Last Updated: 2025.03.03
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To protect the environment at every stage of the product life cycle--from raw materials sourcing to manufacturing, sale, and consumer use--Fast Retailing strives to solve water-related issues at local level by preventing and reducing water pollution and water usage.
Policies for Water Resource Management
Water is an essential component when making Fast Retailing apparel. Growing cotton used as raw material for apparel requires significant amounts of water. Fabric dyeing and other parts of the production process also require large volumes of water. We aim to protect the environment at every stage of the product life cycle; from raw materials sourcing to manufacturing, sale, and consumer use, Fast Retailing strives to identify and solve local water-related issues. Our Water Action Plan with specific targets and measures supports the health of the local water environment by preventing and reducing water pollution and water usage. Many environmental problems cannot be solved by a single company working alone. This is why Fast Retailing partners with companies, organizations, and NPOs to protect precious water resources.
Risk Assessment
Water Risk Assessment
We regularly conduct risk assessments throughout the value chain using the Aqueduct, a water risk assessment tool developed by the World Resources Institute. In the fiscal year ending August 31, 2021, we assessed our core stores and offices, as well as garment factories and fabric mills, and identified facilities located in high-risk areas. For stores and offices in areas at high-risk of floods, we conducted a follow-up survey on past damages and existing countermeasures and confirmed that such risks have been reduced as a part of a company-wide risk management. In addition, for supply chain processes that use a lot of water and generate a lot of wastewater, we carefully assess risks associated with available water resources and flood risks.
Furthermore, we conducted a survey on the actual water conditions and fluctuations in water prices for the factories that were risk-assessed and identified factories that have water risks. In 2022, based on the survey results, we began working with NGOs, government, and other local stakeholders to donate water treatment systems to schools near our factories in Vietnam that are at risk of salt damage. We carried out similar activities in areas where we have stores in Vietnam, and have donated water treatment systems to a total of 21 schools (as at end of August,2024). Through these efforts, Fast Retailing is supporting communities at risk of salt damage and bringing water to those who need it as effectively as possible. We are also working to understand the production areas of raw materials and water risks in the region.
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Targets
Fast Retailing carries out its Water Action Plan to bring the local water environment into a healthy state, preventing and reducing water pollution and excess water usage.
Fast Retailing
・Water risk assessment and environmental management at stores and offices
We carry out water risk assessments for stores and offices on a regular basis, implementing measures to reduce water-related risks such as flood risk. We also undertake initiatives to identify and resolve local water-related risks and issues.
Supply Chain
・Reduce water use
Focusing on areas with high water supply risk and factories that use a lot of water, we evaluate water use at our partner factories, working with them to reduce water consumption. We have set a reduction target of 10% per unit* of water withdrawal by end 2025 compared to 2020 levels at each of the major garment factories and fabric mills accounting for 80% of the water withdrawal in 2020 to make our products.
* "Per unit" refers to one unit of production volume. The production volume is measured by kilograms, meters, the number of products (pieces), etc.
・Introduce water-saving technologies
Through collaboration with factories, we aim to introduce technologies that use less water. For example, we have developed "Blue Cycle", a technology that drastically reduces water consumption through the use of nanobubble and ozone-wash innovations in denim finishing processes, which are used to achieve the "wash" and "damage" characteristics of jeans. We had introduced this technology for jeans produced and sold by all brands under the Group by December 2020.
・Implement water treatment
Fast Retailing requires its core garment factories and fabric mills to conduct wastewater testing based on the ZDHC (Zero Discharge of Hazardous Chemicals) wastewater guidelines and to upload and disclose results on ZDHC's information platform, 'ZDHC Gateway'. If hazardous chemicals are detected in wastewater, we require factories to submit a root cause analysis and an improvement plan based on the analysis results. Based on the improvement plans submitted by factories, Fast Retailing employees visit factory facilities to provide technical support and on-site coaching as needed. We aim to achieve zero wastewater pollution (100% of the overall compliance rate towards zero wastewater pollution) in our partner factories by the end of December 2030.
・Reduce water usage related to raw materials
When planning products, we encourage the use of materials that can be produced with less water, reducing water consumption. Specifically, our goal is to achieve 100 % procurement of sustainable cotton among all Fast Retailing Group brands by the end of December 2025. The definition of sustainable cotton includes cotton procured from areas where improvements have been made regarding water usage.
Please see the details of sustainable cotton in the related links below.
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Customers
・Reduce water consumption by consumers using products
We are researching ways to reduce the amount of water used for washing clothes. We intend to inform our customers about low-water cleaning methods that use less water and energy, which reduces the impact on the environment.
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Fast Retailing Initiatives
Water risk assessment at stores and offices
We carry out water risk assessments for stores and offices on a regular basis, implementing measures to reduce water-related risks such as flood risk. We also undertake initiatives to identify and resolve local water-related risks and issues. For example, for facilities that are identified to have a high risk of flooding, we have formulated and are implementing measures to prevent and reduce that risk by using hazard maps and water-stopping plates and sandbags. In addition, we are promoting efforts to reduce environmental impact, including water saving.
Supply Chain Initiatives
Production Partners
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・Reduce water withdrawal
We are working with our partner sewing and material factories that account for 80% of total water withdrawal to achieve our goal to reduce each factory's water withdrawal per unit* by 10% from 2020 levels by the end of December 2025. As of December 31, 2023, 51% of factories achieved a reduction of 10% or more in water withdrawal per unit from the 2020 levels. We regularly check the progress of the target factories, and from 2024 we are conducting assessments with the involvement of third-party experts,providing action plans that would lead to further improvements. We are also implementing training to reduce water withdrawal, and sharing the excellent initiatives of our production partners.* "Per unit" refers to one unit of production volume. The production volume is measured by kilograms, meters, the number of products (pieces), etc.
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Training to reduce water withdrawal in factories
・Implement water treatment
In 2013, Fast Retailing made a commitment to achieve zero discharge of hazardous chemicals, and we are working to achieve this commitment. We require our main material and sewing factories to carry out wastewater testing based on the Zero Discharge of Hazardous Chemicals (ZDHC) group's wastewater guidelines. As of the end of December 2024, the compliance rate for wastewater standards at our main sewing and material factories was 99.7%. If any hazardous chemicals are detected from the testing, we require the factory to carry out root cause analysis and submit improvement plans based on the analysis results. Please see the details in the related links below.
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Water-related Data
Fast Retailing
| Scope | Sub-category | Unit | Fiscal 2021 | Fiscal 2022 | Fiscal 2023 | Fiscal 2024 |
|---|---|---|---|---|---|---|
| Head Office: Yamaguchi Headquarters, Roppongi Head Office, and Ariake Head Office | Consumption (Amount of water withdrawal) | m3 | 51,806 | 48,545 | 50,396 | 51,748 |
Supply Chain
| Target | Reducing per-unit*1 water withdrawal by 10% by end 2025 compared to 2020 levels at each of the major garment factories and fabric mills accounting for 80% of the water withdrawal in 2020 to make our products. | |||||
|---|---|---|---|---|---|---|
| 2023 progress | 51% of the factories achieved the above target. | |||||
| Scope | Sub-category | Unit | January to December 2020 | January to December 2021 | January to December 2022 | January to December 2023 |
| "UNIQLO and GU Garment factories*3,4 |
Amount of water withdrawal*2 |
m3 | 10,803,670 | 10,015,880 | 11,377,616 | 11,460,375 |
| Amount of water discharge*2 |
9,009,059 | 8,060,037 | 9,476,521 | 9,580,994 | ||
| Amount of water consumption*2 |
1,794,611 | 1,955,843 | 1,901,095 | 1,879,381 | ||
| "UNIQLO and GU Fabric mills*3,4,5 |
Amount of water withdrawal*2 |
30,336,061 | 35,283,409 | 36,747,927 | 33,187,387 | |
| Amount of water discharge*2 |
25,280,679 | 28,755,387 | 31,459,308 | 28,427,189 | ||
| Amount of water consumption*2 |
5,055,382 | 6,528,022 | 5,288,619 | 4,760,198 | ||
- "Per-unit" refers to one unit of production volume. The production volume is measured by kilograms, meters, the number of products (pieces), etc. for each factory.
- The definitions of mont ot water withdrawal, discharge and consumption are follows.
Amount of water withdrawal:The sum of all water drawn into the boundaries of the undertaking from all sources for any use over the course of the reporting period.
Amount of water discharge:Sum of effluents, used water or other water leaving the boundaries of the organisation and released to surface water, groundwater, seawater or a third party, for which the organisation has no further use, over the course of the reporting period
Amount of water consumption:The amount of water drawn into the boundaries of the undertaking (or facility) and not discharged back to the water environment or a third party over the course of the reporting period. Water consumption is equal to water withdrawal less water discharge. - For factories that have introduced the Higg Facility Environmental Module (Higg FEM), which is a standard factory environmental impact assessment tool for the apparel industry, we have used the figures reported by the factories (some of which were verified by a third party before being reported), and for other factories, we have estimated the figures based on production volume and calculated the overall figures.
- We have only disclosed the amount of water consumption (= the amount of water withdrawal), but in order to more accurately reflect the situation, we have divided the figures for 2020 and beyond into the categories of water withdrawal, discharge, and consumption. In addition, we have expanded the scope of the figures for 2020 to 2022 and made the calculations more precise, and we have made retrospective revisions.
- The scope of GU covered only some part of factories until 2021, and expanded to cover all factories from 2022.
