Climate risk analysis extended to overseas operations

Board evaluation system, AI guidelines introduced for first time

[Provided by CJ Logistics]
[Provided by CJ Logistics]

CJ Logistics announced Sunday it has published its 2025 Sustainability Report, centering on six material issues: climate change response, customer satisfaction, labor practices, supply chain sustainability, safety and health, and ethical management.

The report focuses on strengthening data reliability and disclosure standards across climate, environmental, social and governance areas in line with tightening global ESG reporting requirements. Particularly notable are the expansion of climate risk management to overseas operations and upgrades to the company's green business performance management and board governance frameworks.

To prepare for broader climate-related disclosure requirements, CJ Logistics extended its climate risk analysis from the United States to major overseas operations in India, Vietnam and Malaysia. The analysis covered physical risks from climate disasters such as droughts, floods and cold waves, as well as transition risks tied to stricter carbon regulations and the adoption of low-carbon technologies, and examined the financial impact by asset type and business segment. The company plans to use the findings to guide future investment in domestic and overseas logistics infrastructure and to shape its operational strategy.

CJ Logistics also built a framework to systematically manage its green business performance. Applying the government's Korean Green Taxonomy (K-Taxonomy), the company established a system to track green sales, enabling objective measurement of results across eco-friendly businesses such as sustainable packaging and liquefied hydrogen transport.

The company expanded its resource-circulation activities as well, collecting and transporting 245 metric tons of waste materials in collaboration with various businesses and institutions. The effort earned CJ Logistics a commendation from the minister of environment.

On the governance front, CJ Logistics introduced a board evaluation system for the first time. The company plans to conduct annual assessments covering nine areas — including board composition, operations, roles and responsibilities — to improve the board's effectiveness and transparency.

The company also established a new management framework for artificial intelligence use. In step with its growing AI adoption, CJ Logistics drew up AI usage guidelines setting out ethical standards and governance principles, and put in place a system for responsible AI deployment.

"The core of this report is the significant strengthening of our data management systems and the reliability of our disclosures in line with global ESG reporting standards," a CJ Logistics official said. "We will lead the way in building a sustainable logistics ecosystem grounded in climate change response, eco-friendly logistics and responsible governance."

Meanwhile, CJ Logistics signed an MOU with the National Agricultural Cooperative Federation last month to pursue mutual cooperation leveraging logistics expertise in support of rural communities, and has continued a range of social contribution activities — including volunteer work at farms — as part of its corporate social responsibility efforts.


eyre@heraldcorp.com