2020 Report ONLINE F
2020 Report ONLINE F
6 Sustainability Governance
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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
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generations. Our products enable a low-carbon economy and make a positive
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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
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.
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Peter R. Huntsman
Chairman, President and Chief Executive Officer
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Table of Contents A Letter
from the Corporate
2 A Letter from the Chairman, President Sustainability Officer
and Chief Executive Officer
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.
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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.
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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:
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
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Global Vice President, Technology Director, Vice President, Research and Vice President and
& Innovation, Polyurethanes Legal Services Technology, Textile Effects Deputy General Counsel
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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
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
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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
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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
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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.
Huntsman.com 9
Key Figures at a Glance
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.
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
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boundary definitions to assure consistent
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H O R I Z O N 2 0 2 5 TA R G E T S
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Table of Contents
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5 A Letter from the Board Sustainability
Committee Chair
untsman delivers innovative solutions
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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.
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The pathway to a cleaner environment and more efficient
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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.
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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
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treatment rather than to the incinerator, enabling the disposal
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friendly manner.
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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
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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
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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
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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
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carbon material can be used for structural
Additionally, ARALDITE® composite resin applications in composites, as an electrical
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boxes that protect electric batteries from material for enhanced Li-ion batteries.
Huntsman.com 17
Efficiency story continued. Community Impact
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.
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donated 1,000 kilograms of PHOBOTEX® REC, a durable Huntsman’s global footprint enabled global support
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textile mill in Indonesia, for the production of face masks
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.
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Reduction story continued.
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
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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.
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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.
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
24 Data on Performance
57 Report Parameters
58 GRI Index
60 SASB Reporting
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
1 Number is rounded
Huntsman.com 25
1. Reliability
2. Ethics and Compliance
Table of Contents
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.
24 Data on Performance
57 Report Parameters
58 GRI Index
60 SASB Reporting
Huntsman.com 27
Table of Contents
58 GRI Index
60 SASB Reporting
24 Data on Performance
57 Report Parameters
58 GRI Index
60 SASB Reporting
Huntsman.com 29
Table of Contents
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.
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
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.
57 Report Parameters
58 GRI Index
60 SASB Reporting
Huntsman.com 31
Table of Contents
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
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
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
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)
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
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
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.
0.130
Table of Contents
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
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
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
24 Data on Performance
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
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
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
Huntsman.com 39
Table of Contents
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.
Table of Contents
10. Occupational
1.00
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.
24 Data on Performance
57 Report Parameters
58 GRI Index
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.
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
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
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
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
Committee Chair
22,000,000 22,000,000
6 Sustainability Governance
20,000,000 20,000,000
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
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
Huntsman.com 49
Production Intensity Trend | CO2e tonnes/tonnes of production
0.250
0.240
Table of Contents
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
0.170
Table of Contents 0.075
0.160
2 A Letter from the Chairman, President
0.070
and Chief Executive Officer 0.150
Committee Chair
800,000
6 Sustainability Governance 350,000
500,000
12 Brightening the Horizon
200,000
Communication on Progress
100,000
200,000
24 Data on Performance
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
Huntsman.com 51
Production Intensity Trend | tonnes of emissions/tonnes of production
0.00060
Table of Contents
0.00040
and Chief Executive Officer
Committee Chair
6 Sustainability Governance
2020 NON-GREENHOUSE GAS (GHG) EMISSIONS 2,500
TO AIR TOTALS
8 Who We Are | Highlights
Tonnes
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
0.000030
Table of Contents 0.00015
0.000027
2 A Letter from the Chairman, President
0.00010
and Chief Executive Officer 0.000024
Committee Chair
400
12 Brightening the Horizon
80
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
Huntsman.com 53
Production Intensity Trend | TJ/tonnes of production
0.0040
Table of Contents
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
22 United Nations Global Compact 1 Including both non-renewable and renewable sources.
2 Including both consumed and sold.
Communication on Progress 6,000
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
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
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
58 GRI Index
60 SASB Reporting
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.
60 SASB Reporting
Huntsman.com 57
Table of Contents
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
24 Data on Performance
57 Report Parameters
58 GRI Index
60 SASB Reporting
Huntsman.com 59
Table of Contents
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
24 Data on Performance
57 Report Parameters
58 GRI Index
60 SASB Reporting
Huntsman.com 61
Global Headquarters
Huntsman Corporation
www.huntsman.com
facebook.com/huntsmanCorp
twitter.com/Huntsman_Corp
linkedin.com/company/huntsman
instagram.com/huntsman_corp
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