Picture of HYUNDAI WIA’s head office, located in Changwon-si, Gyeongsangnam-do. HYUNDAI WIA received an A+ in the ‘2023 ESG(Environmental·Social·Governance) Integrated Rating of Listed Company’ reported from KCGS. 2023 Courtesy of HYUNDAI WIA.
HYUNDAI WIA received the highest ESG rating from the Korea Institute of Corporate Governance and Sustainability (KCGS) in the automobile parts manufacturing industry.
On October 30th, HYUNDIA WIA reported to receive an A+ in the ‘2023 ESG(Environmental·Social·Governance) Integrated Rating of Listed Company’ reported by the KCGS. HYUNDAI WIA successfully secured an integrated rating of A+ by receiving A+ in environment and social responsibility and an A in governance. By the achievement, HYUNDAI WIA became the only company to receive the integrated rating of A+ among South Korean automobile parts manufacturers.
KCGS is a representative ESG rating organization, conducting evaluation, analysis, and research to establish key standards for developing and invigorating the capitalistic market. ESG evaluation measures the environment, social, and governance impact of the company. This year, KCGS evaluated a total of 790 companies.
First and foremost, HYUNDAI WIA received a high rating in the environment section. A company-wide effort in responding to the climate change and reducing carbon emissions led to this outstanding result. HYUNDAI WIA is publishing a waste disposal report and mid-and long-term roadmap to be a Net Zero company. The company also is reducing energy consumption and expanding the volume of renewable energy purchases to achieve carbon neutrality by 2045. Based on this effort, the company plans to cut down carbon emissions by 45% by 2030 and 80% by 2040 compared to the consumption in 2021.
HYUNDAI WIA is also proactively working on protecting the environment by cutting down carbon emissions and energy consumption. Last year, HYUNDIA WIA’s total energy consumption was 3209TJ, and the greenhouse gas emission was 555,623tCO2eq, which is 12.4% and 14.5% less than the consumption from the previous year. Furthermore, the company is also revealing the environmental impact of the manufacturing Constant Velocity Joint, which is an iconic product of HYUNDAI WIA.
In addition, HYUNDIA WIA obtained a high rating in the social section. The company was recognized for fostering organizational culture where the company grow together with the corporate suppliers and establishing a sustainable management system. HYUNDAI WIA first established ESG evaluation system and helped to perform ESG management for 123 companies. This year, KCGS evaluated a total of 214 companies. HYUNDAI WIA has also conducted a joint research development with corporate suppliers to reinforce competitiveness and provide free training. HYUDAI WIA was also selected as the most reputable company for corporate partnership in September.
Consistent practice of outstanding social contribution activities with NGOs and the local community was also recognized highly. HYUNDAI WIA raised seven hudred million won worth of funds to help the neighbors by a project called ‘The Miracle of 1%’, one of the company’s representative CSR programs run by staff members. In this program, employees voluntarily donated 1% of their monthly wage. The company has also been building ‘HYUNDAI WIA Green School’ for years to improve the local community environment.
HYUNDAI WIA has made progress in the governance section from last year. The company has established a ‘risk management system’ to practice ethical management and secure the board of directors’ diversity by appointing a female non-executive director.
HYUNDAI WIA is dedicated to strengthening ESG management to take responsibility as a global corporation. “As a global company, all the executives and staff members of HYUNDAI WIA will work together towards achieving mutual growth with every stakeholder”, said an official from HYUNDAI WIA.