NYK has been selected for the Dow Jones Sustainability Indices (DJSI),* the world's leading investment indexes for ESG (environmental, social, and governance) criteria, for an 18th straight year.

The DJSI, which is a major global index for companies engaging in ESG initiatives, is composed of selected sustainability-driven companies from over 3,500 worldwide companies invited to participate in a selection process consisting of an in-depth analysis of economic, environmental, and social criteria, such as corporate governance, risk management, climate change, and stakeholder relations.

In addition to the FTSE4Good Index for which NYK was selected for an 18th straight year and the FTSE Blossom Japan Index for which NYK was selected for a fourth straight year in July, the DJSI is an important selection standard for investors who value corporate social responsibility and sustainability.

NYK continues to fuse the Group’s growth strategy with ESG and promote various initiatives to solve social issues in order to achieve sustainable growth.

* Dow Jones Sustainability Indices (DJSI): The results of the annual DJSI review are announced by S&P Dow Jones Indices LLC, the world's largest global resource for index-based concepts and data, in cooperation with SAM, which is part of S&P Global and a specialist in ESG research and data.

At the end of September NYK's Zenith Leader loaded the first shipment of Xpeng G3 Electric Vehicles to the European Market from China.

The vehicles arrived in Zeebrugge on the 3rd November at ICO's Terminal.

With a fleet of 111 RORO vessels and terminals already well equipped to receive electric vehicles, the NYK Group is ready to support the changing market conditions with the increase in demand for electric vehicles.  

- Remarkable Step Towards CO2 Reduction Target in 2050 -

On October 28, NYK took delivery of Sakura Leader, a pure car and truck carrier (PCTC) capable of navigating oceans with only LNG as the ship’s main fuel. This delivery marks a remarkable step toward achieving NYK’s environment management target, which is to reduce CO2 emissions per ton-kilometer of transport by 50% by 2050. The vessel was built at the Shin Kurushima Dockyard of Shin Kurushima Toyohashi Shipbuilding Co. Ltd.

The ship is the first large LNG-fueled PCTC to be built in Japan. Vessel modification and the switch to LNG will make the ship up to approximately 40% more energy efficient (by reducing CO2 emissions per unit of transport) compared to ships using conventional heavy oil fired engines. The vessel is also expected to reduce sulfur oxide (SOx) emissions by approximately 99% and nitrogen oxides (NOx) by approximately 86% compared to ships using conventional heavy oil fired engines. The vessel will be contributing to clean marine transport by carrying vehicles produced by the Toyota Motor Corporation and other car manufacturers.

Sakura Leader was selected as a model project by Japan’s Ministry of Environment and Ministry of Land, Infrastructure, Transport and Tourism, and will receive support from the ministries for technical verification of CO2 emission reductions during actual voyages.

NYK is positioning LNG fuel as one of the bridge-solutions until future zero-emission ships are realized. NYK plans to switch all its newly built PCTCs to LNG-fueled vessels about a decade in the future, and is aiming to further advance to zero-emission vessels utilizing low-emission marine fuels such as hydrogen and ammonia from around the mid-2030s.

In accordance with its medium-term management plan “Staying Ahead 2022 with Digitalization and Green,” the NYK Group has incorporated environmental, social, and governance (ESG) criteria in the company’s business strategies, and seeks to enhance the company’s corporate value as well as contribute to the sustainable development of society through business activities. Promoting replacement to next-generation eco-friendly ships in the PCTC fleet is one of the group’s activities.

 

On October 27, NYK changed the name of LLC Rolf Logistic, which was made a wholly owned subsidiary in July, to LLC NYK Auto Logistics (Rus).

Within the Russian Federation, the company provides comprehensive finished-vehicle logistics services that include inland transportation of finished vehicles, port terminal operations, and storage services.

In 2012, NYK entered into a joint venture agreement with the Rolf Group to provide customers with comprehensive finished-vehicle logistics services that included sea transportation and inland logistics within Russia.

NYK has made now LLC Rolf Logistic a wholly owned subsidiary and changed its name to LLC NYK Auto Logistics (Rus) to strengthen the NYK Group’s finished-vehicle logistics business under a united NYK brand within Europe and Central Asia to meet the continuing strong demand for finished-vehicle transport in Russia and support inland cross-border transportation and car-parts logistics.

In accordance with its medium-term management plan “Staying Ahead 2022 with Digitalization and Green,” the NYK Group is making efforts to optimize its supply chain and create new value through digitalization and green initiatives. The Group will continue to utilize its considerable expertise and global network to develop competitive automotive logistics services that meet the various logistics needs of our customers.

Overview of LLC NYK Auto Logistics (Rus)

CEO: Alexander A. Larin
Capital: 4,219,900 Russian rubles
Headquarters: Moscow, Russia
Business:
(1) Inland transportation of finished vehicles by trailers and railroad
(2) Operation of inland terminal that provides storage and PDI services* for finished vehicles
(3) Operation of port terminal that features storage, cargo handling, and a shipping agency business
(4) Customs clearance business

* PDI (pre-delivery inspection): Services for finished vehicles such as final inspections, repairs, and parts application before delivery to car dealers

On October 28, NYK-operated Sakura Leader, Japan's first LNG-fueled pure car and truck carrier (PCTC), was accredited by Nippon Kaiji Kyokai as the world's first Digital Smart Ship (DSS), a ship class code (notation)* confirming that the vessel is equipped with advanced digital technology.

Background

NYK’s medium-term management plan "Staying Ahead 2022 with Digitalization and Green," encourages the development of ship operation data-related systems such as SIMS** and LiVE for Shipmanager,*** in addition to participation in the i-Shipping project**** and the assurance of optimal safe, economical operations. This DSS acquisition applies to the latter.

Acquisition of DSS Notation

Nippon Kaiji Kyokai’s DSS notation was developed with the aim of supporting environmental conservation, safety improvement, and sustainable development at sea by promoting the expansion and development of new technologies. This particular accreditation was for DSS (Energy Efficiency), which applies to the analysis of energy consumption efficiency; DSS (Machinery Monitoring), which applies to engine monitoring, data processing on board, and data transmission to land; and DSS (Connected Ship).

The accreditation confirms that the vessel is making advanced efforts through the use of innovative technology. The acquisition of these three notations is more than just a concept-design recognition; in fact, Sakura Leader is the world’s first accredited ship to engage in actual operations.

With the support of Japan’s Ministry of the Environment and the Ministry of Land, Infrastructure, Transport and Tourism's "Model Project for CO2 Emission Reduction Measures from Ships by Utilizing Alternative Fuels," this vessel will make maximum use of LNG fuel and demonstrate carbon dioxide (CO2) emission reduction in actual operations. Functions related to this DSS notation will also be utilized in measurement of emission reduction.

Future

The acquisition of this notation aims to further improve environmental protection and safety by making use of our technical know-how and utilizing it for future technological development. Through these efforts, we will strive to explore and create new needs for our customers.

Based on the business strategy formulated in NYK’s medium-term management plan, the Group will develop business for advanced safe operation through the digitization of ships, further improvement of efficiency, and reduction of environmental loads.


* Ship Class Code (Notation)
Codes given by each classification society to ships and systems that meet requirements

** SIMS (Ship Management Information System)
A system developed by the Group for timely sharing of detailed ship data such as operation status, fuel efficiency, and plant status between ships and shore

*** LiVE for Shipmanager
An application that gathers various operation data collected by SIMS and enables shipowners and ship-management companies to use it for optimal operation and safe operation with low fuel consumption

**** i-Shipping
A project launched mainly by Japan’s Ministry of Land, Infrastructure, Transport and Tourism (MLIT) in response to rising expectations for the advanced safety of vessels that utilize IoT in the shipping industry. NYK and MTI Co. Ltd. are participating in projects such as "engine plant accident prevention" and "collision prevention and autonomous ship maneuvering."