"). ITOCHU Europe’s Green Finance Framework was independently reviewed by Sustainalytics.
As a group, ITOCHU believes in the importance of fulfilling its social responsibilities. This is accomplished through the continuous enhancement of sustainable corporate values within its core business, in accordance with the group's mission, "Sampo-Yoshi" (good for the buyer, good for the seller, and good for society), the management philosophy of merchants in the province of Ohmi that has been embraced by the company since its founding in 1858.
In May 2021, in its Medium-Term Management Plan entitled "Brand-new Deal 2023", ITOCHU adopted a basic policy in its growth strategy to, Enhance its contribution to and engagement with SDGs through business activities, and Lead the industry in realizing a decarbonized society. By addressing GHG emissions reduction and offsetting targets through its primary business operations, ITOCHU are working towards sustainable growth through a reinvented "Sampo-Yoshi" approach. Sustainability initiatives of ITOCHU, which fulfil its responsibilities for the present and future society, also contribute to the achievement of the Sustainable Development Goals (SDGs), which were adopted at a UN Summit in 2015.
The ITOCHU Europe Green Finance Framework highlights how the activities of ITOCHU Europe are supporting two of the SDGs, namely affordable and clean energy and responsible consumption and production. These consist of material sustainability issues identified by ITOCHU at a group level.
Hiroshi Sato, the previous CEO of ITOCHU Europe, explained "Sustainability is a key driver of ITOCHU Europe's business activities, ranging from textiles, machinery, non-ferrous metals, foodstuffs, chemicals, general merchandise and some financial transactions. ITOCHU Europe, together with ITOCHU group companies in the region, would like to achieve growth by expanding our sustainable business in such ways as developing and introducing new technology for environmentally friendly materials, deploying sophisticated technology to save energy, and investing in energy efficient and/or renewable energy projects. Establishing the green finance framework is an important milestone for us, showing our clear commitment to sustainability to the public here in Europe".
"Mizuho is proactively contributing to the sustainable growth of our clients and the communities that we serve, and we believe it is vital to assist our clients with the provision of sustainability finance. As our clients' best financial solutions partner, offering a full range of innovative services including green loans, we will continue using our group's full capability to support our clients' ESG initiatives." said Hiroshi Nagamine, the previous Managing Executive Officer and Head of EMEA, Mizuho Bank, Ltd.
- ITOCHU Europe Green Finance Framework March 2019 (*1 updated March 2022)
- Sustainalytics second-party opinion
Use and Source of green finance
1. List of eligible projects (updated in May 2022)
(*2) COD=Commercial Operation Date
(*3) "Capacity" is generation capacity for Renewable Energy and capacity for waste treatment volume per year for EfW.
2. Use and source table as of March 2022
|Use of Proceeds (€Mil)||Source of Proceed(€Mil)|
|Renewable Energy||206||Green Loan March 2022
|Pollution Prevention and Control||53||Other Sources||199|
ITOCHU Corporation issues SDGs Bond
ITOCHU Corporation, the parent company of ITOCHU Europe PLC, issued US$500Million Senior Unsecured Bonds due 2026 to raise funds for projects that contribute to SDGs in March 2021.
ITOCHU has set the basic policy "Enhancing our contribution to and engagement with the SDGs through business activities" in the "FY2022-2024 Medium-Term Management Plan," and the purpose of issuing the SDGs Bonds is to promote such efforts about SDGs.
For detail, please refer to;
SDGs Bond Framework and Second Party Opinion
ITOCHU Europe's Business Initiatives for the Environment
We engage in environmental businesses that are projected have sustainable growth from a business perspective and are projected to contribute to society's shift toward decarbonization and circular economy. In doing so we employ a mid-to-long-term perspective in our business outlook and aim to leverage the latest technology available.