Hyundai Wia Receives ESG Evaluation A+ Grade... "Only One Among Auto Parts Companies"

Hyundai Wia announced on the 30th that it has received an integrated A+ rating in the ESG (Environmental, Social, and Governance) evaluation conducted by the Korea Corporate Governance Service (KCGS).

Hyundai Wia achieved an integrated A+ rating by receiving an A+ grade in the environmental and social responsibility sectors and an A grade in the governance sector. Among South Korean automotive parts companies, Hyundai Wia is the only one to have earned an integrated A+ rating. The Korea Corporate Governance Service evaluates the ESG management of approximately 790 major domestic companies based on this year’s standards and assigns ratings accordingly.

In this evaluation, Hyundai Wia received high marks in the environmental category. The company-wide efforts to address climate change and reduce carbon emissions were key factors behind the positive evaluation. Hyundai Wia currently discloses its mid- to long-term carbon neutrality roadmap and waste management details. To achieve carbon neutrality by 2045, the company has reduced energy consumption and expanded the purchase of renewable energy. Based on this, Hyundai Wia plans to reduce carbon emissions by about 45% by 2030 compared to 2021 levels and cut emissions by 80% by 2040.

Hyundai Wia is also committed to environmental protection. In fact, it has significantly reduced greenhouse gas emissions and energy consumption. Last year, the total energy consumption at Hyundai Wia’s domestic business sites was 3,209 TJ, and greenhouse gas emissions amounted to 155,623 tCO2eq, representing decreases of 12.4% and 14.5%, respectively, compared to the previous year. Additionally, for its representative product, the constant velocity joint, Hyundai Wia measures and discloses the environmental impact generated during the production process.

Hyundai Wia also received high scores in the social sector. It was recognized for fostering a culture of mutual growth with partner companies and helping them establish sustainable management systems together. Hyundai Wia first established an ESG diagnostic system for its partners, enabling 123 partner companies to engage in ESG management last year. This year, 214 partner companies were assessed. Hyundai Wia also conducts joint research and development and provides free training to help its partners strengthen their competitiveness. Earlier in September, Hyundai Wia was selected as an honorary company for outstanding mutual growth.

In the governance sector, Hyundai Wia received a rating one level higher than last year. This improvement was due to the establishment of a 'risk management system' to practice ethical management and securing board diversity by appointing female outside directors.

Hyundai Wia aims to continuously strengthen ESG management and fulfill its social responsibilities as a global company. A Hyundai Wia official stated, "As a global company, all Hyundai Wia employees will work together to grow alongside all stakeholders."