We have strengthened the algorithm for discounting the impact older evidence on an organization's top-line metrics. Evidence from within the last two years is weighted the strongest and then gradually weighted out of the scoring calculations as it gets older. All evidence that is 5 years or older is completely removed from the scoring calculations. Users will still be able to view older evidence items that are archived the scoring matrix below, but these will not be impacting the organization's current scores.
We have expanded the list of climate policies we assess company engagement with to incorporate land-use related policy, referring to legislative or regulatory measures to enhance and protect ecosystems and land where carbon is being stored. Assessments under this category are currently underweighted in terms of their contribution to the overall company metrics. This weighting will be progressively increased over the next 6 months.
In this section, we depict graphically the relationships the corporation has with trade associations, federations, advocacy groups and other third parties who may be acting on their behalf to influence climate change policy. Each of the columns above represents one relationship the corporation appears to have with such a third party. In these columns, the top, dark section represents the strength of the relationship the corporation has with the influencer. For example if a corporation's senior executive also held a key role in the trade association, we would deem this to be a strong relationship and it would be on the far left of the chart above, with the weaker ones to the right. Click on these grey shaded upper sections for details of these relationships. The middle section contains a link to the organization score details of the influencer concerned, so you can see the details of its climate change policy influence. Click on the middle sections for for details of the trade associations. The lower section contains the organization score of that influencer, the lower the more negatively it is influencing climate policy.
Climate Policy Engagement Overview: Nippon Steel Corporation (Nippon Steel) is strategically engaged with climate change policy, and has opposed policies in Japan such as the carbon tax. It advocates for fossil fuel thermal power alongside nuclear energy while appearing to not support renewable energy, and also appears to have conflicting positions on decarbonizing steel production. Nippon Steel retains memberships and executive positions in several industry associations opposing climate policy, including the Japan Iron and Steel Federation (JISF).
Top-line Messaging on Climate Policy: Nippon Steel appears to have a mix of positive and negative top-line communications on climate. While Nippon Steel supported Japan’s 2050 carbon neutrality target in its 2023 sustainability report, it emphasized high costs to achieving it in a hearing with the Japanese Ministry of Environment (MOE) in June 2023. Nippon Steel consistently advocates for government-led investment, for instance at a Japanese Ministry of Economy, Trade, and Industry (METI) hearing in June 2023. Nippon Steel previously opposed climate change regulation in 2020, but it promoted “a drastic policy system” to achieve carbon neutrality alongside industrial competitiveness in its 2023 sustainability report.
Nippon Steel has historically opposed carbon pricing, for instance in 2019 and 2021, but at a February 2023 symposium co-hosted by METI, Nippon Steel’s then-President and current Chairman Eiji Hashimoto appeared to conditionally support Japan’s growth-oriented carbon pricing scheme, so long as it does not discourage research and development.
Engagement with Climate-Related Regulations: Between 2018-2022, Nippon Steel consistently opposed policies such as the carbon tax, emissions trading, and feed-in tariff (FIT) for renewable energy. At a September 2022 METI hearing, Nippon Steel appeared to not support a carbon tax, stating that it will lead to loss of competitiveness and resources. In a media interview with Toyo Keizai in January 2023, then-President Eiji Hashimoto stated that a “hybrid” system of carbon tax and emissions trading is the “right choice,” but further details were unclear.
In opinion articles published in the Nikkan Kogyo newspaper, an advisor to Nippon Steel supported GHG emissions targets, including Japan’s 2030 NDC, in January 2024, and supported energy efficiency standards in September 2023.
Positioning on Energy Transition: Nippon Steel appears to not support a full transition to renewable energy and advocates for a continued role for fossil fuel thermal energy with nuclear power. At a July 2024 METI hearing on Japan’s 7th Strategic Energy Plan, Nippon Steel advocated for the construction of fossil gas-fired thermal power plants alongside the expansion of nuclear and renewable energy, whilst emphasizing “extremely unfavorable” conditions for renewables in Japan. At another July 2024 METI hearing, Nippon Steel recognized a shift from thermal power to renewable and nuclear energy, but advocated for long-term contracts for fossil gas. At a June 2023 METI hearing, Nippon Steel advocated for nuclear power, emphasizing the cost burden of renewable energy. On the other hand, in a March 2023 opinion article in the Nikkan Kogyo newspaper, an advisor to Nippon Steel supported the Green Transformation (GX) Decarbonized Power Supply Bill for the introduction of renewable energy.
On transportation, in a statement in the Keidanren Times in August 2023, Nippon Steel’s then-President and current Chairman Hashimoto promoted hydrogen and ammonia use in internal combustion engines without specifying a position on their decarbonization.
Nippon Steel appears to have conflicting positions on decarbonizing steel production, advocating for the use of hydrogen, thermal power, and coking coal, with ambiguity around their decarbonization. At a June 2024 METI hearing, Nippon Steel supported the increased use of scrap steel in electric arc furnaces (EAFs) but alongside a continued role for blast furnaces with CCU or CCS. At the same hearing, Nippon Steel advocated for policy support for green hydrogen, green electricity, and CCU and CCS, but was unclear whether it supported uses for captured carbon aligned with IPCC recommendations. At a May 2024 METI hearing, Nippon Steel appeared to promote thermal power alongside nuclear energy to power EAFs. According to a May 2024 Reuters report, Nippon Steel advocated with an Australian state government for the maintenance of coking coal supply. Nippon Steel is occasionally ambiguous on the need to decarbonize hydrogen, for instance promoting hydrogen at a May 2023 METI hearing while remaining unclear on its decarbonization.
Industry Association Governance: Nippon Steel has not published a review of its industry association memberships and climate policy engagement. Nippon Steel’s 2023 sustainability report discloses some of its indirect climate policy engagement through the Japan Iron and Steel Federation (JISF), Japan Business Federation (Keidanren), and World Steel Association (worldsteel), all in which it holds executive positions. However, it does not disclose its memberships to other industry associations actively engaged with climate policy, including the Japan Carbon Frontier Organization (JCOAL). JISF, Keidanren, and JCOAL have engaged negatively with climate policy.
InfluenceMap collects and assesses evidence of corporate climate policy engagement on a weekly basis, depending on the availability of information from each specific data source (for more information see our methodology). While this analysis flows through to the company’s scores each week, the summary above is updated periodically. This summary was last updated in Q3 (Jul-Sep) 2024.