Sustainable ProcurementJR East Group
Procurement Policy

1.Legal and Regulatory Compliance and Fulfillment of Social Responsibilities

As a corporate group that bears responsibility for social infrastructure, and as a member of the local community, our company not only complies with laws and regulations in Japan and overseas, but also respects local cultures, considers the global environment and human rights, and endeavors to fulfill its mission in cooperation with suppliers in any situation. We will work to contribute to the realization of a sustainable society throughout our supply chain.

2.Safety Initiatives

Safety is the top priority of our management, and we continuously carry out initiatives to improve safety. In our procurement activities, we will seek products that contribute to ensuring and further improving safety.

3.Technology Improvement

We work on technology innovation in various fields, for the further advancement of our railway and other businesses. In order to do so, we will actively utilize outside developmental and technological capabilities through joint research and joint development with organizations such as manufacturers, universities, and research institutions that meet our group's needs, and will strive for the procurement of superior goods.

4.Broad Procurement Regardless of Whether Domestic or Foreign

We will seek high-quality and low-cost goods, and will also conduct procurement placing a high value on prompt and sufficient after-sales services in early failures and malfunctions, in addition to regular maintenance. In doing so, we will conduct broad procurement, regardless of whether domestic or foreign, through seeking excellent business partners who can provide such services.

5.Provision of Equitable and Fair Trading Opportunities

Procurement procedures, which include pre-qualification and selection procedures, the methods thereof, the requirements for business partners, the pre-qualification and selection standards, the disclosure of technological requirements, and tests, will be handled equitably and fairly, in a nondiscriminatory manner, regardless of whether domestic or foreign.

The selection of the procurement source and the procurement itself will be handled equitably and fairly, pursuant to objective standards based on economic rationality from a perspective of how the supplier contributes to our group's profits and company value. We consider quality, reliability in safety, technological capability, price, delivery date, accident response, and the after-sales services system. Moreover, we will not engage in any excessive entertainment, exchange of gifts, or other special treatment with our business partners.

6.Establishment of Transactional Relationships Which Lead to Mutual Development

JR East will aim for comprehensive communications with business partners, and will establish relationships based on mutual trust.

Moreover, we will establish transactional relationships which may lead to mutual growth and development, by working on goods and technology improvement, by continuously cooperating with business partners. In addition to the above, we will focus on procuring necessary goods stably and timely.

7.Appropriate Handling of Information, Etc.

We will properly manage the intellectual property of our company group and its business partners, important information regarding the operational security of the railways, and other confidential information.

8.Consideration for Climate Change and Biodiversity

In considering climate change and its impact on biodiversity, we will promote activities, including Green Procurement, that have less impact on the global environment.

9.Respect for Human Rights and Consideration for the Work Environment

We respect human rights and the diversity of individuals. We work with our suppliers to avoid discrimination, forced labor, child labor and other human rights violations, and conduct procurement activities that take into account the work environment.

10.Isolation from Anti-Social Forces

We shun relationships with antisocial forces that threaten the order and safety of civil society and embrace the highest ethical standards in carrying out procurement activities.

In addition to the above Procurement Policy, JR East provides additional information and updates regarding procurement on our website.

Providing and Updating Website Information on Procurement

We recognize the importance of providing information on procurement (such as procurement methods, criteria for screening and selection, and track record and expectations of procurement), to business partners and prospective business partners in order to procure high-quality and low-cost goods in a timely manner, regardless of whether domestic or foreign, with sufficient after-sales services, and to seek superior technology and goods across a broad scope, both domestically and from abroad, for the further advancement of our railway and other businesses. We will continuously display information on "JR East Group Procurement Policy," "Requests for Possible Business Partners," "Questionnaire on Sustainable Procurement," "Standard Flow of Contractual Procedures," "Procurement Results and Major Items Procured," "Major Track Records of JR East's Procurement from Overseas Suppliers," and "Expectations of Procurement" on our website, in Japanese and English, and review and update this information regularly.

(As of April 2022)