Initiatives to Address Water Risk
Amid increasing public attention for water resources as a global sustainability requirement, the Group’s products and manufacturing processes use water as an essential resource. Therefore, TOK strives to minimize the volume of water consumed in production activities and to maintain and improve the quality of wastewater. The Group will continue to make environmental contributions through its business activities while monitoring water risks for global environmental conservation considering future generations as a material issue.
Major 2024 Initiatives and Future Key Measures
Since water use from 2024 onward has tended to increase
because of production volume increases and the expansion of
manufacturing buildings at the Koriyama plant, the TOK Group
monitors water use at all domestic and international sites while clarifying risks at each stage from water supply to factory
discharge.
In terms of reducing water use, TOK focuses on full operation
of the pure water building at the Koriyama plant, the introduction
of new circulation cooling equipment at the Utsunomiya plant,
and improving water circulation rates for existing cooling equipment at the Aso plant. TOK will implement risk reduction measures based on the medium to long-term target of reducing
domestic water use by 15% from the 2019 level by 2030.
TOK is also considering responses to water intake restrictions
and flood risks from natural disasters, business interruption
risks from water contamination, and water risks in the
supply chain. With concerns about the water stress impacts
from climate change on water resources, potential future
regulatory strengthening through water intake restrictions and
discharge limitations could affect water use at all TOK Group
plants. Therefore, the company will work to reduce water
consumption through the cyclic use of water and work to
reduce contamination risks to lower the environmental impact
and ensure business continuity.

Water Risk Management
Water risks and other natural resource shortage risks are ranked among the ten greatest risks over the next ten years in the Global Risks Report 2025 published by the World Economic Forum (risk No. 4). To better understand the volume of water use at all sites around the world, the TOK Group clarified the respective risks of water supply, raw materials supply, manufacturing processes, and wastewater emissions from plants. TOK then examined the measures to implement for water risks in the supply chain, including water intake restrictions and flooding risks from natural disasters and the risk of business interruption resulting from water contamination.
Future Issues and Initiatives
As part of the forest conservation and water resource conservation activities in areas with production sites, TOK has participated in conservation activities in the Aso region (Kumamoto Prefecture) and Lake Inawashiro (Fukushima Prefecture) since 2022. Concerns are rising over the water stress that climate change may impose on water resources. If water intake restrictions, drainage restric tions, or other regulations are strengthened in the future in the regions where the TOK Group operates, water use by TOK Group plants may also be affected. Therefore, the Group will continue to work to reduce water use through water circulation and then reduce pollution risks from the perspectives of both reducing the environmental impact and business continuity.