Supply Chain
Management

Basic Policy

The HOYA Group provides products to customers around the world through its global manufacturing and procurement network. To support the sustainable enhancement of corporate value, we place importance not only on ensuring product safety and quality, but also on compliance with laws and regulations and consideration for human rights, the environment, ethics and governance throughout the supply chain. We conduct ongoing management and monitoring across the supply chain.

Supplier Code of Conduct

The HOYA Group has established the HOYA Supplier Code of Conduct and requests that suppliers acknowledge and comply with the Code in order to adhere to the same standards of legal compliance and ethical business practices as the Group. Given the importance of compliance with laws and regulations and consideration for human rights, the environment, ethics and governance throughout the supply chain, we revised the Code in FY2024.

The Code is available in multiple languages (Japanese, English, Thai, Vietnamese, Korean, and Chinese). Business divisions use suppliers’ endorsement of and compliance with the Supplier Code of Conduct as a reference when selecting suppliers and conducting ongoing evaluations.

Supplier Assessment and Risk Management

Some business divisions have taken the lead in assessing suppliers at the start of business relationships and during ongoing transactions, evaluating their practices regarding legal compliance, human rights, the environment, ethics and governance. When risks are identified through these assessments, we work to mitigate them through dialogue with suppliers and requests for improvement.

Going forward, we will gradually expand these initiatives across the Group while developing risk-based evaluation processes tailored to the characteristics of each business and supply chain structure. Through these efforts, we will strive to maintain and strengthen a sound and sustainable supply chain.

Supplier Audits

The HOYA Group requests suppliers’ understanding of and compliance with the Supplier Code of Conduct and conducts regular supplier audits for key suppliers.

For example, the MD Division, which manufactures glass substrates for HDDs, conducts audits of material manufacturers based on the Responsible Business Alliance (RBA)* Code of Conduct with the aim of ensuring safe working conditions and reducing environmental impacts throughout the supply chain.

Through these initiatives, we promote the identification and management of risks, including human rights and environmental risks, across the supply chain. To date, no serious human rights violations, such as forced labor or child labor, have been identified. Going forward, we will continue to promote continuous improvement through dialogue with suppliers and audits, while working to build and strengthen a responsible supply chain.

* A nonprofit organization established in 2004 by a group of leading companies in the electronics industry, formerly known as the Electronic Industry Citizenship Coalition (EICC). It is composed of companies in the electronics, retail, automotive, and toy industries.

Responsible Mineral Procurement

Conflict Minerals Survey
The HOYA Group has established a policy not to use minerals (3TG) produced in the Democratic Republic of the Congo or surrounding regions that are defined as conflict minerals under Section 1502 of the U.S. Dodd-Frank Act. We request suppliers’ understanding of and compliance with this policy through the HOYA Supplier Code of Conduct.

We also regularly request key suppliers to cooperate in conflict minerals surveys using the Conflict Minerals Reporting Template (CMRT), a reporting template provided by the Responsible Minerals Initiative (RMI).

These surveys were initially conducted in the Information Technology business, where mineral usage and supply chain risks are relatively high, but their scope has now been expanded to include the Life Care business, and the initiatives are being promoted throughout the Group. In addition, we are promoting the identification of smelters and procurement from smelters compliant with the RMI Responsible Minerals Assurance Process (RMAP). In light of growing global interest in human rights issues in recent years, we also conduct surveys regarding cobalt and mica using the Extended Minerals Reporting Template (EMRT). Going forward, we will continue to work with suppliers to improve traceability, reduce supply chain risks, and promote responsible mineral sourcing.

Conflict Minerals Survey Results and Targets

Since FY2024, we have conducted surveys covering cobalt and mica in addition to the conventional 3TG minerals (tantalum, tin, gold, and tungsten).

In the FY2025 survey of 3TG minerals, the number of identified smelters and RMAP-compliant smelters increased, expanding the scope of supply chain visibility. However, including newly identified smelters, the overall ratio of RMAP-compliant smelters declined compared with the previous fiscal year.

For cobalt and mica, although we maintained a high response rate, we confirmed that there is room for improvement in the ratio of RMAP-compliant
smelters.

Results of Survey on 3TG

Results of Survey on Cobalt and Mica

*1 Followed up with suppliers who did not respond last year and confirmed the status of smelters that were not RMAP-compliant

*2 The survey is conducted after selecting key suppliers subject to the survey according to the characteristics of each business.

*3 Some smelters are also included in the FY2021 survey.