Neu-Isenburg, Germany, 2nd August 2024 – Premium tyre manufacturer Hankook recently published its 2023/24 ESG report, outlining its sustainable management activities and performance for 2023, as well as the company’s mid and long-term strategies.
The report, published annually since 2010 and now in its 15th edition, highlights important achievements in three main categories – Eco Value Chain, Sustainable Product, and Responsible Engagement. These achievements are based on Hankook’s environmental, social, and governance vision of "Innovation for a Sustainable Future”.
Hankook has worked to enhance its ESG management system, ensuring sustainable innovation and future competitiveness. In 2009, the company established a dedicated Corporate Social Responsibility (CSR) Committee, followed by the formation in 2010 of its ESG Strategy Committee and Steering Committee. In 2018, Hankook introduced the E.Circle declaration, a strategic initiative focused on implementing sustainable natural rubber policies and promoting an eco-friendly circular economy system. In 2021, the company further reinforced its ESG management by restructuring the CSR Committee under the new name of the ESG Committee within the Board of Directors.
This year’s report underscores Hankook’s efforts as a global ESG leader, featuring messages from the chairs of the ESG Steering Committee subcommittees, detailing their plans and commitments to enhance sustainability.
In August 2023, Hankook became the first tyre company in Korea to have its carbon reduction target approved by the Science Based Targets Initiative (SBTi), a global initiative that supports companies in setting targets that are in line with the latest climate science.
By 2030, Hankook aims to achieve a 46.2% reduction in greenhouse gas emissions from manufacturing (Scope 1 and 2) and a 27% reduction in emissions throughout its value chain (Scope 3) compared to 2019 levels, with an ultimate goal of working towards Net Zero by 2050. In 2023, Hankook saw a 12% reduction in greenhouse gas emissions from manufacturing (Scope 1 and 2) and a 5% reduction in value chain emissions (Scope 3) compared to 2019. Additionally, the company is working to reduce all greenhouse gas emissions from production and major business activities, including raw material acquisition, distribution, and investment, over the medium to long term.
With biodiversity risk management becoming increasingly important in recent years, Hankook is working to set up processes to minimize its impact on biodiversity in line with the Locate, Evaluate, Assess, Prepare (LEAP) approach proposed by the Taskforce on Nature-related Financial Disclosures (TNFD), an international initiative on natural capital disclosure.
Additionally, Hankook is actively involved in several biodiversity conservation activities, including the “Our Forest” project, which plants trees in the gardens of schools for special needs children and care centres for single mothers. The company also installed a “Smart Wall Garden” at its Daejeon plant in Korea through an agreement with the Korea Arboreta and Gardens Institute (KoAGI) and launched its “Make Your Own Pet Plant” program.
Through innovative technology research, Hankook is dedicated to developing sustainable products for the future of people and the planet. By considering ways to reduce the environmental impact of products throughout their entire life cycle — from raw material acquisition to manufacturing, use, and disposal — the company has achieved significant results in preventing natural resource depletion and reducing carbon emissions. This was achieved by discovering sustainable, eco-friendly materials and developing application technologies during design and raw material acquisition.
Hankook is implementing a competitive, sustainable management strategy through its waste tyre recycling project “re:move”. As a leader in eco-friendly mobility, Hankook recycles waste from tyre production to create upcycled products such as shoes, longboards, and camping goods. These products embody the company’s eco-friendly vision and generate social value.
In addition, Hankook is building a sustainable supply chain, practicing human rights management, creating value for employees, and actively engaging in social contribution activities to support local communities and foster a sustainable future.
In 2022, the company launched a driving school at the Daejeon Traffic Culture Institute to provide traffic safety education to underprivileged children. Since 2013, Hankook has been promoting child traffic safety and raising awareness to help create safe routes for children traveling to and from school. Hankook is also carrying out employee volunteer activities such as painting murals and participating in the “Our Forest” project. The company is fulfilling its social responsibilities across all departments, with employee volunteer hours exceeding 10,000 in 2023.
Hankook’s 2023/24 ESG report is available in interactive PDF format, including webpage shortcuts to enhance usability and accessibility for stakeholders. The report is accessible via PC or smartphone, anytime, anywhere on https://www.hankooktire.com/global/en/esg/esg-report.html.
Finally, the premium tire manufacturer received an award in July for its long-term sustainable management. The renowned US magazine TIME and the global data and business intelligence platform Statista named the company one of the “World's Most Sustainable Companies of 2024”. In addition, “The Financial Times” together with Statista named Hankook one of the “Asia-Pacific Climate Leaders 2024”.
