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Editing policy NIPPON STEEL
Steel products that are created from the spirit of This financial year’s environmental report is the tenth issue since Nippon Steel
Sustainability Report
technical advancement are heading for a new
published its first environmental report in 1998, which also marked the first
environmental report ever published by a Japanese steelmaker. As a general rule,
this report is concerned primarily with Nippon Steel’s “Environmental Report” and
sustainable society.
“Social Report.” Part of the report also covers the activities of our Japanese and
overseas affiliates, which are set out below.
[Applicable scope of report]
One third of the earth’s weight consists of iron. Nippon Steel Corporation
Economic Report –3
This extremely valuable resource is widely distributed and also recycled throughout the world.
[Affiliates (Set out in the order of the Japanese syllabary)] Corporate Profile and Business Activities 
As a steel manufacturer who produces and recycles steel with top efficiency, IN-Coat (USA), IN-Tec (USA), Isuzu Corporation, NS Okamura Corporation, NS Bolten Financial Indicators 3
we are reputed to be top class in the world. Co., Ltd., Osaka Steel Co., Ltd., Kazusa Clean System Co., Ltd., Kyushu Oil Co., Ltd.,
Kyushu Techno Research Co., Krosaki Harima Corporation, Keiyou Tekkou Futou,
Godo Steel Ltd., Kowa Seiko Co., Ltd., Siam Tinplate Co., Ltd. (Thailand), Siam United Message from the President 4
Steel (Thailand), Sangyo Shinko Co., Ltd., Sanko Metal Industrial Co., Ltd., Sanyu
Co., Ltd., Geostr Corporation, Japan Pail Corporation, Nippon Steel Engineering Nippon Steel’s Activities that Exceed 0
Co., Ltd., Nippon Steel Chemical Co., Ltd., Nippon Steel & Sumikin Stainless Steel National Boundaries (2006 – 2007)
Corporation, NS Solutions Corporation, Nippon Steel City Produce Inc., Nippon Steel
Materials Co., Ltd., Suzuki Metal Industry Co., Ltd., Steel Center Co., Ltd., DNP Ellio
Co. Ltd., Taihei Kogyo Co., Ltd., Daiwa Can Company, Tsurumi Steel Tube Co., Ltd., Environmental Report –38
Tetsugen Corporation, Tetra Co., Ltd., Denkishizai Co., Ltd., Tokai Color Co., Ltd., Energy and Resources: Their Interrelationship 
Tokai Steel Industries Co., Ltd., Tokyo Econ Kentetsu Co., Ltd., Nakayama Steel Based on Recycling and Its Impact
Works Ltd., Nishi-Nippon PET Bottle Recycle Co., Ltd., Nichia Steel Works, Ltd., Nittai on the Environment
Corporation, Nippon Steel Transportation Co., Ltd., Nippon Steel Kankyo Engineering Medium-term Environmental and Disaster Prevention 4
Co., Ltd., Nittetsu Environmental Plant Service Corporation, Nippon Steel & Sumikin Management Plan and Management System
Plastic wastes Steel scrap Metal Products Co., Ltd., Nittetsu Steel Pipe Co., Ltd., Nippon Steel & Sumikin Coated
Sheet Corporation, Nittetsu Column Co., Ltd., Nippon Steel Composite Co., Ltd.,
Targets and Achievements for FY2006 5
The Nippon Steel Group is H2 Nippon Steel & Sumikin Welding Co., Ltd., Nippon Steel Trading Co., Ltd., Nittetsu 1. Promotion of Global Warming Countermeasures 6
promoting measures against Cement Co., Ltd., Nippon Steel Techno Research Corporation, Nittetsu Denji Techno 2. Participation in the Creation of a 
global warming from the two Corporation, Nippon Steel Drum Co., Ltd., Nippon Steel Logistics Co., Ltd., Nittetsu Recycling-oriented Society
Anti-Corrosion Co., Ltd., Nippon Micrometal Corporation, Japan Casting & Forging
aspects of steelmaking (right Corporation, Nippon Tubular Products, Co., Ltd., Nihon Teppan Co., Ltd., Hirohata 3. Promotion of Environmental Risk Management 8
part of figure) and recycling Denjiko Center Co., Ltd., Fuji Steel Center Co., Ltd., Hokkai Koki Co., Ltd., Hokkai 4. Promotion of Environmental and 30
of used products (left part of Products Products Iron & Coke Corporation, Micron Co., Ltd., Matsubishi Metal Industry Co., Ltd., Mitsui Disaster Prevention Management System
figure), fulfilling the role of a Mining Company, Limited, Mitsui Bussan Coil Center Co., Ltd. 5. Offering Environmental and Energy Solutions 34
so-called nodal point of a new
social system that realizes a [Applicable period of report]
recycling-oriented society. The numerical data applies to FY2006 (April 2006 – March 2007). However, the Social Report 39–50
Materials (plastic) Materials (steel) contents of some activities are applicable to the period between April and July
We are also engaged in the Nippon Steel’s Social Responsibility and Trust 40
manufacture of hydrogen (next 1. Partnerships with Shareholders and Investors 4
generation energy) using our 2. Partnerships with Customers and Suppliers 43
world top-level technology,
and are leading the world’s Recycling Steelmaking Improvements in the 2007 Issue 3. Partnerships with Employees 44
4. Partnerships with Local Communities 46
steel industry in aiming at a l In the Message from the President and the countermeasures against global
warming, particular emphasis has been placed on international activities 5. Partnerships with Children and Students 47
sustainable society.
(sectoral approach) related to transfer of technology and development of 6. Partnerships with External Organizations 48
groundbreaking technology which the steel industry, including Nippon Steel, is and NGOs
aiming at, with our sights on the post-Kyoto Protocol era commencing 2013.
7. Communications with Stakeholders 49
l Among the countermeasures against global warming, the parts of the
report concerning new activities in the logistics department, research and 8. Awards and Commendations from 50
development, and the construction of a framework covering international External Organizations
technology transfer, as well as the reduction of CO2 emissions in the production
process, were expanded.
l In the creation of a recycling-oriented society, regarding recycling of byproducts, Environmental Data Collection 5–57
and so on, from society and other industries, a more readily understandable Opinions from Readers and Action Taken 58
description is set out concerning the recycling of waste plastic and waste tires. Third Party Comment and Editor’s Postscript 59
l A description of the reduction of the environmental burden of society and
the contribution to environmental protection through corporate activities by Nippon Steel’s Forest Creation 60
business segments other than steelmaking-related business departments is
also included in the report.
l The “Social Report” contains a more substantial description concerning various
stakeholders and also future policy.
l The amount of text has been reduced and also technical diagrams and graphs
have been arranged as a collection of data at the end of the report in an
attempt to make the report more accessible and easy to read.
* The character illustration appearing in this report is “Shigen-kun” who is made from a steel can.
* You can see the environmental reports that we have published up to the present day in the “Environmental Management” area of our website. URL http://www0.nsc.co.jp/kankyou/
* This report was edited and prepared making reference to various guidelines such as the “Guidelines for Environmental Reports” of the Ministry of the Environment and “GRI (Global Reporting Initiative)
Sustainability Reporting Guidelines Version 3.0”.
Economic Report Financial Indicators
Changes in consolidated net sales (Unit: Billion of yen) Changes in consolidated ordinary profit/loss (Unit: Billion of yen) Changes in consolidated net income (Unit: Billion of yen)
2,749 2,926 3,389 3,906 4,302 68.8 172.8 371.4 547.4 597.6 41.5 220.6 343.9 351.2
5,000 600 400
Corporate Profile
4,000 300
Name: Nippon Steel Corporation 400
3,000 200
Head office: 6-3, Otemachi 2-chome, Chiyoda-ku, Tokyo 100-8071
Phone: 03-3242-4111
2,000 100
Established: April 1, 1950 (Nippon Steel Corp. was formed on March 31, 1970) 51.7
1,000 0
President & CEO: Akio Mimura 100
Capital: ¥419.524 billion (the total number of shareholders is 412,484) 0 0 100
2002 2003 2004 2005 2006 (FY) 2002 2003 2004 2005 2006 (FY) 2002 2003 2004 2005 2006 (FY)
Listed on: Tokyo, Osaka, Nagoya, Fukuoka, and Sapporo Stock Exchanges
Number of employees: 47,257 (on a consolidated basis)
Group companies: 234 subsidiaries are subject to consolidated accounting, and 50 to the application of Changes in the number of employees (consolidated) Changes in the production volume for crude steel* (Unit: Million tons) Consolidated net sales by region
the equity method. This Sustainability Report covers these group companies. 49,400 46,233 46,451 46,143 47,257
Economic Report
Economic Report
60,000 40
35.9 36.6
50,000 34.8
34.7 Exports
30 27%
40,000 Regional Breakdown:
Asia FY2006 net
sales by Japan
North America 7%
Relationship between business activities and stakeholders 30,000 20
Europe 5%
region 73%
20,000 Latin America 7%
Shareholders and investors 10 Middle East 5%
Nippon Steel Corporation We issue information in a timely manner, aim to provide more Pacific 3%
opportunities for explanatory meetings and discussions, and 0 0
Africa 1%
also strive to carry out more substantial IR activities through 2002 2003 2004 2005 2006 (FY) 2002 2003 2004 2005 2006 (FY)
Consolidated corporate functions
Steelmaking operations bidirectional communication. *Figures cover Nippon Steel and five affiliated electric furnace companies (see page 16).
Customer and supplier Percentage distribution of consolidated turnover in terms of business segments (Unit: %)

Use: 0.0529