Grade B
ChemScore report card

DSM

Koninklijke DSM is a Dutch-based multinational life sciences and materials sciences company. The company is active in the fields of food and dietary supplements, personal care, feed, pharmaceuticals, medical devices, automotive, paints, electronics, life protection, alternative energy and bio-based materials.
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Total score
29 / 48

Grade summary

DSM produces ten SIN List substances (including one persistent chemical), two of which are officially recognised as chemicals of high concern by the EU. The company has a method in place to screen and assess the sustainability of its products and includes intrinsic hazards of ingredients in the screening process. It also has a timed phase-out strategy for hazardous substances. The company follows several voluntary standards of good conduct and has not been involved in any controversies over the last ten years.

ChemSec’s ideas for improvement

  1. DSM’s commitment to phase out hazardous chemicals from its resins and coatings by 2025 is an undertaking that we applaud. However, the company should not rest on its laurels. DSM should implement this approach in all business segments and broaden the scope to include all substances of very high concern.
  2. Reduce the number of hazardous chemicals that the company produces. At the moment, DSM produces ten SIN List substances. ChemSec hopes to see this number shrink in the coming years.
  3. Add transparency to the hazardous product portfolio. We can only rank 57% of DSM’s overall production since the rest takes place outside the EU and US. For other regions there are no reliable and publicly available sources for identifying producers and users of hazardous chemicals. Informing ChemSec of hazardous chemical production or use outside the EU and US will raise the company’s score.

Category breakdown

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Hazardous Product Portfolio
4 / 18

DSM produces ten SIN List substances, two of which are included on the REACH Candidate List but not on the REACH Authorisation List. The Dutch company produces one persistent chemical. Persistent chemicals are particularly problematic since they do not break down, instead they accumulate in humans and the environment. Because of this, persistent chemicals should be of extra concern for investors. Substances which are not considered a problem today could become huge liabilities in the future.

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Development of Safer Chemicals
12 / 12

DSM has a method in place to screen and assess the sustainability of its products and includes intrinsic hazards of ingredients in the screening. The company also makes use of the GreenScreen assessment tool, excludes substances with toxic properties from new products, and follows the principles of green chemistry. Moreover, DSM actively markets safer alternatives.

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Management & Transparency
7 / 12

The Dutch company has a timed phase-out strategy for hazardous substances and shares chemical safety information on its website. DSM is a member of Responsible Care and follows voluntary standards such as a Code of Conduct and a Supplier Code of Conduct.

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Controversies
6 / 6

No information about environmental or social scandals associated with the company’s operations is available.

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Total score
29 / 48
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Hazardous Product Portfolio
4 / 18
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Development of Safer Chemicals
12 / 12
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Management & Transparency
7 / 12
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Controversies
6 / 6
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Company facts
Founded
1902
Headquarters
Heerlen, Netherlands
Revenue
10,945,500,000 USD
Market capitalization
20,820,400,000 USD
ISIN
NL0000009827