Yokohama TWS Code of Conduct

The Yokohama TWS Code of Conduct was established in May 2023 to define the core principles and standards that guide our business decisions and actions. In September 2024, it was updated to better reflect the evolving compliance landscape.
It contains rules and principles that must be clearly understood by everyone in the organization, regardless of position, and it applies across all markets and at all times. Yokohama TWS Code of Conduct reflects our commitment to operating in alignment with the Ten Principles of the UN Global Compact, the general concepts expressed in the International Labour Organization (ILO) conventions, the OECD Guidelines for Multinational Enterprises, and the UN Declaration of Human Rights.
Together with our Corporate Governance framework and our Yokohama TWS Policies, the Code of Conduct provides the overarching rules for our operations. It is the responsibility of each manager to ensure that employees understand it through training or internal communication material.
Yokohama TWS also requires suppliers, sales agents, distributors, and consultants to adhere to the principles of its Code of Conduct. In addition, we encourage alignment with the principles of the UN Global Compact, which we have supported since signing in 2007.

Whistle-Blowing system

We encourage the constant development and implementation of an organizational culture based on integrity and ethics. Full transparency, open communication and dialogue are strongly promoted to foster the evolution of a speak-up culture.
We are committed to complying with all applicable laws and regulations, and to conducting our business in accordance with the strong values and clear rules outlined in our Code of Conduct, as well as in all internal policies, guidelines, and procedures we have adopted. These principles are part of our corporate culture; therefore, beyond mere compliance with legal requirements, we have implemented a group-wide policy (“WB Policy”) and, specifically, provided all employees worldwide with the necessary tools and instruments to ensure effectiveness of the Whistle-Blowing System (“WB System”) as of October 2023.

Human rights represent the minimum standards necessary for people to live with dignity and grant individuals the freedom to choose how they live and express themselves.
Additionally, human rights protect individuals from abuse by those in positions of power.
Therefore, Yokohama TWS respects human rights wherever we operate.
No children under the compulsory school age of 15 years (or higher in certain countries) are permitted to work for Yokohama TWS, and no hazardous work is allowed for those under 18 years of age. Our suppliers and sub-contractors must adhere to similar standards.
We do not tolerate illegal, forced, or bonded labor within our own operations, those of our suppliers, or any other parties with whom we cooperate.
We continuously assess risks of human rights infringements, and take action to prevent them within our supply chain. We acknowledge that forced labor and human trafficking is a growing issue that require ongoing attention.

Diversity and inclusion

For Yokohama TWS, diversity and inclusion are strengths that benefit the organization and our business. Diversity encompasses the collective mix of differences and similarities in perception and approach that enable diverse thinking. Inclusion is the active process of inviting and valuing the unique characteristics and contributions of each employee.
Our goal is for all employees to feel involved and empowered to reach their full potential. The combination of inclusion and diverse thinking is a key factor in driving excellent performance.
We actively train employees on diversity-related topics, including awareness and respect for cultural differences.
We strive to achieve a well-balanced mix of genders, ethnicities, and ages across our operations. This includes efforts to hire and develop local employees and managers, as well as to increase the percentage of female managers.

Non-discrimination and Harassment

We respect our employees and their human rights.
Employment or assignment decisions are based solely on individual merit and business needs, regardless of gender, race, religion, age, disability, sexual orientation, nationality, political opinions, or social or ethnic origin. We define harassment – including sexual harassment – as any unwelcome conduct that reasonably causes a person to feel offended, humiliated, or intimidated.
Employees must not harass or discriminate against colleagues or business partners for any reason. Through training, we actively promote non-discrimination and prevention of harassment. All complaints of harassment are taken seriously and handled with respect and confidentiality. Anyone found to have harassed another person will face disciplinary action.

Environmental Management and Responsibility

The human impact on the environment is undeniable, and as a company, we believe it is essential to ensure the protection of ecosystems for future generations. It is crucial to understand that meeting business needs should not conflict with the preservation of natural resources; rather, both must coexist harmoniously and productively.
In our operations, we are committed to using materials and energy as efficiently as possible, continually improving their recovery and reuse. We train our employees to avoid unnecessary scrap, waste, and emissions – including greenhouse gases emissions.
With a strong focus on health and environmental protection, we take specific precautions regarding the use of chemicals in our processes and products, ensuring that no harmful interactions arise.
Our efforts are directed toward managing and progressively reducing the environmental impacts associated with our global operations and supply chain. In this context, we are evolving our production sites by introducing advanced technologies, exploring alternative energy solutions where applicable, and improving operational processes.
We define specific objectives to guide the reduction of carbon emissions and energy consumption, in line with our operational priorities and applicable requirements. Based on this approach, we work to reduce reliance on fossil fuels by improving energy efficiency and by scaling the use of renewable energy sources where feasible. Across our operations, we manage water use through measures aimed at improving efficiency, supporting recycling initiatives, and protecting water quality. We also apply a waste hierarchy that prioritizes prevention and recycling, with the aim of reducing disposal.
Throughout our production activities, we work on continuous improvement processes designed to enhance quality and address key environmental aspects, including the management of volatile organic compounds (VOCs) used in operations, and the generation of waste.

• CO₂emissions
• VOC use in operations
• Water consumption at all our sites
• Waste

Our long-term goal is to become a net-zero carbon emissions company by 2050.

Environmental data

• FY: January to December, For FY2023, figures for May to December are included in accordance with financial reporting.
• Greenhouse gas emissions for the overseas site were calculated based on the Greenhouse Gas Protocol Initiative.

Environmental data for each Y-TWS site can be found here

Specific Activities

We conducted volunteer activities in our local communities and promoted water conservation both at home and in the workplace to celebrate World Water Day (March 22). In addition, we organized internal training sessions for all employees, led by two researchers specializing in water conservation, as well as educational activities in local elementary schools to raise awareness among children about the importance of water and responsible water use.

In Xingtai, China, our “Use Reusable Bags for a Greener Life” initiative brought sustainability into everyday life. At the city’s Central Park, we distributed 200 reusable bags to local residents, encouraging small but meaningful actions to help reduce plastic waste.

In Sri Lanka, we organize overseas cleanup efforts, tree planting initiatives, and promote responsible practices within local communities.

We celebrated Earth Day by inviting the children of our employees worldwide to participate in an art and photography contest, where they shared their visions of the Earth’s beauty and the importance of protecting our planet.
Yokohama TWS believes that embracing the future means fostering care for the Earth, and that this is something we steadily bring to life—one idea, one action, and one generation at a time.

A special ceremony was held to honor the winners and their families from China, Latvia, and France—three countries whose creativity stood out among the many moving works.

Compliance

Our business activities and relations with customers, business partners and authorities are characterized by sound business ethics and a strong commitment to human rights.

Anti-Bribery and Corruption

Yokohama TWS firmly believes in the importance of having a fair and transparent marketplace. Therefore, we have a zero-tolerance policy toward the offering, solicitation, or acceptance of any form of bribe or other corrupt behavior.
A bribe includes any type of payment, kickback, or gift - regardless of value- if it is intended to gain a business advantage, it violates applicable laws or is contrary to customary business practice. This also includes payments made indirectly through third parties or to family members or friends.
Gifts, entertainment, compensation, or personal favors may be offered to a third party only if they are modest in value and aligned with applicable laws and customary business practice. The remuneration of agents shall be appropriate and for legitimate services only.
We employ continuous training and proactive communication to prevent bribery and corruption. We also monitor and follow up on our activities to combat bribery, corruption, money-laundering and extortion in a transparent and responsible manner.

Competition

We believe that fair competition serves the best interests of our group, our customers and society as a whole.
Any agreement or understanding with a competitor regarding prices (to fix, raise, stabilize, or lower) or regarding the allocation of customers (by customer group, business line, product, or geographic areas) is unlawful. Even informal, unwritten understandings about a common purpose may be illegal.
We train and support our employees to ensure they understand and comply with applicable competition laws. Agreements that are particularly sensitive from a competition law perspective must not be negotiated or concluded without the involvement of Yokohama TWS Legal.

Trade Compliance

Trade sanctions and embargoes are commercial and financial restrictions imposed by countries. As a global business, we are committed to respecting and complying with all applicable sanctions and cross-border trade regulations. We must always adhere to relevant trade compliance requirements, including restrictions on sales to sanctioned countries and compliance with import and export laws and regulations.
Anyone involved in such activities must follow our internal Trade Compliance Policy and request the Export Trade Approval process, when needed. We promote awareness of trade compliance requirements through training sessions, the assessment of exports to sanctioned countries, and third-party due diligence.

Suppliers

We require our suppliers to adhere to the principles outlined in our Code of Conduct.
Suppliers must comply with legal and human rights requirements and actively work to minimize negative environmental and health impacts stemming from processes, services, and products. We encourage suppliers to implement certifiable environmental management systems.
We continuously assess our suppliers from a corporate responsibility perspective.
If a supplier is found to be non-compliant, we require corrective actions. Serious or repeated non-compliance may result in termination of the business relationship.

Trustworthy Communication

Our communications are based on clarity, transparency, and strong ethical standards. Our corporate culture promotes open and trustworthy communication at all levels within the organization and among all employee groups.
External communication is subject to disclosure restrictions governed by laws, stock exchange regulations, and contractual obligations with customers and other stakeholders.
Transparent communication fosters employee engagement in the company’s development. A deeper understanding of our values, business objectives and strategies enhances employee commitment.

Products and Solutions responsibility

We strive to assess —and proactively address— all foreseeable environmental, health, and safety-related impacts associated with our key products and solutions throughout their full life cycle.
Our products and solutions are developed to support our customers and respond to evolving sustainability expectations.
With regard to customer health and safety, our products must be free from substances considered harmful and must comply with all relevant legal standards, including health warnings, product safety and labelling requirements.
We provide accurate and clear information regarding our products and solutions to help customers make informed decisions. This includes sustainability benefits and life-cycle details such as product performance, composition, safe use, maintenance, storage, and disposal.
We maintain transparent and effective processes for handling customer complaints and contribute to the fair and timely resolution of any product liability issues.

Supporting Local Communities

At every location where we operate, we are committed to supporting local and underprivileged communities by engaging with them and contributing to their social and economic development.
Our aim is to help build a stronger and more inclusive society through meaningful, locally rooted initiatives.
We focus our efforts on projects that promote education, personal growth, and opportunities for younger generations — always aligned with our values and strengthening the bond with customers and partners. In line with our principles, we do not provide contributions to political parties or individual politicians.

Acting Locally to Make a Difference

At Yokohama TWS, we believe that meaningful change starts close to home. Through our social engagement and volunteering programs, we provide targeted support where it’s needed most — contributing to the well-being of people and the protection of the environment.
Whether through collective action or individual contribution, our people play an active role in making a positive difference. We recognize the value these efforts bring — not only to the communities we support, but also in the sense of purpose and pride they create across our organization. Our initiatives focus on two main areas:

1. People First Volunteering Program
2. Social Engagement Activities

Specific Activities

The Yokohama TWS Latvia team combined sustainability and education by helping a local high school build an outdoor classroom using recycled materials. Working alongside the students, they transformed materials that would otherwise have been discarded into a space for learning and meaningful activities, promoting environmental protection, creativity, and community service.

The Central Europe team participated in the Darmstadt Corporate Run. This marathon event not only brings people together but also contributes to the local community. A portion of the proceeds is donated to local projects, such as inclusive sports programs and initiatives that support the empowerment of people with disabilities.