Materiality

In November 2022, the Company's Board of Directors, in order to make the world sustainable and prosperous, identified six key issues (Materiality) defining actions for us to take in order to achieve our Purpose. These were identified based on two priority themes: "Creating value and solving social issues through JSW Group's businesses" and "bolstering JSW Group's management foundation for sustainable growth."

Recognizing the importance of the identified Materiality, JSW Group practices effective management and business activities in order to resolve the issues.
In conjunction with the next medium-term management plan (JGP2028), which we have begun formulating, we are also considering targets and indicators with respect to two areas: "creating value and solving social issues" with respect to our impact on both society and the environment and effects on long-term corporate value, and "bolstering management foundation" mindful of what capital we need to bolster to realize medium- to long-term growth.

Materiality (Important Issues)

	Materiality	Reasons why considered to be of high importance	Examples of initiatives	Related SDGs
Creating value and solving social issues through JSW Group's businesses	Realization of a Plastic-Resources-Recycling Society	As JSW Group aims to be an unprecedented general manufacturer of plastic processing machinery in the world, it is extremely important to supply society with all manner of plastics processing machinery that not only makes plastics but also realizes 3Rs + Renewable, a goal which is indispensable for resource recycling. Since JSW Group can leverage its core competence to the maximum, it can demonstrate our strength in the development and creation of plastics processing machinery that meets the demands of society. This is also a high-priority business expansion opportunity for JSW Group.	[Renewable] Contribution to the greater use of non-fossil-fuelderived plastics - Twin-screw extruder (TEX) [Reduce] Reduce the amount of plastic used - Plastics processing machinery for cellulose nanofiber reinforced plastics - Injection molding machine for foamed plastics Contribution to the reduction of marine plastic waste - All manner of plastics processing machinery for biodegradable plastics [Recycle] Contribution to the spread of recycling as a practice - TEX for chemical and mechanical recycling - Injection and blow molding machines for recycled plastics
	Contribution to a Low-Carbon Society	The realization of a low-carbon society is one of the most important challenges faced worldwide. Products created by JSW Group’s industrial machinery and products equipped with its new materials have contributed to the reduction of CO2 emissions. The demand for such products is expected to increase further in the future, which makes it a matter of high importance for the Group. In addition, responsibilities of the Group include the reduction of energy consumption of its industrial machinery products and the curbing of CO2 emissions from the operations of its manufacturing sites.	[Zero CO2 emissions] Contributions to the popularization of electric vehicles (EVs) - Film manufacturing equipment for use in lithiumion battery separators - Lightweight on-vehicle parts (e.g., magnesium injection molding machines, etc.) [Reduction of CO2 emissions] Reduction of energy consumption by industrial machinery products Reduction of CO2 emissions resulting from business activities
	Contribution to a Super-Smart Society	The super-smart society is expected to resolve social issues in all fields, including medical care, food, the environment, energy, and disaster preparedness. In order to realize a super-smart society, it will be essential to build a 5G/6G-compatible digital infrastructure capable of processing massive amounts of data at high speeds and with low energy consumption. The industrial machinery and new materials of JSW Group are incorporated into the key components of the devices that make up the infrastructure, and could potentially be indispensable to the realization of a super-smart society. This is also considered to be a highly important business expansion opportunity for the Group.	[Infrastructure equipment that is higher performance and more energy saving] Higher performance and more energy-saving of arithmetic and memory devices - Equipment involved in the manufacture of electronic devices - Gallium nitride (GaN) substrates [Input/output terminals that offer higher performance] Increased performance of smartphones, tablets, PCs, etc. - Equipment involved in the manufacture of displays and electronic components - Substrates for SAW devices
Bolstering JSW Group's Management Foundation for Sustainable Growth	Human Capital Improvement and Diversity and Inclusion	The diversification and expansion of our human capital, including the human resources capable of driving the Group's growth, generating innovation, and creating value, is a matter of the highest priority and importance for strengthening JSW Group's management foundation.	Promotion of the acquisition and development of diverse human resources Acquisition - Proactive recruitment of core human resources, including executive-level personnel - Improvement of compensation to acquire human resources with strong expertise Development - Early identification and selection of young high-performers
	Investment in the Future with Innovation Management	In order for JSW Group to continue contributing to society in the future, it is essential to maintain and strengthen its technological superiority by refining its core competence and expanding its business. Innovation is another essential factor for sustainable growth. It is important to promote digital transformation which supports data-based, rapid decision-making, business model innovation, and the creation of new value.	Strengthen core competence by boosting R&D systems Increase production capacity and expand business through M&A Completion of goals of the digital transformation promotion plan
	Governance Reinforcement of JSW Group	For the sustained growth of JSW Group, it is important not only to further strengthen compliance and governance, but also to engage in dialogue with customers and investors as well as employees, business partners, and other stakeholders. In addition, supplying society with industrial machinery and new materials of high quality and superior reliability is the very foundation of JSW Group's business and important to the further strengthening of its quality assurance structure and system.	Strengthening compliance - Expansion of compliance lines in Japan and overseas Strengthening of Group governance - Review of reporting lines Promotion of stakeholder engagement Strengthening of quality assurance structure and systems

Creating value and solving social issues through JSW Group's businesses

Materiality		Realization of a Plastic-Resources-Recycling Society
Reasons why considered to be of high importance
As JSW Group aims to be an unprecedented general manufacturer of plastic processing machinery in the world, it is extremely important to supply society with all manner of plastics processing machinery that not only makes plastics but also realizes 3Rs + Renewable, a goal which is indispensable for resource recycling. Since JSW Group can leverage its core competence to the maximum, it can demonstrate our strength in the development and creation of plastics processing machinery that meets the demands of society. This is also a high-priority business expansion opportunity for JSW Group.
Examples of initiatives
[Renewable] Contribution to the greater use of non-fossil-fuelderived plastics - Twin-screw extruder (TEX) [Reduce] Reduce the amount of plastic used - Plastics processing machinery for cellulose nanofiber reinforced plastics - Injection molding machine for foamed plastics Contribution to the reduction of marine plastic waste - All manner of plastics processing machinery for biodegradable plastics [Recycle] Contribution to the spread of recycling as a practice - TEX for chemical and mechanical recycling - Injection and blow molding machines for recycled plastics
Related SDGs

Materiality		Contribution to a Low-Carbon Society
Reasons why considered to be of high importance
The realization of a low-carbon society is one of the most important challenges faced worldwide. Products created by JSW Group's industrial machinery and products equipped with its new materials have contributed to the reduction of CO2 emissions. The demand for such products is expected to increase further in the future, which makes it a matter of high importance for the Group. In addition, responsibilities of the Group include the reduction of energy consumption of its industrial machinery products and the curbing of CO2 emissions from the operations of its manufacturing sites.
Examples of initiatives
[Zero CO2 emissions] Contributions to the popularization of electric vehicles (EVs) - Film manufacturing equipment for use in lithiumion battery separators - Lightweight on-vehicle parts (e.g., magnesium injection molding machines, etc.) [Reduction of CO2 emissions] Reduction of energy consumption by industrial machinery products Reduction of CO2 emissions resulting from business activities
Related SDGs

Materiality		Contribution to a Super-Smart Society
Reasons why considered to be of high importance
The super-smart society is expected to resolve social issues in all fields, including medical care, food, the environment, energy, and disaster preparedness. In order to realize a super-smart society, it will be essential to build a 5G/6G-compatible digital infrastructure capable of processing massive amounts of data at high speeds and with low energy consumption. The industrial machinery and new materials of JSW Group are incorporated into the key components of the devices that make up the infrastructure, and could potentially be indispensable to the realization of a super-smart society. This is also considered to be a highly important business expansion opportunity for the Group.
Examples of initiatives
[Infrastructure equipment that is higher performance and more energy saving] Higher performance and more energy-saving of arithmetic and memory devices - Equipment involved in the manufacture of electronic devices - Gallium nitride (GaN) substrates [Input/output terminals that offer higher performance] Increased performance of smartphones, tablets, PCs, etc. - Equipment involved in the manufacture of displays and electronic components - Substrates for SAW devices
Related SDGs

Bolstering JSW Group's Management Foundation for Sustainable Growth

Materiality		Human Capital Improvement and Diversity and Inclusion
Reasons why considered to be of high importance
The diversification and expansion of our human capital, including the human resources capable of driving the Group's growth, generating innovation, and creating value, is a matter of the highest priority and importance for strengthening JSW Group's management foundation.
Examples of initiatives
Promotion of the acquisition and development of diverse human resources Acquisition - Proactive recruitment of core human resources, including executive-level personnel - Improvement of compensation to acquire human resources with strong expertise Development - Early identification and selection of young high-performers
Related SDGs

Materiality		Investment in the future with innovation management
Investment in the Future with Innovation Management
In order for JSW Group to continue contributing to society in the future, it is essential to maintain and strengthen its technological superiority by refining its core competence and expanding its business. Innovation is another essential factor for sustainable growth. It is important to promote digital transformation which supports data-based, rapid decision-making, business model innovation, and the creation of new value.
Examples of initiatives
Strengthen core competence by boosting R&D systems Increase production capacity and expand business through M&A Completion of goals of the digital transformation promotion plan
Related SDGs

Materiality		Governance Reinforcement of JSW Group
Reasons why considered to be of high importance
For the sustained growth of JSW Group, it is important not only to further strengthen compliance and governance, but also to engage in dialogue with customers and investors as well as employees, business partners, and other stakeholders. In addition, supplying society with industrial machinery and new materials of high quality and superior reliability is the very foundation of JSW Group's business and important to the further strengthening of its quality assurance structure and system.
Examples of initiatives
Strengthening compliance - Expansion of compliance lines in Japan and overseas Strengthening of Group governance - Review of reporting lines Promotion of stakeholder engagement Strengthening of quality assurance structure and systems
Related SDGs