I have joined the Partnership Declaration

We are pleased to announce that Sugitec Co., Ltd. has joined the 'Partnership Declaration,' established by the Cabinet Office and the Ministry of Economy, Trade and Industry.

The 'Partnership Declaration' is a commitment made by representatives of companies to build new partnerships from the perspective of 'clients' by promoting collaboration and mutual prosperity with business partners in the supply chain to create value. This declaration aims to foster cooperation and coexistence.

Partnership Declaration

We hereby declare our commitment to focus on the following areas.

1.Promoting mutual prosperity and collaboration across the entire supply chain, transcending scale and affiliation.

We will strive to enhance value across the entire supply chain by engaging with downstream partners through direct engagement with immediate trading partners (from 'Tier N' to 'Tier N+1'). Additionally, we aim to build mutual prosperity with trading partners through collaboration that transcends existing trading relationships and company size. In doing so, we will also provide support such as advice on teleworking implementation and business continuity plan (BCP) development from the perspective of disaster recovery and workstyle reform.

(Individual item)
a. Green Initiatives(Collaborative development of decarbonization technologies、Advisory and support services for energy-saving diagnostics、Decarbonization of production processes、Green procurement.)

・Enhance operational efficiency through information sharing and visualization across the entire supply chain.
・Work towards decarbonization through the establishment of new recycling methods.

2.Compliance with promotion standards.

We will comply with the desirable business practices between parent companies and subcontractors (based on the 'Promotion Standards' under the Subcontracting Small and Medium Enterprises Promotion Act), and proactively work to correct business practices and commercial customs that hinder the establishment of partnerships with trading partners.

①Price determination method
We will not make unreasonable requests for cost reductions. When determining transaction prices, we will respond to requests for discussions from subcontractors, and will fully discuss to ensure that the subcontractors' fair profits, including the impact of increases in labor costs, are taken into account. In contracts, including the determination of transaction prices, parent companies will provide explicit and documented terms and conditions.

②Cost burden of mold management, etc.
We conduct mold transactions based on contract templates, promote the disposal of unnecessary molds, and do not request subcontractors to store molds free of charge.

③Payment terms such as promissory notes
We will pay subcontractor fees in cash whenever possible. In cases where payment is made by promissory notes, we will not burden subcontractors with discount fees, and we will strive to ensure that payment is made within 60 days.

④Intellectual property and know-how
We conduct transactions based on guidelines for intellectual property transactions and templates for contracts. We do not require one-sided confidentiality agreements, disclosure of know-how, or free transfer of intellectual property rights using our position in the transaction.

⑤The repercussions of workstyle reform, etc.
We will not issue short-term orders or make sudden specification changes to subcontractors that do not involve fair cost burdens, in order to ensure that our trading partners can also adapt to workstyle reform. In times of disaster, we will not unilaterally burden subcontractors with excessive obligations in transactions, and we will strive to consider the continuation of trading relationships as much as possible when resuming business operations.

Partnership Declaration Reference URL

Sugitec Co., Ltd. Partnership Declaration
https://www.biz-partnership.jp/declaration/55459-04-00-kyoto.pdf (PDF:137KB)

Partnership Declaration Official Website
https://www.biz-partnership.jp/index.html