Biodiversity Conservation
NSK’s Approach
To contribute to the global nature-positive*1 goal, the NSK Group has established "the NSK Biodiversity Guidelines,"*2 which set forth basic policies and action guidelines for biodiversity conservation. We strive to understand the impact of our business activities on biodiversity and work to suppress negative impacts and promote positive ones. We are committed to contributing to biodiversity by taking multifaceted initiatives to help achieve the nature-positive goal.
The main raw material for the NSK Group's primary products is special steel made from recycled steel scrap. After being used by customers, the bearings become steel scrap again and are used as raw materials for steelmaking. Due to this reuse, we consider the dependence and impact on biodiversity of our direct operations to be relatively limited. Still, the NSK Group recognizes that a wide range of activities throughout the value chain impact biodiversity, including procurement of raw materials, use of water and land, waste, and the relationship with local ecosystems. Accordingly, we work to ensure no net loss*3 of biodiversity by minimizing impacts and expanding contributions, including striving to prevent deforestation*4 in procurement and production activities.
In addition, we are working to reduce risk by utilizing assessment tools and other means to address areas that require consideration of biodiversity and to minimize impacts on biodiversity by continuing to engage in conservation and other activities on NSK premises.
NSK has endorsed the Keidanren Declaration for Biodiversity and Guideline*5 and has joined the Keidanren Initiative for Biodiversity Conservation. In February 2025, NSK joined the 30 by 30 Alliance for Biodiversity*6 promoted by the Japanese Ministry of the Environment and the TNFD Forum*7, a global platform that supports the activities of the TNFD*8 framework. Through our membership and participation in these organizations, we review the impact of our business activities on nature and the risks associated with any loss of nature, and focus on appropriately disclosing this information. We also promote efforts that contribute to achieving the international 30 by 30 goal and the nature-positive goal through initiatives to conserve natural capital and biodiversity throughout the value chain in cooperation with our stakeholders.
*1: Nature Positive: Refers to putting nature on a path to recovery, halting and reversing biodiversity loss.
*2: NSK Biodiversity Guidelines: Established on October 5, 2010, with the approval of the President and CEO, after being deliberated by the relevant officers at the Global Environment Protection Committee meeting in August 2010.
*3: No net loss: Ensuring sufficient compensatory measures are in place to offset the decrease in biodiversity caused by human activities, resulting in no net loss.
*4: Deforestation: Refers to the loss of natural forests through their conversion to non-forest land or plantations or through continuous degradation.
*5: Keidanren Declaration for Biodiversity and Guideline: A document in which Keidanren and the Keidanren Committee on Nature Conservation set out the role of companies and action guidelines for building a nature positive world in 2030.
*6: 30 by 30 Alliance for Biodiversity: A framework for public-private partnerships promoted by Japan’s Ministry of the Environment to achieve the international goal of preserving at least 30% of terrestrial and marine areas as healthy ecosystems by 2030.
*7: TNFD Forum: A group of institutions that support the TNFD by sharing the latest information and contributing to the development of the nature-related disclosure framework.
*8: TNFD: Taskforce on Nature-related Financial Disclosures. A market-led, science-based and government-backed global initiative that provides a risk management and disclosure framework for nature-related dependencies, impacts, risks, and opportunities.
◆NSK Biodiversity Guidelines
Basic Policy
The NSK Group recognizes the importance of biodiversity, and understands the relationship between our business activities and the ecosystem. We aim to reduce our impact on the environment by creating systems and initiatives that ensure biodiversity is conserved.
Established October 5, 2010 NSK Ltd.
Action Agenda
1. Research and Development
We will contribute to the conservation of biodiversity by developing products that save energy and resources.
2. Procurement and Purchasing
We will contribute to the conservation of biodiversity throughout the supply chain when procuring main materials, sub-materials, and packaging/packaging materials. We will promote the purchase of the environmentally-friendly products, and consider the conservation of biodiversity in product selection criteria.
3. Manufacturing and Logistics
We will minimize the impact of our production on biodiversity by reducing consumption of energy and resources, and emission of environmentally harmful substances.
4. Plant and Office Grounds
We will consider the impact on the ecosystem when acquiring land for our places of business and during greening initiatives.
5. Social Contribution Activities
We will perform social contribution initiatives as a member of international society, and value our collaboration with public and private institutions.
6. Communications
We will actively disclose information on biodiversity-related initiatives to persons both inside and outside the company. We will heighten employee awareness of biodiversity-related issues, and constantly work to improve the quality and efficiency of initiatives.
Established October 5, 2010 NSK Ltd.
Goals, Targets, and Achievements
◆Mid-Term Management Plan 2026 (MTP2026) Goals, with Targets and Achievements for Each Fiscal Year
| MTP2026 Goals | FY2025 Targets | FY2025 Achievements |
|---|---|---|
| Identify the factors in operations that could have a negative impact on biodiversity | Continue activities | Continued activities |
| Expand social contribution activities related to biodiversity conservation | Continue activities | Continued activities |
| Educate to deepen employee awareness of issues | Continue activities | Continued activities |
◆Mid-Term Management Plan 2028 (MTP2028) Goals, with Targets and Achievements for Each Fiscal Year
| MTP2028 Goals | FY2026 Targets |
|---|---|
| Identify the factors in business operations that could have an impact on biodiversity | Confirm management status at priority verification sites |
| Register nationally certified sustainably managed natural sites (“kyosei sites”) and provide support | Select priority sites |
| Expand social contribution activities related to biodiversity conservation | Continue activities |
Main Initiatives
Overview of Main Biodiversity Initiatives
* We have conducted an analysis (using ENCORE) of dependence and impact on ecosystem services across the entire value chain (NSK’s business, and upstream and downstream supply chain) as an initiative that cuts across the above action guidelines.
◆NSK's Business and Its Relationship with Biodiversity
Assessing the Relationship with Biodiversity
Using the tool ENCORE* to assess the relationship with biodiversity, we analyzed the dependence and impact of NSK's business and upstream and downstream supply chain on ecosystem services. The results showed no significant dependencies and impacts on ecosystem services for the business sectors to which the NSK Group belongs. However, we identified activities in our value chain that have significant dependencies and impacts in business sectors in the upstream and downstream supply chain. The analysis also revealed that the potential impacts of our business activities are relatively large in terms of GHG emissions, soil pollutants, solid waste, water pollutants, and water use. We plan to advance our analysis and evaluation further in the future.
*ENCORE: Exploring Natural Capital Opportunities, Risks and Exposure. Jointly developed by the Natural Capital Finance Alliance (NCFA, an international financial industry group in the field of natural capital) and the UN Environment Programme World Conservation Monitoring Centre (UNEP-WCMC). A tool to visualize the impact of environmental changes on the economy. The tool was significantly updated in July 2024.
Learn more about our biodiversity impact analysis and initiatives.
◆Approach to Nature-Related Risk Assessment
The NSK Group has been conducting initial assessments of nature-related issues using a number of assessment tools with reference to the TNFD LEAP approach. The current progress of these assessments is as follows.
| LEAP stage | Progress and details | Main tools |
|---|---|---|
| L (Locate) Locate intersections with nature | Verified intersections with protection and conservation areas, wetlands, and water basins, etc., for all 75 production sites subject to the assessment | IBAT, BRF, Aqueduct, and WRF |
| E (Evaluate) Evaluate dependence and impact | Mapped out potential dependencies and impacts in NSK’s business and upstream and downstream supply chain | ENCORE |
| A (Assess) Assess risks and opportunities | Combined the assessment results of each tool to make an initial assessment of nature-related risks and identify candidate priority verification sites. In future, will determine targets for review taking into account verification at the relevant sites | IBAT, BRF, Aqueduct, WRF, and ENCORE |
| P (Prepare) Prepare response and reports | After determining targets for review, confirm management status and consider the necessary response and enhancement of information disclosure | ー |
Going forward, NSK will determine the targets for review by taking into account verification at the relevant sites and will gradually enhance its assessment of risks, opportunities, and financial impact.
◆Biodiversity Risk Assessments
IBAT*1 Analysis
A survey of protected areas within a three-kilometer radius of NSK Group production sites identified one site located close to an IUCN Category Ib protected area, one site located close to an IUCN Category III protected area, and three sites located close to Ramsar Convention wetlands. (The survey encompassed World Natural Heritage Sites; IUCN*2 Categories I, II, and III; and Ramsar Sites) We do our utmost to care for biodiversity at these sites.
We recognize the importance of giving consideration to the impact on surrounding wildlife at the plant located close to the IUCN Category Ib protected area. Accordingly, we are implementing initiatives to conserve biodiversity, including the composting of food waste at a contractor’s site away from the grounds and establishing a “bee hotel” (a nesting structure for solitary bees) and a pollinator garden (a planted area that supports pollinators) on the grounds.
For plants located near wetlands or water sources, such as those located close to Lake Biwa which is a Ramsar Convention wetland, we recognize that the impact of water pollution is a particularly important risk in terms of biodiversity. Therefore, we are strengthening our efforts to preserve water quality, such as by installing oil film detectors in the rainwater drainage paths within the plants to prevent even the slightest amount of oil from escaping the premises.
*1 IBAT: Integrated Biodiversity Assessment Tool. A tool provided by BirdLife International, Conservation International, IUCN (International Union for Conservation of Nature and Natural Resources), and UNEP-WCMC (UN Environment Programme World Conservation Monitoring Centre) to help businesses assess biodiversity risks.
*2 IUCN Categories: A protected area management category defined by the International Union for Conservation of Nature and Natural Resources.
Expanding Social Contribution Activities Related to Biodiversity Conservation
Analysis Using WWF Biodiversity Risk Filter
We conducted an initial assessment of biodiversity risk at all production sites using WWF Biodiversity Risk Filter (BRF) v3.0. We identified 13 sites (8 in China, 3 in Indonesia, and 2 in Thailand) which scored High in two or more of the categories in physical risk, regulatory deficiency risk, and reputational risk, and 1 site in India which scored highest on physical risk, as candidate priority verification sites.
NSK will determine the targets for review by taking into account verification at the relevant sites and will consider the necessary measures after confirmation of management status.
*The assessment was an initial screening based on factors such as location and industry and does not indicate the actual environmental impact, status of legal compliance, or financial impact.