Message fromthe President & CEO

Sustainability Management

Environment

SocialContribution to Local Economy throughBusiness Activities
Progress in FY2023
Annual employment Numberof local employees (includingnon-full-time employees)(Thailand, Indonesia,
the Philippines, Vietnam)[FY2022: 11,000 people]
Annual vehicle exports
Of which,
Thailand: 301,000 vehicles
Indonesia: 115,000 vehicles[FY2022: 384,000 vehicles]

13 thousand people

41.6 thousand units Employment creation in the ASEAN: Continued
to create local employment at four consolidated
companies in Thailand, Indonesia, the Philippines,and Vietnam
 Major human resource development and technology transfers in the ASEAN: provided scholarships tovocational training schools and technical universities, provided training vehicles, conducted education and training courses (Thailand, Indonesia, thePhilippines, Vietnam)
 Major exports to the ASEAN: Continued to export vehicles from Thailand and Indonesia (exported vehicles:[Thailand]: TRITON, PAJERO SPORT, MIRAGE, Attrage[Indonesia]: XPANDER)
 Started joint study of Kei-car segment commercialelectric vehicle in Thailand and Indonesia with logistics companies and state-owned postal service.
Also began projects to install solar power systems
at hospitals in Thailand, projects to install rooftop
solar power systems at factories in Indonesia andthe Philippines, and promoted other activities tohelp realize a carbon-neutral society.
<Related pages>
P12 MITSUBISHI MOTORS’ Materiality
P16, P18 Materiality

MITSUBISHI MOTORS CORPORATION Sustainability Report 2024

Disclosure Based on
the TCFD Recommendations

GovernanceTargetl 4.4

Targets
l 9.2
l 9.4

Targetl 10.2

Targetl 11.5

ESG DataTargetl 13.1

Targetl 17.7

Basic Approach

Management Structure

MITSUBISHI MOTORS has been developing businessin the ASEAN since prior to the rise of motorization,
and we have grown up alongside these countries
while developing close ties with the region based on
the idea that “regional development” is “MITSUBISHI
MOTORS development.”
In this region, where we have undertaken business activities for many years, we are working proactively to address local social issues. To promotejoint growth, we will invigorate the region, cultivate
the market, understand consumers’ needs and reinforce our own brand. In these ways, we believe we
can simultaneously achieve regional development
and our own development. “Challenge 2025,” themidterm business plan, calls for the concentration ofmanagement resources on the ASEAN—a core area ofbusiness. In addition, in the aim of achieving further
growth MITSUBISHI MOTORS will conduct higher andstable spending on R&D and capex, which will include
increased expenditure on electrification, IT and new
business as a proportion of total expenditure. One ofour material issues is “contribution to local economy
through business activities.” Through the development of our business in the ASEAN region, we willcontribute to the regional economy and aim to growtogether by creating employment, investment, technology transfer, and exports, as well as cultivating
human resources to support the automotive industry(supporting the growth of human resources who areresponsible for the regional economy).*1
In addition, by responding to social needs specificto the ASEAN, we will engage in initiatives that leverage our technologies and services in the areas of theenvironment and social contribution, as well.*2

Local subsidiaries take charge of planning and implementing activities in line with initiatives that target
material issues in the ASEAN, such as “contribution tolocal economy through business activities.” Our sales
division, which maintains administrative and supervisory functions, is responsible for promoting theseinitiatives. In the four countries where our production
bases are located, we check every six months withthe local subsidiaries on the rate of progress andresults of initiatives, reporting to the management
team via the Sustainability Committee.

*1 Please see page 12 for details on identifying material issues*2 Please see pages 89–91 for specific examples
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89▶ NextEmployment
Our mid-term business plan, “Challenge 2025,” whichstarted in FY2023, positions the ASEAN region as a coreregion for our business. In Indonesia and Vietnam, welaunched the new “XFORCE” SUV, an internal combustion
engine vehicle. In Thailand and the Philippines, we havestarted production and sales of the new-model “TRITON” pickup truck. We have also been working to reflecta series of policies announced in various countries topromote the realization of a carbon-neutral society.
In Thailand, we have started producing and selling the“XPANDER” series HEV model and sales of the “XPANDER” series HEV model started, and in Indonesia, we havebegun production and sales of the “L100 EV (MINICABEV)”, our first electric vehicle outside of Japan. Throughthese business activities, in addition to generating
business profits for companies, we expect to create newjobs in the ASEAN region. We employed approximately 13
thousand people in FY2023, in the four countries where
we have production bases: Thailand, Indonesia, thePhilippines and Vietnam. In FY2024, we will continue tocreate local employment in line with our business plans.
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Message fromthe President & CEO

Sustainability Management

Environment

SocialTargetl 4.4

Human Resource Development

Investment

In the ASEAN, which is working to become more

We continue to make capital investments in plants,

industrially advanced, MITSUBISHI MOTORS helps bywhich support local economic growth.

providing experience in automobile manufacturing,

Our mid-term business plan, “Challenge 2025,” po-sales and service. In addition to cultivating special-sitions the ASEAN region as our core business region.

ized expertise and skills, we cultivate people whoThere, we plan to promote the continuous launch of

are involved in manufacturing and foster local eco-

new products and the production and introduction

nomic growth.

of electric vehicles suitable for each market. To this• In Thailand, we implemented an internship program

end, we plan to continue investing in R&D and making

for 36 students recruited from seven industrial

capital expenditures in the ASEAN region at a stable

universities to cultivate human resources who will

and higher level than in the past.

become local economic leaders.
• In Indonesia, we conducted training to enhance
operational skills for 310 local employees according
to their business level.

From FY2019
FY2023 Results

ucation and training aimed at enhancing their operational skills and productivity, thereby enhancing
their expertise.
• In Vietnam, we provided training to 564 employeeswith the intention of strengthening the work skills

Key Investment Projects
Indonesia: Expansion of facilities toincrease production capacity(Increased production capacity from160,000 vehicles in FY2019 to 220,000
units in FY2020)• In the Philippines, 16,183 local employees took ed-Future Plans

Thailand: Updated existing paint plant
Philippines: Equipped plant to promote the export of commercial
vehicles to ASEAN countries
Vietnam: Consider new plantand enhancing the expertise of local employees
according to their position and field.
In FY2024, we plan to continue providing training courses and OJT according to conditions ineach country.

MITSUBISHI MOTORS CORPORATION Sustainability Report 2024

Technology Transfer
We continue to support the enhancement of manufacturing capabilities and strengthening of competitiveness through local production in various countries,
with a focus on the ASEAN, our driver of growth.
In FY2023, we promoted the overseas transfer
of manufacturing technologies, including electrified
vehicles developed in Japan, through the preparation
for production of new models such as the “TRITON”
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90

Disclosure Based onthe TCFD Recommendations

Governance▶ NextTargets
l 9.2
l 9.4

Targetl 10.2

Targetl 11.5

ESG Data

Targetl 13.1

Targetl 17.7

new pickup truck; the “XFORCE,” a compact SUV; the“MINICAB EV,” which is our first electric vehicle to be
produced overseas; and the “XPANDER HEV.”To enhance manufacturing competitiveness, wehave introduced the Buddy system (sharing a common destiny), which has gained traction. This allows
for the implementation of various measures to enhance competitiveness and the transfer of expertise,from the start-up of new model vehicles to mass
production, making improvements and imparting
expertise in such areas as quality control and logistics. In Thailand, we have brought the automation ofwelding and painting up to the same level as Japan,and promoted the training of robot engineers.
In addition, we are actively promoting the adoption of solar power generation in our efforts to create environmentally friendly factories. Going forward,
we will promote the construction and expansion ofsolar panels at our plants in Thailand, Indonesia, andthe Philippines, and we will continue to transfer thesolar power generation and energy storage technologies and know-how cultivated in Japan to ouroverseas production bases.
Furthermore, to help local people acquire technological expertise, we provided scholarships andtraining vehicles to technical universities and vocational training schools in Thailand, Indonesia, thePhilippines, and Vietnam. In addition, we have organized online seminars for teachers to help vocational
school students working in the automotive industry
understand the latest technologies and industry
needs. Through these efforts, we promote local
technology transfer by providing multifaceted support, as needed.
In FY2024, we will continue to support the advancement of the regional manufacturing industry.
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Message fromthe President & CEO

Sustainability Management

Environment

SocialTargetl 4.4

Realizing a Carbon-Neutral Society throughOur Products

ExportExports generate foreign currency, which supports
the continuous growth of the local economy. MITSUBISHI MOTORS’ overseas production bases, Mitsubishi Motors (Thailand) Co., Ltd. (MMTh) and P.T.
Mitsubishi Motors Krama Yudha Indonesia (MMKI),
are leveraging their strategic locations to export ourmainstay models, such as pickup trucks and SUVs,
both throughout the ASEAN region and globally.
Units Exported from the ASEAN Region

Our Electric Vehicle (Battery EV) Strategy• As in FY2022, in Thailand we conducted demonstration experiments using our Kei-car commercial
electric vehicle, the “MINICAB EV,” in collaboration
with national postal services and logistics companies
to lay the foundation for the spread of EVs.
• In Indonesia, In February 2024 we produced the“L100 EV (MINICAB EV),” a Kei-car segment commercial electric vehicle.
Promoting Adoption of Hybrid Electric Vehicles (HEVs)• In Thailand, we launched an HEV model in the“XPANDER” series in February 2024.

4539.736353038.4Target
l 10.2

Targetl 11.5

41.6

ESG Data

Targetl 13.1

Targetl 17.7

roof of a paint plant at PT Mitsubishi Motors Krama
Yudha Indonesia (MMKI).*2 (5.6MW, commenced
operation in February 2024)• In the Philippines, we have installed solar panels
at a plant of Mitsubishi Motors Philippines Corp.
(MMPC).*3 (2.8MW, began operating on a trial basisin February 2024)

Solar panels on the roof ofMMKI’s plant

24.1

2520

Charging of “MINICAB EV,” which
are being used in a joint studyin Thailand

151050Targets
l 9.2l 9.4

Hospital with a rooftop solar
power system installed as partof the “Solar for Lives” environmental project(Tens of thousands of vehicles)

40

Disclosure Based on
the TCFD Recommendations

Governance20192020

2021

2022

The “L100 EV (MINICAB EV),” ourKei-car segment commercial
electric vehicle that launchedin Indonesia

2023 (FY)

Units exported

Environmental and Social Contribution
As the importance of complying with environmental
regulations in the ASEAN region gains importance,
we are leveraging our electric vehicle technology andexpertise, as well as working with our partners ineach region, to realize sustainable business in the region and to promote efforts to realize a carbon-neutral society.
MITSUBISHI MOTORS CORPORATION Sustainability Report 2024

An HEV model in the “XPANDER”
series that launched in Thailand

Promoting the Spread of Renewable Energy• In Thailand, we are promoting “Solar for Lives” activities to install solar power generation systems atlocal hospitals.*1• In Indonesia, we have installed solar panels on theBack ◀

91▶ NextSolar panels erected on the roofof MMPC’s plant*1 Launched in 2022, Solar for Lives is an activity promoted by
MMTh in collaboration with partners and national institutions,including the Thai Ministry of Public Health, the Electricity
Generating Authority (EGAT), and the Thailand Greenhouse Gas
Management Organization (TGO). We are donating a total of
THB60 million (approx. ¥220 million) to be spent on solar power generation systems to 40 community hospitals in Thailand
by 2032. This activity is expected to reduce carbon dioxide(CO2) emissions from 40 hospitals by 17,300 tons/year. Since
its launch in 2022, the system has been installed at a total ofeight hospitals.
*2 This is the second MMKI initiative since the program waslaunched in FY2022, based on the Indonesian government's
policy of becoming carbon neutral by 2060.
*3 MMPC is working in accordance with the Philippine government’s target of reducing greenhouse gas emissions by 75%
by 2030.

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