Sustainability statement – General information

Double materiality assessment

As the basis for this Sustainability statement, Vetropack conducted a double materiality assessment in accordance with ESRS. The process involved several internal and external stakeholders, resulting in seven material topical standards that reflect our most relevant sustainability-related impacts, risks and opportunities.

Process to identify and assess material impacts, risks and opportunities (IROs)

(ESRS 2 IRO-1)

Vetropack conducted a double materiality assessment (DMA) in accordance with ESRS in the second half of 2024, and finalised it at the beginning of 2025. The assessment covered the entire Vetropack Group and its value chain. In the upstream value chain, we focused on direct suppliers and business partners (tier 1), but we also considered tiers 2 and 3, including raw materials. In the downstream value chain, the assessment covered customers: specifically, brand owners in the food and beverage industry, and also consumers. The process was based on EFRAG IG 1: Materiality Assessment Implementation Guidance from the European Financial Reporting Advisory Group (EFRAG).

Context analysis

We started with a context analysis to provide inputs for identifying impacts, risks and opportunities (IROs). This included an overview and description of our business model, activities, products, services, geographical locations, and business relationships, as well as a mapping of the value chain. We took account of past sustainability reports, company documentation, and industry context. A detailed analysis of our most relevant stakeholders supported our understanding of the value chain and provided the basis for future stakeholder involvement.

Initial assessment of potentially material topics (impact materiality and financial materiality)

We performed a benchmarking exercise to ensure that we captured all material topics. For this purpose, we considered Vetropack’s previous material topics, the GRI standards, Swiss Code of Obligations requirements, industry-specific topics for the container and packaging industry defined by the Sustainability Accounting Standards Board (SASB), and sustainability reports from glass packaging peers. We mapped topics against all sustainability matters listed in ESRS 1 Application Requirement 16 (AR 16). Based on the initial assessment and the benchmarking, we removed sustainability matters (ESRS 1 AR 16) from scope if they were identified as clearly not material.

Several internal subject matter experts carried out an initial assessment of sustainability matters, indicating impact materiality and financial materiality. To identify potentially material and non-material topics, we considered not only our own activities and value chain, but also global trends, ESG regulations, and customer and market expectations.

Conducting stakeholder surveys

After the initial descoping of non-material sustainability matters, we conducted a survey on the impact materiality (first indication of impacts) of the remaining topics involving around 120 stakeholders from 18 countries (employees, customers, suppliers, policymakers and associations, shareholders and investors). A similar survey on financial materiality (first indication of risks and opportunities) involved more than 50 Vetropack employees in management functions.

Identification and assessment of Impacts, Risks and Opportunities (IROs)

Vetropack’s subject matter experts identified IROs and evaluated them using ESRS criteria, considering actual and potential impacts, scale, scope, difficulty of remediation, and likelihood of negative impacts as well as scale, scope, and likelihood of positive impacts. Risks and opportunities were assessed in respect of magnitude and likelihood. We aligned the assessment criteria with the scale of our risk management. The IROs were characterised according to time horizon (Basis for preparation) and value chain location. In accordance with ESRS requirements, we prioritised severity of potential negative impacts over likelihood for topics related to human rights. We excluded likelihood from impact scores for these topics, resulting in scores based solely on severity.

As this was the first time we conducted such a comprehensive double materiality assessment, the process is not yet integrated into our corporate risk management framework. Since the same people were involved both in risk management and in the double materiality assessment, we plan to continue integrating and aligning the two processes.

Validation of sustainability topics and IROs by Vetropack’s Extended Management Board and Board of Directors

Vetropack’s Extended Management Board and Board of Directors refined and validated the preliminary results. By involving the two governance bodies, we not only ensured that a wide range of expertise was taken into account, but also that consideration was given to operational and strategic perspectives.

Our Extended Management Board applied a business operations perspective to review the initial assessment, using the results from the stakeholder surveys as a sense check. Two matrices were created, mapping topics based on positive and negative impacts, risks and opportunities. This visualisation of the ratings facilitated further assessments and assisted with setting thresholds.

In parallel, our Board of Directors reviewed the assessment from a governance perspective, focusing on Vetropack’s context, circumstances and previous sustainability topics. The Board’s review took the full list of ESRS 1 AR 16 sustainability matters into account and considered our strategic priorities, resulting in the exclusion of further topics and IROs. The results of all the previous steps and perspectives were aggregated, and the Board of Directors approved the new sustainability topics.

We will continue to update and refine our material IROs going forward, with the aim of strengthening the alignment between our sustainability priorities and our corporate strategy.

Material impacts, risks and opportunities, and their interaction with strategy and business model

(ESRS 2 SBM-3)

In the double materiality assessment, Vetropack identified 7 out of 10 topical standards, covering 19 sustainability matters, as material. Due to the nature and geographical scope of our business model and value chain, three ESRS topical standards were deemed non-material: E4 Biodiversity and ecosystems, S2 Workers in the value chain, and S3 Affected communities. In contrast to previous GRI reporting, no economic topics were identified as material; such aspects are now covered in other reporting sections of this Annual report where still relevant. Most of our sustainability topics have been reported previously, with Pollution of air (E2) identified as a new topic. Vetropack’s previous materiality matrix is available at https://report.vetropack.com/2024/en/material-topics-and-sdgs. The following table maps our new material topics with those that formed the basis of our 2024 and 2023 Sustainability reports.

Material topics 2025/ Topical standards	Material topics 2024/ 2023
E1 Climate change	– Climate protection
E2 Pollution	[not covered]
E3 Water and marine resources	– Water
E5 Resource use and circular economy	– Resources
E5 Resource use and circular economy	– Supply chain management
S1 Own workforce	– Employee satisfaction
	– Diversity, equity, inclusion
	– Occupational health and safety
S4 Consumers and end-users	– Product quality and product safety
G1 Business conduct	– Compliance
G1 Business conduct	– Supply chain management

While the impacts, risks and opportunities for the previous economic topic of Product quality and product safety are now addressed under Health and safety of consumers (S4 consumers and end-users), the table below shows where the previous economic topics are covered in the present Annual report.

Section in the 2025 Annual report	Material topics 2024/ 2023
E1 Climate change E5 Resource use and circular economy	Innovation
Business model and strategy 2030+	Customer satisfaction
Financial report	Economic performance

Below is the overview of Vetropack’s material impacts, risks and opportunities identified in the double materiality assessment. Information on how we manage them is included in the sections on specific topics.

E1 Climate change Climate change adaptation, Climate change mitigation, Energy
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
Insufficient adaptation to climate change (e.g. inadequate implementation of protective measures against physical risks) can lead to business interruptions/disruptions.	risk	sym-p	sym-p		sym-p	sym-p
Successful adaptation of the business model, the products (such as Rezon, our thermally strengthened glass) will increase business resilience and contribute to a competitive advantage, especially under the PPWR	opportunity		sym-p	sym-p		sym-p
At present, glass manufacturing is highly dependent on fossil fuels such as natural gas and carbonated raw materials (soda, lime, dolomite). Large amounts of natural gas are used as an energy source for melting raw materials, resulting in GHG emissions.	negative i.	sym-p	sym-p		sym-p	sym-p
Vetropack is classified as a carbon-intensive industry due to the high levels of GHG emissions in its own operations and in the upstream value chain (raw materials, soda).	negative i.	sym-p	sym-p		sym-p	sym-p
Exposure to physical risks – such as water-related issues, rising temperatures, heat stress and natural hazards – may impair employees’ health or disrupt operations.	risk	sym-p	sym-p	sym-p	sym-p	sym-p
Alternative new packaging solutions with a smaller environmental footprint may adversely affect customers’ and consumers’ preference for glass.	risk			sym-p		sym-p	sym-p
Minimisation of packaging and standardisation criteria under the PPWR may reduce the demand for customised bottle design and new packaging.	risk			sym-p		sym-p	sym-p
Energy prices and carbon pricing may increase production cost and can reduce Vetropack’s competitiveness.	risk	sym-p	sym-p	sym-p		sym-p
Glass is a packaging solution in keeping with the circular economy.	opportunity	sym-p	sym-p	sym-p		sym-p	sym-p
Customers’ and consumers’ preferences for glass packaging, driven by the PPWR and climate awareness, create opportunities not only for our thermally strengthened glass but also for glass as a reusable packaging material in general.	opportunity		sym-p	sym-p		sym-p	sym-p
Enhanced energy efficiency and on-site generation of renewable energy lower operational expense.	opportunity		sym-p			sym-p

E2 Pollution Pollution of air
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
Burning natural gas and melting raw materials (quartz sand, soda, lime, dolomite, feldspar) releases emissions into the air, including SOx, NOₓ, VOCs, and particulate matter, which negatively impact air quality, ecosystems, and human health.	negative i.	sym-p	sym-p	sym-p		sym-p
Failure to comply with environmental regulations (air emission limits) may lead to regulatory sanctions and financial penalties.	risk	sym-p	sym-p			sym-p
Stricter environmental regulations may lead to costs related to process modifications (such as new technologies).	risk		sym-p	sym-p		sym-p
Adoption of low-emission technologies could enhance the company’s reputation as a responsible and innovative glass manufacturer.	opportunity		sym-p	sym-p		sym-p

E3 Water and marine resources Water consumption, Water withdrawals, Water discharges
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
Glass manufacturing requires water for cooling machines. This water is withdrawn from nature, so water availability in local water bodies may be impacted.	negative i.	sym-p	sym-p			sym-p
Non-compliance with discharge water quality standards may adversely affect aquatic ecosystems.	negative i.	sym-p	sym-p			sym-p
Increasing water scarcity can put pressure on Vetropack to invest in process optimisations.	risk		sym-p	sym-p		sym-p
Exceeding water discharge limits could lead to regulatory and financial fines.	risk	sym-p				sym-p
Efficient and responsible processes, water recycling, use of water in closed loops, water treatment, and modern, innovative technology are all factors that save costs and increase resilience.	opportunity			sym-p		sym-p

E5 Resource use and circular economy Resource inflows, incl. resource use, Resource outflows related to products and services, Waste
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
Glass manufacturing depends on large amounts of non-renewable raw materials such as quartz sand, soda, limestone, and colouring agents.	risk	sym-p	sym-p		sym-p
Increasing the recycled content reduces energy consumption during production and lowers the demand for raw materials.	positive i.	sym-p	sym-p	sym-p	sym-p	sym-p
Rightweighting and the production of reusable bottles reduce raw material demand	positive i.	sym-p	sym-p	sym-p	sym-p	sym-p
The dependency of glass production on large amounts of natural resources harbours reputational risks due to resource depletion.	risk	sym-p	sym-p	sym-p	sym-p	sym-p
Increasing the cullet content delivers a competitive advantage when Vetropack's customers have set targets for the recycled content of their packaging.	opportunity	sym-p	sym-p	sym-p	sym-p	sym-p	sym-p
Reusable glass packaging and closed-loop glass recycling reduce the consumption of raw materials.	positive i.	sym-p	sym-p			sym-p	sym-p
Glass packaging instead of plastic packaging reduces plastic waste in nature.	positive i.	sym-p	sym-p				sym-p
Some aspects of the PPWR, such as minimisation targets, can be a risk for Vetropack’s customised glass packaging.	risk		sym-p	sym-p		sym-p	sym-p
The PPWR makes reusable and lightweight packaging solutions more popular. Some markets already have a mandatory reuse quota.	opportunity		sym-p	sym-p		sym-p	sym-p
Innovations such as thermally strengthened glass lead to competitive advantages in the packaging industry.	opportunity	sym-p	sym-p			sym-p	sym-p
Cullet processing generates waste such as food residues, ceramics, and packaging materials. If (hazardous) waste is not properly treated and disposed of in accordance with environmental regulations, it can damage ecosystems.	negative i.	sym-p	sym-p			sym-p
Failure to comply with waste regulations may result in legal action, financial penalties, and reputational damage.	risk	sym-p				sym-p
Efficient material handling and waste reduction will reduce costs associated with waste disposal and treatment.	opportunity	sym-p				sym-p

S1 Own workforce Health and safety, Training and skills development, Diversity
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
The glass production industry involves moving machinery, high temperatures, noise, emissions, and the handling of chemicals that can harm workers' health and safety.	negative i.	sym-p	sym-p			sym-p
A high workload can impair employees’ (mental) health.	negative i.	sym-p	sym-p			sym-p
A healthy and safe working environment supports the physical and mental wellbeing of Vetropack’s employees.	positive i.	sym-p	sym-p			sym-p
A high absenteeism rate due to work-related injuries and illnesses reduces productivity and business success.	risk	sym-p	sym-p			sym-p
In case of frequent safety incidents (e.g. due to non-compliance with safety standards), Vetropack would face a higher turnover rate as well as reputational, legal and financial risks.	risk	sym-p	sym-p			sym-p
A strong safety culture increases employee productivity and satisfaction, thus helping to retain employees and attract new ones, and contributing to business success.	opportunity		sym-p	sym-p		sym-p
Providing training and development opportunities increases employees’ satisfaction and confidence.	positive i.		sym-p	sym-p		sym-p
A lack of training and skills development opportunities would reduce Vetropack’s attractiveness as an employer, leading to higher employee turnover and a loss of talent, with financial downsides	risk		sym-p	sym-p		sym-p
Insufficient training and development opportunities can result in reduced efficiency, limited innovation and poor product quality, thus reducing financial performance.	risk		sym-p	sym-p		sym-p
Training and skills development contribute to high-quality work and foster innovation, thus strengthening customer relationships and promoting financial success.	opportunity		sym-p	sym-p		sym-p
Diversity and equal opportunities foster an atmosphere of inclusion, strengthen trust, boost employee morale, and reduce the risks of harassment, discrimination, and violence.	positive i.		sym-p			sym-p
Failing to ensure and promote a diverse working environment can result in employee resignations and a loss of talent, negatively impacting product quality, customer satisfaction, and overall financial performance.	risk		sym-p			sym-p
A diverse working environment opens up access to a larger talent pool, leading to a broader range of ideas and innovations that enhance competitiveness and thus contribute to business success.	opportunity		sym-p	sym-p		sym-p

S4 Consumers and end-users Health and safety
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
If glass containers are not safe, or if they break or splinter (e.g. due to poor product quality), consumers’ health and safety could be at risk.	negative i.	sym-p	sym-p				sym-p
Glass containers are inert, they prevent potentially harmful substances from migrating into food and beverages, and they do not alter the taste of products. Thanks to these attributes, glass packaging extends the shelf life of foods and beverages.	positive i.	sym-p	sym-p				sym-p
Recalls or customer complaints pose a risk of reputational damage, loss of brand trust, and financial downsides.	risk	sym-p	sym-p	sym-p			sym-p
Glass is becoming more popular as a food and beverage packaging material because consumers are taking a critical view of petroleum-based packaging materials.	opportunity	sym-p	sym-p	sym-p			sym-p

G1 Business conduct Corporate culture, Protection of whistleblowers, Management of relationships with suppliers incl. payment practices, Corruption and bribery
Description	IRO	Time horizon			Value chain
Description	IRO	Short- term	Medium- term	Long- term	Up- stream	Own ops.	Down- stream
Absence of a strong and positive corporate culture can lead to non-compliant and illegal behaviour, negatively affecting employees and the environment.	negative i.	sym-p	sym-p			sym-p	sym-p
An ethical and compliant corporate culture contributes to employee satisfaction, engagement and wellbeing, and protects the environment.	positive i.	sym-p	sym-p			sym-p
Without an ethical corporate culture, the risk of non-compliance and illegal behaviour increases, potentially leading to legal proceedings and financial penalties.	risk	sym-p	sym-p			sym-p
A strong and positive corporate culture promotes ethical and compliant behaviour, enhances Vetropack’s reputation, and ensures business success.	opportunity	sym-p	sym-p			sym-p
Absence of protection for whistleblowers results in non-compliant, unethical behaviour.	negative i.		sym-p		sym-p	sym-p	sym-p
Proper whistleblowing processes can identify legal issues such as corruption, fraud, environmental damage and data protection violations at an early stage, before harm is caused. Protection of whistleblowers ensures ethical and compliant business conduct.	positive i.		sym-p		sym-p	sym-p	sym-p
Lack of access to grievance mechanisms and absence of protection for whistleblowers increase the risks of legal proceedings and financial penalties.	risk		sym-p	sym-p		sym-p
Poor management of supplier relationships and late payment practices can undermine suppliers' financial and operational stability, negatively impacting their working conditions.	negative i.		sym-p		sym-p
Transparent and ethical management of suppliers can improve their working conditions and protect the environment.	positive i.		sym-p		sym-p
Non-compliance in Vetropack’s supply chain impairs the company’s reputation and reduces customers’ trust, with financial downsides.	risk		sym-p		sym-p	sym-p
Strong, responsible and sustainable business relationships increase product quality and foster the company’s competitiveness and business success.	opportunity		sym-p		sym-p	sym-p	sym-p
Corruption and bribery erode trust, impair employee and business relationships, and increase inequality.	negative i.		sym-p			sym-p	sym-p
Incidents of corruption and bribery could lead to legal proceedings and financial penalties, thus damaging Vetropack’s brand reputation and stakeholder trust with negative effects on business success.	risk		sym-p			sym-p	sym-p
Compliant business behaviour improves brand reputation, strengthens relationships with customers and attracts new ones, resulting in positive financial effects.	opportunity		sym-p	sym-p		sym-p	sym-p

Strategy, value chain, stakeholders

E1 Climate change