GlobalData offers a comprehensive analysis of IPG Photonics, providing key insights into its Environmental, Social, and Governance(ESG) factors. By closely monitoring and aggregating mentions of climate change and associated ESG keywords, GlobalData delivers valuable information on IPG Photonics‘s ESG performance. GlobalData’s company profile on IPG Photonics offers a 360-degree view of the company, SWOT analysis, key financials, and business strategy including insights on ESG implementation among other information. Buy the report here.

IPG Photonics, a leading manufacturer of fiber lasers, is committed to reducing its carbon emissions. The company aims to achieve a total reduction of 10% in Scope 1 and Scope 2 greenhouse gas (GHG) emissions per kilowatt of laser power produced by 2022. IPG Photonics reports on its GHG emissions for its manufacturing facilities in the US, Germany, Russia, Belarus, Italy, and China, which represent approximately 89% of its total square footage. In 2022, the utilization of IPG lasers resulted in a saving of approximately 10,000,000 metric tons of emissions, which is more than 100 times the combined sum of IPG's Scope 1 and Scope 2 emissions. In 2022, the company’s greenhouse gas emissions for scope 1 reported was 14,121 metric tons CO2e and scope 2 were 45,803 metric tons CO2e.

To reduce its emissions, IPG Photonics has implemented various measures. The company has a microgrid system that utilizes trigeneration, which significantly reduces grid electricity use and increases CO2 savings. IPG's energy-efficient fiber lasers have also contributed to a reduction of approximately 44 million metric tons of CO2 emissions worldwide since 2013 compared to other laser technologies. Despite a 62% increase in optical power manufactured by IPG since 2017, the company has achieved a 31% energy intensity reduction in CO2 emissions per kilowatt of laser power compared to 2017.

IPG Photonics demonstrates a commitment to responsible consumption and production through various initiatives. The company incorporates LED fixtures, low water consumption plumbing, variable speed motors, and tri-generation plants to mitigate emissions. With a strong emphasis on recycling, IPG aims to identify new opportunities, conserve precious metals, divert waste from landfills, and reduce hazardous waste output. Notably, the company has successfully recycled 2,800 metric tons of metals since 2013. In 2022, IPG achieved its highest recycling rate by doubling the percentage of waste diverted from landfills compared to the previous year.

Looking ahead, IPG Photonics plans to utilize its microgrid system at full capacity in 2023, which will allow for more energy conservation. The company also aims to continue pursuing electrical efficiency increases in its products and operations. IPG believes that its environmentally sound practices and energy-efficient fiber lasers present an opportunity for greater adoption and contribute to mitigating risks from climate change.

In conclusion, IPG Photonics is dedicated to reducing its carbon emissions. The company has implemented various measures, including the use of a microgrid system, energy-efficient fiber lasers, and a robust recycling program. IPG aims to continue reducing its emissions and pursuing sustainable practices to contribute to climate action.

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