Adient : The 2022 Sustainability Report

2022 Sustainability Report

on Environmental, Social and Governance (ESG)

Table of Contents	ESG at Adient	Protecting	People and	Governance and
the Environment	Communities	Compliance

Contents

Appendix

ESG at Adient	3
A Message from Our President and CEO	4
Company Overview	5
Our ESG Strategy	7
What Guides Us	8
Culture of Integrity	10

Protecting the Environment	11
Overview	12
Climate Change	15
Supply Chain Emissions	18
Decarbonizing and Reducing Energy Consumption	20
Air Quality	24
Sustainable Product Design	26
Deforestation and Natural Resources	30
Waste Reduction and Handling	32
Chemicals Management	34

People and Communities	35	Appendix
Overview	36	About this Report
Human Rights	37	Greenhouse Gas Protocol Reporting
Diversity, Equity and Inclusion	39	GRI Index
Supporting Diverse Suppliers	42	ASB Index
Community Engagement	45	TCFD Index
Employee Development	48
Employee Health, Safety
and Well-being	50

Governance and Compliance	52
Overview	53
Ethics and Integrity	54
Bribery and Corruption	56
Trade Compliance	57
Data Privacy	58
Cybersecurity	59
Product Safety	60
Supplier Management	61
Task Force on Climate-related Financial Disclosures	62

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Table of Contents	ESG at Adient	Protecting	People and	Governance and	Appendix
the Environment	Communities	Compliance

ESG at Adient

Table of Contents	ESG at Adient	Protecting	People and	Governance and	Appendix
the Environment	Communities	Compliance

A Message from Our President and CEO

education to create an inclusive culture. In addition, we leverage our high-potential employee development program, Adient Accelerate, to tackle key business challenges through action-learning projects. In fiscal

At Adient, we are committed to a long-term, sustainable transformation that not only limits the impact our business has on the planet, but also focuses on social and economic change to create a better environment for everyone. Stating this commitment is admirable, but putting those words into action is what's important if we wish to enact real change.

In fiscal year 2022, Adient did just that, undertaking many initiatives that continued to further our ESG journey. This included the publication of three important documents: Adient's Deforestation Policy, Human Rights Policy Statement and DE&I Commitment Statement. The Deforestation Policyreiterates our commitment to procuring forest commodities from more sustainable sources to reduce our potential impact on deforestation and climate change. Our Human Rights Policyprovides an overview of our priorities and commitments in the area of human rights, and our DE&I Commitment Statementrecognizes the importance of diversity in enhancing our culture and business performance.

In addition, we have taken concrete steps to enact change though alliances such as our agreement with H2 Green Steelto supply fossil-free steel with a low carbon footprint from 2026 on for use in Adient's world-class metals products.

On the product front, our engineers and designers continue to focus on developing more sustainable products, such as Adient's UltraThin™ seat, recently recognized with a Future of Lightweighting award at the 2022 Altair Enlighten Awards. This sustainable

seat technology does not exist anywhere else in the automotive industry.

We have established three regional DE&I Councils as well as nearly two dozen employee-run business resource groups (BRGs) globally that further our grassroots efforts in diversity, equity and inclusion. These BRGs focus on professional development, community outreach and

year 2022, three of these projects were aligned to ESG topics - Renewable Energy, New Start Electrical Vehicle Business Strategy and Employee Development (Social Sustainability).

All these efforts are significant steps in our continuing ESG journey. They demonstrate that Adient has firmly integrated sustainability into the core of our business to become the foremost sustainable automotive seating supplier. We have dedicated talent, technology and sustainable processes globally to enrich our sustainability program. We have implemented robust policies and procedures to enhance our ESG governance structure and responsibilities. Additionally, we have improved our ability to gather quality data to track our progress in a systematic and reliable manner.

Adient continues to receive support from our Board of Directors, leadership team and managers to drive our success at all levels of the organization and within our supply base.

I join the entire global Adient team in sharing this year's accomplishments and goals in our 2022 Sustainability Report as we continue to do our part to lessen our environmental impact on the world and create a more sustainable future.

Doug Del Grosso

Adient President and CEO

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Table of Contents	ESG at Adient	Protecting	People and	Governance and	Appendix
the Environment	Communities	Compliance

Company Overview

At Adient, we are always innovating and continually improving the experience of a world in motion. We are at the forefront of sustainable automotive seating, providing cutting- edge solutions to our customers as they work toward their vehicle electrification and sustainability goals.

We are supporting the following UN Sustainable Development Goals:

Who We Are

We recognize the influence we have as a large company with operations around the globe, and we take this responsibility seriously.

As aparticipant in the United Nations (UN) Global Compact, we're committed to operating our business in accordance with the Compact's 10 principles in the areas of human rights, labor, environment and anti- corruption. In 2022, we filed our first Communication on Progress detailing how we're working to incorporate these principles in our day-to-daybusiness. Keeping these principles at heart, we are engaging in activities that help advance the UN's broaderSustainable Development Goals.

We also actively participate in ESG surveys and questionnaires from our customers, rating agencies, investors, non-governmental organizations (NGOs) and others. We believe transparency into our sustainability policies and practices is essential as we work toward meeting our sustainability goals.

"At Adient, we strive to embed sustainability into our core business culture. We have

advanced these efforts through key programs and initiatives that

positively impact our ESG program, our people and our

planet."

Tammi S. Dukes

Vice President

of Global

Sustainability

With 70,000+ employees in 30 countries, we operate more than 200 manufacturing or assembly plants worldwide.

We're a leader in automotive seating serving every major automaker in the world.

We produce foam for automotive cushions, backrests, head restraints and more.

Our modular designs and expertise make our structures and mechanisms simpler and stronger.

Technology and craftsmanship combine in our complete, just-in-timetrim solutions.

For more than 30 years, we've approached product design with a sustainability mindset.

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