Sustainability

For KION Group, a world-leading provider of forklift trucks, warehouse equipment, and comprehensive intralogistics solutions, sustainability is not merely a trend but a deeply ingrained ethos. In an era where global challenges such as climate change and resource scarcity are becoming increasingly pressing, KION Group takes its corporate social responsibility very seriously. Our actions are guided by a core principle: sustainable and responsible business practices.

This means that environmental, social, and economic aspects are inextricably linked to our corporate objectives. From eco-friendly and safe products to environmentally sound production processes, and a safe, discrimination-free working environment – KION is committed to a holistic sustainability strategy. We actively support our customers in successfully implementing their own sustainability programs, thereby creating a crucial prerequisite for their long-term success in the evolving world of intralogistics. Transparency also plays a crucial role: our annual integrated sustainability report details all relevant sustainability indicators and sustainability targets. In the Supplementary Non-financial Insights, we also report on sustainability projects and topics that are not part of mandatory reporting.

The KION Group has set itself clear climate targets: In July 2023, KION committed to achieving net-zero greenhouse gas emissions across its entire value chain (Scope 1, 2, and 3) by 2050 at the latest, based on the framework developed by the Science Based Targets initiative (SBTi). These targets were validated by the SBTi at the end of 2024.

The company's short-term science-based targets stipulate that KION will reduce 42% of its Scope 1 and 2 emissions by 2030 compared with the base year 2021. In Scope 3, KION is committed to reducing greenhouse gas emissions from the use of sold products, by far the largest Scope 3 category, by 25% by 2030. In the long term, KION is committed to achieving a reduction in greenhouse gas emissions across the entire value chain of the company in Scopes 1, 2, and 3 of at least 90% by 2050 compared to the base year 2021.

Through continuous innovation, creative ideas, and consistent action, KION Group drives sustainable logistics forward. This is based on ambitious goals, a clear sustainability strategy, and specific measures embedded in our corporate governance. The conviction that sustainability is a leadership task is also reflected in the remuneration of the Executive Board and executives: a significant portion of their variable compensation is directly linked to the fulfillment of sustainability criteria.

Our sustainability strategy rests on three pillars:

• Products: KION Group offers high-performance, efficient, and forward-looking products, solutions, and services. These contribute significantly to climate protection, enhance safety in our customers' operations, and are designed for a long lifespan. The focus is particularly on energy-efficient industrial trucks and eco-friendly warehouse equipment that reduce our customers' ecological footprint.
• Processes: We design our internal processes thoughtfully and sustainably to minimize our contribution to climate change. This includes environmentally sound production methods and the reduction of emissions. At the same time, we require and verify that our suppliers adhere to strict environmental and social standards to ensure a consistently sustainable supply chain.
• People: The health and safety of our employees are paramount. We create a working environment where everyone feels valued and safe. Diversity and equal opportunities are integral components of our corporate culture, as we aim to be an employer where our workforce enjoys working and is motivated.

KION Group's strong sustainability commitment is recognized by investors, financial institutions, and reputable rating agencies. This external validation underscores our credibility and success. In 2021, we received a "A-" rating from the global non-profit environmental organization CDP, which acknowledges our dedication to climate protection. Additionally, MSCI ESG Ratings awarded us the highest possible AAA Status, identifying KION as a company with above-average sustainability performance in its sector. These ratings are crucial for qualifying KION Group as a sustainable investment for investors who integrate environmental, social, and governance (ESG) criteria into their investment decisions.

We constantly strive for appropriate representation in relevant sustainability ratings and rankings and transparently communicate the results achieved on our website. In 2025, KION achieved a score of 69 points (out of 100) in the S&P Global CSA and was included in the Dow Jones Best-in-Class Europe Index in 2024. We also achieved the highest rating of Platinum in 2025 from EcoVadis, another important platform for assessing corporate sustainability, placing us among the top one percent of the more than 150,000 companies assessed by EcoVadis. The same applies to our Linde Material Handling and STILL brands. Individual products have also been recognized for their sustainable design: Dematic Multishuttle 2 has been officially Cradle to Cradle® Bronze certified since July 2025—the majority of its components can be reused indefinitely in line with the circular economy.

Furthermore, we are a proud partner of the Blue Competence sustainability initiative of the VDMA (German Mechanical Engineering Industry Association). This initiative not only promotes sustainability in mechanical and plant engineering but also makes sustainable solutions in this sector widely visible. As a partner, we are committed to adhering to the initiative's twelve sustainability principles, which provide a comprehensive framework for responsible action.

Our commitment also extends to the 17 Sustainable Development Goals (SDGs) of the United Nations. These global guidelines, introduced in 2016, shape our actions in eight key aspects, deeply embedded in our sustainability strategy:

• Occupational Health and Safety: Protecting and promoting the well-being of our employees.
• Climate Change Mitigation: Actively reducing emissions and promoting climate-friendly technologies.
• Climate- and Environmentally Friendly Products and Logistics Solutions: Developing solutions that minimize the ecological footprint.
• Sustainability Management and Stakeholder Engagement: Transparent communication and collaboration with all stakeholders.
• Safe and User-Oriented Products and Solutions: Ensuring the highest safety standards for our customers.
• Socially and Environmentally Responsible Supply Chains: Ensuring ethical and ecological standards throughout our entire value chain.
• Diversity and Equal Opportunity: Fostering an inclusive corporate culture.

Energy – and its sustainable use, efficient management, and conservation – is the central theme of the decade, shaping the entire logistics industry. KION Group plays a leading role here, being one of the pioneers in the material handling sector for developing resource-efficient and energy-efficient systems. A look at our product portfolio illustrates this: currently, over 90 percent of all industrial trucks manufactured by KION Group are equipped with an electric drive. This underscores our particular focus on electromobility in intralogistics.

We offer our customers the full range of drive technologies currently available: from classic internal combustion engines to traditional lead-acid and advanced lithium-ion batteries, and innovative fuel cells. Our expertise and broad portfolio enable us to find the optimal and most sustainable solution for every application.

Electromobility is gaining increasing importance in intralogistics. With our strong brands, we are a key provider of electrically powered forklift trucks and warehouse equipment. In the last ten years alone, our brands have sold over one million electric vehicles, confirming our leading position in this segment.

Lithium-ion technology is at the heart of our research and development activities. The advantages of electric forklifts with this technology are numerous and compelling:

• Emission-free drive: No local emissions at the point of use, improving the working environment.
• Performance on par with diesel forklifts: Modern electric forklifts often match or exceed the performance of internal combustion engines.
• Significantly lower maintenance costs: Fewer moving parts and no combustion processes reduce maintenance requirements.
• Short charging times and intermediate charging options: Enable high vehicle availability without battery changes, even in intensive multi-shift operations.

For example, KION subsidiary Linde Material Handling offers state-of-the-art electric forklift models, matching the performance level of internal combustion engine forklifts. The electric forklift trucks from STILL are also market leaders, building on more than 75 years of electrical expertise. Our brands Baoli, OM, and Fenwick complement the portfolio with practical electric forklifts that combine advanced technology and sustainability. These electric forklifts, especially the lithium-ion variants, are therefore more than just a good alternative to industrial trucks with classic internal combustion engines – they are a crucial piece of the puzzle on our path to resource-efficient intralogistics.

The lithium-ion battery offers a decisive advantage in electromobility: unlike the classic lead-acid battery, it does not need to be replaced, thanks to short charging times and intermediate charging options. This maximizes operating times and efficiency. The enormous development of lithium-ion batteries in recent years makes them a particularly valuable energy source for intralogistics, not only in the future but already today. It is – especially in intensive multi-shift operations – a sustainable and economical alternative for all applications of forklifts, even in heavy equipment for transporting large loads. To ensure the availability and quality of this key technology, KION Battery Systems (KBS), a joint venture between KION GROUP AG and BMZ Holding GmbH, produces high-quality lithium-ion batteries specifically for KION Group's forklift trucks and warehouse equipment.

Our research and development activities extend far beyond the mere use of batteries in our forklifts. A central focus is on holistic energy management and interface intelligence. The sustainable energy management of our customers is a key concern for us, which is why we actively support them in implementing their sustainability programs and show them additional savings potential.

Here, we are researching digital solutions, software, and Artificial Intelligence (AI) to make energy use in warehouses even more efficient. With the AI-based software from ifesca GmbH, in which KION has a stake, we offer our customers a comprehensive solution for their energy management. The precise forecast results from this platform enable our customers to plan optimal charging times for their industrial truck fleets, avoid charging peaks, and thus significantly reduce their energy costs. By continuously improving our products and software, we create holistic energy solutions for individual logistics requirements and help our customers achieve their own sustainability goals – on the path to a CO2-neutral warehouse.

Hydrogen is no longer just a buzzword; it is an increasingly important alternative energy source worldwide for vehicle propulsion. At KION, the fuel cell drive has not just recently become a topic; alongside lithium-ion drives, it is a second important focus area in KION's New Energy Systems department. For many years, this sustainable energy supply has been successfully implemented by our brands Linde Material Handling and STILL.

The advantages of a fuel cell are manifold:

• Emission-free operation: The energy system produces no local emissions during operation.
• Fast refueling: A complete refueling process takes only one to three minutes, minimizing operational interruptions and significantly increasing vehicle availability – a major advantage in demanding multi-shift operations.
• No toxic acids or pollutants: This is a big plus for recycling and occupational safety.
• Comparatively long lifespan: Depending on the application range, the lifespan of a fuel cell is approximately five years, contributing to waste reduction.

While the advantages of fuel cells speak for themselves, the primary challenge for customers still lies in the high investments required for infrastructure. At KION, we continue to intensively research hydrogen energy, as we are convinced that hydrogen and fuel cell technology holds enormous potential for intralogistics and can set important standards for the intralogistics of the future.

We also rely on renewable energies in our own plants. Primarily, we use solar panels on factory roofs and source green electricity from hydropower. This commitment underscores our claim to live sustainability comprehensively – from product development to our own operations.

Q: What does sustainability mean for KION Group?
A: For KION Group, sustainability is a core principle that balances environmental, social, and economic aspects. It's about operating responsibly in the long term, developing eco-friendly products, establishing fair processes, and creating a safe, attractive working environment.

Q: How does KION contribute to reducing CO2 emissions?
A: KION reduces CO2 emissions by developing energy-efficient electric industrial trucks (over 90% of our vehicles are electric), using lithium-ion technology and fuel cells, providing smart energy management solutions for customers, and utilizing renewable energies in its own production facilities.

Q: What role does electromobility play in KION Group?
A: Electromobility is a key focus for KION Group. We are a leading provider of electric forklift trucks and warehouse equipment, having sold over one million electric vehicles in the last ten years. Research and development are strongly concentrated on lithium-ion technology and fuel cells.

Q: What are the advantages of lithium-ion batteries and fuel cells in intralogistics?
A: Lithium-ion batteries offer short charging times, intermediate charging options, and high availability, especially in multi-shift operations. Fuel cells are emission-free, quick to refuel (1-3 minutes), have a long lifespan, and contain no toxic substances, boosting efficiency and sustainability in intralogistics.

Q: How does KION support its customers in achieving their sustainability goals?
A: KION supports customers through energy-efficient products, intelligent energy management software, consulting on implementing sustainable fleets, and developing customized, CO2-neutral warehouse solutions.

Q: What is the KION Group's long-term climate goal?
A: The KION Group aims to achieve Net-Zero greenhouse gas emissions across the entire value chain (Scope 1, 2, and 3) by 2050 at the latest.