Governance

Disclose the organization’s governance around climate-related risks and opportunities.

Overall responsibility for sustainability lies our President, Human Resources and Corporate Social Responsibility, who chairs our Sustainability Council and updates our President and CEO at quarterly Executive Committee meetings.
Our President and CEO regularly updates our Supervisory Board on our sustainability risks and opportunities, including climate-related risks, as well as our Sustainability strategy and performance.

Strategy

Disclose the actual and potential impacts of climate-related risks and opportunities on the organization’s businesses, strategy, and financial planning where such information is material.

In December 2020, we announced our goal to become carbon neutral by 2027.
Our Sustainable Technology program aims to design and manufacture innovative products that provide society with environmental benefits. Our 2027 goal is to generate 33% of ST’s revenues from our responsible products.

Risk Management

Disclose how the organization identifies, assesses, and manages climate-related risks.

Our overall approach to risk management is aligned with ISO 31000 and described in our sustainability and financial reports. Company-level sustainability risks are fully integrated into our Enterprise Risk Management program. It enables us to perform systemic identification, evaluation and treatment of risk scenarios, allowing us to set our Company strategy, manage our performance, and capitalize on opportunities.

Metrics and targets

Disclosure of the metrics and targets used to assess and manage relevant climate-related risks and opportunities where such information is material.

ST follows the GHG protocol for managing and reporting its GHG emissions.
Our roadmap to carbon neutrality includes two specific targets validated by the Science Based Targets initiative and in compliance with the 1.5°C scenario defined at the Paris COP21: 50% reduction of direct and indirect emissions compared to 2018 by 2025, and the sourcing of 100% renewable energy by 2027.