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2020 Report ONLINE F

The document is Huntsman's 2020 Sustainability Report. It highlights Huntsman's commitment to sustainability and creating a more sustainable future through innovation. Some key points: - Huntsman develops innovative solutions to improve efficiency and reduce emissions, helping enable a low-carbon economy. Recent acquisitions and business expansions aim to grow sustainability opportunities and lower Huntsman's carbon footprint. - Huntsman made progress on its Horizon 2025 environmental, health, and safety targets in 2020 despite challenges from the pandemic, with its best process safety performance yet. However, there was a contractor fatality at one of its facilities. - The report discusses Huntsman's efforts to reduce its environmental footprint through more sustainable products,

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0% found this document useful (0 votes)
82 views63 pages

2020 Report ONLINE F

The document is Huntsman's 2020 Sustainability Report. It highlights Huntsman's commitment to sustainability and creating a more sustainable future through innovation. Some key points: - Huntsman develops innovative solutions to improve efficiency and reduce emissions, helping enable a low-carbon economy. Recent acquisitions and business expansions aim to grow sustainability opportunities and lower Huntsman's carbon footprint. - Huntsman made progress on its Horizon 2025 environmental, health, and safety targets in 2020 despite challenges from the pandemic, with its best process safety performance yet. However, there was a contractor fatality at one of its facilities. - The report discusses Huntsman's efforts to reduce its environmental footprint through more sustainable products,

Uploaded by

lebavinh440
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Brightening the Horizon Innovative Solutions for a Low-Carbon Economy

2020 Sustainability Report


Table of Contents

2 A Letter from the Chairman, President


and Chief Executive Officer

4 A Letter from the Corporate


Sustainability Officer

5 A Letter from the Board Sustainability


Committee Chair

6 Sustainability Governance

8 Who We Are | Highlights

10 2020 Key Figures at a Glance

11 Horizon 2025 Targets

12 Brightening the Horizon

21 United Nations Sustainable


Development Goals

H
22 United Nations Global Compact
Communication on Progress untsman recognizes the important role we play in creating a more sustainable
24 Data on Performance future. We enrich lives through innovation and deliver solutions that create
value for our stakeholders today and make a brighter world possible for future
57 Report Parameters
generations. Our products enable a low-carbon economy and make a positive
58 GRI Index
contribution to society and the environment. In this report, we share some of
60 SASB Reporting the many ways we are brightening the horizon.

Huntsman.com 1
Table of Contents A Letter
from the Chairman,
2 A Letter from the Chairman, President President and Chief
and Chief Executive Officer Executive Officer

4 A Letter from the Corporate

L
Sustainability Officer
ast year was challenging. The global health crisis forced us to innovate how Despite the challenges of 2020, we kept our people safe and outperformed our
we keep our associates safe while continuing to serve our customers. The environmental, health and safety (EHS) goals. We continue to make progress in our
5 A Letter from the Board Sustainability
global pandemic underscored both our interconnectedness and the Horizon 2025 EHS targets and last year saw our best achievements in process
Committee Chair
importance of resiliency. safety performance. And while our personal safety record remains strong, I am
disheartened to share that we had a contractor fatality at one of our facilities. We
6 Sustainability Governance As we emerge from the crisis, Huntsman believes moving to a low-carbon economy are applying lessons learned to our operations as we progress towards our goal
will make both society and the environment more sustainable. We are developing of Zero Harm.
8 Who We Are | Highlights innovative solutions designed to improve efficiency and reduce emissions. This year’s
Sustainability Report highlights some of these solutions. During 2020 and early 2021, we also increased the diversity on both our Board of
10 2020 Key Figures at a Glance Directors and in our company’s senior staff. Three new Huntsman board members,
Our acquisitions of Icynene-Lapolla and Demilec and the creation of Huntsman Cynthia L. Egan, Sonia Dulá and Jeanne McGovern, bring to Huntsman long and
11 Horizon 2025 Targets Building Solutions are part of our strategy to grow our business opportunities to distinguished professional careers in global financial services, investment manage-
contribute more to sustainability and lower our carbon footprint. We are now one ment and international operations. We have also announced the formation of our
12 Brightening the Horizon of the world’s leading spray polyurethane foam (SPF) providers and one of Board’s Sustainability Committee, chaired by Dr. Jan E. Tighe (page 5). Our new
the largest insulation manufacturers. Huntsman’s spray foam insulation business Corporate Sustainability Officer, Brittany Benko (page 4), joined Huntsman as Senior
21 United Nations Sustainable provides increased energy efficiency in homes and dramatically reduces emissions Vice President, EHS and Manufacturing Excellence, in August 2020. These new
Development Goals in the construction industry. additions give us greater depth and capability as we move forward as a company
committed to doing our part to create a more sustainable future.
We are also developing innovative technologies that help lower emissions in other
22 United Nations Global Compact
sectors, including transportation, energy and power generation and transmission.
Communication on Progress As a solutions provider, we will work to solve other global challenges while continuing
to improve the efficiency of our energy and water use.
24 Data on Performance
Peter R. Huntsman
Chairman, President and Chief Executive Officer
57 Report Parameters

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 2


Table of Contents

2 A Letter from the Chairman, President


and Chief Executive Officer

4 A Letter from the Corporate


Sustainability Officer

5 A Letter from the Board Sustainability


Committee Chair

6 Sustainability Governance

8 Who We Are | Highlights

10 2020 Key Figures at a Glance

11 Horizon 2025 Targets

12 Brightening the Horizon

21 United Nations Sustainable


Development Goals
Huntsman believes
22 United Nations Global Compact
Communication on Progress moving to a low-carbon
economy will make
24 Data on Performance
both society and the
57 Report Parameters environment more
sustainable.
58 GRI Index

60 SASB Reporting
Table of Contents A Letter
from the Corporate
2 A Letter from the Chairman, President Sustainability Officer
and Chief Executive Officer

4 A Letter from the Corporate

I
Sustainability Officer
joined Huntsman as Senior Vice President of Environmental, Health and Safety We are committed to all areas of environmental stewardship and this year’s
and Manufacturing Excellence in August 2020 and was appointed its Corporate Sustainability Report specifically focuses on Huntsman’s efforts to improve the
5 A Letter from the Board Sustainability
Sustainability Officer. The safety and well-being of people is my passion and I environmental footprint of our customers through innovative and sustainable
Committee Chair
share Huntsman’s long-time commitment to the health and safety of our associates, product solutions. We are also taking great strides across the environmental, social
the well-being of the communities where we operate and live and the protection of and corporate governance (ESG) spectrum. We are actively improving the efficiency
6 Sustainability Governance our environment. of our energy and water usage, completing a water stress study in 2020 and
implementing numerous projects to reduce our water usage. Huntsman is part of
8 Who We Are | Highlights Sustainability at Huntsman starts on our shop floor and ends out in the world in the solution to improving ESG outcomes everywhere we operate, and we will be
which we live. Our goal is Zero Harm and our Horizon 2025 targets ensure that the highlighting the steps we are taking in future reports.
10 2020 Key Figures at a Glance journey towards Zero Harm remains our highest priority. The targets keep us focused
on providing a safe and healthy workplace for Huntsman associates and securing I am confident we will be successful in reaching the specific targets we have set to
11 Horizon 2025 Targets our position as a leading-edge business contributing to a sustainable future. eliminate injuries and leaks, manage our water use and reduce our waste and emis-
Building on rigorous EHS standards and requirements, we reinforced our care and sions. As a biologist with more than 20 years of EHS experience in the energy
12 Brightening the Horizon commitment to our people through a focused safety culture effort. This care and industry, I have actively participated in the sustainability conversation and conversion
commitment extend well beyond our fence line and out into the communities where for more than a decade and look forward to adding my voice to Huntsman’s story.
21 United Nations Sustainable we operate and into the world at large with products that ensure a better and more
Development Goals sustainable future.

We are actively engaged in the communities where we operate, supporting educa-


22 United Nations Global Compact
tion programs and other social investments that improve the lives of people living
Communication on Progress near our operations. Whether it is teaching better agricultural techniques to farmers Brittany Benko
in India or supporting local schools to enhance learning opportunities, for Huntsman Corporate Sustainability Officer
24 Data on Performance being a good neighbor means contributing to the health and safety of our Senior Vice President, Environmental, Health & Safety
and Manufacturing Excellence
associates, our customers and our communities.
57 Report Parameters

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 4


Table of Contents A Letter
from the Board Sustainability
2 A Letter from the Chairman, President Committee Chair
and Chief Executive Officer

4 A Letter from the Corporate

I
Sustainability Officer
am pleased to introduce Huntsman’s 2020 Sustainability Report, and I am and communities. The report highlights how Huntsman thinks about and approaches
pleased to introduce myself as the inaugural Chair of the Huntsman Corporation sustainability, how our products, including those already in the market and those at
5 A Letter from the Board Sustainability
Board of Directors Sustainability Committee. various stages in the development pipeline, are enabling a more sustainable future,
Committee Chair and how we as Huntsman are making a positive difference. The report also highlights
As the Chair of the Sustainability Committee, established in February of this year, our commitment to transparency when we communicate about sustainability, espe-
6 Sustainability Governance I am looking forward to furthering our corporate governance and oversight of the cially when we discuss our progress against our sustainability targets. Going forward,
company’s sustainability strategy, and I am looking forward to supporting Huntsman’s you will see even more transparency on these critical societal issues.
8 Who We Are | Highlights broad commitment to sustainability, which you can see every day in our products,
our people, and our operating and manufacturing practices. There are challenges ahead. The chemical industry is typically perceived as part of
10 2020 Key Figures at a Glance the problem, not part of the solution. We recognize increasing demands for data
The formation of the Committee demonstrates Huntsman’s readiness to lead the that is transparent, accurate and responsive to all of our stakeholders’ needs. But
11 Horizon 2025 Targets industry and our broad commitment to sustainability at every level. Through its we see these demands as opportunities. Our products both enable the transition to
people, processes and products, we are building the bridge to a more sustainable carbon-free energy and reduce the amount of energy required for people to live their
12 Brightening the Horizon future for the planet and all its inhabitants. As part of the global chemical industry, lives. We continually improve the sustainability of our products and our operations,
Huntsman is in the unique position to drive necessary changes across all aspects as well as our data and disclosures.
of sustainability, given vision and aspiration to make a difference. Huntsman has
21 United Nations Sustainable
both – and we are committed to creating both sustainable and profitable solutions. My naval career provided constant challenges and growth opportunities as I took on
Development Goals new and varied leadership roles. I experienced the critical impact that learning has on
The creation of the Committee also demonstrates the central role that sustainability leadership. I consider myself a lifelong learner and view my Ph.D. as a license to self-
22 United Nations Global Compact plays in Huntsman’s business strategy. Focused oversight will enhance the company’s teach. Having spoken at length now with all my fellow Committee members, I know
Communication on Progress pursuit of opportunities that improve society, while simultaneously identifying, they share this philosophy and passion for learning and will ensure that we are well
quantifying, reporting and mitigating sustainability-related risks. The Committee versed and fully engaged in the strategic oversight of sustainability-related risks and
24 Data on Performance members come from highly diverse backgrounds and bring together a wealth of opportunities on behalf of the full Board of Directors and the company’s shareholders.
knowledge and experiences directly pertinent to sustainability in the broadest sense, I am excited to tackle the challenges and capture the opportunities moving forward
57 Report Parameters including global perspectives, expertise in finance, investment banking, institutional as our sustainability journey progresses.
investment, executive leadership, operations and deep chemical industry expertise.
58 GRI Index I am confident our efforts will enhance the company’s sustainability strategy and
increase our speed along the sustainability journey.
60 SASB Reporting
Our 2020 Sustainability Report likewise reflects the central role sustainability plays Jan E. Tighe
in Huntsman’s business strategy and its importance to all of Huntsman’s stake- Chair of Sustainability Committee
holders, including our customers, shareholders, associates, suppliers, regulators Huntsman Board of Directors

Huntsman.com 5
Board of Directors
Huntsman’s highest governance body is our Board of Directors. Ten of the eleven members are independent
or “non-executive.” Peter Huntsman serves as the president and chief executive officer of the company and
Table of Contents chairman of the board. As of the issuance of this report, the Board was structured as follows:

2 A Letter from the Chairman, President INDEPENDENT COMMITTEES


OF THE BOARD
and Chief Executive Officer
The Board appoints members to its
independent Audit, Compensation
4 A Letter from the Corporate and Governance committees. Each
Sustainability Officer of these committees has a written
charter approved by the Board and
available on the company’s website.
5 A Letter from the Board Sustainability
Committee Chair AUDIT
Peter R. Huntsman Nolan D. Archibald Dr. Mary C. Beckerle M. Anthony Burns M. Anthony Burns, Chair
Dr. Mary C. Beckerle
6 Sustainability Governance President, Chief Executive Officer
and Chairman of the Board
Vice Chairman of the Board,
and Lead Independent Director
Director Director
Sonia Dulá
Sir Robert J. Margetts
8 Who We Are | Highlights Jeanne McGovern
Vice Admiral Jan E. Tighe
10 2020 Key Figures at a Glance COMPENSATION
Wayne A. Reaud, Chair
11 Horizon 2025 Targets Nolan D. Archibald
Daniele Ferrari
12 Brightening the Horizon LITIGATION AND PUBLIC POLICY
Wayne A. Reaud, Chair
21 United Nations Sustainable Peter R. Huntsman
Sonia Dulá Cynthia L. Egan Daniele Ferrari Sir Robert J. Margetts
Development Goals
Director Director Director Director NOMINATING AND
CORPORATE GOVERNANCE
22 United Nations Global Compact Nolan D. Archibald, Chair
Communication on Progress Dr. Mary C. Beckerle
M. Anthony Burns
Cynthia L. Egan
24 Data on Performance Sir Robert J. Margetts

57 Report Parameters SUSTAINABILITY


Vice Admiral Jan E. Tighe, Chair
Sonia Dulá
58 GRI Index Cynthia L. Egan
Daniele Ferrari
Jeanne McGovern Wayne A. Reaud Vice Admiral Jan E. Tighe,
60 SASB Reporting Director Director US Navy Retired
Director
Executive Sustainability Committee Sustainability Council
Led by Peter Huntsman, the committee comprises Led by Corporate Sustainability Officer Brittany Benko, the council comprises senior representatives from
the executive team along with representatives from the company’s divisions and key functions. The council directs development of the corporate sustainability
Table of Contents key functions. The committee provides executive program and cultivates a common framework for sustainability, ensuring strategic alignment among the
direction of the corporate sustainability program divisions, functions and executive team. As of the issuance of this report, the council was structured as follows:
2 A Letter from the Chairman, President and submits regular updates to the board. As of
the issuance of this report, the committee was
and Chief Executive Officer structured as follows:

4 A Letter from the Corporate Peter R. Huntsman Brittany Benko


Sustainability Officer Chairman of the Board, President Senior Vice President,
and Chief Executive Officer Environmental, Health & Safety
and Manufacturing Excellence
5 A Letter from the Board Sustainability Sean Douglas
Executive Vice President R. Wade Rogers
Committee Chair and Chief Financial Officer Senior Vice President, Global
Human Resources and Chief
6 Sustainability Governance David Stryker Compliance Officer
Executive Vice President, Todd Bloomfield Gary Chapman Twila Day Ralph DiGuilio
General Counsel and Secretary Ivan M. Marcuse Global Vice President, Vice President, Vice President and Vice President, Global R&D,
8 Who We Are | Highlights Vice President, Investor Relations Purchasing & Logistics Global Communications Chief Information Officer Performance Products
Anthony Hankins
Chief Executive Officer, Asia Pacific Gary Chapman
10 2020 Key Figures at a Glance and Division President, Polyurethanes Vice President, Global
Communications
Rohit Aggarwal
11 Horizon 2025 Targets Division President, Textile Effects Kevin Gundersen
Global Director, Government
Scott Wright and Public Affairs
12 Brightening the Horizon Division President, Advanced
Materials Jeff Morgheim
21 United Nations Sustainable Global Director, Sustainability (Chair)

Development Goals David Hatrick Ivan Marcuse Bill McPherson Jeff Morgheim
Vice President, Innovation, Vice President, Global HR Director, Global Director,
22 United Nations Global Compact Advanced Materials Investor Relations Corporate Functions Sustainability

Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting Pavneet Mumick David Nutt Khijar Sarnaik Amy Smedley
Global Vice President, Technology Director, Vice President, Research and Vice President and
& Innovation, Polyurethanes Legal Services Technology, Textile Effects Deputy General Counsel

Huntsman.com 7
Who We Are
Table of Contents Huntsman is a global, downstream, differentiated and specialty
2 A Letter from the Chairman, President
chemicals company. For 50 years, we have been using science
and Chief Executive Officer and ingenuity to innovate products that enable more sustainable
and comfortable lives for millions of people around the world.
4 A Letter from the Corporate
Our more than 9,000 associates work in more than 70 manufac-
Sustainability Officer
turing, research and development (R&D) and operations facilities Enablers of
5 in approximately 30 countries. Through our four divisions, we
A Letter from the Board Sustainability
Committee Chair serve a broad and diverse range of consumer and industrial end Sustainability
markets, including energy and fuels, transportation, construction,
6 Sustainability Governance
clothing and footwear, food preservation and aerospace.
8 Who We Are | Highlights

10 2020 Key Figures at a Glance


Our Divisions

11 Horizon 2025 Targets

12 Brightening the Horizon

21 United Nations Sustainable


Development Goals

22 United Nations Global Compact POLYURETHANES PERFORMANCE PRODUCTS ADVANCED MATERIALS TEXTILE EFFECTS
Communication on Progress
Is a leading global producer of MDI-based Offers products that provide useful Provides specialty epoxy, acrylic and Is a major global solutions provider of
polyurethanes focused on formulating properties in everyday items people want polyurethane-based polymer resin textile dyes, textile chemicals and digital
24 Data on Performance
innovative, differentiated products for key and need. Our leading global positions systems and adhesive products, which inks. We work closely with mills, brands,
downstream markets, including energy- in the manufacture and sale of amines, are replacing traditional materials in and retailers to deliver sustainable
57 Report Parameters saving insulation, lightweighting and maleic anhydride and carbonates enable aircraft, automobiles and electrical power solutions that meet the economic and
performance materials for automotive, us to serve diverse consumer and transmission. These products are also environmental needs of the textile
comfort foam for bedding and furniture, industrial end markets, including energy, used in coatings, construction materials, industry and the planet. Our range of
58 GRI Index
protective coatings, adhesives, and automotive and transportation, coatings circuit boards and sports equipment. innovative solutions includes intelligent
elastomers for footwear. and adhesives, building and construction, effects such as durable water repellents,
60 SASB Reporting electronics and industrial manufacturing. color fastness, sun protection and
state-of-the-art dyes that reduce water
and energy consumption.

2020 Sustainability Report 8


2020 Highlights
• Completed the sale of our chemical • Announced two significant acquisitions in
intermediate and surfactants businesses our Advanced Materials division, including
Table of Contents
to Indorama Ventures, significantly CVC Thermoset Specialties, a leader in
reducing our upstream footprint in line specialty epoxies and other thermoset
2 A Letter from the Chairman, President with Huntsman’s stated strategy to resins, and Gabriel Performance Products,
move its portfolio further downstream. featuring products such as Ranbar®
and Chief Executive Officer
resins, which use low-cost water reducible
• Acquired Icynene-Lapolla, which nearly technology and high solids VOC compliant
4 A Letter from the Corporate doubled our existing spray foam business. resins to create greener solutions. The
The combined business was rebranded acquisitions closed in May 2020 and
Sustainability Officer to Huntsman Building Solutions, a global January 2021, respectively. A third
leader in spray polyurethane foam transaction resulted in the sale of our
5 A Letter from the Board Sustainability insulation. India-based do-it-yourself consumer
Committee Chair • Responded to the COVID-19 pandemic by
adhesives business.
utilizing available assets to produce and • Opened a new TEROL® polyols plant in
6 Sustainability Governance donate millions of pounds of hand sanitizer Taiwan, expanding our downstream poly-
and face masks around the world in order urethanes capabilities in the Asia Pacific
to help contribute to the global fight region and furthering our commitment to
8 Who We Are | Highlights against the pandemic. using sustainable raw materials in our
products. With a recycled content of up to
• Invited Ms. Cynthia L. Egan and
10 2020 Key Figures at a Glance 60%, these polyols become an essential
Ms. Sonia Dulá to join the Huntsman
part of MDI-based polyurethane insulation
board of directors in June. In February
11 Horizon 2025 Targets products.
2021, Ms. Jeanne McGovern joined the
board. These appointments are part of the • Formed the Sustainability Committee,
company’s deliberate process of adding
12 Brightening the Horizon a new standing committee of the board,
investment, financial, and accounting which will have review and oversight
expertise as well as diversity to the board responsibilities relating to sustainability,
21 United Nations Sustainable while ensuring a thoughtful leadership including environmental, corporate social
Development Goals succession plan. Ten of the board’s eleven responsibility and governance matters,
directors are independent, with 45% of effective February 2021.
positions held by women.
22 United Nations Global Compact
Communication on Progress
Where We Are Located
24 Data on Performance
Huntsman Corporation’s global headquarters is in The Woodlands, Texas, USA. As a public
company, we are listed on the New York Stock Exchange under HUN. Countries/regions
57 Report Parameters where we have manufacturing and R&D operations include:
• Argentina • Colombia • Indonesia • Saudi Arabia • The Netherlands
58 GRI Index • Australia • Czech Republic • Italy • Singapore • Turkey
• Belgium • Germany • Malaysia • Spain • United Arab Emirates
60 SASB Reporting • Brazil • Guatemala • Mexico • Switzerland • United Kingdom
• Canada • Hungary • New Zealand • Taiwan • United States
• China • India • Russia • Thailand • Vietnam

Huntsman.com 9
Key Figures at a Glance

Unit 2020 2019 2018


Table of Contents ECONOMY
Revenues $million 6,018 6,797 7,604
Net Income $million 1,066 598 650
2 A Letter from the Chairman, President Adjusted Net Income1 $million 218 353 642
and Chief Executive Officer Adjusted EBITDA1 $million 647 846 1,161
Capital Expenditures $million 249 274 251
4 A Letter from the Corporate Adjusted Free Cash Flow1 $million 285 382 453
Income Tax Benefit (Expense) $million (46) 38 (45)
Sustainability Officer
Total Products/Co-Products2 million tonnes 4.99 7.19 7.52
Environmental Reserves3 $million 4 4 5
5 A Letter from the Board Sustainability EHS Capital Expenditures $million 28 42 32
Committee Chair Debt $million 2,121 2,389 2,320
Net Debt4 $million 528 1,864 1,980
6 Sustainability Governance Equity $million 3,673 2,824 2,749
ENVIRONMENT5
8 Who We Are | Highlights Total Energy Consumption terajoules (TJ) 15,137 39,141 44,163
Total Greenhouse Gas (GHG) Emissions mmt CO2e 1.10 2.78 2.69
10 2020 Key Figures at a Glance Total Air Emissions6 (excluding GHG) tonnes 2,001 3,488 3,807
Total Water Discharge (Chemical Oxygen Demand) tonnes 4,204 6,170 6,593
Total Non-Hazardous Waste Generated tonnes 526,729 614,251 310,578
11 Horizon 2025 Targets Total Hazardous Waste Generated tonnes 72,974 140,118 150,539
SOCIETY
12 Brightening the Horizon
Regular Full-Time Associates 8,980 10,063 10,453
US-Based Associates 2,201 2,931 3,003
21 United Nations Sustainable Non-US Associates 6,779 7,132 7,450
Development Goals Contractors7 FTE 1,044 1,471 1,378
Total Recordable Incident Rate 0.28 0.49 0.35
22 United Nations Global Compact US Chemical Industry Average 0.61 0.73 0.80
Fatal Work-Related Accidents (Associates) 0 0 0
Communication on Progress
Fatal Work-Related Accidents (Contractors) 1 0 0

24 Data on Performance Note: The Chemical Intermediates and Surfactants businesses sold to Indorama Ventures on January 3, 2020, are treated as discontinued operations in all periods shown.
1 Reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures are provided through the “Non-GAAP Reconciliation” link
available in the “Financials” section on our website at www.huntsman.com/investors.
57 Report Parameters 2 Based on US regulations, co-products are defined as materials that are produced intentionally during the production of another chemical and which, in their existing
state, are ordinarily used as commodities in trade by the general public. For more information, see 50 Fed. Reg. 625 (January 4, 1985); 40 CFR § 261.1(c)(3).
3 Pursuant to SEC regulations, the company accrues liabilities (reserves) relating to anticipated environmental cleanup obligations, site remediation/reclamation and
58 GRI Index closure costs, and material monetary sanctions (i.e., enforcement penalties), which are recorded and can be reasonably estimated.
4 Net Debt calculated as total debt, excluding affiliates, less cash of $1,593 million, $525 million and $340 million in 2020, 2019 and 2018, respectively.
5 Environmental data is based on 72 manufacturing facilities reporting emissions and energy data.
60 SASB Reporting 6 Air emissions are releases of volatile organic compounds (VOCs), carbon monoxide (CO), nitrogen oxides (NOx), sulfur oxides (SOx), particulate matter and
other contaminants.
7 Number of Full-Time Equivalents (FTE) based on annual reported hours worked by contractors in our safety statistics program and 2,000 hours per FTE.

2020 Sustainability Report 10


Table of Contents

2 A Letter from the Chairman, President


Our Progress
and Chief Executive Officer
Huntsman pursues continuous improve-
4 A Letter from the Corporate ment in our operations. Our Horizon 2025 2025 Targets 2020 Results

Sustainability Officer targets provide focus across the company Life-Impacting or Fatal Events (LIFE) 0 Events 5 Events
and are aggressive but attainable goals Tier 1 Process Safety Incidents 0 Events 0 Events
5 A Letter from the Board Sustainability
Committee Chair we use to gauge our health and safety
performance. We are committed to Publications of Product Safety Summaries1 30+ 10
6 Sustainability Governance eliminating Tier 1 process safety incidents OSHA Total Recordable Injury Rate2 Continuous Continuous
Reduction Reduction
8 Who We Are | Highlights
and life-impacting injuries and fatalities. Tier 2 Process Safety Incidents <0.15 Rate <0.15 Rate
We are also targeting 10% reductions in
10 2020 Key Figures at a Glance greenhouse gas emissions and energy
EFFICIENCY TARGETS (on a per unit of production)
consumption and 5% reductions in
11 Horizon 2025 Targets Greenhouse Gas Emissions (Scope 1 and 2)3 10% Reduction 6% Reduction
hazardous waste and solid waste disposal Energy Consumed 10% Reduction 6% Reduction
12 Brightening the Horizon and net water usage at our facilities in Net Water Usage at Facilities in Water-Stressed Regions4 5% Reduction 52% Reduction
Hazardous Waste Generated 5% Reduction 5% Reduction
water-stressed regions of the world.
21 United Nations Sustainable Total Waste Generated5 5% Reduction 13% Reduction
Development Goals
1 A key element of our commitment to the Responsible Care® Product Safety Code
The table to the right captures our progress 2 Measured year over year
22 United Nations Global Compact toward these targets. Our efficiency targets 3 Per unit of production
4 Please see “Water” on page 47
Communication on Progress 5 Please see “Waste” on page 37
are measured against a baseline of 2019.
24 Data on Performance We adjust this baseline for changes in
our portfolio, assessment methods and
57 Report Parameters
boundary definitions to assure consistent
58 GRI Index measurement of our progress.

60 SASB Reporting
H O R I Z O N 2 0 2 5 TA R G E T S

Huntsman.com 11
Table of Contents

2 A Letter from the Chairman, President


and Chief Executive Officer
Brightening the Horizon
4 A Letter from the Corporate
Sustainability Officer Innovative Solutions for
a Low-Carbon Economy

H
5 A Letter from the Board Sustainability
Committee Chair
untsman delivers innovative solutions
6 Sustainability Governance
that enable a low-carbon economy.
8 Who We Are | Highlights Our products are moving the electric
vehicle industry forward, a key step
10 2020 Key Figures at a Glance
in phasing out fossil fuel-burning
11 Horizon 2025 Targets engines to reduce carbon emissions.
Our innovations are saving water and energy in the textile
12 Brightening the Horizon
industry and using recycled plastic to make the most
21 United Nations Sustainable effective energy-saving polyurethane insulations in today’s
Development Goals marketplace. We are also making operational changes at
22 United Nations Global Compact our facilities to improve the efficiency of our energy and
Communication on Progress water use and to reduce air emissions.

24 Data on Performance
The pathway to a cleaner environment and more efficient
57 Report Parameters economy runs through Huntsman.

58 GRI Index

60 SASB Reporting
C
an trash provide a solution for cutting landfill or the ocean is given new purpose that
One Person’s air emissions? Yes, if it’s used to make
energy-efficient insulation.
saves energy and reduces emissions.

Table of Contents

2 A Letter from the Chairman, President


Trash is Another’s Huntsman makes insulation from recycled
plastic waste to improve energy use in buildings
Due to the circularity of the process—where
“take, make, dispose” is replaced with “make,
use, return”—demand for insulation products
and Chief Executive Officer
Insulation and reduce greenhouse gas emissions.

Through a proprietary process, the company


made of recycled materials is growing at a rapid
pace. Huntsman Polyurethanes is expanding
to meet the need. In 2020, the company
4 A Letter from the Corporate Tra n s fo rm a t i o n recycles the equivalent of over 1 billion 500 ml added a new plant in Taiwan to increase our
Sustainability Officer
plastic bottles in TEROL® polyols every year. TEROL® polyols production. Huntsman also
With a recycled content of up to 60%, these has announced additional expansion plans
5 A Letter from the Board Sustainability polyols become an essential part of MDI-based for TEROL® polyols production in Europe.
Committee Chair polyurethane insulation products, the most
effective insulation products in the market. The investment makes good business sense:
6 Sustainability Governance Huntsman uses TEROL® polyols in other insu- not only does it offer a sustainable solution
lation applications, including polyisocyanurate to reducing waste, the product is made from
8 Who We Are | Highlights (PIR) boardstock systems and pour-in-place recycled plastics not subject to price fluctuations.
insulation for refrigerators and freezers, which
10 2020 Key Figures at a Glance prolong the shelf life of perishable foods. Huntsman is also expanding the use of
TEROL® polyols in other applications, includ-
11 Horizon 2025 Targets The use of recycled bottles in TEROL® polyols ing composites for automotive applications
means plastic waste that may end up in a and in-car seating.
12 Brightening the Horizon

21 United Nations Sustainable


Development Goals

22 United Nations Global Compact


Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 13
Transformation story continued. Waste Reduction

Table of Contents As part of a strategy to grow its downstream The market potential, and resulting energy
differentiated business portfolio, Huntsman savings and emissions reduction, is promis-
Waste Not, Want Not
announced the formation of Huntsman ing. Approximately 115 million homes were
2 A Letter from the Chairman, President A small change in a process or a new piece of equipment
Building Solutions in May 2020. The move occupied in the United States at the end of can make a big difference in reducing waste.
and Chief Executive Officer
follows the company’s acquisition of leading 2020. If each home was insulated with spray
North American spray polyurethane foam foam, the potential aggregate energy savings At the Huntsman Textile Effects plant in Mexico, a wastewater
4 A Letter from the Corporate (SPF) company Icynene-Lapolla in February could be as high as 648.37 billion kWh per process improvement made a significant reduction in the
Sustainability Officer 2020. Icynene-Lapolla has been integrated year, which is a reduction of 178.94 billion kg amount of disposed solid waste. The installation of flocculation
with Demilec, also a market leader in SPF of CO2 emissions per year. units for treating wastewater enabled the facility to separate
5 A Letter from the Board Sustainability applications, which Huntsman acquired in and remove organic compounds at the entrance of the
Committee Chair 2018. Together, the businesses are now one That means using spray foam in place of wastewater treatment plant. The new process reduced the
of the world’s leading SPF providers and the other products could reduce total US GHG site’s solid waste disposal by more than half.
6 Sustainability Governance fifth largest insulation manufacturer. The emissions by 3.5% annually and could reduce
business provides customers with energy- emissions related to home heating and cooling The Mexico plant is not the only facility making significant
8 Who We Are | Highlights saving open-cell and closed-cell SPF pro- by 41%, according to the American Chemistry reductions in waste. In the United Kingdom, Huntsman’s
ducts for both residential and commercial Council. That’s the equivalent of removing Llanelli site makes amine products used in a variety of
properties. 38.9 million cars from the road, per year.
10 2020 Key Figures at a Glance applications. Because of its agile product wheel, the site
makes more frequent changes in production. These produc-
11 Horizon 2025 Targets tion changes require equipment washouts that generate
effluent. The weaker effluent, depending on its chemical
makeup, is either diverted to the site’s hazardous waste
12 Brightening the Horizon
incinerator or to a reed bed system that organically treats
the water before discharging it to a local river.
21 United Nations Sustainable
Development Goals The reed bed system takes oxygen and effluent chemicals
into its roots to break down up to 80% of the chemicals.
22 United Nations Global Compact
Communication on Progress In December 2020, the site installed a new aeration system
into the reed bed system. Since then, water quality has
24 Data on Performance improved up to 12%. Through increased testing and better
operational discipline, the site has been able to more than
57 Report Parameters double the volume of effluent going to the reed beds for
treatment rather than to the incinerator, enabling the disposal
58 GRI Index of washings more efficiently and in a more environmentally
friendly manner.

60 SASB Reporting

2020 Sustainability Report 14


Plugging In
Table of Contents I nno va t i o n

E
2 A Letter from the Chairman, President lectric vehicles will play an important role in reducing emissions in the
and Chief Executive Officer transportation sector, and Huntsman is at the forefront of expanding
this technology.
4 A Letter from the Corporate
Sustainability Officer Electric cars rely on Lithium-ion (Li-ion) batteries, which contain electrolytes
formulated with carbonate solvents such as Huntsman Performance Products’
ULTRAPURE™ ethylene carbonate. The solvent facilitates the transport of
5 A Letter from the Board Sustainability
Li+ ions within the battery and improves the lifetime of the battery by forming
Committee Chair
a protective layer on the electrodes.

6 Sustainability Governance While electric vehicles currently make up only 2% of the automotive market, they
are growing at 30% year over year. A study cited in Forbes predicts that electric
8 Who We Are | Highlights vehicles will hit 10% of global passenger vehicle sales by 2025, rising to 28% in
2030 and 58% percent in 20401.
10 2020 Key Figures at a Glance
1 https://www.forbes.com/sites/arielcohen/2020/10/26/plugging-into-the-future-the-electric-
11 Horizon 2025 Targets vehicle-market-outlook/?sh=5e82fd7b9812

12 Brightening the Horizon

21 United Nations Sustainable


Development Goals

22 United Nations Global Compact


Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 15
Innovation story continued.

Table of Contents Huntsman is well positioned to grow with the electric vehicle industry. We are the
only US producer and the largest supplier of ethylene and propylene carbonates
used in Li-ion batteries in North America. The technology for battery construction
2 A Letter from the Chairman, President
has matured, and the reduction in unit costs has enabled direct competition with
and Chief Executive Officer
combustion engines in the very near future. As the markets for electric vehicles
reach critical mass, and electric vehicle production increases in the United States,
4 A Letter from the Corporate Huntsman will work in conjunction with partners in the battery supply chain to
Sustainability Officer enable the rapid commercialization and growth of this exciting new technology.

5 A Letter from the Board Sustainability We are expanding our plant in Conroe, Texas, to produce high-purity ethylene
Committee Chair carbonate that Li-ion batteries require. The plant is expected to be in operation
the beginning of 2023 to meet the growing demand, especially in the United
6 Sustainability Governance States, where electric vehicle production is expected to reach 6.9 million units
by 2025, a fivefold increase from today1.
8 Who We Are | Highlights
1 https://www.spglobal.com/platts/en/market-insights/latest-news/electric-power/111920-
10 2020 Key Figures at a Glance us-ev-market-sales-to-rise-to-69-million-units-by-2025-frost-amp-sullivan

11 Horizon 2025 Targets

12 Brightening the Horizon


Huntsman manufacturing facilities are continuously required wet cleaning with each product change,
21 United Nations Sustainable looking for ways to improve our processes for costing both energy and time while generating both
greater efficiency and to reduce water and energy wastewater and dye losses.
Development Goals
usage.
The new high-efficiency cyclone filter, installed in
22 United Nations Global Compact
Communication on Progress
A Cleaner Solution In 2020, the Textile Effects Mahachai plant in front of the bag filter, reduces the solids/dust carried
Thailand implemented a high-efficiency cyclone over to the bag filter, decreasing the amount of bag
for Filter Bags on one of its spray dryers to significantly improve cleaning required and increasing recovery of product
24 Data on Performance production lead time, product recovery (which previously lost in the process.
Operational Efficiency otherwise would have been lost to the atmosphere)
57 Report Parameters and energy savings. As a result of the change, the new process reduces
water usage by 33% per year.
58 GRI Index The previous process used a bag filter to separate
and capture particles of dirty flue gas. The bag filter
60 SASB Reporting

2020 Sustainability Report 16


Table of Contents

2 A Letter from the Chairman, President


and Chief Executive Officer
Accelerating the Market
4 A Letter from the Corporate
Sustainability Officer
Toward Lower Emissions
E ff i c i e nc y
5 A Letter from the Board Sustainability

H
Committee Chair untsman is reducing automotive mechanical, thermal and fire damage,
emissions by applying Advanced enabling widespread adoption and safer
6 Sustainability Governance Materials products to the production use of electric vehicles.
of electric vehicles.
Battery boxes have traditionally been
8 Who We Are | Highlights
For many years, Huntsman Advanced composed of metal. However, as battery
Materials’ ARALDITE® products have been pack sizes increase, the protective boxes
10 2020 Key Figures at a Glance
widely used in the transportation industry to grow larger and increase the weight of the
manufacture airplanes and produce lighter vehicle. Composite battery boxes made from
11 Horizon 2025 Targets and more fuel-efficient automobiles. ARALDITE® resins not only weigh less, they
provide strong, fire-resistant protection that
12 Brightening the Horizon Today, Huntsman is creating products to reduces the possibility of a fire in the event
insulate electric motors and build composite of a crash.
21 United Nations Sustainable battery boxes that make electric vehicles
Development Goals lighter and safer—two key factors in growing Another area Huntsman is accelerating
this market and reducing vehicle emissions. the market toward lower emissions is by
22 United Nations Global Compact conducting research and development on
Communication on Progress ARALDITE® resins insulate motors to improve the transformation of methane into hydrogen
their thermal and electrical performance, mak- and valuable carbon structural materials.
24 Data on Performance ing electric vehicles more reliable and efficient.
Huntsman is currently working with European, Huntsman’s technology uses the methane
American and Chinese automotive companies pyrolysis to convert the incoming gas into
57 Report Parameters
and their suppliers to further develop and hydrogen and a valuable form of solid carbon
qualify these innovative technologies. known as MIRALON® carbon products. This
58 GRI Index
carbon material can be used for structural
Additionally, ARALDITE® composite resin applications in composites, as an electrical
60 SASB Reporting systems are used to build lightweight battery conductor and potentially as an anode
boxes that protect electric batteries from material for enhanced Li-ion batteries.

Huntsman.com 17
Efficiency story continued. Community Impact

Table of Contents In parallel, the hydrogen resulting from the


Making a Difference in the Global Pandemic
pyrolysis could be sold for fuel applications
in the industrial and automotive markets.
2 A Letter from the Chairman, President Social responsibility took on new meaning during the and other PPE. In collaboration with the University of
and Chief Executive Officer 2020 global pandemic. At Huntsman, we have always Indonesia, Huntsman manufactured and donated a total
The technology is working at laboratory or
maintained unwavering focus on the health and safety of of 24 metric tons of hand sanitizer for distribution to
small-scale production levels, and Huntsman
4 A Letter from the Corporate is currently designing a pilot plant to
our associates, suppliers, customers and communities. hospitals, health centers and health care workers on
Sustainability Officer We took immediate measures to ensure our associates the front lines of the pandemic.
demonstrate the technology at larger scale.
had a safe work environment, from implementing remote
If results continue to show promise, the
5 A Letter from the Board Sustainability working arrangements for employees to taking preventa- Huntsman also produced and donated hand sanitizer
company will focus on commercialization of
tive measures in the workplace to reduce exposure. We from other manufacturing sites around the world as
Committee Chair the technology into flare gas treatment and
also worked with our suppliers, taking steps to minimize part of our international COVID-19 response. In the US,
possibly larger-scale applications with natural
impacts on our operations in support of our customers. Huntsman donated a 5-ton shipment of hand sanitizer to
6 Sustainability Governance gas. In line with Huntsman’s commitment
Additionally, we donated products and expertise to the Huntsman Cancer Institute (HCI) and the associated
to sustainability and in a genuinely circular
support those on the front lines of the pandemic. medical facilities at the University of Utah to help protect
8 Who We Are | Highlights manner, this new technology could turn a
health care workers treating COVID-19 patients. The
problem source of emissions into useful
In early March 2020, as the pandemic spread across the University of Utah is the home of HCI, a National Cancer
materials that could be widely used in
10 2020 Key Figures at a Glance globe and created a shortage of medical supplies needed Institute-designated Comprehensive Cancer Center that
applications that improve performance
to combat the spread of the COVID-19 virus, Huntsman was established with a major philanthropic gift by the late
and reduce environmental impact.
11 Horizon 2025 Targets ramped up its production of products required for Jon M. Huntsman, founder of Huntsman Corporation.
protective masks and suits, as well as produced hand
12 Brightening the Horizon sanitizer for medical facilities around the world. In Switzerland, Huntsman produced approximately
120 metric tons of hand sanitizer for hospitals and
21 United Nations Sustainable Huntsman produces thermoplastic polyurethane (TPU) pharmacies facing increased shortages due to the
Development Goals for manufacturers of essential medical personal protective COVID-19 pandemic and constrained supply of the
equipment (PPE), including hospital gowns, face masks, product. In Australia, our Deer Park manufacturing
22 United Nations Global Compact mattress covers, tubes, valves, cable jackets and pow- site near Melbourne produced 15 metric tons of hand
ered air purifying respirators, which are used in ICUs to sanitizer for use by medical facilities to help meet the
Communication on Progress
treat those with critical cases of the virus. supply shortage.

24 Data on Performance Huntsman also makes a number of textile products that In China, the company donated the raw materials used
meet the broad spectrum for repellency requirements of to manufacture prefabricated panels for the construction
57 Report Parameters face masks and PPE. In Indonesia, we supported the of hospitals and spandex needed for the production of
Indonesia Textile Association’s efforts to address the criti- medical protective articles.
58 GRI Index cal shortage of medical supplies in the county. Huntsman
donated 1,000 kilograms of PHOBOTEX® REC, a durable Huntsman’s global footprint enabled global support
60 SASB Reporting water repellent finish for textiles, to Kahatex, a leading as the world battled the COVID-19 virus together.
textile mill in Indonesia, for the production of face masks

2020 Sustainability Report 18


Winning Combination
Table of Contents Reduction

T
2 A Letter from the Chairman, President wo are better than one when it comes to cellulosic blends reduces from nine to six hours while
and Chief Executive Officer reducing water and energy usage in the lowering water consumption, energy demand and
textile dyeing process. That is what Huntsman carbon dioxide emissions by up to 50%.
4 A Letter from the Corporate Textile Effects found with its latest innovation that
combines two technologies in a new dyeing process Huntsman’s SE Fast Process provides a sustainable
Sustainability Officer
for polyester-cellulosic blends. solution that helps textile manufacturers achieve the
best possible production efficiency and operational
5 A Letter from the Board Sustainability
The SE Fast Process uses AVITERA® SE, Huntsman’s excellence. For example, a plant with production
Committee Chair award-winning reactive dye that helps textile mills capacity of 100 tons per day, of which 40% is poly-
reduce water and energy consumption by up to 50%, ester-cellulosic blend, can potentially save more than
6 Sustainability Governance and TERASIL® W/WW, a washfast disperse dye 150,000 cubic meters of water per year, along with
for polyester, polyester/cotton and microfiber and more than 16,000 tons of steam by switching to the
8 Who We Are | Highlights elastane blends. AVITERA® SE Fast process. Furthermore, the plant
will be able to produce an additional 2,700 tons of
10 2020 Key Figures at a Glance With TERASIL® W/WW dyes allowing alkaline clearing fabric each year without making any other production
and AVITERA® SE delivering high-speed, low-tem- changes—the equivalent of an extra month of
11 Horizon 2025 Targets perature wash-off, the time required to dye polyester- production annually.

12 Brightening the Horizon

21 United Nations Sustainable


Development Goals

22 United Nations Global Compact


Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 19
Reduction story continued.

Table of Contents One Huntsman customer in Asia that


manufactures performance apparel for a
leading fashion brand recently implemented
2 A Letter from the Chairman, President
AVITERA® SE Fast to dye its navy-colored
and Chief Executive Officer
shades. Compared to its existing process,
the customer was able to save 30 liters
4 A Letter from the Corporate of water and 3 kilograms of steam per
Sustainability Officer kilogram of textile, while reducing
240 minutes in processing time.
5 A Letter from the Board Sustainability
Committee Chair As more people work from home and
pursue outside sports and leisure activities,
6 Sustainability Governance consumer demand for performance attire,
active sportswear and leisure wear is on
8 Who We Are | Highlights the rise. The polyester fiber demand is
projected to grow up to 5% annually.
10 2020 Key Figures at a Glance

11 Horizon 2025 Targets


The use of 3D printing is where the recyclable rubber recycled sole had the same functionality as the original
12 Brightening the Horizon meets the road. sole—with no drop in performance properties.

21 United Nations Sustainable In 2020, Huntsman worked with OESH® Shoes, the For OESH, which is known for its design of healthy shoes,
Development Goals US footwear brand that makes women’s shoes that are using Huntsman’s TPU elastomers created signature soles
If the Shoe Fits “healthy by design,” to create a 100% recyclable shoe that are now not only 100% healthy, but 100% recyclable.
22 United Nations Global Compact sole via 3D printing.
Huntsman is working with the footwear industry to
Communication on Progress Customer Innovation
Huntsman’s thermoplastic polyurethane (TPU) materials advance 3D printing in shoe production, which reduces
offered the specific comfort and performance properties waste from start to finish. Shoes can be designed using
24 Data on Performance
OESH was looking for to create a fully recyclable shoe less material by applying the product exactly where it is
using its unique 3D printing technique, which creates parts needed. Process scraps are completely eliminated, as
57 Report Parameters from pellets. The soles were then recycled into pellets and there is no extra waste material typically produced in the
put back into the 3D manufacturing process. The next traditional molding process. And producing shoes close to
58 GRI Index step was to test the new recycled sole against those the source of supply and on demand reduces transporta-
made from virgin materials. Results showed that the tion requirements and the need to keep large inventories.
60 SASB Reporting

2020 Sustainability Report 20


United Nations Sustainable
Table of Contents
Development Goals
2 A Letter from the Chairman, President
and Chief Executive Officer Guided by our support of the United Nations Sustainable Development Goals, Huntsman
creates products and innovations to help solve some of the world’s most pressing challenges.
4 A Letter from the Corporate
Sustainability Officer
ZERO HUNGER SUSTAINABLE CITIES AND COMMUNITIES
5 A Letter from the Board Sustainability • Polyurethane fertilizer encapsulation improves crop yield • District Central Heating (DCH) project in China reduces
Committee Chair and reduces environmental impact. PM2.5 dust associated with coal-fired electricity generation
• MDI1-based polyurethane systems produce lightweight, and improves ambient air standards.
6 Sustainability Governance insulated sandwich panels for cold chain food preservation. • DaltoPIR® fire-rated panels deliver fire and smoke safety
properties without compromising energy efficiency and cost.
8 Who We Are | Highlights GOOD HEALTH AND WELL-BEING • Spray polyurethane foam (SPF) insulation is the highest-rated
• Scavenger technology reduces emissions from automotive insulant available in the market today.
seating foams by a factor of 10 without compromising
10 2020 Key Figures at a Glance
comfort. RESPONSIBLE CONSUMPTION AND PRODUCTION
• DCH project in China utilizes waste heat to warm millions
11 Horizon 2025 Targets CLEAN WATER AND SANITATION of homes.
• AVITERA® SE dyes reduce water consumption in textile • Waste PET bottles are transformed into TEROL® polyols,
12 Brightening the Horizon manufacturing by up to 50%. a key ingredient in energy-saving SPF insulation.
• Digital inks reduce water consumption up to 60% for • 3D printing technology in the footwear industry eliminates
21 United Nations Sustainable the production of printed textile fabrics. waste by designing it out of the manufacturing process.
Development Goals • Digital inks reduce water consumption, pollution, energy
AFFORDABLE AND CLEAN ENERGY use, CO2 emissions and waste.
22 United Nations Global Compact • Epoxy curing agents, composite resin systems and • MDI binders turn waste rice straw and rubber crumb into
Communication on Progress structural adhesives enable larger, stronger wind blades raw materials for new products.
that maximize energy and withstand weather. • Bio-based technologies enable automotive OEMs to achieve
24 Data on Performance a 9%+ level of bio-based content.
INDUSTRY, INNOVATION AND INFRASTRUCTURE
• Thermoset chemistries extend the lifetime of infrastructure CLIMATE ACTION
57 Report Parameters
and equipment through more durable coatings. • DCH project in China reduces coal-fired power consumption.
• ARALDITE® adhesives and structural composite systems
58 GRI Index
1 MDI: methylene diphenyl diisocyanate enable lightweighting in automotive and aerospace applications,
reducing fuel consumption, energy use and CO2 emissions.
60 SASB Reporting • Carbonates create better lithium-ion battery technology to
power electric vehicles.

Huntsman.com 21
UNGC Communication on Progress
Huntsman works to ensure our corporate policies, procedures and guidance documents align with the Ten Principles of the United Nations Global Compact.
Table of Contents The table below identifies relevant Huntsman policies, procedures, systems and actions that illustrate our progress.

2 A Letter from the Chairman, President PRINCIPLES | Huntsman Policies and Procedures Systems and Actions
and Chief Executive Officer
HUMAN RIGHTS PRINCIPLE 1 HUMAN RIGHTS PRINCIPLE 2 • The Corporate Ethics and Compliance department reports any reported
Support for human rights Elimination of human rights violations human rights violations to the Audit Committee, which includes members of
4 A Letter from the Corporate the Board of Directors.
Since 2012, our Business Conduct Guidelines (BCG) make specific reference to the UNGC
Sustainability Officer • “Speak Up” confidential reporting service for reporting concerns
and our commitment to operating under its standards in all communities where we do business.
• International Trade Compliance risk assessments for at-risk countries
In addition, Huntsman’s Vendor Code of Conduct applies to all vendors and their employees,
• Pre-qualification due diligence of vendors with high-risk profiles
5 A Letter from the Board Sustainability agents and subcontractors. See also: Huntsman Human Rights Policy
• Periodic re-qualification due diligence review of high-risk vendors and all distributors
Committee Chair • Global EHS Standards and Procedures

LABOR PRINCIPLE 3 • 42% of Huntsman employees are covered under collective bargaining
6 Sustainability Governance Ensuring freedom of association agreements, including both union and works councils.
Associates are ensured freedom of association and are reminded of that right through visible
8 Who We Are | Highlights postings at our facilities.

10 2020 Key Figures at a Glance LABOR PRINCIPLE 4 LABOR PRINCIPLE 5 • Standard contract clauses require each vendor to agree that no child or
Abolition of all forms of forced labor Abolition of child labor indentured labor is used by the vendor in the performance of its business.
• Periodic E&C combined policy audits conducted for selected sites that
11 Horizon 2025 Targets In every region of the world, our Human Resources department is charged with ensuring
include audits on human rights, child labor and forced labor
that direct-hire Huntsman associates have necessary and legally required documentation
to establish identity, legal age and work status. See also: Huntsman Human Rights Policy
12 Brightening the Horizon
LABOR PRINCIPLE 6 • Ethics and compliance training
21 United Nations Sustainable Elimination of discrimination • Harassment in the Workplace online training
Development Goals • US Purchasing groups offer technical assistance in the preparation and submis-
Huntsman upholds a Policy Against Discrimination, including Harassment and Retaliation.
sion of bids to Huntsman, which can include small or disadvantaged businesses.

22 United Nations Global Compact ENVIRONMENT PRINCIPLE 7 • Product EHS Group actively manages product and raw material risk including
Communication on Progress Precautionary environmental protection hazard communication (e.g. Safety Data Sheets), compliance, customer risk
Huntsman’s EHS Management System includes 7 Global EHS Standards and 68 Global evaluation and distribution risk management.
• All Huntsman facilities are required to identify, quantify and minimize energy
24 Data on Performance EHS Procedures to ensure safe operation at all facilities.
use and air, water and waste releases from routine operations.
Huntsman’s Product Stewardship Standard EHS-700 outlines global requirements to
ensure responsible management of EHS issues relating to Huntsman products throughout • Management of Change (MOC) procedures at all facilities require consideration
57 Report Parameters their life cycle. of environmental impacts for new projects and changes in processes.
Huntsman’s Environmental Standard EHS-600 outlines global requirements to identify and • Process Hazard Analysis (PHA) procedures identify process safety hazards and
the appropriate safeguards to prevent or mitigate impact to the environment
58 GRI Index minimize the environmental impact of our operations and strive for continuous improvement.
from loss of containment events.
We committed to publish 30+ product safety summaries as part of our Horizon 2025
targets to enhance transparency and provide stakeholders with helpful information. • In 2020, we updated 107 REACH dossiers for substances – including 84 voluntary
60 SASB Reporting Huntsman’s Process Safety Standard EHS-400 outlines global requirements to identify and submissions beyond those required by the European Chemicals Agency (ECHA).
manage risk associated with process safety incidents and their impacts on the environment. • We published 10 product safety summaries available on our website, toward
our goal of 30 or more by 2025.

2020 Sustainability Report 22


PRINCIPLES | Huntsman Policies and Procedures Systems and Actions
Table of Contents ENVIRONMENT PRINCIPLE 8 • In 2020, we published our annual Sustainability Report in accordance with the latest GRI
Initiatives to promote greater environmental responsibility Standards and provided a SASB index for the first time, to meet growing stakeholder
interests and support our ongoing commitment to transparency.
2 A Letter from the Chairman, President Huntsman has published our EHS Policy and Commitment on our website, which
• Developed a predictive chemical risk tool to identify and evaluate substances of concern
and Chief Executive Officer includes a commitment to Responsible Care® and placing care for human health,
• A founding Bluesign® system partner to promote responsibility throughout the textiles
safety and the environment at the forefront of everything we do.
value chain
Huntsman has developed and published our Horizon 2025 global strategic
4 A Letter from the Corporate targets in areas of personal and process safety and environmental performance,
• Contributor to ZDHC since September 2019, a foundation that works on several
programs aimed at improving sustainability across the textile value chain
Sustainability Officer including production intensity targets in greenhouse gas emissions (GHGs), energy
• 24 manufacturing sites (43%) ISO 14001 certified
consumption, hazardous waste disposal and net water usage.
• In 2020, we completed: 7 Corporate EHS audits and 9 Corporate PSM audits.
We completed a comprehensive water stress study in 2020, covering all of
5 A Letter from the Board Sustainability our manufacturing sites. This study not only informs which sites will be in scope
• Community Advisory Panels (CAP) at major facilities
• Periodically, we launch a CEO Award for Innovation in Sustainability and encourage
Committee Chair for our Horizon reduction target, but also helps us understand how we can better
a wide field of entries from our associates globally. The next award will take place
address water risks in our portfolio.
in 2021.
6 Sustainability Governance
ENVIRONMENT PRINCIPLE 9 • Many of our products contribute to the UN Sustainable Development Goals (SDGs).
Development and diffusion of environmentally friendly technology • We use waste PET in our polyols as raw material to produce polyurethane insulation.
8 Who We Are | Highlights
In 2020, we expanded our TEROL® polyols manufacturing to Taiwan – enabling us meet
In our EHS Policy and Commitment, our policy is to place care for human
increasing market demand for recycled content.
10 2020 Key Figures at a Glance health, safety and the environment at the forefront of everything we do, and our
• We upcycle the equivalent of over 1 billion PET bottles annually with the equivalent of
mission is to provide products and solutions through the applications of science
over 10,000 recycled bottles used in each home using our spray foam from the newly
that enrich lives and help create a sustainable future, while doing no harm to
11 Horizon 2025 Targets created Huntsman Building Solutions (HBS) business.
people or the environment.
• Active R&D initiatives to reduce VOCs, lightweight materials for automotive and aero-
As a member of the American Chemistry Council (ACC), we support ACC’s
space sectors, increase bio-based content, and improve energy-saving insulation for
12 Brightening the Horizon sustainability principles that commit to achieving measurable reductions in
buildings and refrigerated transport that reduces food waste through the cold chain.
emissions and creating innovative products for a sustainable future and societal
• AVITERA® SE dyes reduce water consumption in textile manufacturing by up to 50% –
benefits.
21 United Nations Sustainable in 2020, our dyes helped save roughly 1.5 billion liters of water for customers.

Development Goals ANTI-CORRUPTION PRINCIPLE 10 • Array of tools for reporting (third-party-run hotline and website for confidential
Measures against corruption “whistleblower” reporting, dedicated mailbox, monthly communications to all employees,
22 United Nations Global Compact Corporate Ethics and Compliance department oversees and supports our compli-
quarterly poster campaigns), investigating, tracking and correcting ethics and
compliance and corruption allegations
Communication on Progress ance with relevant laws, regulations and related Huntsman policies worldwide.
• We report statistics to the Officers and Senior Leaders monthly and present detailed
See also: Huntsman Business Conduct Guidelines, Vendor Code of Conduct
overviews to the Board quarterly.
24 Data on Performance • Third-party due diligence when adding new vendors to confirm that vendors and
representatives comply with all applicable laws, regulations and our policies. This
due diligence is re-done periodically based on a risk matrix evaluation
57 Report Parameters • Periodic audits of Huntsman sites

58 GRI Index

60 SASB Reporting

Huntsman.com 23
Table of Contents

2 A Letter from the Chairman, President


and Chief Executive Officer
Data on
4 A Letter from the Corporate
Sustainability Officer
Performance
5 A Letter from the Board Sustainability Our sustainability program enables us to follow
Committee Chair trends and report metrics in important areas like
6 Sustainability Governance energy and water usage. Our intention is to always
present our data so that stakeholders can easily
8 Who We Are | Highlights
track our progress. We continue to explore
10 2020 Key Figures at a Glance additional reporting guidelines. In 2021, we
completed an analysis of the Task Force for
11 Horizon 2025 Targets
Climate-Related Disclosures (TCFD) and will
12 Brightening the Horizon begin to disclose along the TCFD in our next
Sustainability Report.
21 United Nations Sustainable
Development Goals

22 United Nations Global Compact


Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 24


CO2e EMISSIONS EMISSIONS INTENSITY
millions metric tons CO2e ton / product ton

Table of Contents BASELINE


3.0 0.50
The divestiture of our surfactants business to Indorama Ventures Limited
(IVL) in 2020 changed Huntsman’s emissions and energy footprint
2 A Letter from the Chairman, President
significantly. The graph to the right highlights the reduction in both
and Chief Executive Officer
direct and indirect greenhouse gas emissions, on both an absolute
and production intensity basis.
4 A Letter from the Corporate 2.5

Sustainability Officer We have restated our historical figures and baselines to reflect the impact
0.40

of the IVL divestiture and other portfolio changes. Moving forward, 2019
5 A Letter from the Board Sustainability will serve as the baseline year for our Horizon 2025 targets.
Committee Chair
2.0
Each year, environmental data and emissions estimates are reviewed for
6 Sustainability Governance changes as a part of our data validation process. As a result, figures and
totals depicted in this year’s Sustainability Report may include minor 0.30

8 Who We Are | Highlights updates versus data published historically.

The Global Reporting Initiative (GRI) and Sustainability Accounting 1.5


10 2020 Key Figures at a Glance
Standards Board (SASB) disclosures lists can be found on pages 58
and 60.
11 Horizon 2025 Targets 0.20

Please contact us at [email protected] with any questions


12 Brightening the Horizon or comments about these changes. 1.0

21 United Nations Sustainable PRODUCTION INTENSITY


Development Goals Production intensity measures the amount of consumption or emission per
unit of production, both products and co-products. As an example, if we 0.10
22 United Nations Global Compact divide the total amount of energy consumed by the total amount of products 0.5
Communication on Progress and co-products we manufacture, we have a measure of our energy
consumption on a unit of production basis. We use production intensity
24 Data on Performance to measure changes in the efficiency of our operations.

Total Energy Use / Product Manufactured = Production Intensity


57 Report Parameters 0 0
Pre-Divest Post-Divest Pre-Divest Post-Divest

58 GRI Index Direct 1.9 0.4 Direct 0.26 0.07


Indirect 0.9 0.8 Indirect 0.12 0.15

60 SASB Reporting Total 2.8 1.11 Total 0.38 0.22

1 Number is rounded

Huntsman.com 25
1. Reliability
2. Ethics and Compliance
Table of Contents

2 A Letter from the Chairman, President


What Matters Most 3.
4.
Product Stewardship
Releases and Spills

and Chief Executive Officer 5. Process Safety


6. Corporate Governance
4 A Letter from the Corporate The 2019-completed materiality assessment (at right) 7. Product Innovation
Sustainability Officer provides a strategic framework to evaluate risks 8. Waste
5 A Letter from the Board Sustainability and opportunities and helps us to focus on what 9. Alternatives for Substances of Concern
Committee Chair matters most. The process resulted in a matrix 10. Occupational Health and Safety

of ranked issues based on importance to stakeholders 11. Cybersecurity


6 Sustainability Governance
12. Water
and importance to Huntsman. We have structured
8 Who We Are | Highlights 13. Greenhouse Gas and Air Emissions
our Sustainability Report around these key risks
14. Total Energy Consumption
10 2020 Key Figures at a Glance and opportunities.
15. Employee Engagement and Development
11 Horizon 2025 Targets 16. Human Rights
17. Supply Chain Sustainability
12 Brightening the Horizon
18. Diversity / EEO
21 United Nations Sustainable 19. Data Privacy
Development Goals 20. Circular Economy
21. Supporting Communities
22 United Nations Global Compact
Communication on Progress 22. Energy Use
23. Sustainable Raw Materials
24 Data on Performance 24. Climate Risk
25. Labor Rights and Association
57 Report Parameters
26. Employment Opportunities
58 GRI Index 27. Renewable Energy Usage
28. Biodiversity / Ecosystems Land Use Change
60 SASB Reporting
29. Noise
30. Traffic
2020 Sustainability Report 26
Table of Contents MATERIALITY ASSESSMENT MATERIALITY RANKING
In 2019, we developed Huntsman’s first corporate sustainability materiality We then developed a materiality issues list for ranking, considering input from
assessment. Building on previous stakeholder outreach, we completed our first various sources, including GRI topic-specific standards, industry best practices,
2 A Letter from the Chairman, President
formal materiality assessment to shape the direction of our sustainability program. recent ACC focus group survey data and feedback from our Sustainability Council.
and Chief Executive Officer
The assessment identified the top sustainability issues for the company. We developed a scorecard methodology for ranking, and the Sustainability
Council completed an initial ranking to arrive at a matrix of issues.
4 A Letter from the Corporate INITIAL STUDIES
Sustainability Officer Several early steps provided critical inputs to the materiality study. During the process, the Sustainability Council ranked issues in several
categories, including:
5 A Letter from the Board Sustainability Customers In 2018, we conducted a comprehensive customer outreach • relative influence on stakeholder decisions
Committee Chair study with a representative sample of customers across a wide • significance of Huntsman’s impact
range of our divisions, geographies and market segments. The • our ability to influence the issue
6 Sustainability Governance customer sample represented 10% of our annual revenues. • impact on Huntsman’s performance over the short and long term

8 Who We Are | Highlights Investors We completed a gap analysis and benchmarking study focused We then summarized these rankings, focusing on two factors:
on areas of interest for investors, including environmental, 1. The degree to which the issue influenced stakeholder decisions – in other
social and governance (ESG) issues, which incorporated words, would it affect a customer’s decision on whether to conduct business
10 2020 Key Figures at a Glance
studies done by the American Chemistry Council (ACC). with Huntsman
2. The impact on Huntsman and our long-term success
11 Horizon 2025 Targets
Communities To understand the priority issues for those living near our plants,
we attended a community advisory panel session at what was The Sustainability Council presented the results to the Corporate Officers in
12 Brightening the Horizon our largest site – Port Neches, Texas, as well as spoke with May 2019 and subsequently to members of the Board of Directors, and it was
Huntsman communications staff, local corporate communica- approved by the officers and CEO, Peter Huntsman.
21 United Nations Sustainable tions and corporate social responsibility (CSR) managers at
Development Goals a sample of our facilities with nearby communities. We will update our Materiality Assessment in 2021.

22 United Nations Global Compact


Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 27
Table of Contents

2 A Letter from the Chairman, President


1. Reliability
and Chief Executive Officer We see reliability as critical
to meeting customer needs,
4 A Letter from the Corporate From our 2019 materiality assessment process, reliability ranked as the top issue.
which delivers commercial In our view, several aspects comprise reliability: roles and ownership, purchasing,
Sustainability Officer
results and, ultimately, drives supply chain and our Manufacturing and Engineering Council.
5 A Letter from the Board Sustainability the success of our business. ROLES AND OWNERSHIP
Committee Chair
Plant managers at each of our facilities oversee site operations, and manufacturing
leads for each division have accountability and oversight of the operations strategy
6 Sustainability Governance of the division. We manage logistics, including raw material input and shipments
of products to customers as outputs, with a dedicated supply chain group that
8 Who We Are | Highlights works closely with corporate purchasing teams who handle raw material
purchases and vendor management.
10 2020 Key Figures at a Glance
PURCHASING
11 Horizon 2025 Targets Purchasing plays a key role in reliability. An understanding of our supply chain
risks and opportunities is crucial to operations of our site facilities. For example,
12 Brightening the Horizon in 2017, we experienced a significant disruption to parts of our supply chain
in China due to shutdowns related to enforcement for non-compliance with
21 United Nations Sustainable environmental regulations. Suppliers were either directly or indirectly impacted
Development Goals with minimal notice. Strengthening our understanding of that part of our supply
chain has improved the assurance of our product delivery.
22 United Nations Global Compact
Our sourcing strategies for key materials and services further assure delivery
Communication on Progress
of best-in-class reliability. For example, sole sourcing can pose a reliability risk.
However, some items may require sole sourcing due to logistics, geography or
24 Data on Performance economics. While we can never fully eliminate interruptions, we continually
assess the viability of sources across the value chain to minimize impacts and
57 Report Parameters improve our overall reliability, customer satisfaction and profitability.

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 28


Table of Contents SUPPLY CHAIN MANUFACTURING AND ENGINEERING COUNCIL
Reliability is also critical for our supply chain teams as they support business We formed the Manufacturing and Engineering Council (MEC) nine years ago.
plans. The supply chain teams balance customer demand with our supply The MEC is comprised of executives responsible for leading and continuously
2 A Letter from the Chairman, President
capability to ensure we meet our customer needs. The teams focus on customer improving Huntsman’s manufacturing and engineering systems, processes, tools
and Chief Executive Officer
alignment, organizational responsiveness, network resilience and financial benefit. and organizational capability and culture within our manufacturing sites. Safety,
engineering and operational excellence are key responsibilities for the MEC. The
4 A Letter from the Corporate We proactively track and trace our logistics capability to improve reliability. While MEC is led by the Senior Vice President of EHS and Manufacturing Excellence
Sustainability Officer our regional teams are implementing slightly different platforms across the globe, and meets on a quarterly basis.
they have the shared overarching goal of increasing visibility of transportation,
5 A Letter from the Board Sustainability augmenting responsiveness for our customers, improving the performance of POLYURETHANES DIVISION
Committee Chair logistics service providers to deliver orders “on time and in full” and reducing lead Through its Global Reliability Improvement Program (GRIP), our Polyurethanes
times and inventory. division continues to deliver predictable production capability and build a continuous
6 Sustainability Governance improvement culture across four major sites in the US, United Kingdom, the
Huntsman works collaboratively across divisions to ensure maximum learning in Netherlands and China. GRIP consists of five elements to deliver sustainable
8 Who We Are | Highlights the supply chain. Huntsman has established a Supply Chain Council that identifies reliability:
critical supply chain areas where there is benefit in driving common goals and
activities. In 2020, the Council concentrated on people development – leveraging 3 Technical Pillars: Asset Health, Operational Excellence and Supplier Reliability
10 2020 Key Figures at a Glance
both common internal and external training, harmonization of job profiles and the 2 Enabling Foundations: People, Leadership & Culture and Performance
identification of required competencies within the supply chain to ensure future Management
11 Horizon 2025 Targets
success within the function.
The GRIP governance model includes the global groups and site teams led by
12 Brightening the Horizon assigned transformation officers and initiative owners. Together, these teams use
agile, 12- to 14-week sprints to develop, plan and implement improvements
21 United Nations Sustainable targeted to improve reliability and deliver on business commitments.
Development Goals
In 2020, the GRIP operational excellence scope was expanded beyond MDI
22 United Nations Global Compact precursor routine operations to include turnaround excellence and process
Communication on Progress improvements in variants and polyol operations.

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 29
Table of Contents

2 A Letter from the Chairman, President


2. Ethics and Compliance
and Chief Executive Officer
MAY - concern concepts.qxp_Layout 1 2/26/21 4:22 PM Page 1

4 A Letter from the Corporate GRI 205-2 | The following section outlines how we communicate and how
Sustainability Officer we conduct training on our Ethics and Compliance policies and procedures.

5 A Letter from the Board Sustainability


Communicating Our Ethics and Compliance Policies
WHY SHOULD I PASS
Committee Chair
and Procedures to Our Governance, Employees and
6 Sustainability Governance ALONG A CONCERN? Business Partners
Find out how your reporting of an ethics or compliance concern helps
8 Who We Are | Highlights Huntsman uphold our company values. Talk to your manager or visit GOVERNANCE
huntsman.com/ethics. The Corporate Compliance Committee oversees the company’s Ethics and
10 2020 Key Figures at a Glance Compliance program, including Huntsman’s Business Conduct Guidelines (BCG)
and all associated policies and procedures. The Chief Compliance Officer sits on
this Committee, which is made up of all the Executive Officers, and reports directly
11 Horizon 2025 Targets Huntsman has zero to the Audit Committee of the Board of Directors in that capacity.
tolerance for illegal
12 Brightening the Horizon
EMPLOYEES
behavior.
Nearly1 100% of Huntsman’s approximately 9,000 employees have access to
21 United Nations Sustainable Huntsman’s BCG and the Ethics and Compliance policies and procedures,
Development Goals including anti-corruption. All employees receive a copy of the BCG when hired
and have access to the company intranet where these guidelines and the anti-
22 United Nations Global Compact corruption policies and procedures are located. The BCG contains a section on
Communication on Progress anti-corruption and references the anti-corruption policies and procedures. The
BCG is also available via our company website Huntsman.com. Additionally, both
24 Data on Performance Huntsman’s Internal Audit function and Ethics and Compliance group conduct
site-specific audits, which, depending on the scope of the audit, contain a review
57 Report Parameters of some anti-corruption controls.

1 After an acquisition, associates from the acquired entity may experience a delay in accessing
58 GRI Index Huntsman’s policies and procedures until IT systems are fully integrated.

60 SASB Reporting

2020 Sustainability Report 30


Table of Contents BUSINESS PARTNERS EMPLOYEES
Huntsman’s “commercial partners” or direct suppliers, contractors and joint Nearly 100% of Huntsman’s 9,000 employees complete the “Business Conduct
venture partners, receive a copy of Huntsman’s Vendor Code of Conduct, which Guidelines” course, on an annual basis. Course completion is required and is
2 A Letter from the Chairman, President
is a simplified version of the BCG and contains language about anti-corruption. reviewed by the officers monthly and members of the Board quarterly to ensure
and Chief Executive Officer
Both the Vendor Code of Conduct and the BCG are available on Huntsman’s completion. Course completion is required and is reviewed to ensure all associ-
website Huntsman.com. Huntsman contracts with business partners include ates complete their annual training. Nearly 100% of employees have received
4 A Letter from the Corporate anti-corruption language or clauses. training on human rights. Courses are offered in both computer-based and
Sustainability Officer instructor-led formats.

5 A Letter from the Board Sustainability Training on Our Anti-Corruption Policies and Procedures
Committee Chair
GOVERNANCE
6 Sustainability Governance We provide members of Huntsman’s Board of Directors with the company’s
BCG both during their onboarding and through periodic training and briefings.
8 Who We Are | Highlights The BCG includes specific provisions barring the bribery of both public and private
officials and officers, as well as other anti-corruption prohibitions. The Board of
10 2020 Key Figures at a Glance Directors and the Audit Committee of the Board receive quarterly briefings by the
company’s Chief Compliance Officer or General Counsel. These briefings include
11 Horizon 2025 Targets applicability and enforcement of the BCG, including the anti-bribery and anti-
corruption provisions within the company, changes in or additions to relevant
anti-corruption laws globally, and developments in and learnings from significant
12 Brightening the Horizon
cases around the world.

21 United Nations Sustainable


Huntsman’s executive and other corporate officers and members of its senior
Development Goals operational leadership receive specific training on how to comply with all provisions
of the BCG, including the anti-bribery and anti-corruption terms. This training is
22 United Nations Global Compact delivered through both e-learning courses and in person by the company’s Chief
Communication on Progress Compliance Officer or General Counsel or members of the Human Resources or
Legal Departments.
24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 31
Table of Contents

2 A Letter from the Chairman, President


3. Product Stewardship
and Chief Executive Officer

4 A Letter from the Corporate Product stewardship demonstrates our commitment to the PRODUCT SAFETY SUMMARIES
Sustainability Officer As part of our commitment to product stewardship, we have published 10 product
safe handling of potentially hazardous chemicals at every safety summaries on our corporate website, with plans to publish a total of 30 by
5 A Letter from the Board Sustainability stage of their life cycles, from the sourcing of raw materials, 2025. These documents provide the public with a general description of certain
chemical substances. The topics and order of publication are prioritized based
Committee Chair through manufacture and use, to eventual disposal.
on the amount of potential risk the substance presents. The published summaries
are for:
6 Sustainability Governance GRI 416-1 | Huntsman has over 30,000 finished products and raw materials • Aminoethylethanolamine • Ethyleneamines
which are sold or used1. We evaluate our products using our New Product • Aminoethylpiperazine • Maleic Anhydride
8 Who We Are | Highlights Introduction process or through our Hazard Communication processes. One • Aniline • MDI
example of how Huntsman continually reviews and evaluates our substances • Bisphenol-A-Based Epoxy Resins • Reactive Blue 049
10 2020 Key Figures at a Glance for improvement is through our REACH review process. We are required to • Bisphenol-A-Based Epoxy Resin – Solid
update REACH Dossiers for certain substances in our portfolio every year, due • Bisphenol-A-Based Epoxy Resin – Semi-solid
11 Horizon 2025 Targets to reviews conducted by the European Chemicals Agency (ECHA), based on
new evaluations or new health science data. The product safety summaries are available on our website at
12 Brightening the Horizon Huntsman.com -> Sustainability -> Our Commitments.
In 2020, we updated 23 substances as a part of this mandatory process. We https://www.huntsman.com/sustainability/our-commitments
21 United Nations Sustainable went beyond what was required by ECHA and updated an additional 84 products.
Development Goals Updates included adding use case and exposure scenarios and incorporating HORIZON 2025 TARGET
advances in science and descriptions for read-across data applicability. In total, The publishing of at least 30 product safety summaries is one of the targets of
Huntsman updated 107 REACH Dossiers in 2020. Horizon 2025, our business strategy for environment, health and safety (EHS).
22 United Nations Global Compact
This target is aligned with the American Chemistry Council’s Responsible Care®
Communication on Progress
initiative. The product safety summaries are not intended to replace the information
included on the Safety Data Sheet (SDS), Product Safety Label and other safe
24 Data on Performance 107 total number of 2020 use and handling literature for the chemical substances.
updated REACH submissions
57 Report Parameters 1 For SASB reporting, roughly 70% of our products contain Globally Harmonized System (GHS)
of Classification and Labeling of Chemicals Category 1 and 2 substances.
Mandatory 23
58 GRI Index Voluntary 84
Total 107
60 SASB Reporting

2020 Sustainability Report 32


Table of Contents

2 A Letter from the Chairman, President


4. Releases and Spills
and Chief Executive Officer

4 A Letter from the Corporate A critical part of our EHS Policy and Commitment is to identify Transport Incidents Number

Sustainability Officer and control EHS risks in all aspects of our business activity. Incidents reported according to the US Department of 14
Transportation 5800 report1
5 A Letter from the Board Sustainability We actively strive to reduce any such incidents through our
Incidents reported based on the European Agreement 0
Committee Chair EHS management systems, which include our Global EHS and concerning the International Carriage of Dangerous Goods by
Road (ADR) criteria
Process Safety Standards and Procedures and our Horizon
6 Sustainability Governance Other transport incidents, based on nationally recognized 1
2025 targets. definitions, or consistent with the International Council of Chemical
8 Who We Are | Highlights Association’s (ICCA) Guidance for Reporting Performance

We track chemical releases and spills at a corporate level across all Huntsman-owned
10 2020 Key Figures at a Glance and -operated facilities. The table below represents incidents that resulted in chemical Significant Distribution Incidents2 Number
spills or loss of material from primary containment that Huntsman has classified
11 Horizon 2025 Targets as significant. We designate a spill as “significant” when the spill is not specifically A fatality or injury leading to intensive medical treatment, a stay 0
in hospital of at least one day, or an absence from work of
allowed by a government-issued authorization such as a permit, license, consent more than three days
12 Brightening the Horizon and not contained on site. Air emission incidents and volumes are omitted but are
tracked under Air Emissions. Any release of more than 200 kg/L of dangerous goods or more 5
than1,000 kg/L of non-dangerous goods
21 United Nations Sustainable
A “spill” is defined by GRI as “accidental release of a hazardous substance that can Any damage of more than $50,000 USD (including environmental 2
Development Goals
affect human health, land, vegetation, water bodies and ground water.” cleanup) resulting from a transport incident

22 United Nations Global Compact An incident leading to direct involvement of authorities and/or 4
GRI 306-3 | RELEASES AND SPILLS emergency services, evacuation of people or closure of
Communication on Progress public traffic routes for at least three hours
Number of Incidents Amount Released (lbs.)

24 Data on Performance Americas 2 20,121 1 Data reported to Pipeline and Hazardous Materials Safety Administration (PHMSA) for year 2020
2 Categories defined per SASB Standards for the chemical sector
Asia Pacific 0 0
57 Report Parameters Europe, Africa, Middle East 0 0
Total 2 20,121
58 GRI Index

60 SASB Reporting

Huntsman.com 33
Table of Contents

2 A Letter from the Chairman, President


5. Process Safety
and Chief Executive Officer

4 A Letter from the Corporate Process safety is critical to assuring facilities Process safety risks are managed though several means, including the application of inherent safety
Sustainability Officer principles in the process and equipment design process, design and installation of engineered
are safe and working as intended. independent protection layers, use of procedures and training to assure operating competency
and use of personal protective equipment.
5 A Letter from the Board Sustainability
Committee Chair
As the figure below illustrates, we start with the most effective risk mitigations – eliminating the risk –
and then work down to subsequent mitigations to continually improve the safety of our operations.
6 Sustainability Governance

8 Who We Are | Highlights


RISK MITIGATION STRATEGIES
10 2020 Key Figures at a Glance

11 Horizon 2025 Targets Elimination Physically remove the hazard

12 Brightening the Horizon

21 United Nations Sustainable Substitution Replace the hazard


Development Goals

22 United Nations Global Compact


Communication on Progress Engineering controls Isolate people from the hazard

24 Data on Performance
Administrative
57 Report Parameters controls Change the way people work

58 GRI Index
PPE Protect the worker with Personal
60 SASB Reporting Protective Equipment (PPE)

2020 Sustainability Report 34


PROCESS SAFETY | Incident rate

Table of Contents COMBINED INCIDENT RATE


0.35
Process safety performance is based on the API-754 Process Safety Performance
Indicators for the Refining and Petrochemical Industries Recommended Practice.
2 A Letter from the Chairman, President
The API-754 standard provides a consistent means of evaluating process safety
and Chief Executive Officer
performance across the industry. A Tier 1 event is defined as a loss of primary 0.30
containment (LOPC) with the greatest consequence. A Tier 2 event is defined as
4 A Letter from the Corporate a LOPC with lesser consequence. Huntsman initiated the API-754 methodology
Sustainability Officer beginning in 2016.
0.25

5 A Letter from the Board Sustainability While Tier 2 incident rates have been variable, Tier 1 incident rates have declined
Committee Chair each year since 2016. For Process Safety Total Incident Rate (PSTIR), see chart
at right. 0.20

6 Sustainability Governance

8 Who We Are | Highlights PROCESS SAFETY CULTURE LEADERSHIP WORKSHOPS 0.15


As we strive for continual improvement in process safety, we have placed
considerable focus on improving process safety culture. The chemical industry
10 2020 Key Figures at a Glance
has recognized the importance that culture plays in determining the overall
0.10
success of a process safety management program. In an organization with a
11 Horizon 2025 Targets
positive process safety culture, there exists a high degree of trust and transpar-
ency at all levels of the organization coupled with highly effective management
12 Brightening the Horizon systems. Huntsman has developed a series of process safety cultural leadership 0.05
workshops to align process safety core values and behaviors from the executive
21 United Nations Sustainable to the front-line worker levels. Workshop participants develop a personal action
Development Goals plan that drives sound process safety principles and practices, provides clear
0
leadership actions and behaviors required to move the culture toward operational 2016 2017 2018 2019 2020
22 United Nations Global Compact excellence and instills an understanding and passion for their role in the process Tier 1 0.100 0.080 0.048 0.046 0.000
Communication on Progress safety management systems.
Tier 2 0.160 0.240 0.102 0.164 0.100
1
PSIC 10 12 8 7 0
24 Data on Performance 2
PSISR n/a n/a n/a 0.18 0.00

57 Report Parameters 1 Process Safety Incident Count (PSIC)


2 The Process Safety Incident Severity Rate (PSISR) is defined as the cumulative (annual)
severity-weighted rate of process safety incidents and is calculated as the Total Severity
58 GRI Index Score for all Process Safety Incidents multiplied by 200,000 and divided by the total
annual hours worked by associates and contractors.

60 SASB Reporting We began collecting the PSISR for Tier 1 events in 2019. In previous years, this data
was not tracked. Information around the root cause and corrective actions implemented
is maintained at the local site level and not currently tracked for corporate reporting.

Huntsman.com 35
Table of Contents

2 A Letter from the Chairman, President


6. Corporate
and Chief Executive Officer Governance
4 A Letter from the Corporate
Sustainability Officer
Huntsman’s highest governance body is
5 A Letter from the Board Sustainability our Board of Directors. Please see page
Committee Chair 6 for more information. The executive
officer team is the primary committee
6 Sustainability Governance
responsible for decision-making on eco-
8 Who We Are | Highlights nomic, environmental and social topics. At Huntsman, our mission
10 2020 Key Figures at a Glance The Board Sustainability Committee is to provide products and
provides oversight of environmental, solutions through the
11 Horizon 2025 Targets
health, safety and sustainability-related application of science that
12 Brightening the Horizon topics. enrich lives and help create
a sustainable future.
21 United Nations Sustainable GRI 102-18 | For more information on Huntsman’s
Development Goals corporate governance, including governance
structure and committees of the highest governance
22 United Nations Global Compact body, see the Investor Relations pages of our
website, www.huntsman.com/investors.
Communication on Progress

24

57
Data on Performance

Report Parameters
7. Product Innovation
58 GRI Index
While sustainability broadly covers multiple aspects of society, we selected the United Nations
Sustainable Development Goals (SDGs) as a globally accepted standard, and we have therefore
60 SASB Reporting
defined sustainability as products that contribute to one or more of the SDGs.

2020 Sustainability Report 36


Production Intensity Trend | total waste tonnes/tonnes of production
0.150

0.130
Table of Contents

2 A Letter from the Chairman, President


8. Waste 0.110

0.090
and Chief Executive Officer
0.070

4 A Letter from the Corporate Huntsman seeks to prevent and reduce both hazardous 0.050
Sustainability Officer and non-hazardous waste. We continually look for ways TOTAL WASTE | tonnes

5 A Letter from the Board Sustainability to reduce waste and improve operational performance. 800,000
Committee Chair
2020 waste fell by approximately 98,000 metric tons, or 14%, from 2019,
6 Sustainability Governance with a corresponding decrease in production intensity of 13% as compared 700,000
to 2019. Reductions in hazardous waste were driven by a combination of
8 Who We Are | Highlights hazardous waste-handling improvements and recycling at our Llanelli, UK;
Petfurdo, Hungary; and Geismar, Louisiana sites along with lower production 600,000
10 2020 Key Figures at a Glance at our Monthey, Switzerland and Istanbul, Turkey sites. Reductions in
non-hazardous waste were driven by lower production at our Freeport,
Texas site and diversion of waste water from well disposal to third-party
11 Horizon 2025 Targets 500,000
handling along with an accompanying increase in our water discharge
for Freeport.
12 Brightening the Horizon
400,000
The increase from 2018 to 2019 is driven by a change in the classification
21 United Nations Sustainable of water discharge at our Freeport site. This is described further on page 39.
Development Goals
REDUCING WASTE 300,000
22 United Nations Global Compact GRI 306-2 | It is Huntsman’s corporate policy to prevent and reduce waste.
Communication on Progress We regularly complete audits to inspect external waste management plants
and ensure that our waste is disposed of correctly. 200,000
24 Data on Performance

57 Report Parameters 100,000

58 GRI Index
0
2016 2017 2018 2019 2020
60 SASB Reporting 302,776 348,001 351,192 697,942 599,703
tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 697,942 tonnes

Huntsman.com 37
Production Intensity Trend | hazardous waste tonnes/tonnes of production
0.0160

0.0155
Table of Contents GRI 306-2 | 2020 HAZARDOUS WASTE

Tonnes 0.0150
2 A Letter from the Chairman, President Recovery (including energy recovery) 22,291
and Chief Executive Officer Incineration (mass burn) 20,937 0.0145

Landfill 7,913
4 A Letter from the Corporate 0.0140
On-Site Storage (as of Dec. 31, 2020) 7,119
Sustainability Officer
Recycling 6,572 HAZARDOUS WASTE | tonnes
Other (including third-party treatment) 3,299
5 A Letter from the Board Sustainability 80,000
Deep Well Injection 2,695
Committee Chair
Reuse 1,888

6 Sustainability Governance Total 72,974 70,000

8 Who We Are | Highlights


60,000
WASTE DISPOSAL METHODS
10 2020 Key Figures at a Glance Huntsman sites confirm and report waste volumes and classifications.
Sites utilizing on-site deep well injection, incineration or composting are
11 Horizon 2025 Targets cases where waste is disposed of directly by the organization. In most 50,000

other cases, waste disposal is provided by third-party waste disposal


12 Brightening the Horizon companies. Disposal methods are known from the disposal site used
and/or listed on the manifest. 40,000

21 United Nations Sustainable


Development Goals
30,000

22 United Nations Global Compact


Communication on Progress
20,000

24 Data on Performance

57 Report Parameters 10,000

58 GRI Index
0
2016 2017 2018 2019 2020
60 SASB Reporting 69,235 79,078 78,114 77,615 72,974
tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 77,615 tonnes

2020 Sustainability Report 38


Production Intensity Trend | non-hazardous waste tonnes/tonnes of production
0.1300

Table of Contents GRI 306-2 | 2020 NON-HAZARDOUS WASTE


0.1000

Tonnes
2 A Letter from the Chairman, President Deep Well Injection 490,699
0.0700
and Chief Executive Officer Landfill 15,583
Other (including third-party treatment) 8,592
4 A Letter from the Corporate 0.0400
On-Site Storage (as of Dec. 31, 2020) 3,788
Sustainability Officer
Incineration (mass burn) 3,536 NON-HAZARDOUS WASTE | tonnes
Recycling 2,680
5 A Letter from the Board Sustainability 700,000
Reuse 1,045
Committee Chair
Recovery (including energy recovery) 806

6 Sustainability Governance Total 526,729


600,000

8 Who We Are | Highlights


FREEPORT ON-SITE DEEP WELL
The increase in non-hazardous waste from 2018 to 2019 was
10 2020 Key Figures at a Glance 500,000
due primarily to the startup of a new on-site deep well for injection
of non-hazardous wastewater at our site in Freeport, Texas. Based
11 Horizon 2025 Targets
on US regulations and permits, underground injection volumes are
considered waste1. 400,000
12 Brightening the Horizon
1 Previously these volumes were sent to third-party wastewater treatment and reported
21 United Nations Sustainable as “water out.” The wastewater was treated and discharged under a National Pollutant
Discharge Elimination System (NPDES) permit, regulated under the Clean Water Act. 300,000
Development Goals Deep well injection is permitted and regulated under the Resource Conservation and
Recovery Act (RCRA) and Safe Drinking Water Act (SDWA).

22 United Nations Global Compact


Communication on Progress 200,000

24 Data on Performance
100,000
57 Report Parameters

58 GRI Index
0
2016 2017 2018 2019 2020
60 SASB Reporting 233,542 268,923 273,079 620,328 526,729
tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 620,328 tonnes

Huntsman.com 39
Table of Contents

2 A Letter from the Chairman, President


9. Alternatives for
and Chief Executive Officer Substances of Concern
4 A Letter from the Corporate
Sustainability Officer
THE HUNTSMAN PORTFOLIO
The Substances of Very High Concern (SVHC) list under REACH is one of the widely
5 A Letter from the Board Sustainability recognized lists specifying substances of concern, which presents current and future
Committee Chair potential risk of regulatory action.

6 Sustainability Governance The safety of our associates, business partners, customers and consumers is our
Huntsman regularly evaluates its top priority. We implement strong product stewardship programs to ensure all
8 Who We Are | Highlights products for substances of concern products we make can be safely transported, stored and used by our customers. To
this end, we have several active programs addressing the use of SVHCs across our
10 2020 Key Figures at a Glance
throughout the life cycle to help businesses. Products are considered on a case-by-case basis, including assessing
with future portfolio planning and the use of the substance, existing and potential risk management options, ease of
11 Horizon 2025 Targets prioritization of R&D efforts to substitution and product benefits. We work with regulators, customers, suppliers and
value chain partners to make these assessments and develop suitable risk mitigation
support development of alternative plans which could include phase out, reformulation or development of alternatives.
12 Brightening the Horizon
chemicals as required to meet
PROACTIVE SCREENING AND DEVELOPMENT OF ALTERNATIVES
21 United Nations Sustainable regulatory and market demands.
We evaluate new product developments against defined substances of concern
Development Goals
(SoC) lists at various stages in the development process, including at stage gate
reviews. Our Product EHS teams have developed an SoC risk evaluation tool
22 United Nations Global Compact specifically for this purpose. Our R&D teams look for SoC issues at all stages of the
Communication on Progress development process as part of the selection of the preferred technical solution and
when screening new raw materials from suppliers. A formal hazard assessment is
24 Data on Performance completed by our Product EHS teams during the new product introduction process.
Products with significant SoC impact may be eliminated or new product devel-
57 Report Parameters opment projects terminated based on an SoC assessment or if the business case
for further development is not viable.
58 GRI Index
In some cases, if there are no viable or sustainable alternatives, we may still choose
60 SASB Reporting to launch a product that contains SoCs, which may require regulatory approval and
be either manufactured or used under strictly controlled conditions.

2020 Sustainability Report 40


INJURY AND ILLNESS | total recordable incident rate

Table of Contents
10. Occupational
1.00

2 A Letter from the Chairman, President


and Chief Executive Officer Health and Safety 0.90

4 A Letter from the Corporate


Sustainability Officer 0.80
Our EHS Policy and Commitment encapsulates our
5 A Letter from the Board Sustainability vision to prevent all harm through achieving excellence
Committee Chair in environmental, health and safety (EHS) performance 0.70
in all aspects of our business
6 Sustainability Governance
PREVENT HARM THROUGH EHS EXCELLENCE
0.60
8 Who We Are | Highlights We aim to continually improve our safety performance for all associates
and contractors and are committed to eliminating life-impacting injuries
10 2020 Key Figures at a Glance and fatalities.
0.50
In 2020, Huntsman had an OSHA Total Recordable Incident Rate (TRIR) of
11 Horizon 2025 Targets
0.281 inclusive of our contractors. This rate is the lowest in Huntsman’s history.
As we continue to strive for zero harm, we seek to make continued improve-
12 Brightening the Horizon 0.40
ments to our EHS programs to prevent and reduce injuries. Huntsman’s
TRIR remains below the American Chemistry Council Responsible Care®
21 United Nations Sustainable benchmark of 0.612 for Medium-Sized Companies and based on the
Development Goals US Bureau of Labor Statistics, NAICS 325000 – Chemical Manufacturing. 0.30

22 United Nations Global Compact # of Injuries & Illnesses x 200,000 / # of Work Hours = OSHA Total Recordable Incident Rate

Communication on Progress When the combination of associates and contractors is considered, the two 0.20
most common types of work-related injuries are abrasions and lacerations
24 Data on Performance and sprains and strains.
0.10
57 Report Parameters Work-related hazards that pose a potential risk of high-consequence injury
include hazards inherent to nearly all companies across the chemicals indus-
58 GRI Index try and can range from major events – such as exposure to toxic releases,
fires and explosions – to routine activities – such as confined space entries, 0
2016 2017 2018 2019 2020
60 SASB Reporting working from heights or lifting heavy objects. 0.40 0.29 0.33 0.46 0.28
US Chemical Industry Average
1 Including full-time, part-time, contract and temporary workers.
2 The latest available data at the time this report was developed.

Huntsman.com 41
Table of Contents GRI 403-9 | WORK-RELATED INJURIES ACTIONS TAKEN
Actions taken to address work-related hazards are addressed in section
Hours Recordable High Consequence2 Fatalities GRI-403-2.
2 A Letter from the Chairman, President Worked1 (TRIR) (TRIR) (TRIR)

and Chief Executive Officer Associates 17,123,564 23 (0.27) 1 (0.01) 0 (0.00) All LIFE events are formally investigated with corrective actions taken to reduce
Contractors 7,101,864 11 (0.31) 4 (0.11) 1 (0.02) or eliminate work hazards using the hierarchy of controls. Huntsman performed
4 A Letter from the Corporate Combined 24,225,428 34 (0.28) 5 (0.04) 1 (0.01) a global review of the use of rotating equipment to eliminate the use of these
Sustainability Officer machines where possible. Huntsman revised corporate machine guarding
1 Full-time, part-time, contract and temporary workers are included.
2 Also called a Life-Impacting or Fatal Event (LIFE), a work-related personal injury or illness that meets requirements to include more stringent administrative controls, including revised
5 A Letter from the Board Sustainability defined severity criteria due to its impact on the quality of the affected person’s life, whether temporary training requirements and more frequent inspections of equipment in areas of
or permanent.
Committee Chair high use such as maintenance workshops and laboratories. Huntsman has
further introduced global risk tolerance training to all personnel to identify why
Injuries and illnesses are categorized according to internal guidance documents,
6 Sustainability Governance and where our personnel take risks to help address line of fire, hazards and
based on US OSHA standard 29 CFR 1904.7. Additionally, injuries and illnesses overexertion. For more information on actions taken to address LIFE and other
are documented as required by the laws in the areas we operate.
8 Who We Are | Highlights hazards, see reference to GRI 403-2 and the discussion on process safety.

10 2020 Key Figures at a Glance HAZARDS CONTRIBUTING TO LIFE EVENTS


For 2020, the following are the hazards that have caused or contributed to
11 Horizon 2025 Targets high-consequence, Life-Impacting or Fatal Events (LIFE) and the portion they
represent of our 5 LIFE incidents:
12 Brightening the Horizon
Rotating equipment 2
21 United Nations Sustainable Working at height 1
Development Goals Chemical spill on floor surface 1
Congested work area 1
22 United Nations Global Compact
Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 42


Table of Contents GRI 403-1 | Occupational health and safety management system Sites use the results of self-audits to make site-based improvements. The
Huntsman has implemented an Environmental, Health and Safety (EHS) Management results of the corporate EHS and process safety audits are used to make both
System consisting of seven standards, 71 procedures and 91 guidance documents site-based and companywide improvements. Competent persons assessments
2 A Letter from the Chairman, President
to support implementation of the requirements. The management system is based are used to identify additional training and skill improvement opportunities.
and Chief Executive Officer
on principles of various recognized management system standards such as
Responsible Care®, ANSI Z-10, 29 and CFR 1910.119. Associates are encouraged to report work-related hazards through incident
4 A Letter from the Corporate reports, near-miss reports and 60-second checks as well as any methods an
Sustainability Officer Our standards and procedures apply to all Huntsman-owned and -operated individual site has created.
facilities and corporate functions. They do not apply to either joint ventures (JVs)
5 A Letter from the Board Sustainability in which Huntsman is an minority owner or to third-party warehouses and tollers All Huntsman associates have stop work authority for situations when they feel
Committee Chair unless by a request from a member of the EHS leadership team. there is a danger to themselves, co-workers or the public. Associates are
protected from retaliation by the company code of ethics and a robust series
6 Sustainability Governance For Huntsman facilities located in the United States, Huntsman has implemented of HR policies and procedures.
its Responsible Care® program to supplement existing EHS management systems
8 Who We Are | Highlights to enhance performance and improve the safety and health of our employees, the The process for a work-related incident investigation is outlined in our EHS
communities in which we operate and the environment. Management System, specifically EHS-106 Incident Investigation. Based on the
severity and likelihood of the outcome, a 5-why methodology may be used for
10 2020 Key Figures at a Glance
GRI 403-2 | Hazard identification, risk assessment and incident “lower severity” incidents while those of a higher consequence require the use
investigation of Apollo root cause analysis.
11 Horizon 2025 Targets
The EHS Management System outlines the methods used to identify work-related
hazards and assess risks. Guidance documents and procedural requirements out- GRI 403-9c, d. Throughout the process of any incident investigation, the
12 Brightening the Horizon line the Hierarchy of Controls. These methods include pre-job safety inspections, hierarchy of controls is to be used to institute robust measures to prevent
job safety analyses and work permits (including hot work, confined space entry recurrence. In addition to the investigation, the company conducts a quarterly
21 United Nations Sustainable and work at height). analysis of incidents to identify potential gaps in the management system and
Development Goals recommend improvements.
All manufacturing sites conduct Process Hazard Analysis (PHA) and Fire Risk
22 United Nations Global Compact Analysis (FRA) of their facilities to identify process and fire-related hazards and GRI 403-3 | Occupational health services
Communication on Progress determine where additional layers of protection are needed to ensure the health Huntsman ensures occupational health services are provided for employees
and safety of people and protection of the environment. under the guidance of the Global Director of Occupational Health, a board-certi-
24 Data on Performance fied medical doctor. Each site contracts with either an on-site medical provider
The organization assesses the quality of the processes and the competency of or with a local medical provider to ensure prompt access to occupational health
57 Report Parameters the persons carrying out the tasks through site self-audits, corporate EHS and and medical services when needed. The sites adjust their workload to ensure the
process safety audits and through competent person assessments (for Process services are available to associates as required. The company has processes to
Safety Management (PSM)-related activities). Additional requirements for training protect worker privacy under HIPAA and GDPR practices, specifically EHS-505
58 GRI Index
and competency are described in the EHS Management System, specifically Health Record Management and Confidentiality.
EHS-113 Training and Competency.
60 SASB Reporting

Huntsman.com 43
Table of Contents GRI 403-4 | Worker participation, consultation and communication GRI 403-6 | Promotion of worker health
on occupational health and safety Huntsman provides benefits to employees including health care coverage. The
Huntsman includes worker participation in the development, implementation and type of coverage is dependent on the plan available to associates in the area they live.
2 A Letter from the Chairman, President
evaluation of the EHS Management System by having site-based personnel involved
and Chief Executive Officer
and consulted on the development of new corporate requirements and the updating Huntsman provides benefits to employees including employee assistance programs
of existing requirements. Certain individual site-based personnel are directly involved and voluntary health promotional programs. Certain individual sites have developed
4 A Letter from the Corporate in the rollout of new and updated requirements via webinar, face-to-face training comprehensive health and wellness promotional programs to encourage health
Sustainability Officer and other communication packages, contingent on the extent of the update. Sites and well-being.
are expected to have front-line associates directly involved in the development of
5 A Letter from the Board Sustainability EHS practices and programs (for example, developing formal job safety analyses). GRI 403-7 | Prevention and mitigation of occupational health and
Committee Chair Huntsman values input from sites to continue to improve EHS practices as a safety impacts directly linked by business relationships
corporation. Huntsman has developed an EHS Management System which incorporates
6 Sustainability Governance aspects of occupational health, occupational safety, environmental safety, product
Where formal joint management-worker health and safety committees exist, EHS and process safety management. The goal of these programs is to prevent
8 Who We Are | Highlights the responsibilities, frequency of meeting, decision-making authority and worker (or mitigate) the impacts that are directly linked to its operations, products and
representation is based on local law and negotiated contracts. services. Huntsman’s corporate product safety team has developed procedures
10 2020 Key Figures at a Glance for product hazard identification, hazard communication, risk assessment and risk
The hazards in the workplace are communicated by making readily available Safety management, specifically EHS-701 Chemical Hazard Communication, EHS-702
Data Sheets (SDSs) for all raw materials, products and intermediates. Workers have Product Stewardship, EHS-703 Product Risk Assessment and EHS-704:
11 Horizon 2025 Targets
access to process hazard information through readily available Process Hazard Distribution Risk Management.
Analyses.
12 Brightening the Horizon
GRI 403-5 | Worker training on occupational health and safety INDUSTRIAL HYGIENE
21 United Nations Sustainable Training requirements for associates are outlined in the EHS Management System, Our industrial hygiene (IH) teams continuously identify potential health hazards,
Development Goals specifically EHS-113, EHS Training and Competency. Several corporate-level assess risk and implement controls – as outlined in our EHS Management System.
training programs exist to provide a high-level overview including a requirement All sites complete IH risk assessments, and in 2018, Huntsman standardized how
22 United Nations Global Compact for everyone to complete a training course called “Why EHS Matters,” which sites conduct risk assessments, which are used to develop annual sampling plans
Communication on Progress prominently features CEO Peter Huntsman discussing the importance of EHS to to quantify exposures. Exposure monitoring results are compared to published
the company and all associates. Sites are required to develop training matrices for occupational exposure limits1 to confirm existing controls are adequate. To reduce
24 Data on Performance their operations to ensure competency and safe work practices. The effectiveness potential exposure to both acute and chronic health hazards, our sites incorporate
of these programs is assessed through corporate EHS and process safety audits. the Hierarchy of Controls, starting with elimination (if possible), substitution,
57 Report Parameters Huntsman has a corporate EHS Center of Excellence that assists sites in provid- engineering controls (enclosing, containing, isolating, automating, minimizing
ing training to ensure safe work practices and compliance with local regulatory dispersion or tools to avoid direct contact), administrative controls, and lastly
requirements. Tasks identified as “EHS critical” require routine operator drills to personal protective equipment. As new controls are implemented, exposures
58 GRI Index
ensure our capabilities for proper and timely responses. are reassessed to keep workers safe.

60 SASB Reporting 1 Huntsman uses the lower of the American Conference of Governmental Industrial Hygienists (ACGIH)
Threshold Limit Values or the applicable regulatory exposure limits for the country where the site is located.

2020 Sustainability Report 44


Table of Contents

2 A Letter from the Chairman, President


Cybersecurity is a critical business 11. Cybersecurity
issue and one that is continuously
and Chief Executive Officer
changing. We rely on information
4 A Letter from the Corporate technology systems across our Our ability to effectively manage our business depends on the security,
Sustainability Officer reliability and capacity of our information technology systems, as well as
operations, including for manage-
specific protection of the company’s intellectual property and other sensitive
ment, supply chain and financial business information. Huntsman has invested and continues to invest in tech-
5 A Letter from the Board Sustainability
information and various other nology security initiatives and disaster recovery plans that help to protect
Committee Chair against significant risks to our information technology systems and data.
processes and transactions.
We have put in place security measures designed to protect against the
6 Sustainability Governance misappropriation or corruption of our systems, intentional or unintentional
disclosure of confidential information or disruption of our operations. Our
8 Who We Are | Highlights information security systems and processes are constantly reviewed, tested,
updated and enhanced as needed. This applies to third-party service providers
10 2020 Key Figures at a Glance as well. Risk assessments are completed to ensure the third-parties have
controls in place. Education is an essential part of protection, and we strive
11 Horizon 2025 Targets to reinforce a cybersecurity-aware culture within Huntsman. All Huntsman
employees are required to complete an annual cybersecurity course that is
regularly updated based on latest types of attacks and security best practices.
12 Brightening the Horizon
Internal phishing awareness campaigns are included as part of the education.

21 United Nations Sustainable


In addition to our cybersecurity efforts, data privacy is a subject that has
Development Goals frequently changing rules and regulations in countries where we do business.
For example, the EU General Data Protection Regulation (GDPR), Brazil’s
22 United Nations Global Compact General Data Protection Law (Lei Geral de Protecao – LGDP) and California
Communication on Progress Consumer Privacy Act (CCPA) require companies to meet new regulations
regarding the handling of personal data. Huntsman continuously monitors
24 Data on Performance and updates data protection efforts as required.

57 Report Parameters Effective cybersecurity requires constant vigilance and regular updating of
systems and processes. Huntsman takes threats seriously, and we continue
to work to improve our systems and processes so they provide the most
58 GRI Index
effective security possible to protect our technology systems and data for
both information technology and operation technology.
60 SASB Reporting

Huntsman.com 45
Production Intensity Trend | COD tonnes/tonnes of production
0.0012

0.0011
Table of Contents

2 A Letter from the Chairman, President


12. Water 0.0010

0.0009
and Chief Executive Officer
0.0008

4 A Letter from the Corporate Water quality is a critical issue for Huntsman as a 0.0007
Sustainability Officer responsible member of the communities in which DISCHARGES TO WATER | COD tonnes

5 A Letter from the Board Sustainability we operate. Our EHS Management System includes 6,000

Committee Chair standards and procedures for the management of


effluent water quality at our sites.
6 Sustainability Governance
5,000

8 Who We Are | Highlights WATER QUALITY


GRI 303-2 | All manufacturing sites are required to report multiple effluent
water quality metrics including organics, inorganics, solids and others.
10 2020 Key Figures at a Glance
4,000
We are complying with — and in many cases exceeding — increasingly
11 Horizon 2025 Targets strict water quality standards. We understand the connection between water
quality and water scarcity. Keeping water clean goes hand-in-hand with the
12 Brightening the Horizon efficient use of water.
3,000

21 United Nations Sustainable In the accompanying graphs, our chemical oxygen demand (COD) indirectly
Development Goals measures the quantity of organic compounds in water. COD is a laboratory
test to determine whether a specific wastewater will have a significant
22 United Nations Global Compact adverse effect on fish or aquatic plant life. 2,000

Communication on Progress
Both our production intensity trend and total discharges to water fell
from 2019 to 2020 primarily due to lower production at our McIntosh,
24 Data on Performance
Alabama, site. 1,000

57 Report Parameters

58 GRI Index
0
2016 2017 2018 2019 2020
60 SASB Reporting 5,045 4,739 5,110 5,418 4,204
tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 5,423 tonnes

2020 Sustainability Report 46


Production Intensity Trend | water in m3/tonnes of production Production Intensity Trend | water out m3/tonnes of production
4.6 3.6

4.4 3.5
Table of Contents 3.4
4.2
3.3
2 A Letter from the Chairman, President 4.0
3.2
and Chief Executive Officer
3.8
3.1

4 A Letter from the Corporate 3.6 3.0


Sustainability Officer WATER USAGE - WATER IN | million m3 WATER USAGE - WATER OUT | million m3

5 A Letter from the Board Sustainability 24,000,000 24,000,000

Committee Chair
22,000,000 22,000,000

6 Sustainability Governance
20,000,000 20,000,000

8 Who We Are | Highlights


18,000,000 18,000,000

10 2020 Key Figures at a Glance


16,000,000 16,000,000
11 Horizon 2025 Targets
14,000,000 14,000,000
12 Brightening the Horizon
12,000,000 12,000,000
21 United Nations Sustainable
Development Goals 10,000,000 10,000,000

22 United Nations Global Compact


8,000,000 8,000,000
Communication on Progress
6,000,000 6,000,000
24 Data on Performance
4,000,000 4,000,000
57 Report Parameters

58 GRI Index 2,000,000 2,000,000

60 SASB Reporting 0
2016 2017 2018 2019 2020
0
2016 2017 2018 2019 2020
20,658,166 22,116,516 21,392,067 19,967,918 19,619,654 16,153,514 17,441,507 17,240,715 16,677,770 15,260,665
m3 m3 m3 m3 m3 m3 m3 m3 m3 m3

Huntsman.com 47
Table of Contents WITHDRAWALS AND WATER DISCHARGES BY SOURCE AND QUALITY

All Sites Water-Stress Sites


2 A Letter from the Chairman, President
Other Not Other Not
and Chief Executive Officer Sources of Water (m3) Freshwater1 Water2 Measured3 Total Freshwater1 Water2 Measured3 Total

Withdrawals
4 A Letter from the Corporate
Surface Water 6,538,676 0 6,552,943 13,091,619 2,638 0 834,019 836,657
Sustainability Officer
Rainwater 267,865 n/a n/a 267,865 0 n/a n/a 0
Ground Water 570,627 290,786 1,740,992 2,602,405 277,513 290,786 688,256 1,256,555
5 A Letter from the Board Sustainability Seawater n/a 0 n/a 0 n/a 0 n/a 0
Committee Chair Produced Water 1,409,538 0 85 1,409,623 0 0 n/a 0
Reuse (from on-site sources) 112,620 3,000 1,571 117,191 0 3,000 0 3,000
6 Sustainability Governance Reuse (from third-party) 86,799 0 2,101 88,900 0 0 2,101 2,101
Total 17,577,603 2,098,313
8 Who We Are | Highlights
Third-Party Withdrawals4
10 2020 Key Figures at a Glance Surface Water 306,222 5,149 1,327,099 1,638,470 258,653 0 781,287 1,039,940
Rainwater 4,929 n/a n/a 4,929 0 n/a n/a 0
11 Horizon 2025 Targets Ground Water 92,078 0 183,615 275,693 9,822 0 143,500 153,322
Seawater n/a 0 n/a 0 n/a 0 n/a 0
12 Brightening the Horizon Produced Water 122,960 0 0 122,960 0 0 0 0
Total 2,042,052 1,193,262

21 United Nations Sustainable


GRI 303-3 | Total Withdrawals 19,619,654 3,291,575
Development Goals
Water Discharges5
22 United Nations Global Compact Surface Water 10,562,808 417,495 2,541,660 13,521,963 2,169,798 417,495 1,951 2,589,244
Communication on Progress Ground Water 12,824 0 0 12,824 0 0 0 0
Seawater 0 0 0 0 0 0 0 0
24 Data on Performance Third-Party Treatment & Other 920,664 136,538 668,677 1,725,878 6,917 136,538 392,666 536,121
Third-Party Sent to Other Organizations for Reuse 0 0 0 0 0 0 0 0
57 Report Parameters
GRI 303-4 | Total Discharges 15,260,665 3,125,365
58 GRI Index
GRI 303-5 | Consumption6 (net water usage) 4,358,989 166,210
60 SASB Reporting 1 ≤1,000 mg/L Total Dissolved Solids (TDS)
2 >1,000 mg/L (TDS)
3 TDS not measured

2020 Sustainability Report 48


Table of Contents WATER WITHDRAWALS HORIZON 2025 TARGET AND WATER-STRESSED SITES
GRI 303-1 | Water can be withdrawn from multiple sources. We recognize that water is a shared resource. Plans for water usage including
Most of the water that we use in Huntsman is withdrawn from consideration of broader community and industrial water needs are developed
2 A Letter from the Chairman, President
surface water – for example, lakes and rivers. at the site level in line with regulatory permit conditions and local regulations.
and Chief Executive Officer
Our Horizon 2025 targets include a 5% reduction in net water usage at facilities in
4 A Letter from the Corporate NET WATER USAGE water-stressed regions of the world, per unit of production. Working with a leading
Sustainability Officer Currently, we calculate consumption as: international consulting firm, we recently completed an updated global water
study, following our previous study commissioned in 2014. Utilizing two leading
5 A Letter from the Board Sustainability Aggregate Water Withdrawals
water risk models – World Wildlife Fund’s Water Risk Filter and World Resources
– Aggregate Water Discharges
Committee Chair Institute’s Aqueduct model – we evaluated multiple drivers of water stress,
= Consumption (net water usage)1 including baseline water stress, scarcity, flooding, drought, quality, ecosystem
6 Sustainability Governance services, seasonal variability, biodiversity importance, groundwater table decline
Global net water usage is 4.4 million cubic meters of water. and governance.
8 Who We Are | Highlights Actual net water usage volumes may be higher, depending on
the amount of rainwater included in our effluents, but aside from Focusing on three drivers – baseline water stress, drought risk and overall basin
variations due to rainfall, most of the water withdrawn for use is risk – and considering trends in average annual net water usage, we identified
10 2020 Key Figures at a Glance
discharged after use and not consumed. sites considered to be operating in water-stressed regions. We plan to further
evaluate the list in collaboration with our sites.
11 Horizon 2025 Targets 2
Net water usage (consumption) in water-stressed regions is
4% of our total net water usage. We are sharing the results of the full water risk study with site teams as they
12 Brightening the Horizon consider the broad spectrum of potential risks. All facilities are encouraged to
1 We recognize that withdrawal and discharge sources typically differ and that
incorporate the results of the study and assess their site-specific profile as they
21 United Nations Sustainable consumption is more precisely tracked by considering withdrawals and discharges
for individual aquifers. We do not currently track data at this level of detail. consider potential water risks relative to their location – to increase resilience and
Development Goals 2 Includes water purchased from third parties. improve long-term planning.

22 United Nations Global Compact


Communication on Progress
SITES CURRENTLY OPERATING IN WATER-STRESSED REGIONS
Brazil – Taboão da Serra Thailand – Bangkok (Mahachai)
24 Data on Performance
China – Panyu Thailand – Samutprakarn
Hungary – Petfurdo UAE – Dubai
57 Report Parameters
India – Baroda UK - Wilton
India – Mumbai US – Arlington, Texas
58 GRI Index
India – Pune US – Conroe, Texas
Italy – Modena US – Freeport, Texas
60 SASB Reporting Mexico – Atotonilquillo US – Los Angeles, California
Saudi Arabia – HAPC Dammam Vietnam – Ho Chi Min City (Saigon)

Huntsman.com 49
Production Intensity Trend | CO2e tonnes/tonnes of production
0.250

0.240
Table of Contents

2 A Letter from the Chairman, President


13. Greenhouse Gas 0.230

and Chief Executive Officer and Air Emissions 0.220

4 A Letter from the Corporate 0.210


Sustainability Officer Huntsman continues to focus on managing our environmental
TOTAL GHG EMISSIONS | CO2e tonnes
footprint and delivering solutions to help our customers
5 A Letter from the Board Sustainability 1,300,000
manage theirs.
Committee Chair
1,200,000
REDUCING EMISSIONS
6 Sustainability Governance
We have committed to reducing our greenhouse (GHG) emissions production 1,100,000
intensity by 10% from our 2019 baseline by 2025. Since 2019, we have
8 Who We Are | Highlights
participated in the Carbon Disclosure Project (CDP) and our report is publicly 1,000,000
available at www.cdp.net. Approximately 2% of our greenhouse gas emissions
10 2020 Key Figures at a Glance are covered under limiting regulations. 900,000

11 Horizon 2025 Targets Recent site-based initiatives to reduce direct emissions, reduce costs and
800,000
improve operations include building insulated housing for tanks, converting
12 Brightening the Horizon to energy-efficient LED lighting, using new blowing agents with lower carbon
700,000
footprints, upgrading to more energy-efficient equipment and optimizing plant
operation systems. Sites have also reduced indirect emissions by procuring
21 United Nations Sustainable 600,000
renewable energy sources for electricity needs.
Development Goals
500,000
Direct reported emissions include all major greenhouse gases, CO2, CH4, N2O,
22 United Nations Global Compact HFCs, PFCs, SF6 , NF3 , as well as other non-combustion greenhouse gases.
400,000
Communication on Progress
Emission factors: We use emission factors global warming potential
(GWP) rates from the Intergovernmental Panel on Climate Change (IPCC) 300,000
24 Data on Performance Fourth Assessment Report (AR4), 100-year time horizon values. Certain
new compounds may use more recent updated factors. 200,000
57 Report Parameters
Consolidation approach: We report emissions based on operational control. 100,000
58 GRI Index Both our production intensity trend and total Scope 1 and Scope 2 green-
0
house gas emissions fell from 2019 to 2020 due in part to our Rotterdam, 2016 2017 2018 2019 2020
60 SASB Reporting Netherlands, site procuring 100% of its electricity from renewable sources 1,176,051 1,230,249 1,224,991 1,192,569 1,100,520
and the closure of certain sites. tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 1,192,569 tonnes

2020 Sustainability Report 50


Production Intensity Trend | CO2e tonnes/tonnes of production Production Intensity Trend | CO2e tonnes/tonnes of production
0.080 0.180

0.170
Table of Contents 0.075

0.160
2 A Letter from the Chairman, President
0.070
and Chief Executive Officer 0.150

4 A Letter from the Corporate 0.065 0.140


Sustainability Officer
DIRECT GHG EMISSIONS | CO2e tonnes INDIRECT GHG EMISSIONS | CO2e tonnes

5 A Letter from the Board Sustainability 400,000 900,000

Committee Chair
800,000
6 Sustainability Governance 350,000

8 Who We Are | Highlights 700,000


300,000

10 2020 Key Figures at a Glance


600,000

11 Horizon 2025 Targets 250,000

500,000
12 Brightening the Horizon
200,000

21 United Nations Sustainable 400,000


Development Goals
150,000

22 United Nations Global Compact 300,000

Communication on Progress
100,000
200,000
24 Data on Performance

57 Report Parameters 50,000


100,000

58 GRI Index
0 0
2016 2017 2018 2019 2020 2016 2017 2018 2019 2020
60 SASB Reporting 355,290 384,541 384,758 356,475 349,688 838,374 868,130 853,595 836,095 750,832
tonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 356,475 tonnes n 2019 Baseline | 836,095 tonnes

Huntsman.com 51
Production Intensity Trend | tonnes of emissions/tonnes of production
0.00060

Table of Contents

2 A Letter from the Chairman, President


Air Emissions 0.00050

0.00040
and Chief Executive Officer

4 A Letter from the Corporate NON-GREENHOUSE GAS EMISSION TO AIR 0.00030


Sustainability Officer GRI 305-7 | Huntsman monitors, tracks and reports chemical
emissions to the atmosphere — whether specifically permitted, NON-GHG EMISSIONS | tonnes

part of routine operations or the result of accidental releases.


5 A Letter from the Board Sustainability 3,000

Committee Chair

6 Sustainability Governance
2020 NON-GREENHOUSE GAS (GHG) EMISSIONS 2,500
TO AIR TOTALS
8 Who We Are | Highlights
Tonnes

10 2020 Key Figures at a Glance VOCs1 77.1


HAPs 1 150.4 2,000

11 Horizon 2025 Targets PM Other2 (not measured) 40.2


PM <10 41.5
12 Brightening the Horizon PM <2.5 96.7
1,500
POPs 0.0
21 United Nations Sustainable
1 Based on US EPA data. Note that certain VOCs are classified as HAPs.
Development Goals 2 PM Other was not specified but could potentially be categorized as either
PM <2.5 or PM <10.
22 United Nations Global Compact 1,000

Communication on Progress

24 Data on Performance
500

57 Report Parameters

58 GRI Index
0
2016 2017 2018 2019 2020
60 SASB Reporting 2,371 2,511 2,472 2,053 2,001
tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 2,053 tonnes

2020 Sustainability Report 52


Production Intensity Trend | SOx tonnes/tonnes of production Production Intensity Trend | NOx tonnes/tonnes of production
0.000033 0.00020

0.000030
Table of Contents 0.00015

0.000027
2 A Letter from the Chairman, President
0.00010
and Chief Executive Officer 0.000024

4 A Letter from the Corporate 0.000021 0.00005


Sustainability Officer
SOx EMISSIONS | tonnes NOx EMISSIONS | tonnes

5 A Letter from the Board Sustainability 160 700

Committee Chair

6 Sustainability Governance 140


600

8 Who We Are | Highlights


120

10 2020 Key Figures at a Glance 500

11 Horizon 2025 Targets 100

400
12 Brightening the Horizon
80

21 United Nations Sustainable


300
Development Goals
60

22 United Nations Global Compact


Communication on Progress 200
40

24 Data on Performance
100
57 Report Parameters 20

58 GRI Index
0 0
2016 2017 2018 2019 2020 2016 2017 2018 2019 2020
60 SASB Reporting 144 159 134 139 117 633 652 645 654 663
tonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes tonnes

n 2019 Baseline | 139 tonnes n 2019 Baseline | 654 tonnes

Huntsman.com 53
Production Intensity Trend | TJ/tonnes of production
0.0040

Table of Contents

2 A Letter from the Chairman, President


14. Total Energy 0.0035

and Chief Executive Officer Consumption 0.0030

4 A Letter from the Corporate 0.0025


Sustainability Officer
Huntsman continually strives to improve the energy TOTAL ENERGY CONSUMPTION | Terajoules - TJ

5 A Letter from the Board Sustainability efficiency of our operations, thereby reducing our energy
20,000
Committee Chair impacts and saving costs. We continue to evaluate
energy usage at our sites, including opportunities to
6 Sustainability Governance 18,000

improve the efficiency of steam and electricity generation,


8 Who We Are | Highlights heating requirements and production processes. 16,000

10 2020 Key Figures at a Glance


14,000
TOTAL ENERGY CONSUMED 2020
11 Horizon 2025 Targets TJ
12,000
Total Energy Consumed 15,137
12 Brightening the Horizon
Percentage Grid Electricity1 19.1%
10,000
Percentage Renewable 2.7%
21 United Nations Sustainable
Total Self-Generated Energy2 287
Development Goals
Total Energy Produced from Co-generation 31 8,000

22 United Nations Global Compact 1 Including both non-renewable and renewable sources.
2 Including both consumed and sold.
Communication on Progress 6,000

24 Data on Performance 4,000

57 Report Parameters
2,000

58 GRI Index
0
60 SASB Reporting 2016 2017 2018 2019 2020
17,669 18,496 18,095 16,299 15,137
TJ TJ TJ TJ TJ
n 2019 Baseline | 16,299 TJ

2020 Sustainability Report 54


Table of Contents

2 A Letter from the Chairman, President


15. Employee Engagement and Development
and Chief Executive Officer

4 A Letter from the Corporate A key component to the success of our business is to encourage and support employee engagement and development.
Sustainability Officer

5 A Letter from the Board Sustainability EMPLOYMENT DATA BY REGION (as of December 31, 2020)
Committee Chair
Permanent Temporary Full-Time Part-Time
Female Male Total Total Female Male Total Female Male Total
6 Sustainability Governance Americas 730 2,219 2,949 417 724 2,213 2,937 6 6 12
1
APAC 944 1,930 2,874 181 944 1,929 2,873 – 1 1
8 Who We Are | Highlights 2
EAME 868 2,289 3,157 446 694 2,244 2,938 174 45 219

10 2020 Key Figures at a Glance Totals 2,542 6,438 8,980 1,044 2,362 6,386 8,748 180 52 232
1 Asia Pacific
2 Europe, Africa, Middle East
11 Horizon 2025 Targets

12 Brightening the Horizon


GRI 404-3 | PERCENTAGE OF EMPLOYEES RECEIVING NEW HIRES BY REGION
21 United Nations Sustainable REGULAR PERFORMANCE AND CAREER DEVELOPMENT In 2020, we hired a total of 787 new
REVIEWS associates, which accounted for 8.7%
Development Goals
The majority of eligible associates of Huntsman are, in partnership of the total Huntsman headcount.
with their supervisor, required to participate in an annual Performance
22 United Nations Global Compact Development Program (PDP) assessment. In addition, numerous Number
Communication on Progress training and development courses are offered to associates, both Americas 443
live and online, with the intention of developing the soft and technical Asia Pacific 190 PERCENT OF EMPLOYEES
24 Data on Performance skills of our associates. WHO COMPLETED PERSONAL
Europe, Africa, Middle East 154
DEVELOPMENT PLANS (PDPS)
Total 787
57 Report Parameters GLOBAL PROMOTIONS AND TRANSFERS
In 2020, 402 associates, or 4.5% of total headcount, received 85% of Huntsman employees
58 GRI Index promotions and 1,427, or 15.9% of total headcount, were completed plans
transferred to another internal role.
60 SASB Reporting

Huntsman.com 55
Table of Contents GRI 404-1 | AVERAGE ANNUAL TRAINING AND
VOLUNTARY TURNOVER
DEVELOPMENT HOURS
RATE BY AGE
Huntsman provides associates with training and development
2 A Letter from the Chairman, President In 2020, 628 associates voluntarily
to further enhance their professional skills. These training and
and Chief Executive Officer left the organization. This equates
development courses include EHS, compliance, soft skills, technical
to a global turnover rate of 7% of
skills and leadership development. The table shows average annual
total headcount.
4 A Letter from the Corporate training hours for each employee category.
Sustainability Officer Age Bracket
Female Male Total 29 and under
5 A Letter from the Board Sustainability Officer 18.6 8.4 9.4 30 to 39
Committee Chair VP 50.9 10.9 16.3 40 to 49
Director 47.4 37.1 35.8 50 to 59
6 Sustainability Governance Senior Manager 26.5 22.5 22.6 60 to 69
Manager 18.5 19.3 18.2 70 and over
8 Who We Are | Highlights
Team Lead / Supervisor 17.8 23.8 22.0

10 2020 Key Figures at a Glance Individual Contributor 14.6 21.7 18.7


Average Hours 16.4 22.2 19.7
11 Horizon 2025 Targets GRI 201-1 | DIRECT ECONOMIC VALUE GENERATED AND DISTRIBUTED
Huntsman develops associates who are in or will assume For additional details on financial data, please refer to our annual report.
12 Brightening the Horizon supervisory or management positions in the organization to
ensure they feel comfortable dealing with employee-related USD, in millions 2020 2019
matters, such as setting objectives, career development
21 United Nations Sustainable Revenues 6,018 6,797
plans, coaching and performance management. This training
Development Goals is made available in local languages.
Operating Costs 5,017 5,252
Employee Wages and Benefits 815 1,076
22 United Nations Global Compact Payments to Providers of Capital 234 261
Communication on Progress Payments to Government 316 100
Community Investments 1 2 2
24 Data on Performance Economic Value Retained (366) 106
1 Community investments represent those that are tracked and reported centrally and may not include all
57 Report Parameters donations done by individual sites.

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 56


Table of Contents

2 A Letter from the Chairman, President


Report Parameters
and Chief Executive Officer

4 A Letter from the Corporate This report has been prepared in accordance with the GRI Standards:
Sustainability Officer Core option and is based on the GRI Standards (2016). We have followed

5 A Letter from the Board Sustainability the GRI Standards (2018) where indicated. We report our sustainability
Committee Chair performance on an annual basis. Except where stated otherwise, this
report includes data from January 1 through December 31, 2020.
6 Sustainability Governance

8 Who We Are | Highlights For this 2020 sustainability report, we considered input from third-party questionnaires, external NOTES
ratings and general indices, as well as feedback from our key stakeholder groups: our associates, • Environmental data is based on
10 2020 Key Figures at a Glance customers, plant communities and investors. The metrics and data provided in this report reflect 69 manufacturing facilities reporting
that input and feedback and help us continue to enhance our reporting and improve our emissions and energy data.
11 Horizon 2025 Targets sustainability program.
• Production intensity is measured as
12 Brightening the Horizon The report includes data related to all Huntsman enterprises where we have operational control a given metric divided by the total
(more than 50%) and joint ventures where we have management control. The data reported have yearly production in metric tonnes.
been obtained primarily from our financial management reporting systems, various human resources
21 United Nations Sustainable
information systems and the Huntsman corporate reporting systems for environmental, health and • Each year, environmental data and
Development Goals
safety performance indicators. We are confident in the overall reliability of the data reported but emissions estimates are reviewed for
recognize that some of these data are subject to uncertainty, inherent to limitations associated changes as a part of our data validation
22 United Nations Global Compact with measuring, calculating and estimating data. process. As a result, figures may include
Communication on Progress updates versus data published
Minor corrections in historic data may be due to data errors or other approved reasons. Each year, historically.
24 Data on Performance energy consumption and environmental emission estimates are recalculated and revised for all years
in the annual sustainability report, as attempts are made to improve both the analyses, using better
57 Report Parameters methods or data, and the overall usefulness of the report.

Please contact us at [email protected] with any questions or comments about these


58 GRI Index
changes.

60 SASB Reporting

Huntsman.com 57
Table of Contents

2 A Letter from the Chairman, President


GRI Index
and Chief Executive Officer

4 A Letter from the Corporate The GRI indicators shown in red are material topics for Huntsman. Please see pages 26 and 27 for details.
Sustainability Officer
Organizational Profile Stakeholder Engagement
5 A Letter from the Board Sustainability 102-1 Name of the organization ....................................................page 8, 57 102-40 List of stakeholder groups ..........................................................27, 57
Committee Chair 102-2 Activities, brands, products and services ............................................8 102-41 Collective bargaining agreements ....................................................22
102-3 Location of headquarters..............................................................9, 57 102-42 Identifying and selecting stakeholders ..............................................27
6 Sustainability Governance 102-4 Location of operations........................................................................9 102-43 Approach to stakeholder engagement..............................................27
102-5 Ownership and legal form ................................................................57 102-44 Key topics and concerns raised..................................................26, 27
8 Who We Are | Highlights 102-6 Markets served ..............................................................................8, 9
102-7 Scale of the organization ........................................................8, 10, 55 Reporting Practice
10 2020 Key Figures at a Glance 102-8 Information on employees and other workers ......................10, 55, 56 102-45 Entities included in the ....................Exhibit 21.1, Huntsman 2019 10-K1
102-9 Supply chain ..............................................................................28, 29 consolidated financial statements
11 Horizon 2025 Targets 102-10 Significant changes to the organization ..............................................28 102-46 Defining report content and topic boundaries ..................................57
and its supply chain 102-47 List of material topics........................................................................26
12 Brightening the Horizon 102-11 Precautionary principle or approach ................................................22 102-48 Restatements of information ......................................................25, 57
102-12 External initiatives ......................................................................18, 23 102-49 Changes in reporting ..................................................................25, 57
21 United Nations Sustainable 102-13 Membership of associations ............................................................23 102-50 Reporting period ..............................................................................57
Development Goals 102-51 Date of most recent report................................................................57
Strategy 102-52 Reporting cycle ................................................................................57
22 United Nations Global Compact 102-14 Statement from senior decision-maker................................................2 102-53 Contact point for questions regarding the report ..............................57
Communication on Progress 102-54 Claims of reporting in accordance with the GRI standards ................57
Ethics and Integrity 102-55 GRI content index ......................................................................58, 59
24 Data on Performance 102-16 Values, principles, standards ......................................................30, 31 102-56 External assurance......................Huntsman is not pursuing at this time
and norms of behavior
57 Report Parameters 201 Economic Performance
Governance 201-1 Direct economic value generated and distributed..............................56
58 GRI Index 102-18 Governance structure ..............................................................6, 7, 36
1 Subsidiaries include additional locations beyond the 69 manufacturing facilities associated with

60 SASB Reporting reported environmental data.

2020 Sustainability Report 58


Table of Contents 205 Anti-corruption 403 Occupational Health and Safety (2018 Standard)
Management approach ............................................................30, 31 Management approach ..................................................................41
2 A Letter from the Chairman, President 205-2 Communication and training about ............................................30, 31 403-1 Occupational health and safety management system ......................43
and Chief Executive Officer anti-corruption policies and procedures 403-2 Hazard identification, risk assessment and incident investigation ......43
403-3 Occupational health services ............................................................43
4 A Letter from the Corporate 303 Water and Effluents (2018 Standard) 403-4 Worker participation, consultation and..............................................44
Sustainability Officer Management approach ............................................................46, 49 communication on occupational health and safety
303-1 Interactions with water as a shared resource ........................46, 48, 49 403-5 Worker training on occupational health and safety ............................44
5 A Letter from the Board Sustainability 303-2 Management of water discharge-related impacts ............................46 403-6 Promotion of worker health ..............................................................44
Committee Chair 303-3 Water withdrawal........................................................................47, 48 403-7 Prevention and mitigation of occupational health and........................44
303-4 Water discharge ........................................................................47, 48 safety impacts directly linked by business relationships
6 Sustainability Governance 303-5 Water consumption ....................................................................48, 49 403-9 Work-related injuries ................................................10, 11, 41, 42, 43

8 Who We Are | Highlights 305 Emissions 404 Training and Education


Management approach ..................................................................50 Management approach ..................................................................55
10 2020 Key Figures at a Glance 305-1 Direct (Scope 1) GHG emissions ......................................................51 404-1 Average hours of training per year per employee ..............................56
305-2 Energy indirect (Scope 2) GHG emissions ........................................51 404-3 Percentage of employees receiving regular performance ..................55
11 Horizon 2025 Targets 305-7 Nitrogen oxides (NOx), sulfur oxides (SOx)..................................52, 53 and career development reviews
and other significant air emissions
12 Brightening the Horizon 416 Customer Health and Safety
306 Effluents and Waste Management approach ..................................................................32
21 United Nations Sustainable Management approach ..................................................................37 416-1 Assessment of the health and safety impacts of ..............................32
Development Goals 306-2 Waste by type and disposal method ..........................................38, 39 product and service categories
306-3 Significant spills ................................................................................33
22 United Nations Global Compact
Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 59
Table of Contents

2 A Letter from the Chairman, President


SASB Reporting
and Chief Executive Officer

4 A Letter from the Corporate Greenhouse Gas Emissions Water Management


RT-CH-110a.1 Gross global Scope 1 emissions, percentage ......page 10, 50, 51 RT-CH-140a.1 (1) Total water withdrawn, (2) total water ......................11, 48, 49
Sustainability Officer
covered under emissions-limiting regulations consumed, percentage of each in regions with
high or extremely high baseline water stress
5 A Letter from the Board Sustainability RT-CH-110a.2 Discussion of long-term and short-term ......................11, 50, 51
Committee Chair strategy or plan to manage Scope 1 RT-CH-140a.2 Number of incidents of non-compliance ................................NR
emissions, emissions reduction targets and an associated with water quality permits,
6 Sustainability Governance analysis of performance against those targets standards and regulations

8 Who We Are | Highlights Air Quality RT-CH-140a.3 Description of water management risks ............................46, 49
RT-CH-120a.1 Air emissions of the following pollutants:............................52, 53 and discussion of strategies and practices
10 2020 Key Figures at a Glance (1) NOx (excluding N2O), (2) SOx, (3) volatile to mitigate those risks
organic compounds (VOCs) and (4) hazardous
11 Horizon 2025 Targets air pollutants (HAPs) Hazardous Waste Management
RT-CH-150a.1 Amount of hazardous waste generated, ............................10, 38
12 Brightening the Horizon Energy Management percentage recycled
RT-CH-130a.1 (1) Total energy consumed, (2) percentage ........................10, 54
grid electricity, (3) percentage renewable, Community Relations
21 United Nations Sustainable
(4) total self-generated energy RT-CH-210a.1 Discussion of engagement processes to ................................NR
Development Goals
manage risks and opportunities associated
with community interests
22 United Nations Global Compact
Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

2020 Sustainability Report 60


Table of Contents Workforce Health and Safety Genetically Modified Organisms
RT-CH-320a.1 (1) Total recordable incident rate (TRIR) and..........10, 11, 41, 42 RT-CH-410c.1 Percentage of products by revenue that ................................NA
(2) fatality rate for (a) direct employees and contain genetically modified organisms (GMOs)
2 A Letter from the Chairman, President
(b) contract employees
and Chief Executive Officer
Management of the Legal and Regulatory Environment
RT-CH-320a.2 Description of efforts to assess, monitor and ....................43, 44 RT-CH-530a.1 Discussion of corporate positions ............Huntsman 2020 10-K
4 A Letter from the Corporate reduce exposure of employees and contract related to government regulations and/or
Sustainability Officer workers to long-term (chronic) health risks policy proposals that address environmental
and social factors affecting the industry
5 A Letter from the Board Sustainability Product Design for Use-Phase Efficiency
Committee Chair RT-CH-410a.1 Revenue from products designed for ....................................NR Operational Safety, Emergency Preparedness and Response
use-phase resource efficiency RT-CH-540a.1 Process Safety Incidents Count (PSIC), Process ........11, 34, 35
6 Sustainability Governance Safety Total Incident Rate (PSTIR) and Process
Safety and Environmental Stewardship of Chemicals Safety Incident Severity Rate (PSISR)
8 Who We Are | Highlights RT-CH-410b.1 (1) Percentage1 of products that contain Globally ..................32
Harmonized System (GHS) of Classification and RT-CH-540a.2 Number of transport incidents ................................................33
10 2020 Key Figures at a Glance Labeling of Chemicals Category 1 and 2 Health
and Environmental Hazardous Substances, RT-CH-000.A Production by reportable segment ..........Huntsman 2020 10-K
(2) percentage of such products that have
11 Horizon 2025 Targets 1 Calculated based on number of products. Percentage by revenue is not yet available.
undergone a hazard assessment
NR - Not reported
NA - Not applicable to Huntsman product
12 Brightening the Horizon RT-CH-410b.2 Discussion of strategy to (1) manage chemicals ....................40
of concern and (2) develop alternatives with
21 United Nations Sustainable reduced human and/or environmental impact
Development Goals

22 United Nations Global Compact


Communication on Progress

24 Data on Performance

57 Report Parameters

58 GRI Index

60 SASB Reporting

Huntsman.com 61
Global Headquarters
Huntsman Corporation

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The Woodlands, Texas 77380
USA

Telephone +1 281 719 6000

www.huntsman.com

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