Governance 2.5 Supply Chain Management 2.5.1 Basic Approach The Fujifilm Group develops business activities in the four segments of Healthcare, Materials, Business Innovation and Imaging, and is working to contribute to solving social issues through the value chains of these diverse businesses. As a global company, we distribute a range of products to customers across the world, procuring numerous materials and components for such products. We believe that we are responsible for not only ensuring the quality and safety of our products, but also appropriately managing the supply chain of materials and components used in our production. In response to recent increases in social demands, we are keen to promote sustainable procurement activities across the entire supply chain of the Fujifilm Group including our suppliers. The scope of this activities covers the global environment; ethics; and work environment of those working within the supply chain including their human rights, health and safety. Under a partnership with our suppliers based on mutual understanding and trust, the Fujifilm Group aims to build a more robust supply chain through sustainable procurement that reduces business risks in the supply chain and increases the competitiveness and corporate value of all parties in the chain. 2.5.2 Fujifilm Group Procurement Overview The Fujifilm Group manufactures a wide range of products, including chemical products; functional materials; and medical, precision, optical and office equipment. Our major production sites are located in Japan, Americas, China, the Netherlands and Vietnam. We have some 5,500 tier 1 suppliers across the world from which we procure production materials. We have identified approximately 2,000 critical suppliers, which accounts for almost 36% of our tier 1 suppliers. Critical suppliers refer to those who are significantly important for the Fujifilm Group’s competitiveness and business continuation based on criteria concerning procurement amount and supply volume, substitutability of the suppliers themselves or the items they provide, and possibility of business continuity. The percentage of procurement amount by region is as follows: Japan 47%; China 24%; the Americas 13%; Europe 9%; and Asia and others 7%. The Fujifilm Group also actively procures from local suppliers. The percentage of local procurement in China is 85%, and in Asia and other areas it is 67% (as of the end of March 2023). Procurement Amount by Region Procurement Ratio by Region Based on Number of Tier 1 Suppliers 7% 10% 9% 8% 13% 47% 10% 56% 24% Japan 16% Japan China China Americas Americas Europe Europe Asia and others Asia and others 55 FUJIFILM Holdings Corporation Sustainability Report 2023