Reducing Greenhouse Gas Emissions

Reducing Greenhouse Gas Emissions

To mitigate our impact on climate change and biodiversity, Fast Retailing acknowledges the greenhouse gas (GHG) emission long-range targets set under the United Nations Framework Convention on Climate Change (the Paris Agreement) to reduce GHG emissions by 2050. We are working to identify and reduce GHG emissions across all our business activities, from product manufacturing to product disposal, to help achieve these goals.

Key Initiatives and Progress

Fast Retailing operations (stores and main offices)

Reduce GHG emissions

Reduce GHG emissions

Target

FY2030 (vs. FY2019 base year)

90% reduction

Progress

FY2022

45.7%

Reduce GHG emissions

Target

FY2030 (vs. FY2019 base year)

90% reduction

Reduce GHG emissions

Progress

FY2022

45.7%

Reducing GHG emissions through more efficiency energy usage

We strive to reduce GHG emissions by promoting energy-saving measures at our stores and reducing electricity consumption. Our initial aim was to reduce GHG emissions by 10% per unit of floor area at UNIQLO stores throughout Japan by the end of fiscal 2020, compared to fiscal 2013 emissions, but, by that date, we had already reduced GHG emissions by approximately 38.7%, by introducing LED lighting and through other initiatives. As of the end of August 2021, LED lighting had been installed in 782 of our 810 UNIQLO stores (96.5%) and 397 of our 408 GU stores (97.3%) in Japan. We are also actively installing LED lighting systems at UNIQLO stores globally. Right now, we are seeking to achieve our fiscal 2030 emissions reduction target and further promote energy efficiency by installing air conditioning operation control systems that optimize use and automatically adjust to a preset temperature. In April 2023, UNIQLO opened the UNIQLO Maebashi Minami IC Store with energy-saving features. The store is expected to use roughly 40% less electricity than conventional UNIQLO roadside stores* and to be able to source roughly 15% of its power needs from energy generated by its own solar panels.

*Compared with equivalent-sized UNIQLO Tomioka Store (opened in October 2018) located in the same prefecture of Japan.

Renewable electricity use

Target

FY2030

100%

Renewable electricity use

Progress

FY2022

42.4%

Achieved substantively 100% renewable electricity use at UNIQLO in Europe (excluding certain countries), North America, and Vietnam

Introducing energy-saving initiatives at our stores, accelerating switchover to renewable electricity

Some countries and regions in Southeast Asia are also making steady progress toward achieving the 100% renewable electricity target by speeding up the switch to renewable sources and pursuing other projects.

Renewable electricity use

Renewable electricity use

Target

FY2030

100%

Progress

FY2022

42.4%

Achieved substantively 100% renewable electricity
use at UNIQLO in Europe
(excluding certain countries),
North America, and Vietnam

Introducing energy-saving initiatives at our stores, accelerating switchover to renewable electricity

Some countries and regions in Southeast Asia are also making steady progress toward achieving the 100% renewable electricity target by speeding up the switch to renewable sources and pursuing other projects.

Supply chain initiatives

Reduce GHG emissions

Reduce GHG emissions

Target

FY2030 (vs. FY2019 base year)

20% reduction

Progress

FY2022

6.2%

Reduce GHG emissions

Target

FY2030 (vs. FY2019 base year)

20% reduction

Reduce GHG emissions

Progress

FY2022

6.2%

Promote GHG emission reduction plan through strong relationships with production partners

For many years, Fast Retailing has sought to grow alongside its production partners by exploring and solving any challenges that those factories faced together. These strong partnerships are now enabling us to steadily reduce GHG emissions in our supply chain. We have formulated a GHG emission reduction plan together with partner factories accounting for roughly 90% of UNIQLO and GU manufacturing. We are promoting the plan, which incorporates the introduction of energy-efficiency measures, decarbonization, and renewable energy initiatives, through regular dialogue with core production partners.

Product-related initiatives

Ratio of recycled materials used

Target

FY2030

Approx. 50%

Ratio of recycled materials used

Progress

FY2023

8.5%

Achieved 30% recycled polyester usage

R&D to reduce GHG emissions in the sourcing of raw materials

To reduce GHG emissions in the sourcing of raw materials, we aim to increase the proportion of recycled materials and materials with low greenhouse gas emissions to approximately 50% by fiscal 2030.
Approximately 30% of polyester used in all our 2023 planned products was recycled polyester. It is easier to switch to recycled chemical fibers because recycling technology is comparatively advanced in that area, so we are currently focusing efforts on polyester. Together with our business partners, we are also researching and developing substitute materials for cotton, wool, and other natural materials that can offer the same level of quality and comfort as our existing products.

Ratio of recycled materials used

Ratio of recycled materials used

Target

FY2030

Approx. 50%

Progress

FY2023

8.5%

Achieved 30% recycled polyester usage

R&D to reduce GHG emissions in the sourcing of raw materials

To reduce GHG emissions in the sourcing of raw materials, we aim to increase the proportion of recycled materials and materials with low greenhouse gas emissions to approximately 50% by fiscal 2030.
Approximately 30% of polyester used in all our 2023 planned products was recycled polyester. It is easier to switch to recycled chemical fibers because recycling technology is comparatively advanced in that area, so we are currently focusing efforts on polyester. Together with our business partners, we are also researching and developing substitute materials for cotton, wool, and other natural materials that can offer the same level of quality and comfort as our existing products.

Promoting our Ariake Project

Promoting our Ariake Project

Promoting our Ariake Project

Reduce environmental impact by utilizing digital technology and integrating sustainability and business activities

We create products that are inspired by customer needs, analyzing abundant customer requests and insights gathered through our stores and our e-commerce operations worldwide. We have already developed and delivered several highly-functional ranges including AIRism, Ultra Light Down, and HEATTECH.
We are also focusing on developing products using new technologies and recycled raw materials. These include our Blue Cycle Jeans made using innovative technology to reduce water usage during the finishing process, fleece and polo shirts that use recycled polyester made from recycled plastic bottles, and recycled down jackets that use only down recovered from used products, which is restored to as-new condition for new products.
By taking our Ariake Project to an even higher level, we hope to make, transport, and sell only the clothes that customers truly want, thereby increasing customer satisfaction and mitigating our environmental impact.

Promoting RE.UNIQLO

Promoting RE.UNIQLO

Aim to reduce environmental impact through efficient resource use

UNIQLO launched its RE.UNIQLO initiative that encourages customer participation in recovering clothes that they no longer need and giving them new value and a new lease of life. In addition to the clothing support that we have provided for refugees and internally displaced persons through our All-Product Recycling Campaign since 2006 (REUSE), we also encourage recycling efforts that help transform used clothes into new items of clothing or materials (RECYCLE). We leverage these initiatives to help reduce excess waste, GHG emissions, and resource use throughout the product life cycle (REDUCE). Now, RE.UNIQLO STUDIO booths in UNIQLO stores offer customized REPAIR and REMAKE services so that customers can wear their favorite clothes for longer.

Promoting RE.UNIQLO

Aim to reduce environmental impact through efficient resource use

UNIQLO launched its RE.UNIQLO initiative that encourages customer participation in recovering clothes that they no longer need and giving them new value and a new lease of life. In addition to the clothing support that we have provided for refugees and internally displaced persons through our All-Product Recycling Campaign since 2006 (REUSE), we also encourage recycling efforts that help transform used clothes into new items of clothing or materials (RECYCLE). We leverage these initiatives to help reduce excess waste, GHG emissions, and resource use throughout the product life cycle (REDUCE). Now, RE.UNIQLO STUDIO booths in UNIQLO stores offer customized REPAIR and REMAKE services so that customers can wear their favorite clothes for longer.

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