Strategies for climate change adaptation

●○○ Upstream /○●○ Self-operation /○○● Downstream
Note : The Sixth Assessment Report of the Intergovernmental Panel on Climate Change (IPCC)

Physical risks Scenario analysis Impact on CSC operations Impact on the value chain CSC's response strategies Metrics and targets
Physical risks:
Extreme weather events, such as typhoons and floods (raw materials)
  • IPCC AR6Note1 pointed out that the frequency and intensity of extreme weather events will increase at the place of origin for some raw materials (e.g., Australia).
  • Issues regarding the supply of raw materials caused by extreme weather events may result in interrupted supply chains or production.
Specific countries
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  • Considering the transportation risks of the supply chain, locations that are less likely to be impacted by the weather are selected as transfer points during transportation of raw materials(For more detail).
  • Weather monitoring and continuous supply chain management are conducted regularly based on the concept of business continuity, to immediately respond to any potential risks; the climate of the origins of raw materials is evaluated and material preparation and scheduling is conducted beforehand.
  • Goals for maintaining uninterrupted operations
  • Maintain diverse raw material sources and distribute supply across multiple regions.