Sustainability Strategy and Management

The focus of Linde MH’s sustainability activities is based on the results of the KION Group’s “double materiality analysis” (DMA), which was carried out in 2023 and completed in 2024. The DMA is used to identify and assess material impacts, risks and opportunities (IROs) compared to immaterial IROs.

To identify the IROs, various sustainability aspects from both internal and external analyses were taken into account in the DMA and various relevant stakeholder groups were directly and indirectly involved. The assessment is conducted according to the principle of double materiality in line with the CSRD using the ESRS. Both the environmental and social impact of the KION Group’s business activities (inside-out) and the financial risks and opportunities for business activities (outside-in) were examined and evaluated as part of this process.

The main IROs in the ESRS topics “Climate change,” “Pollution,” “Water and marine resources,” “Circular economy,” “Own workforce,” “Workers in the value chain,” and “Business conduct” are mainly governed by the strategic objectives within the KION Group’s sustainability strategy or are addressed at another level within the programs of the eight action fields for sustainability. Key findings and newly identified, additional specific topics are taken into account in the ongoing development of the sustainability strategy and when setting targets.

A detailed overview of the topic-specific ESRS for the KION Group based on the double materiality analysis carried out can be found in the Group Sustainability Report in the KION Group Annual Report 2024.

In implementing its sustainability strategy, Linde MH follows the systematic approach defined by the KION Group. At Linde MH, sustainability is linked to the wider-reaching targets and initiatives organized into the three strategic dimensions of people, products, and processes, always in keeping with the overall principle of “We take responsibility.” These three dimensions provide the framework for the business’ eight targeted areas of action on sustainability. In line with the KION Group’s sustainability strategy and double materiality analysis, Linde MH pursues a specific program of targets, initiatives, and monitoring within these action fields, in order to meet stakeholder expectations and ensure compliance with political and legislative requirements.

The Group-wide sustainability strategy is constantly being refined, taking into account the results of the double materiality analysis. This includes defining and specifying targets, comparing them with external requirements, and coordinating with internal stakeholders at Group level and within the Operating Units. The strategic objectives that Linde MH pursues as part of the KION Group can be found under “Leading targets”.

As part of the KION Group, Linde MH follows the Group-wide rules and principles for sustainable corporate governance. Sustainability criteria are also firmly integrated in operational business activities by implementing company-specific guidelines and procedures. These include the sustainability policy, guidelines for integrated health, safety, and environment (HSE) management, and life cycle assessments, which show the environmental impact of products and solutions.

Linde MH has a company history spanning over 120 years, including more than 50 years in material flow solutions. The Aschaffenburg-based company may have its origins in Germany but today it is one of the world’s largest manufacturers of forklift trucks and warehouse handling equipment. As a technology leader in the industry, Linde MH offers a wide range of industrial trucks, automation, safety, and energy solutions, fleet management and warehouse management software, and comprehensive services. Linde MH has been part of the KION Group since 2006 and oversees production sites in Germany, France, the Czech Republic, and Poland.

The company delivers top performance under even the most challenging operating conditions. Alongside its desire to produce high-performance drive systems, safety and user-friendliness are Linde MH’s top priorities: Precise load handling, outstanding maneuverability, intuitive operation, and an ergonomic driver’s workstation guarantee excellent handling performance and productivity. In addition, the trucks can be seamlessly integrated into fleet management or warehouse management systems using wireless data transmission and digital interfaces. Combined with comprehensive energy, safety, and automation solutions and optimal integration into customers’ business processes, this results in holistic solutions for networked, safe, and sustainable intralogistics.

In the field of electromobility, Linde MH is currently the only manufacturer to offer electric counterbalanced forklift trucks in the form of its X models. With their strong performance and robust design, these models offer a powerful alternative to trucks equipped with an internal combustion engine. Customers can rely on the quiet and practically emission-free drive technology to handle even the most challenging of applications without compromising on performance.

With a large rental fleet of almost 43,000 trucks, Linde MH offers a high level of flexibility, whether customers want to take advantage of the various options available to them—leasing, long-term rental, or hire—or prefer to opt for a used Linde forklift truck, all of which are refurbished in accordance with standardized specifications throughout Europe.

Since 2023, the Chief People & Sustainability Officer (CPSO) within the Executive Board of KION GROUP AG has been responsible for human resources and sustainability, including occupational health and safety. In this role, her responsibilities include ensuring that the sustainability strategy is developed and implemented in line with the company’s objectives. She also chairs the Sustainability Council, which includes the leaders responsible for the eight action fields, the sustainability coordinators of the Operating Units and functions, and members of the central sustainability management team (Corporate Sustainability). Linde MH is represented on the Sustainability Council as part of the KION ITS EMEA Operating Unit.

Progress is regularly reviewed by the sustainability coordinators of the Operating Units, the leaders responsible for the action fields, the central sustainability management team, and special committees. The progress reports for the individual regions and functions are submitted to the overarching central sustainability management team (Corporate Sustainability) and the Sustainability Council, and discussed at Executive Board meetings as part of the KION Group’s Group-wide strategic development and implementation. The Executive Board of KION GROUP AG involves the Supervisory Board, and in particular its Audit Committee, in the development of the sustainability strategy. The Supervisory Board monitors the Executive Board with regard to the implementation of the sustainability strategy and supports it in an advisory capacity.

The KION Group committed to the objectives of the Science Based Targets initiative (SBTi) in 2023. As part of this commitment, it set itself the long-term climate target of achieving net-zero greenhouse gas emissions along its value chain by 2050. Significant interim targets have been set for 2030 (see targets in the Group Sustainability Report in the KION Group Annual Report 2024). Linde MH thus has a basic methodological framework for its climate action and is committed to the target of limiting global warming to 1.5 °C above pre-industrial levels, which was adopted at the United Nations Climate Change Conference in Paris in 2015. The climate management targets were formally recognized by the SBTi in 2024. The KION Group’s voluntary commitment under the SBTi is publicly accessible at www.sciencebasedtargets.org/target-dashboard and is also communicated internally to its own employees, as well as customers and suppliers.

Since 2012, Linde MH has been regularly audited and certified as a supplier with regard to corporate responsibility by independent service provider EcoVadis. In the certification conducted at the end of 2023, Linde MH obtained scores that were far above average in all four evaluation categories. This puts it among the top one percent of all companies listed in the ranking, with Linde MH also achieving higher scores in the “Ethics” and “Sustainable Procurement” categories than in the previous screening. The EcoVadis assessment is based on 21 criteria across the four categories—environment, labor and human rights, ethics, and sustainable procurement— and is calculated in line with international sustainability standards such as the Global Reporting Initiative, the ILO Conventions, the UN Global Compact, the UN Guiding Principles on Business and Human Rights, and the ISO 26000 sustainability standards.

Linde MH is also a partner of the sustainability initiative Blue Competence. This initiative of the Verband Deutscher Maschinen- und Anlagenbau e.V. (German Mechanical Engineering Industry Association) aims to promote sustainability in mechanical and plant engineering and raise awareness of sustainable solutions in the industry. As part of this partnership, Linde MH has committed to upholding the 12 sustainability principles of mechanical and plant engineering.

The Bavarian Environmental and Climate Pact is another initiative that Linde MH is supporting with qualified environmental efforts. Participating companies are committed to conserving resources and using environmentally friendly technologies to achieve “green economic growth.” To this end, topic-specific working groups have been formed to formulate goals and make recommendations for implementation. The working groups are supported by external experts where necessary. Linde MH has recently been awarded the Pact certificate, which is valid for three years.