Special Feature 2SpecialFeature 2
Eco-Conscious Products Utilizing Our
Strengths in Electrification Technologies

Contributing to a Zero CO2Emissions Society throughEnvironmental Technologies*1: Survey by Toyota Industries Corporation[Examples of Existing Products]

Takashi Ito
Managing Officer and Deputy Head of R&D Headquarters
In charge of R&D Management Dept., Engineering Dept. No.1,Engineering Dept. No.4 and Global IT Dept.
(As of March 31, 2018)

Globally take on challenge of establishinga zero CO2 emissions society

Establishing a Recycling-Based Society

Take on challenge of minimizing
the use of resources

Reducing Environmental Risk andEstablishing a Society in Harmony with Nature

Exert a positive influence on biodiversity

Promoting Environmental Management

Enhance consolidated environmental management
and promote enlightenment activities

Current Product Lineup

Electrification

Toyota Industries Report 2018

Details
on P28Next-generation electric compressor
Electrification of large automatic guided
vehicles (AGV)

Among the four action themes, we attach the greatest
importance to the establishment of a low-carbon emission
society, and have been undertaking initiatives in various fields
from vehicle electrification to the development of fuel-efficientengines in our efforts to globally realize a zero CO2 emissions
society in 2050.
This Special Feature presents two examples of ourinitiatives in the field of electrification, which is one of
the effective means of reducing CO2 emissions. In theseexamples, we are utilizing our elemental technologies inseeking to provide innovative products and services.

Utilization of ammonia

Details
on P29Receiver tubes for solar heat

For reductionof CO2emissions

Positioning of Environmental Technologies

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Integrated charging andinformation network system ofautomobiles and lift trucks
Next-generation motor

Fuel cells

As one tenet under its Basic Philosophy, Toyota Industries
works to contribute to regional living conditions and social
prosperity and also strives to offer products and services
that are clean, safe and of high quality. Accordingly, we haveestablished the Global Environmental Commitment, a specificenvironmental action guideline, and defined our aspirationsin 2050 to promote the four action themes specified in
the Commitment. Our Sixth Environmental Action Plan forthe period from fiscal 2017 to 2021 serves as a milestone
toward achieving our aspirations in 2050, and we have been
undertaking technology development accordingly.

Forward-Looking R&D Themes

Financial Section /Corporate Information

Establishing a Low-Carbon
Emission Societyl Electric compressors	Our electric compressors also utilize various elemental technologies, including technologies to enable weight reduction of materials,
surface processing technologies and power source technologies related to motors and inverters to improve power efficiency.

Promotion ofESG Initiatives

Aspirations in 2050

l Hybrid unit for construction machinery	We developed our first hybrid unit for construction machinery by leveraging our engine and power electronics technologies
accumulated in the fields of materials handling equipment and automobiles. The unit has been mounted in a hybrid hydraulicexcavator of Hitachi Construction Machinery Co., Ltd.

Strategies andBusinesses

Global Environmental Commitmentl Electric lift trucks	Our electric lift trucks utilize a range of elemental technologies, including power source technologies to improve power efficiency
and environmental performance as well as control technologies to operate lift trucks in optimum condition.

Company Introduction

Reducing CO2 emissions is an urgent task in curbing global
warming that has a significant impact on the natural environment
and people’s lives. As such, environmental initiatives of companies
are becoming ever more important. At Toyota Industries, we haveprovided products with excellent environmental performance as aneffort toward the realization of a zero CO2 emissions society. In thisSpecial Feature, we turn our attention to our next-generation
environmental technologies, which we have been developing to help
reduce global warming by leveraging our electrification and otherelemental technologies.

In the Materials Handling Equipment Business, we started
developing electric lift trucks as early as in the 1970s.
In recent years, we have developed and provided tocustomers lift trucks equipped with lithium-ion batteries andfuel cells. In the automobile-related businesses, we develop
and manufacture a broad range of devices for electricpowered vehicles, including hybrid vehicles (HVs), plug-in
hybrid vehicles (PHVs), electric vehicles (EVs) and fuel cellvehicles (FCVs), and have global top share*1 products in thefields of car air-conditioning compressors and electronicsdevices.
As seen herein, we have shared and advanced ourtechnologies and know-how between the Materials
Handling Equipment and automobile-related businesses.
Departments carrying out research on material and otherbasic technologies also collaborate with each businessdivision. We believe that this approach has enabled
us to improve our technological prowess and conduct
development in an efficient manner.

Fuel cell towing tractor
Weight reduction

Carbon fiber reinforced plastic (CFRP)
utilizing 3D weaving machine technologies
Plastic glazing

Higher efficiency of internal-combustion engines

Next-generation highly efficient diesel
engineNext-generation turbocharger..... etc.

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Special Feature 2

We strive to raise the competitiveness and expand the lineup of our products that utilize
electrification technologies. At the same time, we seek further evolution and fusing of ourelemental technologies to create an array of next-generation environmental technologies.
This Special Feature presents two examples of such technologies.

Application of Technologies Used in Existing Products

Overview / Advantages

1 When charging lift trucks (feeding electricity)

System to Use Ammonia to Generate Reformed Hydrogen forFuel Cell Systems
The next example is a project aimed at reducing CO2 emissions, promoted under the Cross-ministerial Strategic
Innovation Promotion Program (SIP), an industry-government-academia program led by the Japanese government.
Toyota Industries participates in the project as a joint research member.
Several automakers have been engaging in the development of FCVs in addition to EVs. The Japanese government
regards FCVs as an effective means of reducing CO2 emissions into the future and is promoting an SIP project, which
includes production of hydrogen for use in fuel cell systems.
One theme of the project is energy carriers, and they include a program to develop a more efficient method throughliquefaction and other processes to store and transport hydrogen, which is otherwise inefficient to do so in its gaseousstate. We are carrying out the development of such a method by utilizing our pool of technologies.
Examples of hydrogen usage

1 In a factory operating multiple lift trucks, electricity

Reforming catalyst
Storage battery

HCharging controller

2 When charging lift trucks (feeding electricity inconjunction with EVs)

3 When charging lift trucks (collecting information)

Charging controller

Toyota Industries Report 2018

Combustors

NH

Fuel cells

Reforming system

Overview / Advantages

Utilization of Toyota Industries’ Technologies

This reforming system uses ammonia to generatehydrogen for fuel cell systems. As ammonia goes
through the system, it chemically reacts with a reforming
catalyst inside and produces hydrogen.
There are many challenges involved in fully utilizinghydrogen in fuel cell systems. One of them is thathydrogen in a gaseous state is inefficient to store andtransport.
If this system can be put to practical use, it will
enable the use of ammonia, which is suitable for storageand transportation, as a hydrogen carrier and allow
on-site supply of hydrogen at hydrogen stations. It canultimately evolve into a hydrogen supply system forfuel cells used for various purposes, and is expected
to contribute to the realization of a society in whichhydrogen is readily available.

Preparing itself for the era of electrification, Toyota
Industries has engaged in the development of catalyst
and other elemental technologies for generatingreformed hydrogen from ammonia for 10 years. Now,
these elemental technologies have reached a level atwhich their practical use is a reality.

Future PlanOur future efforts will be to increase the safety of thesystem further and at the same time make the system
more compact.
Technologies for generating reformed hydrogenfrom ammonia are a key technology in establishing ahydrogen-based society. We recognize that it is ourresponsibility to accelerate our development efforts inthis area in order to curb global warming and realize azero CO2 emissions society.

Financial Section /Corporate Information

Charging controller

For commercialization of the technology, we plan toinitiate feasibility tests in fiscal 2019 in an environment inwhich lift trucks are actually used. After experimenting
with multiple lift trucks running simultaneously, we aim to
put the technology into practical use in the mid-2020s.

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Hydrogen

Promotion ofESG Initiatives

Future Plan

Chemicalreaction

H

Utilization of Toyota Industries’ Technologies
We will apply our technologies related to on-board
chargers and charging stands for automobiles to charge
lift trucks. Energy saving and preventive maintenanceare made possible by utilizing our know-how in theoperational management of lift trucks.

Ammonia

Hydrogen stations
Strategies andBusinesses

costs can be reduced by charging just an appropriate
amount of electricity to individual lift trucks based on
their remaining battery charges and their operation
plan, thereby enabling the control of the peak power
consumption.
2 A considerable reduction in electricity consumption
will be possible by charging electricity to lift trucks
from PHVs, EVs and other similar vehicles based onthese vehicles’ operation plan.
3 It will also be possible to promote preventive
maintenance by collecting information on all lift trucks
running within a factory using Internet of Things(IoT) technology and conducting analysis of theiroperational status, thus contributing to reducing
maintenance costs.

Company Introduction

Integrated Charging and Information Network System ofAutomobiles and Lift Trucks

Development of a New Product Using Elemental Technologies

The projects presented in this Special Feature are only a few examples of our ongoing development efforts. Goingforward, we will continue to work toward contributing to environmental conservation and providing cutting-edge products
and services tailored to changes in the social structure and customer needs, along with improving the environmental
performance of our existing products.

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