Nidec Adopts Internal Carbon Pricing

Nidec Corporation (TSE: 6594; OTC US: NJDCY) (“Nidec”) today announced the adoption of Internal Carbon Pricing (ICP), effective from September 2025. Under this system, Nidec sets an internal price on its own carbon emissions, which will serve as a reference in the company’s investment decision. Having launched ICP at the corporate level, Nidec will gradually roll it out to its group companies.

The Nidec Group has set med- and long-term targets to reduce its CO₂ emissions from business activities by 42% by FY 2030 (compared to a FY 2022 baseline) and to achieve net-zero by FY 2040. Through the adoption of ICP, Nidec aims to enhance each employee's understanding of the impacts of climate change on business and to accelerate its initiatives toward achieving these goals.

Outline of ICP

• ICP : JPY 20,000 / t-CO2
• Carbon Emissions Covered by ICP :
  ・Scope 1 (Direct emissions from sources owned or controlled by Nidec)
  ・Scope 2 (Indirect emissions from the use of purchased electricity and other sources of energy consumed by
  Nidec)
• Equipment and Measures Covered by ICP :
  ・Upgrades to more energy-efficient equipment, such as production facilities, lighting, and air conditioning.
  ・Installing photovoltaic systems and introducing or expanding the use of renewable energy procured from
  external sources.
• Application Method: For applicable investments, Nidec will convert potential Carbon emissions into a monetary value and factor it into our investment decision.

The Nidec Group remains committed to collectively advancing its initiatives to realize a net-zero future and contributing to the resolution of climate change.