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Lenovo ESG

Environmental Targets

FY 2024/25 EMS Objectives & Targets

Product Aspects: Product Energy Consumption & Emissions

Objectives	Metric/KPI	Target(s)	Notes
Drive reduction in product energy use.	Energy efficiency	Notebooks: By FY 2029/30, we will achieve 30% improvement in energy efficiency of Lenovo notebooks (on average for comparable products relative to FY 2018/19). Excludes gaming notebooks.	Where new products do not belong in a sub-category a part of the Company’s sub-targets, they default to the general energy efficiency improvement relative to the previous generation of the product. Exemption from targets may be requested if it can be clearly demonstrated that achieving the target places the product at a large price disadvantage against its competition or is not technically feasible.
		Desktops: By FY 2029/30, we will achieve 50% improvement in energy efficiency of Lenovo notebooks (on average for comparable products relative to FY 2018/19).
		Servers: By FY 2029/30, we will achieve 50% improvement in energy efficiency of Lenovo notebooks (on average for comparable products relative to FY 2018/19).
		MBG products: By FY 2029/30, we will achieve 30% improvement in energy efficiency of Lenovo notebooks (on average for comparable products relative to FY 2020/21).
Drive product emissions reductions from use of sold products.	Greenhouse gas emissions	Reduce Scope 3 GHG emissions (value chain) from use of sold products ~35% on average for comparable product by FY 2029/30 from a FY 2018/19 base year.
Quantify lifecycle CO₂e emissions and environmental footprints associated with the use of Lenovo products.	Product Carbon Footprint (PCF) (kg CO₂e)	Ensure product carbon footprint is published for all new Lenovo products.	Calculated for product categories for which a Product Attribute to Impact Algorithm (PAIA) tool exists.
Quantify lifecycle CO₂e emissions and environmental footprints associated with the use of Lenovo products.	PCF (kg CO₂e) and the other environmental footprints	Optimize Lenovo Life-Cycle Assessment (LCA) platform, study and phase-in LCA solutions in FY 2024/25.
	PCF (kg CO₂e) and the other environmental footprints	Perform LCA for at least fifteen selected Lenovo products, materials or technologies in FY 2024/25.

Product Aspects: Product Materials

Objectives	Metric/KPI	Target(s)	Notes
Products contain recycled material.	% products containing PCC	By FY 2025/26, 100% of PC products will contain post-consumer recycled content materials.	Excludes tablets and accessories.
	PCC plastic weight	By FY 2025/26, we will use 300 million pounds of post-consumer recycled content plastics in our products.	Cumulative total since 2005.
	% products containing PCC	In FY 2024/25, at least one product per category, needs to meet PCC plastic content by weight levels as follow: • Desktops/ Workstation 45% • All In One 50% • Notebooks 20% • Tablet 15% • Visual 85% • Servers 10% • Smartphones 10%
	Low halogen parts	By FY 2025/26, 100% of smartphone products and accessories will be free of PVC and BFR.	Controlled at 1,000 ppm.

Product Aspects: Packaging

Objectives	Metric/KPI	Target(s)	Notes
Minimize packaging material consumption while driving the use of sustainable materials.	Weight or volume reduction	Achieve 5% reduction in packaging weight or volume for at least 1 product.	Compared to the packaging of the previous generation of the product.
	Plastic elimination	Eliminate 100,000 km of single use plastic packaging tape by FY 2025/26).	Cumulative starting from 2018.
	Plastic elimination	Expand plastic-free packaging to Moto G Plus Products.
Increase sustainable material in packaging.	% Recycled content or sustainable material	Expand Ocean Bound Plastic (OBP) material usage from bag to cushion (containing 30% OBP) for 1U servers.	1U models include SR630 v2/v3, SR645 v3, and SR635 v3.
		Identify five additional Lenovo products for which to implement use of 100% renewable bio-based packaging.
		By FY 2025/26, 60% of smartphone packaging will be made from recycled materials.	Excludes Lenovo smartphone packaging. Includes RAZR smartphone packaging starting in FY 2023/24.
		By FY 2025/26, smartphone packaging will use 50% less single-use plastics and achieve 10% reduction in weight or size.	Relative to FY 2020/21. Excludes Lenovo smartphone packaging. Includes RAZR smartphone packaging starting in FY 2023/24.
		By FY 2025/26, 90% of PC products plastic packaging will be made from recycled materials.

Location Aspects: Site Air Emissions

Objectives	Metric/KPI	Target(s)	Notes
Absolute reduction in CO₂e emissions from Lenovo operations worldwide.	Scope 1 and 2 GHG emissions (metric tons CO₂e)	Reduce absolute Scope 1 and 2 GHG emissions by 50% by FY 2029/30 from a FY 2018/19 base year.	This goal may be accomplished through energy efficiency, installation of onsite renewable generation, entry into power purchase agreements (PPA) with power providers, and/or the purchase of renewable energy commodities. Scope 2 emissions are market-based.

Location Aspects: Site Energy Consumption

Objectives	Metric/KPI	Target(s)	Notes
Maximize energy efficiency and minimize CO2e emissions associated with the development, manufacture and delivery of Lenovo products	% total electricity from renewable energy sources	By FY 2025/26, 90% of our global operations’ electricity will be obtained from renewable sources.	This goal may be accomplished through installation of onsite renewable energy generation, entry into power purchase agreements (PPA) with power providers and/or the purchase of renewable energy credits.
	Energy consumption in kWh per production volume	Achieve year-over-year improved energy intensity index at manufacturing sites globally, relative to the previous FY.	Energy intensity index is energy consumption in kWh per production volume.
	Electricity consumption in kWh per person	Achieve year-over-year improved electricity intensity at R&D and office sites globally, relative to the previous FY.	Electricity intensity is electricity consumption in kWh per person.

Location Aspects: Waste Management

Objectives	Metric/KPI	Target(s)	Notes
Minimize environmental impacts associated with solid waste generated from Lenovo operations and products	% non-hazardous solid waste recycled	Maintain a global non-hazardous waste recycling rate > 90% (+/-5%).	Percent of non-hazardous solid waste disposed of through reuse, recycling, or composting. Does not include incineration with energy recovery.

Location Aspects: Water Management

Objectives	Metric/KPI	Target(s)	Notes
Minimize environmental impacts associated with water withdrawal from Lenovo operations and products.	Water withdrawal in metric tons per capita.	Achieve reduction of 1.8 metric tons in water withdrawal per capita at manufacturing sites globally by FY 2029/30.	Relative to a base year of FY 2018/19. Excludes service and repair sites.

Supply Chain Aspects: Product End-of-Life Management

Objectives	Metric/KPI	Target(s)	Notes
Minimize the environmental impact of Lenovo products at end of life.	Recycle, repair, and reuse Lenovo products and parts	By FY 2025/26, we will have enabled the recycling and reuse of 800 million pounds (362,874 MT) of end-of-life products.	Cumulative total since 2005.
		By FY 2025/26, 84% of epairs can be done at the customer site, without having to send their PC to a service center.	Excludes Android tablets and visuals.
		By FY 2025/26, 76% of repairable PC parts returned to each service center will be repaired for future use.	Measured by value.

Supply Chain Aspects: Supplier Environmental Performance

Objectives	Metric/KPI	Target(s)	Notes
Monitor and mitigate environmental impact in the Lenovo supply chain, and drive to improve suppliers’ environmental management.	Product suppliers’ GHG emissions reduction/ removal	By FY 2025/26, we will remove one million tons of greenhouse gas emissions from our supply chain (relative to FY 2018/19 measured emissions).	Relative to FY 2018/19 measured emissions.
	Emissions (Scope 3) from purchased goods and services per million US$ gross profit	Reduce Scope 3 GHG emissions (supply chain) from purchased goods and services 66.5% per million US$ gross profit by FY 2029/30 from a FY 2018/19 base year.
	Product suppliers’ renewable energy usage	Engage in a total of 35 product suppliers to source 1/3 of energy from renewable sources for Lenovo-related businesses.
	CDP Climate Change Questionnaire response rate	Achieve 95% of Lenovo product suppliers based on procurement spend to respond to CDP Climate Change questionnaire.
	Suppliers’ SBT participation	Achieve 52% of Lenovo product suppliers based on procurement spend to commit/have science-based emission reduction targets.

Supply Chain Aspects: Transportation

Objectives	Metric/KPI	Target(s)	Notes
Drive collaborative environmental efforts in Lenovo’s global logistics.	Demand management	Implement two route optimization or weight reduction initiatives.
	Modes of transport	Enable five low-carbon modes of transport for shipments in Lenovo's business groups.
	Fleet and asset utilization and efficiency	Improve fleet and utilization rate in ISG and IDG business groups for the geographical segments of AP, EMEA, and AG.	Geographical segments: • AG – Americas Geography • AP – Asia Pacific • EMEA – Europe, Middle East, Africa Business Groups: • IDG – Intelligent Devices Group • ISG – Infrastructure Solutions Group
	Scope 3 GHG emissions from upstream transportation and distribution	Reduce Scope 3 GHG emissions from upstream transportation and distribution 25% per tonne-km of transported product by FY 2029/30 from a FY 2018/19 base year.

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