Environmental Green Management

Environmental Green Management

  • Green Management Vision 2030

    Hyosung TNC has established its Green Management Vision 2030 with the goal of becoming sustainable company that helps create a better quality of life for humanity. Aligned with Hyosung Group's Green Management strategy, which focuses on a greenhouse gas reduction, development and expansion of sustainable technologies, fostering an sustainable corporate culture, and enhancing trust with stakeholders, we have set specific tasks for each strategy and formulated a company-wide climate change response the strategy.

  • Innovation for Better Lifestyle & Tomorrow

  • 14.5% reduction of GHG emissions by 2030 compared to 2018 levels icon
    • GHG reduction through external reduction projects such as Sustainable Development Mechanisms* (SDM) in accordance with the new climate regime
    • GHG reduction through energy-saving activities at facilities and increased adoption of renewable energy
    • Efficient GHG management through the operation of an in-house carbon asset management system and a product carbon footprint calculation system
    • Establishing processes to identify climate change risks and opportunities for risk hedging and opportunity exploration
    • * SDM(Sustainable Development Mechanisms) in accordance with the new climate regime
  • Market expansion and business growth through the development of sustainable technologies icon
    • Strengthening the lineup of carbon-reduced fiber products, including recycling and bio-based options
    • Expanding the business of carbon-reduced steel products and chemical materials
  • Fostering a corporate culture conducive to sustainable infrastructure development icon
    • Pursuing minimal environmental pollution impact through the enhancement of water and air pollution substance management systems
    • Promoting water reuse to reduce consumption and improved waste disposal through resource recycling
    • Continuous efforts in collaboration and co-development with carbon-reduction value chain partners to enhance their capabilities
    • Building sustainable infrastructure through the expansion of carbon-reduced and sustainable technology product purchases
  • Building trust with stakeholders through transparent information disclosure icon
    • Establishing a green management system through the expansion of green and sustainable certifications
    • Building trust with stakeholders through participation in the CDP* and environmental information disclosure, along with the publication of sustainability reports
    • Voluntary participation in international initiatives related to climate change
    • Facilitating smooth communication with local residents and promoting local nature cleaning activities, such as adopt-a-river/park/mountain programs.
    • *CDP(Carbon Disclosure Project) A project focused on disclosing carbon-related information.

  • Sustainable Procurement Policy

    Hyosung TNC strives to perform its environmental and social responsibilities and minimize negative impacts from its purchasing activities by adhering to the following principles:

    1

    We select the suppliers with the capability and willingness to prevent a negative environmental impacts such as climate change, water pollution, soil contamination, and air pollution.

    2

    We choose suppliers that comply with International Labor Organization (ILO) labor standards, uphold social responsibilities such as diversity protection, human rights, and ethical management.

    3

    We select the suppliers that prioritize safety for both company employees and end-users.

  • Green Procurement Policy

    Hyosung TNC aims to contribute to resource conservation, minimize environmental impact, and fulfill its responsibilities to product users and society through green procurement activities. The company adheres to the following principles during purchasing activities:

    1

    We avoid unnecessary purchases to minimize leftover materials.

    2

    We give a preference to environmentally friendly products by considering the environmental performance of products, in addition to quality and price.

    3

    We make continuous efforts to identify products with reduced use of hazardous chemicals, waste reduction, and resource conservation to expand green procurement.

    4

    We share the company's green procurement policy with suppliers and encourage them to improve the environmental performance of delivered products.

  • Promotion of Green Management

    In the second half of 2021, Hyosung TNC established the ESG Management Promotion Committee under the CEO by reorganizing its existing decision-making bodies, the Environmental Health & Safety (EHS) Committee and Corporate Social Responsibility (CSR) Committee. The committee reports key agenda items to the board of directors. The ESG Management Promotion Committee meets semi-annually to address various issues, including establishing an ESG management system, achieving greenhouse gas reduction targets, addressing emissions rights surpluses and deficits, improving supplier collaboration for supply chain capabilities, developing carbon reduction products and technologies, and investing in ERP systems and environmental facilities for green management.

    Within the organization, the ESG Management Team reports directly to the CEO and consists of personnel responsible for green management, execution management, and performance disclosure. Similarly, a green management has been appointed within the business management team to establish and implement ESG management strategies. The Energy Team (Ulsan Plant) and Production Team (Gumi Plant) are responsible for reducing energy consumption and greenhouse gas emissions, while the Environmental Safety Team is responsible for managing and reducing emissions from environmental pollution facilities at the plants.

    See below

    Decision-making Bodies

    • Board of Directors
      1. ESG Management Promotion Committee
      2. R&D Committee

    Operational organization and its roles

    • ESG Management Team Strategy development and performance disclosure
    • Business Management Team (personnel responsible for green management) Strategy implementation and execution management
    • Energy Team/Production Team Identification and execution of energy and greenhouse gas reduction projects
    • Environmental Safety Team Management of environmental pollution reduction activities at sites

  • Environmental Management System

    Hyosung TNC has established and operates an environmental management system based on the ISO 14001 standard
    for environmental management and based on the environmental operational management process.

    See below
    1. A. Environmental Operational Management Process
      1. Organizational Situation Management
      2. Risk Management
      3. Impact Assessment
      4. Legal and Policy Management
      5. Environmental Permits
      6. Green Management Operations
      7. Compliance Assessment Management
      8. Change Management
    2. B. Green Management Communication
    3. C. Education and Training
    4. D. Environmental and Safety Emergency Response
    1. Scenario Development for Different Situations
    2. Emergency Response Training
    3. Emergency Response Training Improvement of Emergency Response Systems

Carbon Reduction Product and
Technology Development Strategy

Hyosung TNC is dedicated to carbon reduction technology and product research and development, based on the core value of innovation and the "market expansion and business growth through carbon reduction technology development" strategy in line with Vision 2030. Through this commitment, we aim to secure the future growth drivers and achieve sustainable growth.

See below

Carbon Reduction Product/Technology Development

  • Hyosung Way Innovation

    "Challenging new possibilities"

  • VISION 2030 Strategy

    Market expansion and business growth through carbon reduction technology development

Textile Textile
Trading Trade
Enhancement of Recycled and
Carbon-reducing Fiber product Portfolio

Hyosung TNC is taking the lead in introducing sustainable raw materials produced from recycled materials through close collaboration with fashion companies, which are upstream participants of the industry closest to consumers. In addition, we are continuously investing to ensure that spandex can be produced using carbon-reducing bio-based materials instead of fossil fuels. We measured the product carbon footprint throughout the entire process, including the production of raw material packaging, transportation, and product manufacturing, for products: regen Polyester, transforming discarded PET bottless, regen Spandex, produced from production process by products; and Bio-based Spandex, made from non-edible food ingredients, regen Ocean Nylon made from Discarded Fishing Nets. We also conducted these measurements for existing conventional products.

The results showed that, compared to conventional products, regen Ocean Nylon has a carbon emission reduction effect of approximately 73%, regen Polyester about 67%, regen Spandex about 67%, and regen Bio-based Spandex about 20%. Additionally, Hyosung TNC has registered bio-based spandex in the Material Sustainability Index (MSI) category of the Higg Index, an environmental impact assessment index developed by the Sustainable Apparel Coalition (SAC), a global coalition of more than 250 companies from 35 countries in the sustainable apparel industry. We are committed to ongoing efforts to address climate change responsibly.

Spandex
Development of regen Bio-based Spandex Development of regen Spandex GRS Certification, OEKO-TEX Certification, SGS ECO Product Certification
Nylon/Polyester
Development of Chemical & Mechanical Recycle Technologies Basic Research on PBAT Spinning Technology Development of Biodegradable MB-contaminated PET Spinning Technology Development of Regen Polyester GRS, OEKO-TEX, OBP Certification
Textiles/Dyeing
OEKO-TEX Certification
Expansion of Carbon-reducing Steel and
Chemical Product Exports in Business Areas

In the comprehensive trading division of Hyosung TNC, we are expanding our trading activities in a line with ESG management. We are increasing our transactions in sustainable industries for existing steel and chemical products. Additionally, we are expanding our exports and international trade in eco-certified products. To achieve this, the steel division is continuously expanding its trading volume for steel products used in renewable energy sources such as solar and wind power. Meanwhile, the chemical division has obtained International Sustainability and Carbon Certification (ISCC) EU & Plus certification for biofuels (biodiesel and bio-fuel oil) and raw materials for biofuels (UCO, palm oil, etc.). This certification confirms that the products handled by Hyosung TNC comply with the Renewable Energy Directive (RED) of the European Union, ensuring their suitability for distribution in the European market.

Steel
Expansion of the trading business in renewable energy (solar, wind, etc.)-based steel products
Chemical
Obtaining ISCC EU & Plus certification for biofuels and a raw materials

  • Efforts to Increase Awareness of Green Management

    Hyosung TNC has been actively promoting not only green management training for its employees but also various contests and projects aimed at expanding environmental awareness in society.

    These initiatives have included: Carbon Fiber Startup Contest in 2014; University Student Sustainable-idess Contest from 2017 to 2019; Greenhouse Gas Energy Savings In-house Contest in 2021; Open Innovation Project in 2022.
    In the future, we will continue our efforts to increase the interest in green management among stakeholders.

  • Sustainable-idess Contest
    Hyosung conducted the Sustainable-idess Contest for three consecutive years from 2017 to 2019.

    Hyosung conducted the Sustainable-idess Contest for three consecutive years from 2017 to 2019.

    In 2018, the idea of "Seed-Containing Bio-plastic Waste Bags" won the top prize. These bags, made from biodegradable plastic, decompose in just 20 days and contain seeds, which can be used as natural fertilizer when pet waste is disposed of in them.

    In 2019, the idea of a "Chemically Cleanable Mass-market Mask" was awarded the top prize. This innovative mask improved upon the limitations of existing fine dust filters by coating them with a solution containing various chemicals, enhancing their efficiency.

  • regen, Recycling Campagin for a Circular Eeconomy
    Since 2021, Hyosung TNC has been conducting an internal campaign to collect discarded PET bottles, involving all employees at its Mapo and Banpo offices.

    Each year, PET bottles collected by employees are utilized as raw materials for Hyosung TNC's sustainable fiber brand, "regen". The company collaborates with sustainable fashion startups to create regen-based products, which are then gifted to employees as part of a circular campaign.

    This initiative provides employees with firsthand experience in upcycling, raising awareness of resource recycling and contributing to the creation of sustainable corporate culture

    In 2022, a total of 8,831 PET bottles were collected, which is equivalent to the effect of approximately 37 pine trees absorbing carbon dioxide annually.

  • Energy savings and GHG reduction idea contest
    Hyosung TNC's Ulsan plant participated in an in-house contest for energy savings and GHG reduction ideas in 2021.

    The plant submitted an idea to increase the production concentration of the lactams by depolymerising Nylon recovery process, which reduces steam consumption. This idea was awarded the top prize, receiving a prize of 2 million won ($1,500). The implementation of this idea is expected to result in an annual steam savings of 953 tons/year.

  • Ineternal Campaign for GHG Energy Savings
    Since 2021, Hyosung TNC has been conducting a campaign to eliminate disposable office supplies in an effort to foster an sustainable corporate culture among all employees at its Mapo and Banpo offices. The first step taken in this campaign was to encourage the use of personal tumblers instead of disposable paper cups.

    In 2020, it was estimated that employees at Hyosung TNC used approximately 190,000 disposable paper cups within the company's headquarters.

    As a response to this, Hyosung TNC removed disposable items, including paper cups, from common areas such as break rooms and provided employees with financial incentives to purchase and use personal tumblers.

    This simple change has had a significant impact, potentially reducing annual greenhouse gas emissions by 2 tons just by discouraging paper cup usage.

  • Environmental Training for All Employees
    Hyosung TNC conducts annual training programs for all employees to raise awareness of environmental issues, climate change, carbon neutrality policies, and the impact of climate change on biodiversity.

    In addition, climate change and carbon neutrality are emphasized in the ESG management training provided to a new employees.

  • with a Local Authorities

    Circular Resource Project in Collaboration

    Hyosung TNC has been collaborating with a local authorities, starting with Jeju Island and Seoul, to recycle collected PET bottles into the sustainable raw materials for a high-quality clothing production.

    The recycled raw materials produced by Hyosung TNC are supplied to various domestic and international sustainable clothing brands, including Pleats Mama and The North Face, contributing to the establishment of a circular economy.

Open Innovation Project

(Startup Exploration and Support)

Hyosung TNC has conducted an Open Innovation Project aimed at discovering startups specializing in eco-friendly-fibers, smart fibers, and other related fashion fields. Open Innovation is a management technique in which large companies collaborate with external parties, such as startups, to innovate their business models and core technologies, enhancing their competitiveness.

Hyosung TNC aims to discover startups with expertise in sustainable fibers, including bio-based and biodegradable fibers, recycling fibers, as well as sustainable dyeing and processing technologies through this project. We are also looking for startups that possess innovative smart fiber technologies such as wearable fibers and IT-integrated fibers. The goal is to collaborate with these startups to drive innovation in the field of sustainability and smart fiber technologies. Furthermore, Hyosung TNC expects the participation of startups that specialize in carbon and energy-saving technologies, sustainability, and possess expertise in ESG management. We anticipate that these startups can contribute to the innovation of existing business operations and propose a new business models.
Selected startups receive support through business collaboration, joint product development, technology development assistance, technology verification, and equity investment.

In 2021, Hyosung TNC strategically partnered with Pleats Mama, a leading upcycling fashion startup in Korea, and signed an MOU for equity investment. In 2022, Hyosung TNC continued its support for domestic eco-fashion startups, such as Harlie K, based in Daegu, to enhance its marketing capabilities and support its global expansion efforts. Hyosung TNC is committed to providing an extensive support to enhance the capabilities of domestic eco-fashion startups.