The year 2020 was, by nearly any measure, one of unprecedented challenges. It required all of us at NXP to work differently, by engaging more closely than ever with our employees, partners and customers and by playing an even greater role in driving societal change.

Whether in the current environment or the post-pandemic future to come, the need for cutting-edge technology is boundless. From safety and security to convenience and connectivity, NXP accelerates breakthroughs that advance the world – including innovative product solutions that help support the sustainability goals and objectives of our stakeholders.

This report demonstrates our commitment to sustainability and our dedication to measurable year on- year progress. As we look back on a turbulent year, it’s important to celebrate the progress we made by working with our employees and partners in the public and nonprofit sectors. With that in mind, I am pleased to share with you some of what we achieved in the past 12 months:

Products

NXP technologies enabled critical, life-saving solutions, including ventilators urgently needed to support the sickest COVID-19 patients. The ability to play an active role in fighting the ongoing pandemic by delivering precise and reliable medical-grade components was made possible by the collaboration of our employees, our suppliers and our customers.

In April, NXP issued one of the semiconductor industry’s first Green Innovation Bonds. The bond will help us develop even smarter chips, so we can further reduce energy consumption in end products such as power adapters, electric/hybrid vehicles, traffic-management systems, edge processors, mobile networks and building heating, cooling and lighting.

Diversity. Equality and Inclusion

We appointed a Head of Diversity, Equality and Inclusion to ensure our working environment supports equal access to opportunities.

Human Rights

In response to the pandemic, we surveyed 41 high-risk suppliers to evaluate their protection of workers’ human rights and verify that their workers were safe and protected.

We received high rankings on social responsibility from two nonprofit organizations that benchmark performance in the Information and Communication Technologies (ICT) industry. We were ranked #5 among 44 companies by the Corporate Human Rights Benchmark and #8 among 49 companies by Know the Chain.

Health and Safety

Employee health and safety remains a top priority for NXP, and we enacted world-class protocols across our sites to protect our employees in response to the COVID-19 pandemic.

We are especially pleased to report our lowest-ever injury rate of 0.08 (per 100 employees/working hours). In 2019, the semiconductor industry averaged between 0.5 and 0.8.

Carbon Footprint

Since 2010, we have reduced our absolute emissions of PerFluorinated Compounds (PFCs), which are greenhouse gases, by 66%.

Sustainability Policy

We revised our Sustainability Policy to provide more information on our products, our employees and our commitment to human rights.

Sustainability is a journey, not a destination. As we proceed on this journey, we will continue working with our partners to create a more sustainable world – together.

I look forward to keeping you informed and involved in our journey.