Strategic Focus: Understanding ESG & Sustainability Regulations And Reporting In Japan

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Executive Summary

Sustainability is a critical consideration in Japan, with economic, social and geographical factors at play. The country frequently finds itself in the path of extreme weather and geological events. Its history of product innovation and – more recently – competition in a global marketplace have significantly contributed to the development of its macroeconomic strategy and social policy. Bringing each of these factors together, Japan’s government is focused on building a regulatory landscape that promotes resilience and transparency. This report provides executives with an overview of Japan’s sustainability landscape and how they can prepare for entering its markets.
Japan’s ESG and sustainability regulatory regime is evolving
Historical influences and current necessities drive Japan’s ESG and sustainability agenda
Transparency and investor demand drive regulatory focus on resilience and opportunity
Firms in Japan should prepare themselves for the opportunities on offer

Figure 1. Japan’s key sustainability visions, policies and regulations
Figure 2. Timeline of circular economy models in Japan
Figure 3. Changes in Japan’s Corporate Governance Code


About the Authors

Callum Millard

Callum Millard

Analyst

Callum is an Analyst in the Verdantix ESG & Sustainability practice. He holds an LLB from Royal Holloway, University of London, and an LLM in Global Environment and Climat…

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Kim Knickle

Kim Knickle

Research Director, ESG & Sustainability

Kimberly Knickle is Research Director of the ESG & Sustainability practice at Verdantix. Her research areas encompass ESG regulations and reporting, ESG risk, supply chain…

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