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Roadmaps of Sustainability Teams

Released February 13, 2026

 

Environment & Safety

Climate Change

Step1
2025		 Step2
2026		 Step3
-2030		 Step4
2050-2060
  • Enabled Carbon collaboration group for increased understanding of carbon emissions, such as:
    • Scope 1, 2 & 3 agreed reporting common definitions
    • Scope 3 improvement program in collaboration with procurement and technology teams
    • Share of experience for data collection & reporting tools
  • Continue Carbon collaboration group for understanding and improving carbon mitigation, such as:
    • Scope 1 & 2 data insights to drive PCG improvement
    • Scope 3 data capture and improvement program in collaboration with procurement and technology teams
    • Ongoing sharing of experience for data collection & reporting tools, including preparedness for mandatory climate disclosures, where relevant
  • DuluxGroup (Pacific)
    • 50% renewable electricity consumption and 50% Scope 1 & 2 reduction 2030 (2020 baseline)
  • Japan Group
    • 37% Scope 1 & 2 reduction 2030 (2019 baseline)
  • Net zero carbon (Scope 1 & 2)

Resources & Environment

Step1
2025		 Step2
2026		 Step3
-2060
  • Continued efforts to improve resource use and efficiency through sharing improved reporting definitions
  • Driving water resource use improvements in high stress regions, with ongoing monitoring of water withdrawn and consumed
  • Focus on PCG waste generated increasing visibility through improved reporting to drive PCG improvements
  • Significantly improve the circularity of our supply chains (e.g. renewable resources, waste, water)

Safe People & Operations

Step1
2025		 Step2
2026		 Step3
-2060
  • Enabled collaboration group to share, review, and align technical and operating standards across PCGs for management of high-consequence process safety risks (i.e. flammable solvents, combustible dusts)
  • Process Safey Collaboration group to compare and align on common guidance for management of high-consequence process safety risks
  • Continue sharing and learning from high-potential events, increasing hazard awareness across the PCGs
  • Enable effective control of high-consequence safety risks to reduce high-potential incidents and prevention of disasters and fatalities

 

People & Community

DE&I

Step1
2025		 Step2
2026		 Step3
2027-2029
NIPSEA Group
  • Launched the HR Competency Framework, establishing clear standards and a structured roadmap for career development and internal mobility
  • Drove digitalisation and AI enablement across HR
DuluxGroup
  • Launched the very first Dulux Trade First Nations Reconciliation Strategy
  • Built capability with a focus on AI
Dunn-Edwards
  • Shaped initiatives based on survey feedback (career growth) and shifted committee from DEI to Engagement focus
  • Developed and implemented training on how to identify opportunities within DE, interview process
Japan Group
  • Adopted and disclosed initiatives to build a sustainable culture that supports women’s advancement
  • Conducted employee engagement surveys using a framework that makes easier to use in the workplace
 NIPSEA Group
  • Define and activate a talent strategy leveraging engagement insights to strengthen talent value proposition
  • Refresh MTP process to conduct environmental scans not only to assess business priorities but also to evaluate people needs
DuluxGroup
  • Refocus and alignment on measuring and reporting on gender balance and gender pay gap
  • Deliver First Nations Reconciliation Strategy RoadMap
Dunn-Edwards
  • Ongoing focus on employee engagement, carrying our culture forward
Japan Group
  • Establish a problem-solving framework leveraging employee engagement survey results
 NIPSEA Group
  • Define and activate a talent strategy leveraging engagement insights to strengthen talent value proposition
  • Empower employees to confidently adopt and use AI for smarter, more efficient work
DuluxGroup
  • A more balanced, representative leadership pipeline, strengthened by commercial outcomes directly tied to inclusive practices
  • A globally connected, future-ready talent system ensuring no critical role without a ready successor
Dunn-Edwards
  • Continuing focus on employee engagement, carrying our culture forward
Japan Group
  • An organization where the company and employees work together as equal partners, embracing a future-oriented work style

Growth with Community

Step1
2025		 Step2
2026		 Step3
2027-2029
NIPSEA Group
  • Launched the Employee Volunteering Policy to all entities in NIPSEA Group
DuluxGroup
  • Invested more than $1.5M in CSR projects
  • Continued to increase the number of employee volunteer hours by at least 10% (Yoy)
 NIPSEA Group
  • Impact the lives of 10 million individuals each year
  • Invest at least USD5 million to support CSR initiatives each year
DuluxGroup
  • In consultation with relevant marketing teams, establish a DGL Community (CSR) forum to share knowledge across regions and businesses
 NIPSEA Group
  • Impact the lives of 10 million individuals each year
  • Invest at least USD5 million to support CSR initiatives each year
DuluxGroup
  • Increasing brand value and EVP benefits of CSR activity
Dunn-Edwards
  • Expand vocational training programs across Arizona, San Diego, and Orange County to meet local workforce needs and create clear pathways to employment
Japan Group
  • Continuing our initiatives toward the 150th anniversary and expanding the nationwide rollout of the HAPPY PAINT PROJECT

 

Innovation & Product Stewardship

Sustainable Products

Step1
2025		 Step2
2026		 Step3
-2030
  • Established a sustainable project portfolio across Japan and China
  • Defined and advanced two focus areas: Low-temperature fast curing and low-carbon feedstock
  • Prioritized two key application directions: automotive coatings and industrial coatings
 NIPSEA Group
  • Continue to drive optimization of the sustainable project portfolio and plan to establish a realistic target for sustainable revenue growth
DuluxGroup
  • Continue implementing the sustainable product sales roadmap to deliver growth
AOC
  • 59% of 2026 development portfolio targets sustainability
 NIPSEA Group
  • Leverage the entire value chain, from low-carbon feedstock to end-of-life solutions, to holistically drive sustainable revenue growth
DuluxGroup: Deliver 2030 targets of
  • 20% revenue derived from Best in Class sustainable product sales
  • 30% average recycled content in packaging

Chemicals of Concern

Step1
2025		 Step2
2026		 Step3
-2030
NIPSEA Group
  • Completed global regulatory mapping for MCCP and are working with R&D to identify alternative solutions
  • Phased out CMR substances (carcinogenic, mutagenic, and reprotoxic) across three product pipelines in China TU
AOC
  • Eliminated PFAS chemicals from AOC products
  • Monitoring the styrene situation in the U.S. as TSCA prioritization actions continue
 Regulatory Monitoring
  • AOC: Tracking potential new EU chemical classifications（CLH）for key substances
Product Reformulation
  • In EMEA, eliminate TPO in CIPP formulations and introduce alternatives where feasible
Innovation Trials
  • Advancing BPA-free drinking-water formulations into the customer trial phase
  • NIPSEA Group: Continuing efforts to phase out CMR substances（carcinogenic, mutagenic, and reprotoxic）from formulations
  • DuluxGroup: Continuously reviewing and implementing Group CoC position statements for identified high-concern chemicals
  • Proceeded the CoC phasing out plan by regions and business units based on local status
  • Continuously evaluated other CoC restriction requirements and implementing action plans

R&D

Step1
2025		 Step2
2026		 Step3
-2030
  • The innovation pipeline has been quantified to include programs that enable AOC’s customers or end users to achieve sustainability objectives
  • New capability: AOC and China gained in-house LCA (Life Cycle Assessment) expertise using SimaPro and EnOS software
  • Optimized the sustainable project portfolio and conducted LSI to contribute to MSV
 Innovation
  • NIPSEA Group: Continued product development across multiple business areas (e.g., radiative cooling coatings, biodegradable packaging, low-temp. fast curing)
  • DuluxGroup: Continued implementation of sustainable products roadmaps and new product initiatives aimed at improving sustainability of products (e.g., carbon footprint, durability, reduced VOC levels). Continued implementation of initiatives to increase recycled content in packaging
  • AOC: A program for ultra-low-density body panels (“TCA float”) aims to extend EV range and boost ICE vehicle efficiency
 NIPSEA Group
  • Develop and scale circular, bio-based, and digitally optimized coating solutions
AOC
  • Fully implement a digitalized R&D process globally to enhance the quality of developed products and improve product development cycle time

Product Stewardship

Step1
2025		 Step2
2026		 Step3
-2030
NIPSEA Group
  • A new SDS tool implementation initiative kicked off to improve chemical management and operation effeciency
AOC
  • Dedicated regulatory team and documentation in place
 AOC
  • Establish structured monitoring and communication of global regulatory changes
  • Standardize product stewardship inquiry response and customer survey processes and templates
  • Upgrade SDS and GHS labeling (e.g., new directive on microplastics in EU)
NIPSEA Group
  • Establish structured monitoring and communication of global regulatory changes
  • Finish the implementation of SDS Tool for China to improve the operation efficiency
DuluxGroup
  • Continued implementation of our emerging concern regulatory and stakeholder concern monitoring process
  • Proactively monitor all regulatory updates and continuously ensure full compliance and transparency in all documentation (e.g., SDS, CLP labeling) and products

 

Governance

Board of Directors Governance

Step1
2025		 Step2
2026		 Step3
2027-
Addressed the following;
  • Enrichment of discussion on growth strategy
  • Thorough engagement in succession planning
  • Further upgrading of the “Audit on Audit” framework
  • Further Enrichment of discussion on growth strategy
  • Thorough engagement in succession planning
  • More effective “Audit on Audit”
  • Continue to strongly support Executive team's MSV by further enhancing governance

Execution Governance

Step1
2025		 Step2
2026		 Step3
2027-
  • Effectively utilised the CSA list as a tool for voluntary inspections and promoted the penetration of an autonomous, exhaustive risk identification to countermeasure implementation system in each PCG
  • On the Whistleblowing Hotline, shared best practice from each PCG to ensure more effective and efficient operation
  • Extended and brushed up various measures and initiatives to new AOCs joining the Group in order to maintain and improve governance and internal controls across the Group
  • Respond to the revision of the Corporate Governance Code
  • Keep the CSA list updated by continuously reviewing it
  • Expand the operation of whistleblowing hotline based on actually reported cases
  • Follow up new PCG's efforts, such as AOC's, to upgrade its control systems
  • Continue to monitor the regulatory environment of economic sanctions amid unstable international circumstances
  • Continue to position CSA as a main tool for global risk management
  • Effectively run the whistleblowing system based on its reporting
  • Monitor new compliance areas, such as business and human rights, to keep the governance updated

 

Sustainable Procurement

Strengthen Internal Mindset and Enhance Understanding of Sustainable Procurement

Step1
2025		 Step2
2026-
  • Conducted supplier ESG assessment
  • Developed supplier ESG engagement framework
    • Supplier awareness/training workshop
    • Supplier ESG audit program
  • Compiled RM Life-cycle Assessment (LCA) data
  • Supported compilation of Scope 3 carbon emission
  • Updated country & region of origin of RM in the SAP system (for climate risk assessment)
  • Continue to strengthen internal mindset for sustainable procurement

Sustainable Procurement Actions with Suppliers

Step1
2025		 Step2
2026-
  • Adopted a risk-based approach to supply chain management, aiming to improve processes by
    • Promoting multi-sourcing and reducing reliance on single suppliers which mitigate the impact of natural disasters
    • Tracking high-risk and high-impact raw materials across the group using a standardized matrix
  • Conducted Supplier Sustainability Survey based on our Supplier Code of Conduct to identify suppliers that are compliant with our Code and those with weakness in certain areas
  • Collaborated with key suppliers to innovate sustainable products and processes via the Global Key Account Management (GKAM) strategy
  • Continue to adopt a risk-based approach to supply chain management, aiming to improve processes by
    • Promoting multi-sourcing and reducing reliance on single suppliers which mitigate cost impact & also natural disasters
    • Tracking high-risk and high-impact raw materials across the group using a standardized matrix
  • Conduct Supplier Sustainability Survey based on our Supplier Code of Conduct to identify suppliers that are compliant with our Code and those with weakness in certain areas and follow up with Alina & AOC for completion
  • Collaborate with key suppliers to innovate sustainable products and processes via the Global Key Account Management (GKAM) strategy based on group common suppliers & prcurement value
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