As a company handling a diverse range of products and services across the globe, ensuring that our supply chains operate sustainably is crucial to our business. In order to reflect this, MC stipulates its requirements through the ‘Mitsubishi Corporation Policy for Sustainable Supply Chain Management’, established originally in February 2008. MC and all its suppliers take the same fundamental position towards the themes addressed in the Policy, which include human and labor rights, anti-corruption and environmental conservation.

Since its foundation, Mitsubishi Corporation has adhered to three corporate principles which have guided its corporate philosophy and which place considerable emphasis on the importance of its corporate social responsibilities. Moreover, Mitsubishi Corporation's Corporate Standards of Conduct state that the company will develop its business activities in compliance with all relevant laws and international regulations and that it will act responsibly and respect the highest social standards. The Corporate Standards of Conduct also underline Mitsubishi Corporation's dedication to preserving the global environment and pursuing sustainable development through all aspects of its business activities.

1. Policy

   Mitsubishi Corporation (hereafter ‘MC’) strives to ensure that business is conducted responsibly throughout its supply chains. In order to convey this stance to suppliers, the company has established the “Mitsubishi Corporation Policy for Sustainable Supply Chain Management,” which it expects all suppliers to understand, embrace and abide by.

   • (1) Forced Labor

     Suppliers shall employ all employees of their own free will with no employee being subject to forced or bonded labor.

   • (2) Child Labor

     Suppliers shall not employee people under the minimum legal working age of the country in question.

   • (3) Safe and healthy Working Environments

     Suppliers shall work to provide employees with safe and healthy working environments.

   • (4) Freedom of Association

     Suppliers shall respect the right of employees to associate freely and for these groups to negotiate working environments, wages and other matters with employers.

   • (5) Discrimination

     Suppliers shall strive to ensure equal opportunities in the work place and shall not engage in discrimination with regard to recruitment and employment practices.

   • (6) Abuse and Harassment

     Suppliers shall respect employees' human rights and must not tolerate abuse or any form of harassment.

   • (7) Working Hours

     Suppliers shall ensure that employees' working hours and use of leave entitlements are appropriately monitored so as not to infringe upon any statutory regulations.

   • (8) Suitable Remuneration

     Suppliers shall pay employees at least the statutory minimum wage and shall not unreasonably reduce wages.

   • (9) Anti-corruption

     Suppliers shall engage in fair business practices, avoid corruption including bribery and extortion, and comply with applicable laws and regulations.

   • (10) Environment

     Suppliers should work to protect the environment and will consider the environmental impact of their business activities on local communities and ecosystems.

   • (11) Information Disclosure

     Suppliers shall disclose information with respect to the aforementioned matters in a timely and appropriate manner.

2. Monitoring

   In order to ensure that suppliers operate in accordance with the above Policy, MC requires suppliers to complete self-assessment questionnaires. In addition, the company conducts onsite evaluation of suppliers at random.

3. Non-Compliances and Corrective Actions

   Where MC identifies cases of non-compliance to the Policy, it communicates its remediation requirements to suppliers and provides support for redressing specific issues. MC reserves the right to disengage with suppliers who do not take appropriate measures to remedy non-compliance.

MC conducts surveys of suppliers of a range of products, including those industries where CSR considerations are particularly impactful, such as agricultural produce and apparel.

In the fiscal year ended March 31, 2009, replies were received from 193 companies in 28 countries and regions. Respondents answered questions pertaining to matters such as the existence of regulations and legal compliance; forced labor, child labor and prohibition of discrimination; environmental conservation; and information disclosure.

No particular problems were identified by this survey, but as a measure of assurance we have also begun site visits to key suppliers. In July 2009, we visited two companies in China to inspect manufacturing work sites, interview management and monitor the CSR activities of each company.

Supplier surveys and site visits provide a valuable opportunity to communicate MC's stance on CSR and environmental affairs and will therefore be conducted on an ongoing basis.

MC conducts transactions with a large number of suppliers throughout the world. Moving forward, the company plans to continue efforts to ensure that its supply chain guidelines are well understood by overseas offices and MC Group companies, while eliciting the understanding and cooperation of suppliers on a global basis.

Saigon 3 Garment Joint Stock Company - Vietnam

In September 2010, representatives from MC conducted a site visit of Saigon 3 Garment Joint Stock Company (SG3), a major Vietnamese apparel manufacturer and one of our suppliers. As part of this process, a series of interviews were conducted with SG3's Corporate Social Responsibility Manager, while an inspection of the company's Minako factory production site was also undertaken.

About SG3
Established in 1986, SG3 is a major Vietnamese apparel manufacturer with 2,700 employees. It has been doing business with MC for over 10 years. The factory which was the focus of MC's site inspection is primarily involved in the manufacture of jeans.

Results of Monitoring
No issues were identified regarding potential environmental impacts, as the factory's operations produce very few emissions in terms of waste water and green house gases. It is SG3's policy not to employ any workers under the age of 18, and it was confirmed that adequate measures and checks are in place to verify the ages of all new recruits. With regards to health and safety, numerous notices and bulletins are posted around the factory to remind employees of necessary precautions and procedures. Appropriate protective equipment such as masks and gloves was also seen to be utilized. In addition to this monitoring conducted by MC, SG3 also undergoes regular and stringent auditing with regard to environmental and social issues by a variety of its customers and its management displayed a high level of CSR awareness.

Shandong Luling Fruit Juice Co. Ltd - China

In October 2010 MC conducted a site visit of Shandong Luling Fruit Juice Co. Ltd (SLFJ), one of our supplier and a 30% subsidiary in Qingdao, China. Here again, MC representatives conducted a thorough investigation of the production site as well as interviews with the factory's management and CSR director.

About Shandong Luling Fruit Juice Co. Ltd
Shandong Luling Fruit Juice Co. Ltd was established in 1982. It currently produces some 30,000 tons of concentrated apple juice per year and has a workforce of 330 people. The factory handles all aspects of fruit juice production from juice extraction and concentration to drum filling and shipping.

Results of Monitoring
Having conducted an inspection of the factory, MC's representatives found that appropriate measures were in place to ensure employee health and safety, including the use of protective equipment (masks, gloves earplugs); prominently displayed health and safety notices; and clearly marked emergency exit routes.

In terms of waste disposal, the factory delivers all residual fruit waste to an external party for use as feed for livestock. Waste water is treated at an onsite facility with equipment in place to constantly monitor the quality of water released.

In addition to the monitoring conducted by MC, Shandong Luling Fruit Juice Co. Ltd is audited regularly by its clients and has received certification from major Western beverage producers.

Atlantic and Mediterranean Bluefin Tuna

As a corporation involved in the trade of Bluefin Tuna from the Atlantic and the Mediterranean (BFT), MC shares the concerns surrounding the state of the BFT stocks and the fishery that depends on it. As such, MC has been making continuous efforts within its own capacity to realize a sustainable BFT species and fishery, including taking unilateral measures and engaging with key stakeholders such as environmental NGOs and scientists. To find out more about MC's stance on BFT and the specific measures we are implementing, please refer to our most recent position statement below.

Mitsubishi Corporation's Position on Atlantic Bluefin Tuna (130KB)