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Net zero
Striving for net zero in our value chain
We are committed to reducing emissions throughout our entire value chain – from sourcing raw materials to producing and transporting our products. By tracking emissions data and monitoring energy consumption in all our facilities, we enable informed, fact-based decisions that significantly reduce the climate impact of our business. Recognizing the vital roles our customers and suppliers have in sustainability, we offer our expertise to improve their operations and prepare for a sustainable future. This includes boosting operation efficiency and establishing ambitious climate reduction goals across the value chain.
Our goals
2035
Reach net zero targets in operations
2050
Reach net zero targets in value chain
Our initiatives
Green Factory concept
We are ensuring sustainable ways of working in all operations through our Green Factory concept. The program drives sustainability actions through yearly assessments and good practice sharing at our production sites.
Fossil-free energy and increased energy efficiency
To reach our greenhouse gas emission goals, we are implementing both short-term and long-term measures. In the short-term, we are increasing the amount of fossil-free energy in our operations through Energy Attributes Certificates (EACs). In the long term, we are focused on reducing emissions through energy efficiency measures, replacing oil and gas in our operations with more sustainable alternatives, and installing our own electricity generation systems. One notable example of our efforts is in Langfang, where the installation of a heat/cooling pump at the end of 2020 has reduced fossil gas consumption by 90%. This has led to a reduction in CO2 emissions by over 100 tons per year, while also achieving yearly cost savings of 400 KCNY.
Minimizing emissions and climate impact based on data
The Sustainability Analyzer, an upgrade to the existing Productivity Analyzer, now helps customers to reduce energy consumption and carbon emissions by providing a detailed analysis of tool usage and its operational impact. It incorporates sustainability metrics, including energy input at the spindle during cutting processes and energy costs, allowing precise calculations of energy savings and CO2 emission reductions.
Climate solutions
Measuring the carbon footprint of our products
A Life Cycle Assessment (LCA) is conducted on a select product range as a proof of concept to evaluate the environmental effects across the product life cycle, applicable to indexable holders and inserts. It will be third-party verified. The project is set to conclude in June 2025, with plans to integrate the methodology across the entire organization in 2026.
Highlights
Making the shift to a greener world
We embrace and make use of new technologies, new competencies and new ways of designing, to make our processes better for both our organisation and the environment.chevron_right
WHY MANUFACTURING NEEDS DATA-LED SUSTAINABILITY GOALS
Creating sustainability goals is critical, but so is analysing progress and acting accordingly to increase their effectiveness and flourish as a business.chevron_right
GREEN FACTORIES 101: THE NET ZERO BLUEPRINT
The only way of tangibly evaluating a company’s sustainability performance is to keep track of all its factories and facilities around the world.chevron_right
Read more about the other focus areas
Sustainable solutions
Leading innovative solutions, for our customers and societychevron_right
Circularity
Circular ways of working to close the loop for all materialschevron_right
People and communities
Sustainable leadership enabled by innovative mindschevron_right
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