The Sakai Chemical Group Procurement Policy / Mineral Procurement Policy

Foreword

To achieve the mission of our core company, Sakai Chemical Industry Co., Ltd., of "creating a friendly future through chemistry," the Sakai Chemical Group remains resolute in its basic stance of helping create a sustainable society and will strive to build relationships of trust with our business partners to mutually enhance our social value.

Basic procurement policy

1. Compliance with Laws and Regulations
   Sakai Chemical Group will comply with all relevant laws and regulations in our procurement processes. In addition, we will renounce any acts or ideas that are contrary to our corporate ethics.
2. Consideration for the Environment, Quality, and Safety
   • We will give serious consideration to the environment and conservation in accordance with our Basic Environmental Policy.
   • Sakai Chemical Group will strive to balance economic efficiency with environmental considerations in our procurement.
   • We will contribute to society by prioritizing product safety and achieving stable, high-quality supply at low cost, in accordance with our Basic Quality Policy.
   • With our corporate social responsibility always in mind, we will carry out our duties with the aim of creating a sustainable society while giving consideration to the issues of environmental preservation, resource protection, safety, and human rights.
3. Fairness and Impartiality
   • Our Material Purchase Department will carry out its duties with its doors open wide to all suppliers.
   • In the selection of suppliers, we will strive to make fair and impartial judgments and act with integrity.
   • We will also deepen mutual understanding and build relationships of trust with our suppliers.

Items that we would like you to share with your suppliers

• No unfair discrimination against any person regardless of race, gender, ethnicity, religion, nationality, age, or any other reason.
• No forced labor or child labor of any kind. We will not tolerate unfair low-wage labor and will not be complicit in human rights abuses.
• Reduce environmental impact and protect the environment, including ecosystems.
• Have no relationship whatsoever with antisocial forces or organizations.
• To build good partnerships and realize prosperous coexistence through sound and fair transactions.
• Prioritize environmental preservation and safety in everything we do for the community.
• Ensure appropriate management of your important confidential information.
• To pursue customer satisfaction while ensuring the quality and safety of our products and services.
• Promote and manage responsible procurement against conflict minerals regulations, etc.

Aug, 2023

Since our founding, Sakai Chemical Group has been in the business of contributing to people's safe and healthy lifestyles. Sakai Chemical Group has set forth our basic principles in our Human Rights Policy, and we are committed to fulfilling our responsibility to respect human rights in accordance with our management philosophy and international standards.

Sakai Chemical Group will publicize matters we ask our suppliers to share with us and work together with everyone to promote CSR procurement on the premise that we will comply with laws and regulations, prioritize the environment, quality, and safety, and be fair and equitable, as stated in our Basic Procurement Policy.

Among the mineral resources traded around the world, some have a high risk of involvement of armed groups, human rights abuses such as child labor, and environmental destruction. Sakai Chemical Group will cooperate with our suppliers and closely examine our own supply chain to avoid using minerals with such problematic origins. If we discover the use of problematic minerals, we will promptly take corrective action.

Aug, 2023