Unicharm Achieves CDP Triple A Status Within Five Years Through ESG Integration

Japanese hygiene products manufacturer Unicharm Corporation received a CDP Triple A rating in 2024 for climate change, forests, and water security, improving from a B, B, and B- starting position in 2019. The company achieved this in five years by establishing a dedicated ESG Division, embedding sustainability into its core business operations, and maintaining management-level review of all disclosures.

Unicharm's path to CDP Triple A began in 2020 with the formation of a dedicated ESG Division under Kenji Ueda, consolidating previously scattered sustainability functions into a cohesive company-wide strategy. That year the company also launched its medium- to long-term vision, Kyo-sei Life Vision 2030, developed with CDP evaluation criteria in mind and translated into daily operational goals for employees. Efforts to reduce environmental impact — including cutting raw material and energy use — generated both sustainability progress and cost savings, making the business case internally persuasive even when short-term investments increased upfront costs.

Unicharm went beyond compliance in using CDP data strategically. By benchmarking comparable overseas factories through CDP-reported data, the company identified differences in energy efficiency and emissions, driving localised improvements and creating feedback loops between the head office and production sites. A management-level review system required that every CDP response be accurate and aligned with the company's ESG philosophy. The combination of strong leadership commitment, consistent employee education, and logical data-backed proposals formed the foundation of Unicharm's transformation from a mid-tier environmental performer to a global leader.

Unicharm's experience is significant for Asian companies navigating evolving ESG disclosure expectations. The company's journey shows that CDP scores are most effectively treated as an outcome of genuine ESG management rather than a target in themselves. As regulators in India, Japan, and across Asia-Pacific introduce mandatory sustainability disclosures aligned with ISSB and GRI standards, Unicharm's integrated approach — linking ESG governance to remuneration, operational performance, and supplier data — offers a practical roadmap for companies at varying stages of climate maturity.

Key figure — 5 years from B rating to CDP Triple A