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CSR activities in FY2020

Resource Recycling and Pollution Prevention

Initiatives for pollution prevention

For pollution prevention, we are working on measures to prevent leaks of oil and other substances at our workplaces, and to control and reduce environmentally hazardous substances contained in our products.

Reducing the amount of PRTR chemical substances used

We are working to reduce the use of substances subject to PRTR Law in our manufacturing processes in Japan and replace them with less hazardous substances. In particular, we are focusing on reducing and replacing the use of the six substances listed in the figure below.

*Act on Confirmation, etc. of Release Amounts of Specific Chemical Substances in the Environment and Promotion of Improvements to the Management Thereof

Amount of PRTR chemical substances used

Amount of PRTR chemical substances used

Reducing environmentally hazardous substances

The NTN Group disposes of waste generated at its business sites in accordance with the laws and regulations of each country. The NTN Group in Japan complies with the Waste Disposal and Public Cleansing Law (Waste Disposal Law). In the fiscal year ended March 31, 2021, the amount of specially controlled waste, which is particularly hazardous waste, was 492 tons /year.

Systematic renewal of
CFC emission control law and equipment using R22

In order to comply with the CFC emission control law, the NTN Group in Japan records and manages the amount of leakage of CFC substitutes (HCFCs) used in air conditioning equipment, etc. The amount of leakage in the fiscal year ended March 31, 2021 was 1,912 tons-CO2e. We will continue to strictly control the amount of leakage and promote the systematic replacement of equipment with equipment that does not use CFC alternatives such as R22 (Chlorodifluoromethane).

Compliance with PCB processing special measures law

The NTN Group in Japan properly manages and disposes of PCB waste in accordance with the PCB processing special measures law. We disposed of 963kg of high concentration PCB waste in the fiscal year ended March 31, 2021, and disposed of all of it in June 2021. As for low-concentration PCB waste, we will continue to identify and manage target equipment and work to dispose of all waste within the legal disposal deadline.

Initiatives for resource recycling

The NTN Group monitors the material flow in its business activities, and is working to ensure sustainable use of resources by reducing and reusing input resources such as raw materials and water, and recyling production by-products. We have set environmental targets for reducing water consumption and waste generation, which we are working to achieve.

Environmental impact (Material flow chart)

Material flow chart (Scope: Japan and Overseas)

Material flow chart (Scope: Japan and Overseas)

Water consumption reduction

In the fiscal year ended March 31, 2021, we were able to achieve our targets for Water consumption reduction intensity. In our Japan business sites, we achieved a 17.0% reduction compared to the fiscal year ended March 31, 2011. In our overseas business sites, we achieved a 21.7% reduction compared to the fiscal year ended March 31, 2015. In the fiscal year ending March 31, 2022, we will continue to work to achieve our water consumption intensity reduction targets (Japan sites: a 24.7% reduction from the fiscal year ended March 31, 2011; Overseas sites: a 19.5% reduction from the fiscal year ended March 31, 2015).

Water consumption and water consumption intensity [Japan / Overseas]

Water Consumption and Water Consumption Intensity [Japan / Overseas]

Water stress (2030 Prediction) and water consumption by region

The NTN Group conducts water stress analysis using AQUEDUCT and uses it for water risk management.

*AQUEDUCT: A tool released by the World Resources Institute (WRI) that provides free maps and information showing global water risks.

Water consumption in fiscal year ended March 2021

Water consumption in fiscal year ended March 2021

Waste consumption reduction

Reduce waste generation and maintain a high recycling rate

In the fiscal year ended March 31, 2021, we worked to reduce waste generation intensity and achieved the target for Japan business sites (a 3.7% increase compared to the fiscal year ended March 31, 2011). In the fiscal year ending March 31, 2022, we will work to further reduce waste generation, maintain the waste generation intensity at Japan business sites (a 5.8% reduction from the fiscal year ended March 31, 2011), and achieve the waste recycling rate target (98.6% or higher at Japan business sites and 97.5% or higher at overseas business sites).

Generated waste and recycling rates [Japan/Overseas]

Generated Waste and Recycling Rates [Japan/Overseas]

Recycling of grinding sludge using solidification equipment

The NTN Group has developed grinding sludge solidification equipment, which we have not only introduced at NTN Global, but have also sold outside the Company. The sludge discharged from the grinding process of metal parts contains a large amount of coolant liquid in addition to metal, but with the introduction of this equipment, the coolant liquid is separated and the sludge is compressed into a solid with a high metal content, enabling material recycling. In addition, the separated coolant liquid is filtered by the equipment for reuse, and in the fiscal year ended March 31, 2021, NTN Global had 60 units in operation, recycling approximately 5,200 tons of solidified grinding sludge.

Grinding sludge solidification equipment in fiscal year ended March 31, 2021

Number of operating units Re-resource weight (kg/year)
Japan business sites  48 3,753,330
Overseas business sites 12 1,447,010
Total 60 5,200,340

Volume reduction of cutting chips

In June 2020, Nanjing NTN Corp.(China) developed a device to compress and solidify cutting chips generated during the cutting process of heat-treated products. Quality improvement had been an issue with cutting chips sold to recycling companies as metal valuables, as the coolant liquid contained in the chips could not be separated. With the introduction of this equipment, we were able to separate the coolant liquid from the cutting chips by compressing them into a cylindrical form. The volume of cutting chips has been reduced to about 1/20th and the profit from the sale of chips has increased due to the improved processing efficiency.

Cutting chip compactor

Cutting chip compactor

Cutting chip before compression

Cutting chip before compression

Cutting chip after compression

Cutting chip after compression

Reduction of waste by sludge dehydration

Guangzhou NTN-Yulon Drivetrain Co., Ltd. (China) has equipment for treating the waste liquid generated from the wet tumbling process on site. Previously, the solids contained in the waste liquid had been collected as sludge in a settling tank and transferred to containers using an excavator for disposal. In this process, there was a bad smell from the sludge as it was transferred and the leaked sludge stained the ground. We solved these problems by installing a sludge press filter system that automatically dehydrates and removes sludge from the waste liquid. By completely dehydrating the sludge with this equipment, we have reduced the amount of waste by 37.5 tons/year.

Dehydrated and removed sludge

Dehydrated and removed sludge

Reduction of VOC emissions in the painting process

Xiangyang NTN-YULON Drivetrain Co., Ltd. (China) has improved its treatment process to reduce volatile organic compounds (VOCs) emitted from the painting process. In China, the Technical Guidelines for Enacting Urgent Emission Reductions in Priority Industries for Heavy Pollution Weather were revised in 2020. This law sets standards for the government to mitigate the rapid deterioration of air pollution. The government may order urgent shutdowns or significant production cuts for business sites that are not making sufficient efforts. By introducing of this exhaust gas treatment process we have reduced VOC emissions by approximately 50%, leading to a relatively minor production reduction measure.

Exhaust gas treatment facilities

Exhaust gas treatment facilities

Reduce waste by composting fallen leaves and lawns

NTN Kugellagerfabrik (Deutschland) GmbH (Germany) used to incinerate fallen leaves and mowed lawns from its plantings as municipal waste outside its business site. However, the company decided to convert the waste into compost by natural decomposition within the site.
Through this initiative, we have been able to reduce the amount of waste generated from planting.

Compost storage area

Compost storage area

Expanding the bearing regeneration business

The NTN Group has been engaged in the bearing regeneration business since 2018 to improve product reliability and service, and to contribute to a recycling-oriented society. This is a new business in which NTN receives used bearings from customers and regenerates the bearing functions in response to requests from customers. Since the product life of the reconditioned bearings is extended, it reduces the amount of raw materials and CO2 emissions required compared to manufacturing new products, as well as reducing the amount of waste generated by customers. In the future, the company plans to expand this business model to minimize the negative impact on society by creating new services and increasing the number of business types to which it can be applied, such as the provision of optimal regeneration services in combination with bearing condition monitoring services.

Business HQ Target products (example) Service Description

Aftermarket Business

Large-size bearings for paper manufacturing plants

Large-size bearings for paper manufacturing plants

Spindles for machine tools

Spindles for machine tools

Large-size bearings for paper manufacturing plants

The replacement period can be up to twice as long, contributing to longer equipment operation.

Specific spindles for machine tools, semiconductor manufacturing equipment, and optical machines that require high precision

Processing maintains high speed performance and accuracy

Industrial Machinery Business

Subway axle bearing

Subway axle bearing

Subway axle bearing (China)

Establish a dedicated maintenance line at the local plant, and start operations in the fiscal year ending March 2022.

Environmental accounting

To ensure efficiency in our environmental conservation efforts, the NTN Group in Japan quantifies the costs and benefits of environmental conservation by classifying them based on the guidelines of the Ministry of the Environment. In the fiscal year ended March 31, 2009, environmental conservation costs were approximately 3.36 billion yen, including research and development of environmentally friendly products. The financial effect of environmental conservation measures was approximately 0.70 billion yen.

Environmental conservation costs

(Millions of yen/year)

Classification Equipment investment Development costs Grand total
Costs Details Costs Details
Business areas internal costs Pollution prevention costs 24 Environmental equipment (dust collectors, blower etc.) 321 Cost of maintenance, inspecting, etc., environmental facilities (including dust collectors and wastewater treatment equipment) 345
Expenses to preserve the global environment 116 Energy saving equipment (invertors for air compressors, LED lighting, high-efficiency air conditioning equipment) 103 Installation, maintenance and inspection, etc., of energy saving equipment 219
Resource recycling expenses 0 Water-saving and rainwater utilization equipment, grinding sludge solidification equipment 709 Waste recycling and reduction measures, disposal costs for general and industrial waste 709
Upstream/downstream costs 0 12 Costs of analysis related to green procurement 12
Costs of management activities 0 355 Labor costs related to the Environmental Management System (EMS), disclosure of information on advertising and NTN Report, greening and cleaning of business sites 355
R&D costs 482 Purchase of testing equipment, cost of prototypes, etc. 1,231 Research and development of eco products (bearings, CVJs, electric modules, natural energy products, etc.) 1,714
Costs of social activities 0 2 Greening and cleaning outside the company 2
Environmental remediation expenses 0 5 Cost of soil sampling and countermeasures 5
Total 622 2,739 3,361
(Reference) Total for fiscal year ended March 31, 2020 1,095   3,371   4,466

Financial effect of environmental preservation activities

(Millions of yen/year)

Item Costs Details
Global environment preservation expenses, effects 61 Benefit from the use of energy-efficient air conditioning, compressors, and lighting
Resource recycling expenses, effects 642 Profit from sales of valuable materials such as metal sludge
Total 703  
(Reference) Total for fiscal year ended March 31, 2020 900  

Impact on environmental preservation

Indicator (Reference)
Fiscal year ended March 31, 2020
(Reference)
Fiscal year ended March 31, 2021
CO2 emissions 271 ktons 238 ktons
Reduction of waste Recycling rate 97.6% Recycling rate 98.1%