Materiality (Key issues)

Of the 13 items extracted with the purposes of the sustainable growth of the company and the realization of a sustainable society through ESG initiatives and contribution to the SDGs for global environmental and social issues, we specified 11 items as Materiality (Key issues) which Nissan Shatai should give top priority to tackling.
Based on the concept of double materiality, we organized a matrix on the two axes of “the impact on the environment and society” and “the importance for the corporate value of our own company.”

The process for determining Materiality (Key issues)

Initiatives for Materiality (Key issues) and SDGs Goals

category	Materiality	Action items	Initiative Policy	Goals of contributing SDGs
E) Environmental	Response to climate change	Carbon neutral	In addition to the steady execution of existing items, such as renewals to energy- saving facilities, etc., we will promote various activities for realization of carbon neutral by 2050, including the deployment of clean energy, promotion of technology development to respond to CASE, etc.
		Clean exhaust gas
		Electrification of cars
		Renewable energy utilization
		Pursuit of energy efficiency
	Resources management	Promotion of 3Rs(reduce, reuse, recycle) approach	Promotion of vehicle development based on the 3Rs. Reduction of water utilization for manufacturing based on the Nissan Green Program
		Effective utilization of water resources
E) Environmental / S) Social	Supply chain management		Developing a relationship with suppliers based on mutual trust and benefit
	Product quality		Development and production divisions are working together in order to construct a “high quality guarantee process.”
S) Social	Diversity, equity & inclusion		With a basic policy of “being a company where all workers can fully utilize their tarent,” we promote diversity, fairness, and acceptability
	Human Rights		We respect the human rights of all stakeholders and do not condone any discrimination. We prevent forced labor and child labor in the supply chain
	Human capital	Human Resource Development	We have developed a personnel evaluation system and training operations aimed at our employees and company growing together Enhancement of employee satisfaction through the improvement of problem solutions
		Workplace environment improvements
		Promotion of work-life balance
	Health and safety	Health management	Promotion of health maintenance and enhancement activities based on the corporate policy that “Only people with sound mind and body are able to work with vigor, peace of mind, and integrity” Promotion of improvement of both hard and soft aspects of the workplace environment aimed at a “safe and people-friendly workplace”
		Occupational Safety and Health
	Safety of products		Safety enhancement of commercial vehicles, premium cars, specially equipped vehicles, and the support business through the application of cutting-edge technologies and responses to social requirements
G) Governance	Corporate Governance	Strengthen corporate governance	Effective implementation of the Corporate Governance Code and establishment of internal control systems Enhancement of security measures based on the business continuity plan (BCP)
		Strengthen Risk Management
	Compliance		Development and dissemination of a Code of Conduct, quick identification and rectification of problems using an internal and external hotline system, determination of solutions in the Compliance Committee and implementation of the solutions

Medium to Long-term Value Creation Process

Based on the expectations of our stakeholders and social demands, we have identified Materiality (Key issues) items that we put highest priority, and integrated them into our 2023-2027 Medium-term Management Plan. We will promote initiatives for sustainability and ESG. This will enable us to realize our Mission and Corporate Purpose.