Kumho Tire established its Environmental Management Policy at the beginning of 2023, demonstrating a commitment to minimizing environmental impact. This policy includes basic principles and implementation systems reflecting the latest trends in environmental management issues such as raw materials, energy, greenhouse gases, water resource management, waste, hazardous chemicals, products and services, and ecosystems. It applies not only to all domestic and international business sites but also across the entire value chain.

🔗Environmental Management Policy

Governance

The Board of Directors, Kumho Tire’s highest decision-making body, is driving the ESG management strategy. The ESG Committee under the Board deliberates on major environmental risks and opportunities. Additionally, the ESG Management Committee, participated by the CEO and key executives, identifies financial and non-financial risks and performances related to environmental issues, making necessary decisions for business operations. The ESG Management Committee ensures that the Environmental Management Working Group operates efficiently to fulfill its tasks and achieve target.

The SHE Planning Team oversees environmental management tasks. Furthermore, in 2024, the Energy Management Committee expanded to the Energy and Carbon Management Committee to systematically manage carbon reduction and other environmental issues, and the Environmental Management Committee newly established under the Production Technology Division. The Energy and Carbon Management Committee includes participation from the machinery departments of each global plant and meets monthly to comprehensively manage energy-saving activities and carbon issues. The Environmental Management Committee, with participation from domestic safety and environment departments and machinery departments, meets monthly to set targets and monitor reduction activities for environmental impact emissions such as water, air, water quality, waste, and hazardous chemicals.

Kumho Tire aims to achieve Energy Management System (ISO 50001) certification for its three domestic sites in Gwangju, Gokseong, and Pyeongtaek by 2024.

Environmental Management System Certification

After obtaining ISO 14001 certification, the international standard for environmental management systems, Kumho Tire is conducting ongoing maintenance and certification renewal audits. All eight domestic and international plants, along with the Yongin Central Research Center, maintain this certification, continuously improving the environmental management system to minimize environmental impact during production processes.

Environmental Labeling Certification

As of 2023, Kumho Tire has obtained environmental labeling certification* for five products. Through the environmental labeling system, we provide consumers with accurate and transparent environmental information about our products and will continue to develop products that reduce environmental impact.

* Environmental Labeling Certification System: A nationally certified system that grants environmental labels to products that minimize energy and resource consumption and reduce pollutant emissions throughout all stages of their lifecycle within the same usage category.

Environmental Risk Management

Compliance with Environmental Regulations

As environmental regulations become stricter, managing the negative environmental impacts resulting from corporate activities has become increasingly important. To proactively respond to regulatory risks, Kumho Tire operates a compliance process for environmental regulations. Kumho Tire continuously monitors environmental regulations such as the Waste Management Act and the Act on the Allocation and Trading of Greenhouse Gas Emission Permits. Changes and updates are shared, and compliance evaluations are conducted to ensure environmental investments and business plans adhere to these regulations.

Environmental Regulation Violations and Actions

Through its regulatory compliance process, Kumho Tire has successfully avoided any environmental violations in 2023. In the event of a violation, the cause is identified and corrective actions are implemented to prevent recurrence.

* Disclosing based on the ENV-INFO SYSTEM (domestic sites)

* Data for 2021 and 2022 revised due to changes in data aggregation criteria

Environmental Accident Response

Kumho Tire has established a response process to recognize the risks of environmental accidents on workplaces and local communities and to prevent the spread of damage. When an environmental accident occurs at a workplace, temporary measures are taken, the situation is assessed, the accident is classified, and it is promptly reported to the responsible parties. A task force is then formed to minimize damage through appropriate response measures, and the cause of the accident is analyzed to develop prevention strategies. Employee training and at least one annual drill are conducted toprepare for environmental accidents and strengthen the response system to prevent damage spread.

Environmental Investment Review

Kumho Tire is continuously expanding environmental investments to transition to an eco-friendly industrial structure. In 2023, the investment process was partially revised to separately manage ESG investment projects. The ESG team conducts preliminary reviews for ESG investments exceeding KRW 500 million. In 2023, investments in environmental projects, such as the installation of a differential pressure steam turbine generator for carbon reduction, were reviewed in advance and approved by the ESG Management Committee.

Employee Environmental Education

Kumho Tire raises awareness and encourages the practice of Net-Zero and environmental management among its employees through various channels. In particular, at workplaces, employees participate in five-minute pre-work training sessions on water conservation and waste reduction. Additionally, the importance of climate action is emphasized through training on Net-Zero practices. Moreover, Kumho Tire shares card news related to ESG issues and distributes guides on practicing Net-Zero lifestyles, fostering a culture where employees actively participate in environmental management.

Key Environmental Education Programs

Status of Environmental Education