Vishay Precision Group, Inc. (VPG): Análise de Pestle [Jan-2025 Atualizado]

No intrincado cenário de tecnologias de medição de precisão, o Vishay Precision Group, Inc. (VPG) fica na encruzilhada da inovação global e da complexidade estratégica. Esta análise abrangente de pilões revela as forças externas multifacetadas que moldam o ecossistema de negócios da VPG, desde tensões geopolíticas e flutuações econômicas a interrupções tecnológicas e imperativos ambientais. Ao dissecar as dimensões políticas, econômicas, sociológicas, tecnológicas, legais e ambientais, iluminamos os desafios e oportunidades estratégicas que definirão a trajetória da VPG em um mercado global cada vez mais interconectado e dinâmico.

Vishay Precision Group, Inc. (VPG) - Análise de Pestle: Fatores políticos

As tensões comerciais dos EUA-China impactam nas estratégias globais da cadeia de suprimentos e da cadeia de suprimentos

No quarto trimestre 2023, as tensões comerciais EUA-China resultaram em um aumento de 12,7% nas tarifas em componentes eletrônicos de precisão. Os custos de fabricação da VPG na China aumentaram em aproximadamente US $ 2,3 milhões anualmente.

Ano	Impacto tarifário	Aumento de custo de fabricação
2023	12.7%	US $ 2,3 milhões

Mudanças de política de defesa e aeroespacial

O orçamento do Departamento de Defesa dos EUA para tecnologias de sensores de precisão em 2024 é projetado em US $ 4,6 bilhões, representando um aumento de 6,2% em relação a 2023.

• Contratos de aquisição de defesa para sensores de precisão: US $ 1,2 bilhão
• Investimento em tecnologia aeroespacial: US $ 3,4 bilhões

Incertezas geopolíticas nos mercados europeus e asiáticos

A volatilidade do mercado europeu levou a uma redução de 9,3% na receita de operações comerciais internacionais da VPG em 2023.

Região	Impacto de volatilidade do mercado	Redução de receita
Europa	9.3%	US $ 7,5 milhões

Alterações regulatórias de controle de exportação de tecnologia

O Bureau de Indústria e Segurança dos EUA implementou novos regulamentos de controle de exportação em 2023, afetando 17,5% dos recursos de transferência de tecnologia internacional da VPG.

• Países de transferência de tecnologia restrita: 8
• Aumento dos custos de conformidade: US $ 1,6 milhão

Vishay Precision Group, Inc. (VPG) - Análise de Pestle: Fatores econômicos

Flutuar Global Semiconductor and Electronics Component Pricing

A partir do quarto trimestre 2023, o Índice de Preços de Semicondutores mostra volatilidade significativa:

Tipo de componente	Faixa de flutuação de preços	Impacto no VPG
Sensores de precisão	7,2% - aumento de 12,5%	Escalada de custo de produção direta
Resistores eletrônicos	5,8% - 9,3% Aumento	Despesa de fabricação marginal
Chips semicondutores	11,6% - 15,4% de aumento	Pressão de custo significativa

Tendências de recuperação econômica e investimento industrial

Métricas de investimento industrial para tecnologias de medição de precisão:

Setor	Crescimento do investimento	Demanda projetada
Aeroespacial	6,7% de crescimento A / A.	Potencial de mercado de US $ 2,3 bilhões
Automotivo	5,4% de crescimento A / A.	Potencial de mercado de US $ 1,8 bilhão
Fabricação	4,9% de crescimento A / A.	Potencial de mercado de US $ 1,5 bilhão

Taxa de juros e impacto na desaceleração econômica

Análise de sensibilidade ao investimento de equipamentos de capital:

Cenário de taxa de juros	Redução de investimentos	Impacto potencial da receita
Aumento da taxa de 0,25%	3,2% de redução	Declínio da receita de US $ 4,5 milhões
Aumento da taxa de 0,50%	5,7% de redução	Declínio da receita de US $ 8,2 milhões
Aumento da taxa de 0,75%	8,1% de redução	US $ 12,6 milhões em declínio da receita

Volatilidade da taxa de câmbio

Análise de Exposição à Receita Internacional:

Par de moeda	Volatilidade da taxa de câmbio	Impacto da margem de lucro
USD/EUR	4,3% de flutuação	2,1% de redução de margem
USD/JPY	3,9% de flutuação	1,8% de redução de margem
USD/CNY	5,2% de flutuação	Redução de margem de 2,5%

Vishay Precision Group, Inc. (VPG) - Análise de Pestle: Fatores sociais

Crescente ênfase da força de trabalho em habilidades técnicas e experiência em engenharia em setores de medição de precisão

De acordo com o Bureau of Labor Statistics dos EUA, as ocupações de engenharia devem crescer 4% de 2021 a 2031. A composição da força de trabalho do Vishay Precision Group reflete essa tendência:

Categoria de funcionários	Percentagem	Total de funcionários
Profissionais de engenharia	42%	368
Equipe de suporte técnico	28%	245
Pesquisar & Desenvolvimento	18%	158

Crescente demanda por práticas de fabricação sustentáveis ​​e ambientalmente responsáveis

As métricas de sustentabilidade da VPG para 2023:

• Redução de emissões de carbono: 12,3%
• Uso de energia renovável: 24% do consumo total de energia
• Taxa de reciclagem de resíduos: 67%

Mudanças demográficas para a automação e soluções tecnológicas avançadas em mercados industriais

Métrica de adoção tecnológica	2022 Valor	2023 valor
Investimento de automação	US $ 4,2 milhões	US $ 5,7 milhões
Gastos com integração de IA	US $ 1,8 milhão	US $ 2,6 milhões
Orçamento de transformação digital	US $ 3,5 milhões	US $ 4,9 milhões

Tendências de trabalho remotas que afetam a estrutura organizacional e estratégias de aquisição de talentos

Estatísticas de trabalho remoto da VPG para 2023:

• Funcionários com acordos de trabalho híbridos: 47%
• Funcionários totalmente remotos: 22%
• Investimento médio anual em infraestrutura de trabalho remoto: US $ 1,3 milhão

Métrica de aquisição de talentos	2022 dados	2023 dados
Taxa de contratação remota	38%	52%
Expansão global do pool de talentos	15 países	22 países
Gastos de recrutamento digital	$620,000	$890,000

Vishay Precision Group, Inc. (VPG) - Análise de Pestle: Fatores tecnológicos

Investimento contínuo em inovação avançada de sensor e tecnologia de medição

O Vishay Precision Group investiu US $ 12,4 milhões em P&D em 2022, representando 5,3% da receita total. A empresa possui 47 patentes ativas em tecnologias de medição de precisão a partir de 2023.

Ano	Investimento em P&D	Porcentagem de receita	Número de patentes
2022	US $ 12,4 milhões	5.3%	47
2021	US $ 11,2 milhões	4.9%	42

Integração de inteligência artificial e aprendizado de máquina em sistemas de medição de precisão

O VPG desenvolveu 6 plataformas de medição habilitadas para AI, com 3 implantados comercialmente a partir do quarto trimestre 2023. Os algoritmos de aprendizado de máquina melhoram a precisão da medição em 22,7% em aplicações de detecção de precisão.

Métricas da plataforma da AI	2023 dados
Total de plataformas de IA desenvolvidas	6
Plataformas comercialmente implantadas	3
Melhoria da precisão da medição	22.7%

Importância crescente da Internet das Coisas (IoT) e tecnologias de medição conectadas

O VPG integrou os recursos de IoT em 42% de suas linhas de produtos de sensor. As tecnologias de medição conectadas geraram US $ 24,6 milhões em receita em 2022, representando um crescimento de 17,3% ano a ano.

Tendências emergentes em miniaturização e capacidades de detecção de alta precisão

As realizações atuais de miniaturização incluem:

• Redução do tamanho do sensor em 35% em comparação com 2020 linha de base
• Melhoria da precisão da precisão para tolerância a 0,01%
• Consumo de energia reduzido em 28% em novos projetos de sensores

Métrica de miniaturização	2022-2023 Desempenho
Redução do tamanho do sensor	35%
Precisão de precisão	Tolerância de 0,01%
Redução do consumo de energia	28%

Vishay Precision Group, Inc. (VPG) - Análise de Pestle: Fatores Legais

Conformidade com os padrões internacionais de qualidade e requisitos regulatórios em setores aeroespacial e de defesa

VPG mantém a conformidade com vários padrões internacionais de qualidade:

Padrão	Status de certificação	Escopo
AS9100D	Certificado	Gerenciamento da qualidade aeroespacial
ISO 9001: 2015	Certificado	Sistemas de gestão da qualidade
MIL-STD-810G	Compatível	Testes ambientais

Proteção da propriedade intelectual para sensor e tecnologias de medição proprietárias

O portfólio de propriedade intelectual da VPG inclui:

Categoria IP	Número de patentes	Período de proteção ativa
Tecnologias de detecção	37	15-20 anos
Tecnologias de medição	24	15-20 anos
Processos de fabricação	12	10-15 anos

Regulamentos ambientais que afetam os processos de fabricação e o design do produto

Métricas de conformidade regulatória:

Regulamento	Status de conformidade	Custo anual de conformidade
Rohs 3	Totalmente compatível	$425,000
ALCANÇAR	Totalmente compatível	$312,000
Proposição 65 da Califórnia	Totalmente compatível	$187,500

Estruturas legais de privacidade e segurança cibernética de dados que afetam o desenvolvimento tecnológico

Detalhes da conformidade legal de segurança cibernética:

Estrutura	Nível de conformidade	Investimento de segurança anual
GDPR	Totalmente compatível	$675,000
CCPA	Totalmente compatível	$412,000
Estrutura de segurança cibernética do NIST	Totalmente alinhado	$1,250,000

Vishay Precision Group, Inc. (VPG) - Análise de Pestle: Fatores Ambientais

Compromisso em reduzir a pegada de carbono nos processos de fabricação

Vishay Precision Group relatou um Redução de 7,2% nas emissões diretas de gases de efeito estufa em todas as instalações de fabricação em 2023. A Companhia implementou estratégias direcionadas de redução de carbono em 12 locais de produção global.

Localização	Redução de emissão de carbono (%)	Transição da fonte de energia
Instalações dos Estados Unidos	5.8%	25% de integração de energia renovável
Locais de fabricação europeus	8.6%	37% de uso de energia solar e eólica
Centros de produção asiáticos	6.3%	22% de adoção de energia limpa

Desenvolvendo estratégias de design de produtos ecológicos e sustentáveis

VPG investiu US $ 3,2 milhões em pesquisa e desenvolvimento sustentável de produtos Durante 2023, concentrar -se na redução do desperdício de materiais e no aumento da reciclabilidade do produto.

• 92% das novas linhas de produtos de sensor projetadas com componentes recicláveis
• Resíduos de material reduzido em 15,6% nos processos de fabricação de produtos
• Implementou princípios de economia circular em 68% dos ciclos de desenvolvimento de produtos

Implementando tecnologias com eficiência energética em instalações de produção

Tecnologia	Economia de energia	Custo de implementação
Sistemas de iluminação LED	32% de redução de eletricidade	US $ 1,1 milhão
HVAC de alta eficiência	Diminuição de 26% de consumo de energia	US $ 2,4 milhões
Gerenciamento de energia inteligente	19% otimização geral de energia	US $ 1,7 milhão

Respondendo aos requisitos de sustentabilidade ambiental de clientes globais

VPG alcançado Certificação ISO 14001: 2015 em 95% dos locais globais de fabricação. A empresa documentou a conformidade com os padrões ambientais para 87 grandes clientes internacionais.

• Concluído 42 auditorias ambientais externas em 2023
• Manteve 99,6% de conformidade com os regulamentos ambientais internacionais
• Desenvolvido 16 novas especificações de produto sustentável que atendem aos requisitos do cliente

Vishay Precision Group, Inc. (VPG) - PESTLE Analysis: Social factors

You're looking at Vishay Precision Group, Inc. (VPG) through the social lens, and the takeaway is clear: the company's core business is fundamentally aligned with major societal demands for safety and precision, plus they are managing their own human capital well. This alignment creates a tailwind for their specialized products, but you need to watch their employee safety metrics to ensure consistency.

Products support key social trends like increased safety testing in automotive and medical

VPG's precision measurement and sensing technologies are not just components; they are enablers for critical social trends. The company's focus is on making the world safer, smarter, and more productive.

For example, their Dynamic Systems Inc. (DTS) brand provides rugged, miniature data acquisition systems and sensors that are advancing automotive safety testing to better protect occupants and pedestrians worldwide. This directly addresses the societal demand for fewer road fatalities and injuries. In the medical field, VPG's deep engineering expertise is optimizing advanced medical equipment, which is crucial as global healthcare demands rise. This product-market fit is powerful because it's driven by non-negotiable regulatory and ethical requirements, not just consumer preference.

Honestly, when a company can report zero product recalls in 2023 for potential manufacturing or design defects that could cause substantial harm to end-users, it speaks volumes about their quality and commitment to customer safety.

Commitment to a globally diverse workforce; 48 percent of the workforce is female

VPG operates with a globally diverse workforce across its operations in 12 countries, which is a strategic asset for innovation and market understanding. They are committed to equal employment opportunity and inclusion, actively recruiting from diverse geographic, ethnic, and social backgrounds.

As of their most recent reporting, a total of 48 percent of the company's workforce is female. This level of gender diversity is a strong social metric, particularly in the manufacturing and technology sectors, where the average is often lower. With a total headcount of approximately 2,200 employees as of late 2024, maintaining this level of inclusion is a key social responsibility factor.

Here's the quick math: roughly 1,056 of their employees are female, contributing to a powerful mix of talents and innovation.

Focus on employee health and safety, reporting zero work stoppages or days idle

Employee health and safety is a critical social factor, and VPG has a formal Environmental, Health and Safety (EHS) program. The headline is excellent: the company reported Zero Work Stoppages/Days Idle in their most recent sustainability report, which is a key indicator of stable operations and effective safety protocols.

Still, you need to look at the granular data, which shows a strong focus on risk mitigation. They provided 4,013 employee safety training hours to their global team. The safety metrics for 2023, while generally low, provide the necessary precision for your analysis:

Safety Metric (2023)	Value (Cases/200K Hours)
OSHA Recordable Rate	0.57
DART Rate (Days Away Restricted or Lost Time)	0.47
Fatality Rate	0

What this estimate hides is the potential for minor incidents; the DART Rate of 0.47 means that for every 200,000 hours worked, there were 0.47 cases resulting in days away, restricted work, or job transfer. This is a defintely a metric to monitor for continuous improvement.

Demand for precision measurement sensors in consumer electronics and medical devices is rising

The rising global standard of living and the push for smarter, connected products are fueling demand for VPG's precision measurement sensors. The company is actively expanding its pipeline in high-growth areas.

This includes:

• Robotics and industrial automation
• Consumer electronics applications
• Data centers and telecommunications
• Advanced medical devices

This increased demand, driven by megatrends like electrification and industrial automation, is expected to be a significant revenue contributor. VPG is targeting new customers and applications that could potentially contribute an estimated $100 million in aggregate revenue across its business segments over the next three to four years. This is a concrete opportunity tied to evolving social and technological needs.

Vishay Precision Group, Inc. (VPG) - PESTLE Analysis: Technological factors

Significant opportunity in the emerging humanoid robot market, with year-to-date orders of $3.6 million in 2025.

The emerging market for humanoid robots represents a significant near-term technological opportunity for Vishay Precision Group, Inc. (VPG). These advanced machines require extremely precise force and weight measurement capabilities, which VPG's proprietary Micro-Measurements strain gage technology is uniquely positioned to provide.

Honestly, this isn't just a future trend; it's happening now. The company has already secured year-to-date orders in 2025 totaling $3.6 million from key players in the humanoid robotics space. This early traction suggests a strong product-market fit for VPG's sensors in a high-growth, high-value technological niche.

Here's the quick math: if the current run rate continues, VPG is on track to surpass $5 million in annual revenue from this sector alone, which is a meaningful addition to the Sensors segment's top line.

Strong demand for precision resistors in semiconductor test and Advanced Medical Systems (AMS) applications.

Technological advancements in adjacent industries are driving robust demand for VPG's core Precision Resistors product line. The need for ultra-high precision and stability is non-negotiable in two critical areas: semiconductor testing and Advanced Medical Systems (AMS).

In semiconductor test equipment, the push for smaller nodes and higher speeds requires resistors with near-zero temperature coefficient of resistance (TCR) to ensure accurate, repeatable measurements. VPG's Bulk Metal Foil (BMF) technology meets this standard, helping the company capture market share as chipmakers scale up production. Also, the increasing complexity of medical devices, from diagnostic imaging to therapeutic equipment, fuels the demand for these same high-stability components.

This is a defintely stable, high-margin revenue stream.

Strategic expansion into new high-performance niches like ceramics and fiber optics.

VPG is actively diversifying its technological footprint beyond its traditional metal foil and strain gauge base, strategically moving into new high-performance materials and sensing modalities. This expansion into ceramics and fiber optics is a proactive move to future-proof the product portfolio and access new technological applications.

The focus is on specialized, high-temperature, and harsh-environment applications where traditional sensors fail. For example, ceramics offer superior performance in extreme heat, making them ideal for aerospace or industrial process control. Fiber optics, on the other hand, provide immunity to electromagnetic interference (EMI), which is critical for medical and high-voltage industrial sensing.

This strategic move is designed to capture market share in technological areas with higher barriers to entry and, consequently, better pricing power.

The 2024 acquisition of Nokra added laser-based non-contact measurement system technology.

The 2024 acquisition of Nokra Messtechnik GmbH significantly bolstered VPG's technological capabilities in the field of non-contact measurement. Nokra's core competency is its advanced laser-based non-contact measurement system technology, which is a key tool for quality control in high-precision manufacturing.

This technology uses laser triangulation and light section techniques to measure thickness, width, and surface profiles with micron-level accuracy, without ever touching the product. Integrating Nokra's systems into VPG's offerings provides a comprehensive solution for customers in the automotive, metals, and electronics industries.

This acquisition immediately expands VPG's addressable market in the Industrial Weighing and Control segment. The table below summarizes the technological synergy.

Technology	VPG (Pre-Nokra) Core	Nokra (Acquired 2024) Core	Key Technological Synergy
Sensing Method	Contact (Strain Gauge, Load Cells)	Non-Contact (Laser Triangulation)	Full spectrum of measurement solutions
Measurement Target	Force, Weight, Stress, Torque	Thickness, Width, Profile, Flatness	Comprehensive quality control metrics
Key Applications	Industrial Weighing, Test & Measurement	Hot/Cold Rolling Mills, Automotive, Electronics	Expanded high-precision industrial market

Finance: draft a detailed five-year revenue projection for the Nokra product line by the end of the quarter.

Vishay Precision Group, Inc. (VPG) - PESTLE Analysis: Legal factors

When we look at Vishay Precision Group, Inc. (VPG)'s legal landscape, the direct takeaway is that their compliance framework is mature and highly structured, focusing on preventative measures and certification. You're seeing a company that uses global standards not just as a badge, but as an operational mandate, which significantly de-risks their international footprint.

The key challenge isn't a lack of policy, but ensuring 100% compliance in training and maintaining the zero-incident record in a complex, multi-site manufacturing environment. That's the hard part of global operations.

Global compliance with the ISO 9001 Quality Assurance Management System across multiple sites

VPG's commitment to quality is legally formalized through the ISO 9001 Quality Assurance Management System (QMS) certification, which is the international standard for quality management. This certification is crucial for a precision component manufacturer, as it assures customers-especially in high-reliability sectors like aerospace and medical-that VPG's processes are consistent and auditable. The QMS is not a single-site effort; it spans their global manufacturing base.

In fact, most VPG facilities hold this certification, plus other specialized standards like AS 9100 for aerospace and IATF 16949 for automotive. This multi-standard compliance means they can sell into the most regulated markets without issue. Here's a snapshot of some of the globally certified sites that underpin this legal and quality assurance foundation:

Certified Facility Location	Primary QMS Certification	Geographic Region
Holon, Israel	ISO 9001	Middle East
Akita, Japan	ISO 9001	Asia
Chennai, India	ISO 9001	Asia
Tianjin, China	ISO 9001	Asia
Basingstoke, UK	ISO 9001	Europe
Wendell, NC, USA	ISO 9001	North America

Zero material information security breaches, penalties, or settlements reported in 2023

Honestly, in the current cybersecurity climate, this is a massive operational win. For the 2023 fiscal year, VPG reported zero material information security breaches, penalties, or settlements. This track record is a strong indicator of effective internal controls and IT governance, which is a significant legal risk mitigator, especially with the surge in global data privacy regulation.

While the company is involved in routine, incidental litigation common to any global business, management's assessment, as noted in the Q2 2024 Form 10-Q, is that these matters are not expected to have a material adverse effect on the company's financial condition. This suggests that any ongoing legal matters are minor and well within the ordinary course of business, keeping the legal liability exposure low for the 2025 outlook.

Regular training on revised Anti-Bribery and Anti-Corruption policies for senior employees

The regulatory environment, particularly the U.S. Foreign Corrupt Practices Act (FCPA) and the U.K. Bribery Act, demands constant vigilance in international business. VPG's Board of Directors approved a revised Global Anti-Bribery and Anti-Corruption Policy in May 2023, which is a critical step in maintaining compliance.

Here's the quick math on the initial rollout: as of December 2023, 28 of 57 senior level employees had completed the training on this revised policy. That's a 49.1% completion rate for senior staff on the initial rollout. This is a clear area for action-getting that completion rate to 100% is a non-negotiable compliance goal for 2025, as regulators view senior management training as a key indicator of a company's ethical culture. Plus, all employees are obligated to complete annual training on the broader Global Code of Business Conduct.

Operations must adhere to a global Environmental, Health and Safety (EHS) program for regulatory compliance

VPG manages its global manufacturing footprint under a unified Environmental, Health and Safety (EHS) program, which is constantly reviewed and supported by a 3-year EHS Road Map. This program is the legal backbone for adhering to complex, region-specific regulations like the EU's REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals) and RoHS (Restriction of Hazardous Substances) directives.

The focus here is on tangible performance improvements, which directly reduce the risk of environmental fines or safety-related legal action. The 2024 performance highlights show clear progress in risk mitigation compared to 2023:

• Hazardous Waste Disposal was reduced by -69% versus 2023, a huge step in minimizing regulatory exposure.
• Water Use decreased by -16% to 81,638 m³ across worldwide sites.
• Electrical Energy Use decreased by -3% to 28,992 MWh.
• The company reported zero Work Stoppages/Days Idle in 2024, indicating a stable and compliant safety environment.

The sheer volume of safety training-4,013 employee safety training hours in 2024-shows a proactive approach to prevent workplace incidents and the resulting legal liabilities.

Vishay Precision Group, Inc. (VPG) - PESTLE Analysis: Environmental factors

Established an Environment, Social and Governance (ESG) committee with executive leadership

You need to see a clear commitment from the top when evaluating environmental risk, and Vishay Precision Group, Inc. (VPG) has made that structural. The company established a formal Environment, Social and Governance (ESG) committee that includes executive leadership. This isn't just a compliance formality; it shows that ESG is being integrated into the core business strategy, not just delegated to a single department.

The committee is a cross-functional working group that meets regularly to identify areas of focus and track progress. It pulls in key business leaders across critical functions, from environmental, health, and safety (EHS) to information technology, human resources, finance, legal, quality, and investor relations. This structure is defintely the right way to manage macro-environmental risks-you get a holistic view of how a new regulation or a climate event could impact the supply chain, the balance sheet, and shareholder perception all at once.

Achieved a 13% reduction in electrical energy use intensity from the 2021 baseline

The most tangible sign of environmental progress is in resource efficiency, and VPG has delivered on energy. The company achieved a 13% reduction in electrical energy use intensity from its 2021 baseline. This metric, energy intensity (MWh per Million revenue), is what matters most because it normalizes energy use against business activity. It means VPG is getting more production out of every unit of electricity, which is a direct cost-saving and a risk-mitigation move against rising utility costs.

In absolute terms, the company's total electrical energy use across all worldwide manufacturing sites saw a modest decline in 2024, continuing a downward trend since 2021. The focus is on optimizing the building envelope and investing in more renewable forms of energy to sustain this trend.

Reduced water use by 16% and hazardous waste disposal by 69% in 2024 versus 2023

The most impressive data points for the 2024 fiscal year relate to water and waste, which are often the most challenging areas for manufacturing operations to control. VPG's performance highlights for 2024 show significant year-over-year operational improvements.

Specifically, VPG reduced its total water use by 16% compared to 2023. The real standout, however, is the reduction in hazardous waste disposal, which dropped by a massive 69% in 2024 versus 2023. That kind of reduction in hazardous waste is a clear indicator of successful process optimization and a lower regulatory compliance risk profile. It's a huge win for the bottom line and for the environment.

Here's the quick math on the absolute numbers for these environmental metrics across all worldwide manufacturing sites:

Metric	2023 Value	2024 Value	Change (2024 vs. 2023)
Electrical Energy Use (MWh)	29,762	28,992	-3%
Water Use (m³)	96,910	81,638	-16%
Hazardous Waste Disposed (kg)	1,975,730	642,900	-69%

The sheer drop in hazardous waste from nearly 2 million kg to just over 642,900 kg is a material operational change.

Focus on material sourcing and efficiency as a material sustainability topic

Material sourcing and efficiency are rightly identified by VPG as a material sustainability topic, which is crucial for a precision technology manufacturer. This focus extends beyond just managing waste; it addresses the environmental footprint at the very start of the value chain.

The company is committed to reducing its environmental impact by considering environmental criteria in the development of new products. This includes selecting raw materials to reduce the overall environmental footprint and minimize hazardous and toxic substances in the final product and its lifecycle.

Key actions in this area include:

• Considering environmental criteria in new product design, including raw materials.
• Reducing hazardous and toxic substances in products, distribution, and end-of-life.
• Maintaining a majority of products as lead-free to meet global regulations like REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals).
• Achieving a 25% Reduction in High-Risk Suppliers for Conflict Minerals, which, while a governance topic, directly impacts the ethics and sustainability of the supply chain.