Taking action on sustainability

The creation of a local, circular supply chain for batteries is a crucial step in realizing the full potential of EVs to enable transportation decarbonization. To meet our production goals and advance our commitment to climate action, Panasonic has partnered with Redwood Materials, a sustainable battery materials company, to establish the very first steps of a closed-loop battery recycling and remanufacturing process.

Our collaboration with Redwood and other suppliers in North America will help reduce costs and CO2 emissions by eliminating the need for components to be shipped all over the world for processing. This aligns with our environmental goals under the Panasonic GREEN IMPACT initiative, our 2030 environmental vision to reduce CO2 emissions across manufacturing, operations and the end-consumers using our products and solutions.

Our commitment to the electric vehicle battery market ensures the continued success of not only our own efforts but also of the innovations that help to reduce the global impact of carbon emissions. This is a massive project, but our role is clear. We owe it to ourselves and future generations to confront this issue head on.

When Panasonic committed to reducing emissions from our business operations to net-zero by 2030, we knew that would mean rethinking how we power our manufacturing facilities. We've already hit our net-zero target at several sites, and the process has provided valuable insights into how to achieve sustainable factories. Our approach to reaching net-zero at our manufacturing sites has been to reduce energy consumption and add on-site renewable energy sources, then off-setting what remains by purchasing renewable energy or renewable energy credits.

In 2018, Panasonic realized our first zero-CO2 factories, which included Panasonic Eco Technology Center Co., Ltd. (PETEC), a home appliance recycling company in Hyogo, Japan. The factory underwent extensive testing to identify energy-saving opportunities; results were achieved by installing renewable energy power generation systems, procuring renewable electricity and utilizing carbon credits to offset CO2 emissions from fossil fuels.

The next Panasonic factories to achieve net-zero efficiency were completed in 2019 and 2020, in Brazil and Costa Rica, respectively. These factories utilize renewable energy derived from abundant hydropower.

Panasonic realized another zero-CO2 factory in China in 2021. This was achieved through the promotion of manufacturing with minimum energy (through innovations in manufacturing methods and processes), advanced energy-saving technologies and LED lighting. Also introduced were solar power generation systems, purchase of International Energy Certificates (I-RECs) and use of carbon credits that offset CO2 emissions from fossil fuels.

In May 2022, we announced that part of our manufacturing site in Kusatsu, Japan, would be converted into a demonstration sustainable power facility, designed to verify the technical and commercial viability of locally-produced, clean energy. The facility's mix of solar photovoltaic panels, hydrogen fuel cells and storage batteries can generate enough energy to run the site's fuel cell factory.

Through this demonstration, Panasonic will gain real-world know-how and data on operating a zero-emissions factory, bringing us closer to the goal of abundant clean energy generated from renewable sources. We believe this proof of concept can serve as a template for the next generation of sustainable manufacturing.

In February 2022, Panasonic joined the Clean Energy Buyers Association (CEBA), a group of companies committed to achieving a 90 percent carbon-free U.S. electricity system by 2030. This goal goes hand-in-hand with Panasonic’s commitment to reach net-zero for Scope 1 and 2 emissions by 2030. Along with other CEBA members, such as GM, Google and Microsoft, Panasonic looks to decarbonize our operations and promote renewables development across the U.S.

As an energy customer member of CEBA, Panasonic aligns with the global alliance of peer companies, energy developers and service providers seeking to unlock the marketplace for energy customers and lead a rapid transition to a carbon-free energy future.

Panasonic made the CDP's 2022 Climate Change A List due to our environmental transparency and action on climate change - a list that includes just 283 companies out of nearly 15,000 who were scored on their environmental disclosure. CDP is a not-for-profit charity that runs the global disclosure system for investors, companies, cities, states and regions to manage their environmental impacts.

CDP regularly raises the bar for what qualifies as environmental leadership. In 2022, this included new or more stringent scoring on, amongst other criteria, 1.5°C aligned climate transition planning. Companies must also continuously raise the bar on their level of ambition and action if they want to keep their place on the A List among other leaders in environmental transparency.

In 1994, Panasonic came together with four fellow battery manufacturers to form the Rechargeable Battery Recycling Company now known as Call2Recycle, a product stewardship organization that helps companies and governments to responsibly manage their battery recycling efforts. As part of this initiative, we launched a no-cost, national collection and recycling program focused on rechargeable batteries. Call2Recycle is now a leading end-of-life battery recycling program in both the US and Canada.

In 2021, Call2Recyle named Panasonic as a Top 100 Leader in Sustainability for its demonstration of commitment towards battery collection and recycling. That year, Panasonic North America diverted more than 11,000 pounds of batteries through the program, contributing greatly toward Call2Recycle's milestone of recycling more than 8.1 million pounds of consumer batteries.

In 2007, Panasonic joined with Sharp and Toshiba to form an e-waste collection and recycling management company called Electronics Manufacturers Recycling Management Company (MRM), with the purpose of bringing manufacturers together into a collective effort to recycle electronic products. MRM is an EPA-award winning venture that currently serves about 50 brand owners, operates in 22 states, and collects approximately 115 million pounds annually – 1.4 billion pounds since its beginning.

In 2021 Panasonic Canada Inc. was honoured with the award for Manufacturer of the Year – Heating and Cooling Equipment. The prestigious ENERGY STAR Canada award is a first for Panasonic in Canada overall, and the first time in North America for heating and cooling. The recognition reflects Panasonic Canada's leadership in energy-efficient solutions, particularly in air conditioning, heating, and indoor air quality systems. The accolade marks the company's first ENERGY STAR Canada award, highlighting its pivotal role in advancing energy efficiency in Canada. Notable achievements include an eight percent increase in ENERGY STAR certified models for sale and an eleven percent increase in sales of certified products. Panasonic Canada's dedication underscores its role in shaping a cleaner, more sustainable future for Canadians.

In 2022, Panasonic was presented the Partner of the Year Sustained Excellence award by ENERGY STAR for the 12th consecutive year, a program run by the Environmental Protection Agency (EPA) to promote energy efficiency. This award was recognition for the more than two decades Panasonic has spent developing electronic products that have earned the ENERGY STAR seal of approval as a part of their 30-year mission to reduce energy usage. Panasonic is proud to be a part of these efforts to create a more sustainable future through the products we produce today.

Managed by the Global Electronics Council (GEC), EPEAT is an easy-to-use online tool to help purchasers in the public and private sectors evaluate, compare and select products based on their environmental attributes. EPEAT also provides a clear and consistent set of performance criteria for the design of products and provides an opportunity for manufacturers to secure market recognition for their efforts to reduce the environmental impact of its products.

EPEAT bronze rating is currently available on select Toughbook SKUs, ensuring a high level of environmental performance.