SUSTAINABILITY REPORT 2021

Commitment of
Top Management

Sustainability Management

FeatureEnvironment

MITSUBISHI MOTORS CORPORATION

Sustainability Report 2021

2

SocialGovernance

ESG Data

Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Contents
Editorial Policy�����������������������������������������������������������������������������������������������������������������������������������������������������������������������02

Governance�������������������������������������������������������������������������������������������������������������������������������������������������������������������������������94

Corporate Overview����������������������������������������������������������������������������������������������������������������������������������������������������������03

Strengthening Governance and Ensuring Compliance����������������������������������������������������������������������������95

Commitment of Top Management����������������������������������������������������������������������������������������������������������������������05

Corporate Governance��������������������������������������������������������������������������������������������������������������������������������������������������95

Sustainability Management���������������������������������������������������������������������������������������������������������������������������������������07

Internal Control������������������������������������������������������������������������������������������������������������������������������������������������������������������99

Corporate Philosophy and Policy���������������������������������������������������������������������������������������������������������������������������07

Risk Management���������������������������������������������������������������������������������������������������������������������������������������������������������100

Sustainability Management���������������������������������������������������������������������������������������������������������������������������������������08

Compliance������������������������������������������������������������������������������������������������������������������������������������������������������������������������101

Stakeholder Engagement��������������������������������������������������������������������������������������������������������������������������������������������10

List of Executives����������������������������������������������������������������������������������������������������������������������������������������������������������106

MITSUBISHI MOTORS’ Materiality���������������������������������������������������������������������������������������������������������������������������11

Executive Remuneration������������������������������������������������������������������������������������������������������������������������������������������107

Feature: MITSUBISHI MOTORS Taking up the Challenge of Realizing
a Sustainable Society�����������������������������������������������������������������������������������������������������������������������������������������������������14

ESG Data�����������������������������������������������������������������������������������������������������������������������������������������������������������������������������������108
Environmental Data Related to Products and Business Activities�����������������������������������������������109

ESG Performance Report

Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data���������������������������������������113

Environment����������������������������������������������������������������������������������������������������������������������������������������������������������������������������20

Biodiversity Data������������������������������������������������������������������������������������������������������������������������������������������������������������119

Policy Directions����������������������������������������������������������������������������������������������������������������������������������������������������������������21

Human Resource-Related Data���������������������������������������������������������������������������������������������������������������������������120

Environmental Management������������������������������������������������������������������������������������������������������������������������������������24

Governance-Related Data���������������������������������������������������������������������������������������������������������������������������������������122

Responding to Climate Change and Energy Issues������������������������������������������������������������������������������������27
Resource Recycling Initiatives���������������������������������������������������������������������������������������������������������������������������������38

GRI Standards Reference Chart���������������������������������������������������������������������������������������������������������������������������123

Prevention of Pollution�������������������������������������������������������������������������������������������������������������������������������������������������41

FY2020 Materiality Targets and Results������������������������������������������������������������������������������������������������������133

Conservation of Water Resources�������������������������������������������������������������������������������������������������������������������������46

Third-Party Opinion�������������������������������������������������������������������������������������������������������������������������������������������������������137

Preservation of Biodiversity��������������������������������������������������������������������������������������������������������������������������������������49

Social����������������������������������������������������������������������������������������������������������������������������������������������������������������������������������������������52
Delivering Products which Help Prevent Traffic Accidents�������������������������������������������������������������������53
Improvement of Product, Sales, and Service Quality�������������������������������������������������������������������������������57
Contribution to Local Economy through Business Activities��������������������������������������������������������������64
Promotion of Work Style Reforms in Response to the New Normal(Diversity, Work-Life Balance)������������������������������������������������������������������������������������������������������������������������������67
Stepping up Human Resource Development�������������������������������������������������������������������������������������������������73
Promoting Occupational Health and Safety���������������������������������������������������������������������������������������������������77
Respect for Human Rights�����������������������������������������������������������������������������������������������������������������������������������������81
Achieving a Sustainable Supply Chain����������������������������������������������������������������������������������������������������������������84
Promoting Social Contribution Activities����������������������������������������������������������������������������������������������������������88
MITSUBISHI MOTORS CORPORATION

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Editorial Policy
System for Disclosing Information on Sustainability

Purpose of Publication
MITSUBISHI MOTORS CORPORATION has published the Sustainability Report 2021 to provide stakeholders with a better understanding of the Group’s social responsibilities and theExtremely highwide-ranging efforts aimed at fulfilling them.

Scope of This Report
MITSUBISHI MOTORS CORPORATION and its Group companies in Japan and overseas• Financial and non-financial
information with a directconnection to theCompany’s management
strategy• Focus on information thatis integral and concise

Stakeholders’ Concern

Period Coveredl Integrated Report

FY2020 (April 1, 2020 to March 31, 2021) When appropriate, the Report also includes some historical and recent data from outside the reporting period.

Date PublishedJapanese edition: October 2021

High

(previous edition published October 2020, next edition to be published September 2022)

This Report

English edition: October 2021
(previous edition published November 2020, next edition to be published October 2022)

High

Reference Guidelines

Impact on Managementl Sustainability Report• Sustainability (ESG)
infomation• Focus on information thatis comprehensive andcontinuous
Extremely highl Global Website: “Sustainability”• GRI Standards (Global Reporting Initiative)

https://www.mitsubishi-motors.com/en/
sustainability/• Environmental Reporting Guidelines (2018 edition) issued by the Ministry of the Environment

INTEGRATED REPORT
2021
For the year ended March 31, 2021

of Japanl Integrated Report

Inquiries

https://www.mitsubishi-motors.com/en/investors/library/anual.html

MITSUBISHI MOTORS CORPORATIONl Corporate Governance Report

Sustainability Promotion Department

https://www.mitsubishi-motors.com/en/sustainability/pdf/governance.pdf

1-21, Shibaura 3chome, Minato-ku, Tokyo, 108-8410

Disclaimer

Help Us with Our Survey

MITSUBISHI MOTORS’ current plans, strategies, assurances, business forecasts, and other non-Please share your opinions and impressions with us. We will refer to this input in our activities topromote sustainability and in preparing reports.

historical matters indicated in this Sustainability Report include future predictions as of the timeof publication.

Sustainability Report Survey

Please note that these expectations, predictions, and forecasts include risk and volatility

https://www.mitsubishi-motors.com/en/sustainability/report/enq_view.html

factors and hypotheses, and may significantly diverge from actual future results.

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ESG Data

Corporate Overview (As of March 31, 2021)
Global Sales and Production Volumes

Company NameMITSUBISHI MOTORS CORPORATION

Established

April 22, 1970

Head Office

1-21, Shibaura 3 chome, Minato-ku, Tokyo, 108-8410

Business Description

MITSUBISHI MOTORS Group carries out development,
production and sales of vehicles and vehicle parts andengages in the financial businesses.

Others 2%

Brand NameMITSUBISHI MOTORSCapital Stock¥284,382 million

Number of Shares Issued
and Outstanding(Common Stocks)

1,490,282,496 (including treasury stock)

Group Companies

Consolidated Subsidiaries: 35
Equity-Method Affiliates: 19

Number of Employees

Consolidated: 30,091 Non-consolidated: 13,951

Oceania 9%Japan
9%Others13%
FY2020
Production
Results(Thousandsof units)

Japan
45%

801

814

Asia
53%

Asia
37%

Overseas
55%

Production Volume by Region

Please see our global website for details on product information.
https://www.mitsubishi-motors.com/en/products/(Thousands of units)(million yen)

FY2016FY2017FY2018FY2019FY20201,906,632

2,192,389

2,514,594

2,270,276

1,455,476

Operating Income

5,118

98,201

111,815

12,788(95,321)

Ordinary Income

8,944

110,127

119,850(3,843)(105,203)(198,524)

107,619

132,871(25,779)(312,317)

Net income
attributable toowners of the parent

FY2017FY2018FY2019FY2020

Japan

531

590

661

620

367

Overseas

548

681

780

717

447

Asia

533

661

752

697

434

Others

15

20

28

20

13

1,079

1,271

1,441

1,337

814

Total

Performance Highlights

Europe18%

Overseas91%

FY2016Net Sales

North
America
14%
FY2020
Sales Results(Thousandsof units)

Sales Volume by Region

(Thousands of units)

FY2016Japan

FY2017FY2018FY2019

80

97

104

95

FY2020
73

846

1,004

1,140

1,032

728

North America

138

155

173

160

113

Europe

179

193

236

215

144

Asia

315

432

481

433

294

Oceania

83

95

102

88

72

Overseas

Others
Total

131

129

148

136

105

926

1,101

1,244

1,127

801

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ESG Data

Principal Facilities

GAC Mitsubishi Motors Co., Ltd. (GMMC)

Worldwide

Mitsubishi Motors (China) Co., Ltd. (MMCh)

PCMA Rus

Mitsubishi Motors R&D of America, Inc.
(MRDA)

Mitsubishi Motor R&D Europe GmbH (MRDE)Head Office
Vehicle Production Facilities
Power Train/Part Production Facilities
Development/Design Facilities

Japan
Mitsubishi Motors
Vietnam Co., Ltd. (MMV)
Mitsubishi Motors Philippines
Corporation (MMPC)
Asian Transmission
Corporation (ATC)Mitsubishi Motors (Thailand)Co., Ltd. (MMTh)Japan

Mitsubishi Motors Krama Yudha
Indonesia (MMKI)
MMTh Engine Co., Ltd. (MEC)
Pajero Manufacturing Co., Ltd.
Kyoto Plant - Shiga

Tokachi Research &Development Center

Kyoto Plant - Kyoto
Kyoto Research & Development Center
Mizushima Plant
Head Office
Tokyo Design

Production Facilities

VehiclesJapan, China, Thailand, Indonesia, the Philippines, Vietnam and Russia

Power Train/Parts

Japan, China, Thailand, Indonesia, and the Philippines

Development/Design Facilities

Japan, United States, Germany, China, and Thailand

Okazaki Plant
Research & Development Center
EV Research & Development Center
Design Center

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Commitment of Top Management

By establishing a robust managementbase and strengthening collaboration
with stakeholders, we aim to remain acompany of choice for society.

I would like to extend my deepest condolences tothe families of the people who have perished due to
COVID-19. My heart goes out to those who are bravely
fighting disease, and I pray for their early recovery.
I also have profound respect for the people who are
working around the clock to prevent the disease
from spreading.
To help prevent the spread of COVID-19, the MITSUBISHI MOTORS Group has donated or made free loansof its OUTLANDER PHEV (which can store and supply
electricity) to serve as vaccination support vehicles
for overseas institutions and Japanese municipalities.
In addition to transporting medical teams and supplies, these plug-in hybrid electric vehicles (PHEVs)
are contributing to the cooling and transportation ofice packs for vaccine transportation by utilizing thepower supply function. It is also expected to serve as a
backup power source in the unlikely event of a power
outage at the inoculation site.
We will continue to support the prevention of the
spread of COVID-19 in cooperation with governments,
municipalities, and related organizations aroundthe world.

Takao Kato

Member of the Board
Representative Executive Officer, President & CEO
MITSUBISHI MOTORS CORPORATION

Realizing our Vision
MITSUBISHI MOTORS adopts the Mitsubishi Group’s fundamental philosophy, the “Three Principles (Sankoryo),”
as a guideline for its corporate activities. For each andevery employee, we share the “Vision” that shows thesociety we want to create and the “Mission” that is themethod to realize the vision with all employees of the
MITSUBISHI MOTORS Group, and make it a value standard that we should always stand by. To realize our vision to “Create vibrant society by realizing the potentialof mobility,” we are following a fundamental policy of
selection and concentration under “Small but Beautiful,”
our mid-term business plan from FY2020 and shifting
to a business structure that leverages our strengths
centered on the ASEAN. In addition, while working tostrengthen environmental technologies such as thedevelopment of electric vehicles centered on PHEV, on
the other hand, for advanced technologies such as CASE,
we will build an efficient business structure by utilizing
Alliances and strengthening collaboration with partners.
Establishing a Robust Management Base to Support
Sustainable Growth
Last year, the automobile industry was hit hard by the
spread of COVID-19. In addition, the business environ-ment surrounding the automobile industry is becoming more and more uncertain due to the tightening ofenvironmental regulations in each country, changes in
the international order such as the US-China conflict,and the global shortage of semiconductors. To achievea breakthrough under these circumstances, we recognize the need to assess our business environment froma long-term perspective and bolster our managementbase with which we can respond to medium- to longterm risks and opportunities.
Regarding the environment, five years have passed
since the adoption of the “Paris Agreement,” more than
120 countries including Japan have declared “carbon
neutral” in 2050, and Japan, the United States and othercountries have raised their greenhouse gas reduction
targets in 2030. As such, momentum for the realizationof a carbon-free society is rapidly increasing. Against thebackground of these international policy trends, decarbonization has become an essential condition for companies to maintain their global competitiveness.
Also, work style reforms based on the New Normal
triggered by the spread of COVID-19 and securing humanresources to respond to drastic changes in the automobile
industry such as CASE are important parts of the management foundation that supports our sustainable growth.

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Sustainability Management

Based on such social conditions, expectations fromstakeholders, and the direction of management strategies, we reviewed the material issues related to “environment” and “people” last year. In addition, the Sustainability Committee discussed the medium-term (2030)
and long-term (2050) risks, opportunities and responses
related to each and every material issues and drafted
activity plans for each fiscal year. The contents are provided in the “Sustainability Report 2021.”
As for climate change, in particular, in October 2020
we formulated the Environmental Plan Package, which
recognizes the major impact climate change will haveon risks and opportunities and sets clear targets to beachieved. And then in July this year, we expressed our
support for the Task Force on Climate-related Financial
Disclosure (TCFD) recommendations. Taking this opportunity, we are analyzing the impact of climate change on
our business and finances. Going forward, we will reflect
this analysis in our management strategy, respond to
the automotive industry’s transformations due to climate change, and inform our stakeholders about our
vision of staying ahead of the curve.
Striving to be a Company of Choice for Society
The situation surrounding the automotive industry ischanging at an unprecedented rate, and competition is
expected to intensify due to technological innovationand evolution such as connected, autonomous driving,and electrification, and expectations for new services
such as sharing. I am always racking my brain to comeup an idea which will help us win the fierce competition
and make MITSUBISHI MOTORS a company that continues to be chosen by society.
For CASE, we will efficiently leverage the superiorbase technologies of the Alliance, while adding adjust-FeatureEnvironment

Socialment unique to MITSUBISHI MOTORS. We also intend
to move forward with technological developments onvehicles for the ASEAN market and our original PHEV
technology and lead the Alliance in technology areas
where our strength lies.
This year, we have redefined “MITSUBISHI MOTORSness” for sustainable growth. We have defined that
“MITSUBISHI MOTORS-ness” is to provide customers withsafety, security, and comfort as well as Eco-friendly.
We will contribute to the environment and realize “MMC
-ness driving” with the electrification technology and“S-AWC” (Super-All Wheel Control) technology, a 4WD
system that dramatically improves vehicle maneuverability and stability and most embodies the ideal of
MITSUBISHI MOTORS.
Launching the world’s first mass-produced electricvehicle “i-MiEV” in 2009, we are a pioneer of electric vehicles and have accumulated world-class technologies.
In addition, after many years of research into environmentally friendly PHEV system, in 2013 we launched
the OUTLANDER PHEV with the tagline “an electric SUVthat provides value whether driving or parking still,”followed by the ECLIPSE CROSS (PHEV model) in 2020.
Although disasters have occurred frequently in recent
years, PHEVs can directly supply electricity to household
electrical appliances in the event of a power outage,and S-AWC provides safety, security, and comfort to ourcustomers due to their ability to run on rough roads.
Going forward, MITSUBISHI MOTORS will continue tocontribute to solving climate change and energy issues
and achieving carbon neutrality in its own way, throughthe use of electrification technology.
“MITSUBISHI MOTORS-ness” cannot be realized without collaboration with all stakeholders, so we would liketo deepen mutual understanding and grow our businessGovernance

ESG Data

based on a strong relationship of trust through communication with our stakeholders. To do so, we will protect
the rights of all stakeholders, including shareholders,customers, employees and business partners, especially
we believe that our efforts to respect human rights, willbe the foundation. Through a human rights due diligenceframework, we will identify any negative impact ourbusiness activities have on human rights and work toeliminate or reduce such impacts in an effort to enhancetrust for the Company from society and stakeholders.
In addition, in order to clarify the separation ofsupervision and execution in enhancing corporate governance, the Company transitioned to a company withthree committees in FY2019. In June of this year, wewelcomed Mr. Tomofumi Hiraku to the position of thechairman of the board as an independent outside director to further strengthen governance and create acompany that is highly transparent to stakeholders.
Aiming to be a company that continues to be chosen
by society, we will establish a robust management baseand realize the sustainable growth of our company. At
the same time, we will work together to solve social
problems based on a strong relationship of trust with
our stakeholders, thus contributing to the realization ofa sustainable society.

Takao Kato
Member of the Board
Representative Executive Officer, President & CEO
MITSUBISHI MOTORS CORPORATIONMITSUBISHI MOTORS CORPORATION

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Sustainability Management
Corporate Philosophy and Policy
MITSUBISHI MOTORS’ Philosophy System

Mitsubishi Group Three Principles

VISIONThe "Three Principles", which is the spirit of Mitsubi-of mobility“Three Principles,” which are positioned as the basic

MISSION

employee, aim to realize the “Vision” through carry

shi's founding, is positioned as a fundamental philosophy common to the Mitsubishi Group.

Shoki Hoko
= Corporate Responsibility to Society
Strive to enrich society, both materially and spiritually, while contributing towards the preservation of theCreate vibrant society by realizing the potential

Our company’s corporate activities are based on theprinciples common to the Mitsubishi Group. For each

1. Provide new experiences for our customers with creative products and service excellence.
2. M ake positive contributions to the sustainable devel-out the “Mission” by practicing the “MMC WAY*1” thatshows the minimum necessary attitude and behavior
and the “Global Code of Conduct*2” that all executives
and employees must comply with.

opment of our society.
3. Act sincerely as a trusted company.

We contribute to the realization of a sustain-

4. Enhance stakeholder value by leveraging the Alliance.

able society while deepening mutual understanding

Shoji Komei= Integrity and Fairness

Under these circumstances, the Vision (the society webusiness activities in each country and region cen-want to create) and Mission (how to realize the Vision)

tered on familiar products such as cars.

Maintain principles of transparency and openness, con-specify how we become more proactive to exert aducting business with integrity and fairness.

positive influence on society.

global environment.

Ritsugyo Boeki= Global Understanding through Business
Expand business, based on an all-encompassing
global perspective.

In the automobile industry, technological innovations are being born one after another due to thediversification of power trains, the intelligence ofcars, and the shift to IoT, and the role of automobiles
has changed from “cars” as hardware to “mobility” as a whole transportation system. Under such amajor transition, we are committed to research andVision & Mission

develop the potentialities of mobility broadly and toprovide all people with possible opportunities to go

MITSUBISHI MOTORS has formulated our corporate

wherever they want, to see whatever they want, andvision and mission to serve as common guiding prin-meet whomever they want, at any time. The “Vision”

ciples for the employees of the MITSUBISHI MOTORS

includes our desire to promote new challenges andGroup as we look toward the future. The automobile in-economic activities of individuals and contribute to

dustry is in a period of major change, and our businessthe revitalization of society as a whole by streamlin-

environment is also undergoing substantial changes.

ing and optimizing the movement of people.

through dialogue with various stakeholders through

VISIONThe society
we want
to create

MISSION

How to realize the vision

MMC WAY“Mindset” and “Actions”
every one of us must put into practice

Global Code of Conduct
Standards that all executives andemployees must comply with
*1: Please see page 76 for details on the “MMC WAY.”*2: Please see page 101 for details on the “Global Code of Conduct.”

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Sustainability Management
Approach to Sustainability

Framework for Promoting Sustainability

Fiscal 2020 Achievements of the Sustainability Committee

In recent years, interest toward realizing a sustainable

We have established the Sustainability Committee,
which is chaired by Executive Officer, president & CEO,to promote sustainability initiatives throughout the
MITSUBISHI MOTORS Group. The Sustainability Committee deliberates and decides on the goals of efforts
to deal with material issues, and implements a plando-check-act (PDCA) cycle by confirms the progressof corresponding. We have a structure in which important matters such as reviewing material issues aredeliberated and reported by the Board of Directors.
In April 2019, we established the Sustainability Promotion Department as a dedicated organization thatbrings together sustainability-related operations thatwere previously dispersed in multiple departments. We
are working to realize a sustainable society and increase corporate value while strengthening communication with executives and employees, including members of the Sustainability Committee, and stakeholders.

• Meetings convened: 3• Principal matters for deliberation
	
Review of material issues, review of initiatives toaddress material issues in fiscal 2019, planning of
initiatives for fiscal 2020, efforts related to humanrights, editorial policy for “Sustainability Report
2020,” deliberation of the environmental plan
package, etc.
• Committee members (As of June 2021)

environment, society and economy has grown, as is illustrated by such initiatives as the Sustainable Development Goals (SDGs) adopted by the United Nations,the Paris Agreement going into effect and growing
ESG investment. Society places greater importance on
corporate initiatives related to them.
In particular, the automotive industry is seeingchanges on a scale said to occur only once in 100
years. These changes include new technologies, suchas connectedness and autonomous driving, as well as
car sharing and other new business models.
On the environmental front, climate change andenergy problems are growing increasingly severe
throughout the world. MITSUBISHI MOTORS contributes to the realization of a sustainable society byworking on responsible business operations, including reducing greenhouse gases from products andBoard of Directors

business activities, and solving social issues throughbusiness activities in each country and region.

Deliberation and Reporting

Executive Committee
Deliberation and Reporting

Sustainability Committee

Chair:

Executive Officer,
President & CEO
Members: Executive Officer,
Executive Vice President
Division General Managers
of relevant divisions

Administrative
office:Sustainability
Promotion Department

Related divisions
Group companies

Chair: Executive Officer, President & CEO
Vice-chair: Corporate officer(responsible for General Administration/Communication,
Sustainability)
Committee members:
Executive Officer, Executive Vice President (responsible for
Monozukuri)
Executive Officer, Executive Vice President (responsible for Sales)
Executive Officer, Executive Vice President (CFO)
Senior Executive Officer (responsible for Corporate Governance)
Executive Officer, Division General Manager, Corporate Strategy Management Division
Executive Officer, Division General Manager, TCS*1 Division
Executive Officer, Division General Manager, Product Strategy Division
Executive Officer (responsible for Production)
Corporate Officer, Division General Manager, Human Resources DivisionCorporate Officer, Division General Manager, Mobility Business Division
Division General Manager, Corporate Affairs Division
General Manager, Finance Planning Office
Division General Manager, PD*2 Office
Division General Manager, Development Management Division
Division General Manager, Production Engineering Division
Division General Manager, Procurement Management Division
Division General Manager, Global Sales Development Division
Division General Manager, Global After Sales Division
Assistant Executive Officer (responsible for ASEAN and Oceania)
Division General Manager, Domestic Sales Division
General Manager, IR Office of Corporate Strategy Management Division
General Manager, Public Relations Department
Observer: Member of the Board (Audit Committee member)*1: Total Customer Satisfaction*2: Program Director

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Commitment of
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Sustainability Management

Instilling Sustainability Awareness within
the Company
MITSUBISHI MOTORS conducts penetration activities
throughout the year so that executives and employees can deepen their understanding of sustainability and practice sustainability initiatives throughtheir daily work. We confirm the degree of employee
awareness through surveys, and the survey results areincorporated into activities for the next fiscal year.
Examples of Activities• E-learning about sustainability in general
8,333 participants• Training on overall sustainability tailored to eachFeatureEnvironment

SocialParticipation in the United Nations Global Compact

Governance

ESG Data

Participation in External Organizations

In May 2019, we announced its support for the United Japan Business Federation (Keidanren)

Nations Global Compact (UNGC), the universal principle

 Japan Automobile Manufacturers Association, Inc.

regarding human rights, labor, the environment and Society of Automotive Engineers of Japan, Inc.

anti-corruption advocated by the United Nations. The Global Compact Network Japan (GCNJ)UNGC are voluntary behavioral principles for companies
that were proposed by then-Secretary-General Kofi
Annan at the World Economic Forum (Davos Conference) in 1999.
Based on the 10 principles of the UNGC, we willcontinue to act as a good member of society andcontinue our activities toward the realization of thesustainable growth.

External Initiatives Supported or Referred to United Nations’ Sustainable Development Goals (SDGs)
 United Nations Global Compact (UNGC) Core Labor Standards of the International Labour
Organization (ILO) Organisation for Economic Co-operation and Development (OECD) Guidelines for Multinational Enterprises

job rank
653 participants ISO 26000 Guidance to Social Responsibility(Entry-level employees, mid-career employees,

 Keidanren Charter of Corporate Behavior

newly appointed M2 employees <Managers>,
M1 employees <General Managers>)• Briefing on the Environmental Plan Package(department delegates)
248 participants• Monthly newsletter on sustainability

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Stakeholder Engagement
Basic Approach

Dialogue with Stakeholders
Stakeholders

Through dialogue with stakeholders that are important
for the sustainable growth of the company, MITSUBISHI MOTORS clarifies the responsibilities and issues ofConsumersandcustomers

the MITSUBISHI MOTORS Group and works on its daily

Policies on Dialogue

Promote activities that Customer Contact Center, sales companies,
better reflect customer after-sales services
input in our products
Website, social networks
and services.
Customer satisfaction surveys

operations while making efforts for improvement.
For example, if a customer points out issues related to quality or defects, we seek to resolve thisBusiness
partners

customer issue in collaboration with sales companies
and drive further quality enhancements. In addition,
feedback and opinions about product functionality, or
opinions about specifications, are shared with relevant
divisions and used to improve product capabilities

Engage in communication aimed at coexistence and coprosperity
based on mutual trust.

firsthand customer’s opinions. Noteworthy comments
and opinions including those that are particularly im-

face the expectations and issues of society sincerely,
and make use of them in our future efforts.

As necessary

Suppliers Meeting, presentations, events, spe- As necessary
cialized websites
Participation in industry organizations
As necessary
Ongoing
As necessary

Individual initiative briefings

As necessary

Shareholders’ Meeting

Once per year

IR websites

Ongoing

Events, email magazines

As necessary

Integrated report

Once per year

Two-way communica- Labor management discussions
tion for fostering team- Consultation offices (Employee Consultation
work and a sense of
Office, Outside attorney consultation (Helpunity based on the prin- line), MITSUBISHI MOTORS Global Hotline)
ciple of mutual trust
and mutual responsibil- Town hall meetings with Executives
ity between labor andInternal websites
management.
Employee survey

As necessary

Local
Build good relations
communities with local communities.

Responding to customers at Customer
Contact Center

Ongoing

Mid-term business plan briefings

portant are periodically reported to management.
Employees

Ongoing

Four times
per yearAs necessary

Conduct constructive
dialogue aimed atsustainable growth andenhanced corporate
value.

back on the intranet so that employees can access toFrequency

Events, TV/newspaper/magazine advertising, As necessary
email magazine
Contact for inquiries, Business Partner Helpline Ongoing

Shareholders Disclose business and
IR inquiry contacts
andfinancial information
Interviews
investors
and results in an approFinancial
results briefings
priate manner and time.

even further. We also distribute videos of this feed-

We will deepen our dialogue with our stakeholders,

Opportunities for Dialogue

Ongoing

Collaborations with municipalities

Improving products and services
Building relationships aimed at
coexistence andcoprosperity basedon mutual trust
Promoting initiatives Targeting sustainablegrowth and enhanced corporate
value

Creating a safeand rewarding
working environment

As necessary
Ongoing

Every two
years
Local community consultation desks, websites Ongoing

Engage in dialogue with Social contributions
diverse stakeholders to Community events
resolve social and enviPlant tours
ronmental issues.

Reflecting Input in
Our Business
Promoting customer satisfaction
activities

As necessary
As necessary

Promoting initiatives to resolve
social and environmental issues

As necessary
Ongoing

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

MITSUBISHI MOTORS’ Materiality
Identifying and Reviewing Material Issues
MITSUBISHI MOTORS recognized importance of the United Nations Sustainable Development Goals (SDGs) andidentified material issues as the important issue that
we should wrestle from various problems in the fields ofeach environment, society, governance field in FY2018.
During the identification process, we conducted
repeated examinations from the perspective of thedegree of interest of stakeholders and the degree of
impact on the Company, and held hearings with experts. After that, we repeated discussions about ourmaterial issues at the Sustainability Committee, andthe decision was made at the Executive Committee.

In recent years, social trends related to sustainability have changed substantially and rapidly. We
would like to meet the needs and expectations ofstakeholders by assessing the impact of such changes on stakeholders and our company, and flexibly reviewing and working on material issues as necessary.

Implementing a Review

In FY2020, in light of changes in social conditions
due to the aggravation of environmental problems
and the COVID-19 pandemic, MITSUBISHI MOTORS'
materiality was reviewed after discussions at the
Sustainability Committee and resolved by the Boardof Directors.

Identification Process
STEP

1

STEP

2

STEP

3

STEP

4

Sorting through Issues and Setting Evaluation Standards
We selected candidates, taking into consideration the SDGs, the GRI standards and external assessmentsof the Company’s sustainability activities.
Furthermore, we have set evaluation criteria to determine priorities based on the scope of influence of ouractivities (boundary) and consistency with business risks.

Internal investigation
Relevant individuals involved in practical-level operations within the company met multiple times to exchange opinions and confirm the ranking of priorities of measures from the perspective of impact on thecompany’s business.

Interviews with outside experts
Interviews were conducted with five experts who are familiar with social issues(review important issues that the Company should address from the perspective of social impact.)

Deciding the Material Issues and Setting KPIs
The Sustainability Committee verified the materiality matrix that reflects internal and external opinions,and Executive Committee gave its final approval. We also set KPIs for each material issues and assigned
people to oversee them.
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The review is outlined below.
1. Materiality on “Environment”
In recent years, climate change, resource depletion, environmental pollution and other environmental problems have grown apparent and become more serious.
Adoption of the international targets and rules to address social issues has accelerated. Those include theUnited Nations Sustainable Development Goals (SDGs),
the Paris Agreement (an international accord on climate change), and the recommendations by the Task
Force on Climate-related Financial Disclosures (TCFD).
We have formulated the “Environmental Plan Package” and announced it in November 2020, recognizingthat it is necessary to set the direction of medium- tolong-term efforts based on these social trends in orderto keep the business alive.
The Environmental Plan Package positions “Pollution prevention” as a priority environmental issue
along with “Action to climate change” and “Resource
circulation.” Therefore, in terms of MITSUBISHI MOTORS’ materiality, we have raised the impact on ourcompany of “Prevention of pollution” (on the horizontal
axis of the figure) from “very high” to “extremely high.”
2. Materiality on “People”
Considering our responses to the new normal triggered by the COVID-19 pandemic, we have reviewed
the material issues of “Work style reform” and “Diversity” and merged them into “Promoting work stylereform in response to new normal conditions (Diversity, Work-life balance).” Through the review, we havepresented the directions to heighten organizational
capabilities and enhance corporate value by creating
an environment where diverse employees can maximize their individual abilities and play an active role.
We introduced remote working as a stopgap measure to help halt the spread of COVID-19. We are now
looking at ways to adopt this approach on a more permanent basis, transitioning to a flexible working stylethat will balance work and an enhanced quality of life.
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

The Material Issues We Identified
In October 2020, the Board of Directors resolved the following material issues.

E

S Achieving sustainable supply chain (P84)E

Conservation of water resources (P46)

E Responding to climate change and energy issues(P27)

S Delivering products which help prevent traffic

Extremely highaccidents (P53)

S Improvement of product, sales, and service quality (P57)
S Contribution to local economy through businessactivities (P64)

Stakeholder’s Concern

S Promoting work style reform in response to

new normal conditions(Diversity, Work-life balance) (P67)

G Strengthening governance andensuring compliance (P95)

Very high

E Preservation of biodiversity (P49)

E Resource recycling initiative (P38)

S Promoting occupational health and safety (P77)

E Prevention of pollution (P41)

S Promoting social contribution activities (P88)S

Strengthening human resource development (P73)

High
High

Very highExtremely highImpact on MITSUBISHI MOTORS
E : Environment

S : Social

G : Governance

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Reflecting Medium- to Long-term Perspectives when Setting Annual Targets Related to Material Issues
MITSUBISHI MOTORS needs to reinforce its management base in order to respond to the various changes taking place in the automotive industry, look at the business environment from a long-term perspective, and respond to medium- to long-term risks and opportunities. To achieve these goals, we recognize the importance of setting annual targets on materiality initiatives from a medium- to long-term perspective.
In FY2021, we took the following steps to set annual targets for individual materiality initiatives.
First, we took a long-term perspective, using 30 years as our time horizon (the period used when formulating Environmental Vision 2050) for responding to environmental issues we consider essential in order to conduct business activities. In the Environmental Policy, we particularly focused on climate change, resource circulation andpollution prevention. For other material issues, we looked ahead to 2030, which is the target year for the United Nations’ Sustainable Development Goals (SDGs). We clarified
the social issues (risks) the Company recognizes from a long-term perspective, as well as the effects (opportunities) that could be obtained by addressing these issues. After
deliberating with the division general managers in charge of implementing the material issues, we clarified the direction of response.
Looking from the medium-term perspective, or 3 years into the future, we worked with the division general managers responsible for implementing the material issues
to identify the external environment and stakeholders’ needs and expectations. We then set medium-term action targets.
The Sustainability Committee deliberated the medium- to long-term visions for the material issues, the targets and indicators for FY2021, and their appropriateness.

Long Termting
BackcasPolicies and directions in
responding to long-termrisks and opportunities

Medium Term (Next Three Years)
External environment over the medium term
Stakeholders’ needs and expectations
Medium-term targets

Annual Targets

FY2021materiality targets
2020

2021

2022

2030

2023

2040

2050

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FeatureEnvironment

SocialGovernance

ESG Data

MITSUBISHI MOTORS Taking up
the Challenge of Realizing
a Sustainable Society

Toward the Realization of “MITSUBISHI MOTORS-Ness”
MITSUBISHI MOTORS’ Vision is to “Create vibrant society by realizing the potential of mobility,” and oneelement of the Mission for realizing the Vision is to“Make positive contributions to the sustainable development of our society.” In “Small but Beautiful,”
the mid-term business plan we released in July 2020,
we identified our missions as “Conducting businesswith an emphasis on contributing to all stakeholders
and society” and “Selection and concentration in linewith our strengths and earnings area.” We intend to
make our structural reform through the finish line
for stabler management base. Our product strategy
is to focus on strengthening our lineup of environmentally friendly battery electric vehicles (BEVs) andplug-in hybrid electric vehicles (PHEVs) during Phase
1, which is from FY2020 to FY2022. We spearheaded
this strategy with the FY2020 launch of the ECLIPSECROSS (PHEV model).
After releasing the mid-term business plan, “Small
but Beautiful,” we redefined “MITSUBISHI MOTORS-ness”
with a view to sustainable growth in the medium- tolong-term. We believe that ”MITSUBISHI MOTORS-ness”
is to provide customers with safety, security and comfort as well as the environment, and will continue tocontribute to the environment and “MMC-ness driving”
with our strength in electrification technology.
We thus believe that the environment is essential
to “MITSUBISHI MOTORS-ness” and that environmental
issues are material issues that cannot be postponed.
Given that the problem of climate change is now
becoming a reality and reflecting social trends, weformulated the Environmental Plan Package* basedon our recognition of the need to define the directionof initiatives that anticipate society 30 years in the
future. Taking “Action to climate change,” “Resource
Circulation” and “Pollution Prevention” as environmental measures we should address directly, we formulated medium- to long-term directions and targets in
our Environmental Policy, Environmental Vision 2050,
and Environmental Targets 2030. The Environmental
Policy sets forth directions for universal initiatives.
The Environmental Vision 2050 indicates our idealsocial image and directions for initiatives aimed atachieving it by 2050. The Environmental Targets 2030
set out initiatives to be undertaken by 2030 on thepath to realizing the Environmental Vision 2050.
As climate change countermeasures in the areaof products, the Environmental Targets set targets

to be achieved by 2030—a 40% reduction in CO2emissions from new vehicles (compared with FY2010
levels) and electric vehicles (EVs) to account for 50%
of sales—and we are moving forward with productdevelopment to this end. In May 2021, we announced
an update to “Small but Beautiful,” our mid-termbusiness plan. This update specified that we would
offer electrification model on all vehicles by 2030.
We will proactively launch EVs, such as the new OUTLANDER PHEV, targeting mainly advanced countries
and regions that are enhancing their infrastructures
and adopting more stringent regulations. Meanwhile,
while taking the lead in introducing PHEVs and BEVs
in emerging markets, we plan to strengthen our competitiveness by providing products that are suited toregional requirements.
We believe that initiatives progressing rapidly
toward a carbon-neutral society represent a major
opportunity for us. For example, we think Kei-car segment commercial BEVs are an optimal “last one-mile”
solution in logistics. To expand our business by meeting society’s needs, we are considering the launch of
an improved MINICAB-MiEV model.
* Please see pages 21–23 for details.

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FeatureEnvironment

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ESG Data

Feature MITSUBISHI MOTORS Taking up the Challenge of Realizing a Sustainable Society

Pursuing the New Potential of Mobility
In addition to leveraging our own electrification
technologies, we plan to take advantage of our alliancepartners’ electric drive units and components. This
combination of options should enable us to respond to
the differing needs of individual countries and regions
and facilitate the steady rollout of attractive electric vehicles (EVs) with distinctive “MITSUBISHI MOTOS-ness.”
For other environmental issues, as well, we are
drawing a roadmap for activities defined in Environmental Targets 2030, and we plan to move steadilyalong this path.
Now that the Environmental Plan Package has
been formulated, individual divisions in the Company
are considering what measures to take to meet thetargets specified in the Environmental Targets 2030,
incorporating them into annual plans and moving
forward with initiatives. The Sustainability Committee,
chaired by the Executive Officer, President & CEO, regularly follows up with divisions to check their progresson formulating annual plans and initiatives, thereby
ensuring effectiveness. If we find any gap between
our annual operating results and forecasts based on
the mid-term business plan and product plans andour 2030 targets, we will reflect it on our plans toachieve these targets. This is particularly the casewith regard to the targets raised in the Environmental
Targets 2030 for reduction in CO2 emissions from newvehicles, sales ration of EVs, and decreased CO2 emissions from business activities.
Thus acknowledging our responsibility as a company that produces and sells automobiles, we will
work toward specific targets in activities that reduce
environmental impact. At the same time, we willreinforce our environmental technologies, hinging on
plug-in hybrid electric vehicles (PHEVs), and encourage the spread of effective products and technologies. In this way, we will contribute toward the development of a vibrant and sustainable society.

We are manifesting “MITSUBISHI MOTORS-ness” by
pursuing the potential of mobility that leverages EVs.
Automobiles are typically driven for only about 5% of
the day; for the remaining 95% of the time they areparked*. EVs have value as high-capacity storage batteries, and when they are parked this stored electricity could potentially be utilized for something else. We
believe that using parked EVs to store and use electricity generated from renewable energy sources, canunlock new potential for mobility to lower economicand environmental impacts.
Another potential area is the so-called ‘Smartcities’, where all devices and infrastructure are connected via IoT technology. Within these cities, EVs areconnected to the electricity grid from places where
people live, via homes, office buildings, factories,
hospitals, government offices and post offices. And
with AI, charging and supply timing are optimally con-trolled to help ensure balance across the grid. Consumers could be incentivized by returning the monetary benefits that accrue, while helping to reduce theenvironmental impact on society as a whole.
In these ways, EV combined with IoT, might extend
their scope of use even further. For instance, a parked
EV might receive an alert about an electricity shortage in another area. Autonomous driving technology
could be put to use to move the parked EV to thelocation where the power is needed to supply electricity. In this case, EVs could act like “self-driving batteries” that help balance electricity loads. In addition toa means of mobility, EVs will be able to contribute topeople’s lives and support electricity demand, helping
to realize a carbon-neutral society.
* The High Cost of Free Parking
WEB https://www.researchgate.net/publication/235359727_The_
High_Cost_of_Free_Parking

The potential of mobility: A future using vehicle-to-grid (V2G) technologies
Connect to the electricity grid near places
where people live, and use AI to optimize
charging and supply timing.

Office building

Hospital

Government office

Home
Post office

Factory

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Commitment of
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FeatureEnvironment

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ESG Data

Feature MITSUBISHI MOTORS Taking up the Challenge of Realizing a Sustainable Society

We are pursuing the potential of mobility by mak-Conceptual rendering of the DENDO DRIVE HOUSE(DDH)

ing effective use of electric vehicles (EVs), and considering the implementation of vehicle-to-grid (V2G). V2GSolar panel

is a technology that enables the EV battery to help

PHEVHousehold batterybalance electricity demand and supply of a certain grid.
With V2G, EVs can be charged at off-peak times,
when electricity rates are lower, and even supply

Bi-directional charger

back to the grid, when rates are higher. In similar way,households can use solar powered electricity for home
appliances or for charging EVs, thereby cutting daily
electricity bills and contributing to more efficient power

We will continue working to unleash the new po-

use. During power outages, EVs can supply power to thetential of EVs and contribute to a sustainable society.

home, making life safer and more secure. In this context,

We aim to start by realizing V2G to increase the value

we are considering a variety of services that involvesof EVs and addressing climate change actions andsolar power systems and bi directional (V2H: Vehicle - toenergy problems.

-Home) chargers, named DENDO DRIVE HOUSE (DDH)*.
This service is under consideration in a global perspective, such as ASEAN countries and Oceania.

V2G demonstration site in the employee parking lot of Okazaki Plant* This is an all-in-one bundled solution thatcomprises solar panels, bi directional (V2H:
Vehicle - to -Home) charger, along with thepurchase of an electric vehicle, offering a onestop service in which dealers provide sales,
installation and after-sales maintenance.
The benefits of DENDO DRIVE HOUSE (DDH)
can be expressed using four ‘E’s.
Easy: We provide a one-stop solution thatprovides all necessary equipment andservices as a package.
Economy: Solar power is used to generate
power for the home, contributing to savings on daily electricity bills.
Energy: In times of disaster and during
power outages, the system supplies backup power.
Environment: CO2 emissions are reduced,
as solar panels are used for clean electric
power generation.

Characteristics of Plug-in Hybrid Electric Vehicles (PHEVs)

TravelCharging

Supplying Electricity

Quieter and Further

Quick and Easy

From the Everyday to the Unexpected

PHEVs have both a motor and anengine, one of which is selected
automatically to drive the vehicleaccording to circumstances anddriving style. This arrangement
delivers environmental performance,
as well as practicality.
In addition to providing thepower for quiet yet powerful travel,
the electricity is generated by theengine, extending travel range without having to worry about remained
electricity in battery.

Charging spots are situated in places
people frequent, such as convenience
stores and commercial facilities, aswell as along major roads at expressway parking or service areas andMichi-no-Eki (roadside station), forconvenient charging during long trips.
On PHEVs, the engine automatically starts up when battery
levels are running low, generating
electricity and keep driving withoutcharging.

PHEV batteries can supply power toentire home via bi-directional charger, allowing electrical appliances
to be used as normal. PHEVs arealso equipped with 100V AC (1,500W)
power outlets, so they can generate
power to operate laptop, electric
kettle, or microwave ovens.

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Commitment of
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FeatureEnvironment

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ESG Data

Feature MITSUBISHI MOTORS Taking up the Challenge of Realizing a Sustainable Society
The Values Plug-in Hybrid Electric Vehicles (PHEVs) Provide:

CO2 Reduction

Production
CO2 emissions

Travel Range

Disposal
Production/disposal

Powered 100% by electricity
for short trips

TravelPower Supply Capability

Supply electricity for up to

10 days(Based on general household consumption)

PHEV

HEV*1
High level of CO2 emitted during travelling

PHEV
Relatively less CO2 emitted during production
and travelling

BEV*

On longer trips, powered by electricity
and sometimes gasoline
PHEV

+

2

Higher level of CO2 emitted during production

PHEV

Note: B ased on MITSUBISHI MOTORS’ estimate of actual CO2
emissions in 2025

Using the “life cycle assessment” concept, which
is based on calculations of total environmental
impact from production to disposal, MITSUBISHI
MOTORS believes PHEV system is the most environmentally friendly electrical drive systems.
*1 Hybrid electric vehicle*2 Battery electric vehicle

It is possible to use only the electric motor without consuming gasoline for short trips, suchas for everyday commuting and shopping. The
motor and engine can also be used in combination to extend the travel range, using the engine
to generate the electricity when battery levels
run low.

Via a bi directional (V2H: Vehicle - to -Home)charger, the electricity in the battery and theengine’s generating capabilities can be used in
combination to supply electricity for up to 10days*3. It can also be used as an emergency
power source in times of disaster.
*3: P otential supply capacity is calculated by MITSUBISHI MOTORS(calculations assume approximately 10 kWh per day for general household power consumption and do not include the conversion efficiency of the V2H equipment and/or similar device).

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Commitment of
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ESG Data

Feature MITSUBISHI MOTORS Taking up the Challenge of Realizing a Sustainable Society

A Pioneer of electric vehicles (EVs)
When motorization took off in Japan in the 1960s, vehicle exhaust gases caused air pollution, which becamea major social problem. In 1966, before MITSUBISHI
MOTORS became independent from Mitsubishi Heavy
Industries, Ltd., the Company began working with threeothers (Tokyo Electric Power Company, Mitsubishi
Electric Corporation and Japan Storage Battery Corporation) to develop EVs. Our aim was to make the skies
blue again. In 1971, we succeeded in developing a battery electric vehicle (BEV) (the EV12), based on a Kei-car
segment van.
After that, we conducted demonstration experiments with the California Air Resources Board in the
United States, sought performance gains with lithium-ion batteries (achieving a Guinness World Record),developed in-wheel motors and researched driving
performance. These steady R&D efforts on EVs led
to the 2009 launch of the i-MiEV, the world’s firstmass-produced BEV, ushering in the era of EVs.
At the same time, we started to develop PHEV
system, which combined the advantages of being environmentally friendly and having the ability to drive
on rough roads and serve as batteries. These efforts
success of the one and only EV with the OUTLANDER
PHEV. Moving on from this development concept, we
pursued the EV concept further with the launch of
the ECLIPSE CROSS (PHEV model). We thus offered a
new value proposition: an electrical SUV that delivered
value whether driving or parked.
Going forward, we plan to leverage our electrification technologies to help preserve the global environment and provide new value.

MIEV
Prototype vehicle for BEV
driving performance

Mitsubishi (P)HEVOUTLANDER PHEV

Environmental
performance on a parwith EVs Under testing
by CARB*

The world’s best-selling
SUV-type plug-in hybrid
electric vehicle (PHEV)* California Air Resources
Board

1971

1995

1999

2005

2009

2013

FTO-EV

2020

2021

ECLIPSE CROSS(PHEV model)

In pursuit of lithium-ion
battery performance
A Guinness World Record
2,142km/24h

An SUV with a coupe-like
driving feel

Minicavan EV

i-MiEV

Development commenced
in 1966First 150 BEV models
delivered in 1971

World’s firstmass-produced BEV

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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Feature MITSUBISHI MOTORS Taking up the Challenge of Realizing a Sustainable Society

Electric Vehicles (EVs) and the Realization of a Resilient Society(DENDO Community Support Program)
By entering into disaster cooperation agreements withmunicipalities and loaning them roving COVID-19 vaccine vehicles, MITSUBISHI MOTORS is helping municipalities with its plug-in hybrid electric vehicles (PHEVs),
which can generate power and be tapped as sources ofelectricity. By combining the power of PHEVs to provide transportation and the power of electricity, we aremaking people’s lives safer and more reliable.

Agreements in Place with Municipalities around
Japan (As of July 31, 2021)

Municipalities with agreements in place:*
Hokkaido

128

4

TohokuDENDO Community Support Program Activities
1. Disaster Cooperation Agreements with Municipalities

Under this program, the Company enters into disastercooperation agreements with municipalities around
Japan. Our aim is to build a nationwide network forproviding electrified vehicles such as OUTLANDER
PHEV to ensure that power can be provided quickly
and without a loss of time to disaster-affected areas
and evacuation shelters in times of disaster.
As July 2021, we had agreements in place with
128* municipalities. By FY2022, we aim to have agreements in place with municipalities across Japan.

34

8

8

9

Shikoku

1

To support the COVID-19 vaccination drive, the Company is making free loans of the OUTLANDER PHEV
to municipalities.
To facilitate the vaccination process, in addition
to transporting medical teams these PHEVs provide
electricity to help keep the refrigerant cool duringtransport. The vehicles also serve as backup powersources in the event of power outages at vaccine
sites.

Koshinetsu andHokuriku

Chugoku

Kyushu andOkinawa

2. Contributing Vehicles for COVID-19 Vaccinations

Kinki

14

Tokai

10

Kanto

40

Loan to Minato-ku, Tokyo

u Recent agreement status (Japanese only)
WEB https://www.mitsubishi-motors.co.jp/carlife/phev/dcsp/*E xcluding two-party agreements between affiliated dealers
and municipalities

Minato-ku, Tokyo

Okayama Prefecture
Using the PHEV to keep the refrigerant cool
Okazaki city, Aichi Prefecture

Aichi Prefecture
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Commitment of
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Environment
Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Environment

Policy Directions�������������������������������������������������������������������������������������������������������������������������������������������������������������������21

Resource Recycling Initiatives���������������������������������������������������������������������������������������������������������������������������������38

Environmental Plan Package, Environmental Policy, Environmental Vision 2050����������������21
Environmental Targets 2030������������������������������������������������������������������������������������������������������������������������������������22

Basic Approach, Recycling-Based Design and Development,
End-of-Life Vehicle Recycling������������������������������������������������������������������������������������������������������������������������������39

Framework for Consideration, Steps to Formulation�������������������������������������������������������������������������������23

Initiatives to Reduce Waste Generation and Reuse Resources in Production Activities����40

Environmental Management������������������������������������������������������������������������������������������������������������������������������������24

Prevention of Pollution��������������������������������������������������������������������������������������������������������������������������������������������������41

Basic Approach, Management Structure���������������������������������������������������������������������������������������������������������24

Basic Approach, Purifying Exhaust Gas while Driving������������������������������������������������������������������������������42

Environmental Management System, Promoting Life Cycle Assessment (LCA),
Enhancing Disclosure of Environmental Information���������������������������������������������������������������������������25

Reduction of Hazardous Substances, Reduction of In-Cabin VOCs������������������������������������������������44
Preventing Air Pollution, Management of Chemical Substances�����������������������������������������������������45

Promoting Employee Education and Awareness Activities, Collaborating with Suppliers,
Promoting Environmental Preservation Activities Rooted in the Local Community,
Environmental Risk Management���������������������������������������������������������������������������������������������������������������������26

Conservation of Water Resources������������������������������������������������������������������������������������������������������������������������46
Basic Approach, Reduction of Water Withdrawal Volume��������������������������������������������������������������������47
Reuse of Discharged Water, Prevention of Water Pollution����������������������������������������������������������������48

Responding to Climate Change and Energy Issues��������������������������������������������������������������������������������27
Basic Approach������������������������������������������������������������������������������������������������������������������������������������������������������������������28

Preservation of Biodiversity��������������������������������������������������������������������������������������������������������������������������������������49

Responding to the TCFD Recommendations�������������������������������������������������������������������������������������������������29
Responding to Greenhouse Gas (GHG) Across the Supply Chain������������������������������������������������������30

Basic Approach, Promoting Preservation Activities by Utilizing Ecosystem Surveys
at Domestic Business Sites������������������������������������������������������������������������������������������������������������������������������������50

Developing Electric Vehicles��������������������������������������������������������������������������������������������������������������������������������������30

Overseas Preservation Activities����������������������������������������������������������������������������������������������������������������������������51

Promoting the Use of Electric Vehicles as a Way of Adopting to Climate Change���������������32
Development of Improving Fuel Economy Technologies����������������������������������������������������������������������33
Efforts in Production, Introduction of Renewable Energy��������������������������������������������������������������������34
Efforts in Distribution����������������������������������������������������������������������������������������������������������������������������������������������������35
Office Initiatives, Dealer Initiatives�����������������������������������������������������������������������������������������������������������������������36

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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Policy Directions
Environmental Plan Package
Anticipating a time 30 years in the future, in October
2020 MITSUBISHI MOTORS formulated the Environmental Plan Package, which defines the directions
and targets of its environmental initiatives. This package establishes the foundation for our directions onenvironment-related management strategy, outlining
our objectives for realizing a sustainable society, including one that is carbon-neutral, as we conduct ourbusiness activities. The Environmental Plan Package
comprises the Environmental Policy, which we haverevised to incorporate our medium- to long-term

Environmental Policy

MITSUBISHI MOTORS recognizes that responding to environmental issues through its business activities is essential. Accordingly, we will engage proactively in specific and effective measures from a medium- to long-term perspective.
(Directions of initiatives)
1.	We will face three specific environmental issues headon: climate change, resource depletion and environmental pollution.
2.	Given that 2050 is an important landmark for climatechange on a global scale, we have clarified levels tobe achieved, in 10-year increments, and are pursuing
initiatives to this end.
3.	We will respond to environmental issues through thefollowing activities.
• Unique environmental contributions through our products• Initiatives at each stage of automobile production,
sale and use• Collaboration with business partners, affiliated institutions, governments and local authorities• Initiatives targeting environmental issues rooted in
the local community• Initiatives to determine and reduce environmental
impact of all related business activities

perspective; the Environmental Vision 2050, whichsets out our vision for society to be achieved by 2050
and directions for our initiatives; and the Environmental Targets 2030, which clarifies specific initiatives tobe achieved by 2030 in accordance with this vision.

Environmental Policy
The Company has been acting in accordance with its
Environmental Policy, which was formulated in 1999.
However, in the 20 years that have passed sincethat time the operating environment has changed,
prompting us to revise the policy in 2020 to reflectcurrent social trends. We recognize that responding
to environmental issues in our business activities isessential, and so have newly incorporated a mediumto long-term outlook into our policy.
Focusing specifically on climate change, resource
depletion and environmental pollution, we aim tocontribute to the preservation of water resources andbiodiversity through initiatives in these areas.

Environmental Vision 2050
Members of the Paris Agreement, adopted in 2015,
agreed to limit the rise in average global temperatures to 2°C above levels before the Industrial Revolution and endeavor to keep the increase to 1.5°C.
From this basis, we established initiatives to pursue
from a long-term perspective, leading up to 2050. In
2018, the IPCC* published the Special Report on Global
Warming of 1.5°C, which calls for society as a whole toachieve a net-zero balance between human-caused
greenhouse gas emissions and absorption.
As these measures illustrate, awareness of climatechange and other environmental issues is rising eachyear. Companies are also being called upon to undertake more ambitious initiatives.
Against this backdrop, we formulated the Environmental Vision 2050, which sets out our vision for society to be achieved by 2050, as well as directions forour initiatives, with regard to climate change, resource
circulation and preventing environmental pollution.
* Intergovernmental Panel on Climate Change

Environmental Vision 2050
In December 2015, the Paris Agreement was adopted at COP21. Members of this accord agreed to curtail the rise inaverage global temperatures to 2°C above levels before the Industrial Revolution and to work to keep the rise to 1.5°C.
Given such social demands, MITSUBISHI MOTORS believes it can contribute toward the realization of a sustainable society, achieving a balance between the progress of humankind and the global environment, through the proliferation ofelectric vehicles and the promotion of their use in society.
Action to Climate Change

Resource Circulation

Pollution Prevention

Through electric vehicles and theincreased use of renewable energy, we will contribute to net-zero
CO2 emissions and the realizationof a society that is resilient toclimate change.

We will contribute to a resourcerecycling- oriented society byminimizing input resources andmaximizing resource efficiency.

We will contribute toward asociety free of environmental
pollution affecting human healthand the ecosystem by reducing
the environmental impact of our
products and the pollution resulting from our business activities.

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FeatureEnvironment

Socialciety in 30 years’ time, as well as the directions for ourTargets 2030

Resource
Circulation

Main Initiatives

CO2 emissions from new vehicles*1:-40% (compared with FY2010)

 Promotion of electric vehicles, centering on plug-in hybrid
electric vehicles (PHEVs) (electric vehicles*2 sales ratio: 50%)
 Improved fuel efficiency of ICE vehicles

CO2 emissions from business activities*3:-40% (compared with FY2014)

 Promotion of energy conservation
 Introduction of renewable energy

Implementation of measures
to address climate change Promotion of V2X*4 (DENDO DRIVE STATION/HOUSE) Contribution to adaptation through agreements intimes of disaster

Expanding adoption of plastic
materials not derived from oil Development of material technologies
 Proactive use in parts
 Reduction of waste generation and promotion ofreuse as resources Appropriate waste treatment
 Promotion of recovery and use (BESS*5, etc.)
 Technology development with a view to reuse(battery packs, systems)

Achievement of zero direct
landfill waste (less than 0.5%)
Reuse of batteries used inelectric vehicles

ESG Data

Environmental Vision 2050 sets out our vision for so-

Environmental Targets 2030

Action to
Climate Change

Governanceinitiatives. In line with this vision, we have formulated
Environmental Targets 2030, which sets forth items
to be addressed in the next 10 years.
Our principal targets and results for FY2020 are
outlined below. The substantial reduction in CO2 emissions from our business activities was affected by adownturn in the number of vehicles produced, due tothe COVID-19 pandemic.
Environmental Targets 2030: Principal Targets and Results
 CO2 emissions from new vehicles
100%
80%
60%
40%
20%
0%

2010

Benchmark year

Pollution
Prevention

2018

2019

-14%

Target-40%

20202030 (FY) Ratio of electric vehicles soldConformance to regulations
on regulations on use ofhazardous substances in products

Obtaining information on laws and regulations,enhancing the internal management structure● Collaboration with suppliers●

Environmental Management
 Promotion of environmental management within the Group and at sales outlets
 Promotion of LCA*6
 Expanded environmental information disclosure  Promotion of employee education and awareness activities
 Collaboration with suppliers
 Promotion of grass-roots community environmental preservation activities*1: CO2 emissions per new vehicle while driving *2: Battery electric vehicles, plug-in hybrid electric vehicles (PHEVs), and hybrid electric vehicles*3: Scope 1 (direct emissions) and Scope 2 (indirect emissions)*4: A general term encompassing vehicle to home (V2H) and vehicle to grid (V2G), among others.
*5: BESS stands for Battery Energy Storage System.
*6: LCA stands for life cycle assessment, which is a technique for calculating the environmental impact of a product from manufacturing to disposal.
MITSUBISHI MOTORS CORPORATION

50%
40%
30%
20%
10%
0%

4%

2018

Target 50%

7%

8%

2019

2020

2030 (FY) CO2 emissions from business activities
100%
80%
60%
40%
20%
0%

2014

Benchmark year

2018

2019

-37%

Target-40%

20202030 (FY)

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Commitment of
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Sustainability Management

FeatureEnvironment

Social<July 2018 to December 2019>

Sustainability Committee(Chair: CEO*1; members: Division general managers of relevant divisions)

Environmental Working Group
Leader:Technical advisor to the chairman*
Subleader: Division general manager of the Development
Management Division*1
Secretariat: Sustainability Promotion Department
Members: Corporate departments
1• Strategy management• Human resources• Public and investor relations• Asset management• Finance• Technology strategy• Manufacturing• EV business• Development management• Materials technology• Logistics• Procurement• Overseas sales• Domestic sales• After-sales service

Product and business activities departments<January–October 2020>

Board of Directors
Executive Committee
Members:

Small Circle• Division general manager of the• CEO*1
Development Management Division• Co-COO (in charge of development) • Division general manager of the• Director in charge of manufacturing Product Strategy Division• Director in charge of sustainability • Division general manager of the• Head of corporate strategy
Production Engineering Division*1 Positions as of March 2020

MITSUBISHI MOTORS CORPORATION*2: International Energy Agency

 Social and economic conditions
Such as economic growth and population increases
 Status of environmental issues
	Climate change, resource depletion, environmental pollution, loss of biodiversity andshortage of water resources	Trends in key regions (Japan, ASEAN, Oceania,
others)GDP, changes in the population, government
environmental policies, etc.
	Automobile production and data related to
the Company<Business>
Unit sales and number of vehicles owned, globallyand by region
<Results of Environmental Initiatives>
CO2 emissions (Scope 1, 2, 3), amount of waste
generated, etc.

	Verify relationships between environmental
issues and the Company
Identify environmental issues to face head-on	Consider long-term outlook for environmental issues
Gather external scenarios on CO2 emissions,
run our own simulations
	Arrange initiatives to be taken, given our business characteristics (markets and products)	Clearly spell out the Environmental Policy andEnvironmental Vision 2050
	Consider initiatives in the Environmental Targets 2030, as well as numerical targets

Review

The Environmental Working Group we set up in
FY2018 gathered data related to global social changes, such as economic growth and population increase,
as well as environmental issues. In particular, thegroup looked for information on regions of importance to MITSUBISHI MOTORS’ business, ascertaining
the status of local communities and government
environmental policies. We also looked at unit sales
and the number of vehicles owned in each country,
arranging this data to match the Company’s businesscharacteristics by looking at our business data andresults of environmental initiatives. The group also
summarized our efforts to date.
Using this data, we then verified each of the environmental issues and our relationship to them. We
identified three environmental issues to face head-on:
action to climate change, resource circulation and pollution prevention. We considered the long-term outlook
for these environmental issues by studying external
scenarios from the IEA*2 and IPCC, as well as by runningour own simulations. We then arranged the issues tobe addressed by thinking about how to contribute in amanner tailored to local communities while maximizing
our strengths, looking at each market from a regional perspective and considering plug-in hybrid electricvehicles (PHEVs) and other business characteristics.
Based on this analysis, we clearly spelled out thedirections for initiatives indicated in the Environmental Policy and Environmental Vision and set numericaltargets for the items in the Environmental Targets. In
this way, we formulated the New Environmental Plan
Package, which provides an overall summary of ourenvironmental strategies.
In addition, we had outside experts review thedraft package we had formulated, looking at it from astakeholder perspective.

Formulation

MITSUBISHI MOTORS formed the Environmental
Working Group, made up of members from across theCompany, and proceeded with considerations.
After certain directions had been determined, asmall circle chaired by the then-CEO moved forward
to specifics. These were proposed to the Executive
Committee and Board of Directors and approved.

ESG Data

Going forward, we will continue to accumulate andanalyze information on social trends and confirm theappropriateness of our Environmental Plan Package.

Analysis

Steps to Formulation

Gathering of Information

Framework for Consideration

Governance Conduct review via outside experts

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SocialGovernance

ESG Data

Environmental Management
ment. We are promote Group initiatives, including

Basic Approacheducation and awareness activities for employees,

Minimizing environmental impact is an essential
element of MITSUBISHI MOTORS’ sustainable growth.
To this end, we recognize the importance of reinforcing our environmental management. We also believethat the costs of promoting related initiatives are an
important investment from a long-term perspective.
In order to promote environmental initiatives
reliably and efficiently, MITSUBISHI MOTORS has con-and the acquisition of certifications for environment
management systems among affiliated companies.
We also dissemination information about initiatives on our website and through our sustainability
report. We value opportunities to receive feedback
from our various stakeholders.

Management Structure
Since 1993, we have been holding an Environmental
Council, which is attended by the Executive Officer,
President & CEO and officers from each division. The
Sustainability Committee, chaired by the Executive
Officer, President & CEO, has met since FY2017, andenvironmental initiatives have been positioned as

Please see page 112 for details on environmental accounting.

structed a framework for environmental manage-

key material issues for the Company. The committee
discusses our environmental policies and targets andconfirms the progress and results from the Environmental Targets 2030. Items of particular importance
are reported to the Board of Directors.

Management Target Companies (21 Companies)
Non-Production Affiliates (As of March 31, 2021)

Production Affiliates (As of March 31, 2021)
CountryCountry

Company NameJapan

Pajero Manufacturing Co., Ltd.
Suiryo Plastics Co., Ltd.

ThailandMitsubishi Motors (Thailand) Co., Ltd. (MMTh)
MMTh Engine Co., Ltd. (MEC)

Philippines

Mitsubishi Motors Philippines Corporation (MMPC)
Asian Transmission Corporation (ATC)Indonesia

Mitsubishi Motors Krama Yudha Indonesia (MMKI)

China

GAC Mitsubishi Motors Co., Ltd. (GMMC)

Company NameJapan

Mitsubishi Automotive Engineering Co., Ltd.
Mitsubishi Automotive Logistics Technology Co., Ltd.
Higashi Kanto MMC Parts Sales Co., Ltd.
Higashi Nihon Mitsubishi Motor Sales Co., Ltd.
Nishi Nihon Mitsubishi Motor Sales Co., Ltd.

United States

Mitsubishi Motors North America, Inc. (MMNA)
Mitsubishi Motors R&D of America, Inc. (MRDA)

Puerto Rico

Mitsubishi Motor Sales of Caribbean, Inc. (MMSC)

Netherlands

Mitsubishi Motors Europe B.V. (MME)

Germany

Mitsubishi Motor R&D Europe GmbH (MRDE)

UAE

Mitsubishi Motors Middle East and Africa FZE (MMMEA)

Australia

Mitsubishi Motors Australia, Ltd. (MMAL)

New Zealand

Mitsubishi Motors New Zealand Ltd. (MMNZ)MITSUBISHI MOTORS CORPORATION

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Commitment of
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FeatureEnvironment

SocialEnvironmental Management System

Promoting Life Cycle Assessment (LCA)In FY2010, MITSUBISHI MOTORS acquired companywide
integrated ISO 14001 certification. (Previously, sites inJapan had acquired this certification individually.) We
are leveraging the ISO 14001 framework and engaging
in ongoing initiatives to improve business activities.
The ISO 14000 framework is proving helpful in thecompanywide promotion of the Environmental Plan
Package we formulated in FY2020.
Affiliates in Japan and overseas are also being
encouraged to acquire ISO 14001 and Eco-Action 21*1
certification, and they are engaging in environmental management.

We perform LCA to determine the environmental
impact across a product’s life cycle. We evaluate total
emissions, mainly of CO2, from such processes as
extracting the resources used in parts and materials,
producing materials, manufacturing parts, assembling vehicles, producing fuel, driving and disposing of
disused automobiles.
We use LCA to develop environment-friendly parts,
electric vehicles and new-model vehicles, and compare their life cycle CO2 emissions with those of conventional parts and vehicles.

*1 Eco-Action 21 is a certification and registration system basedon the Environmental Management Systems guidelines formulated by the Japanese Ministry of the Environment for medium-sized companies.
Please see page 37 for a list of the dealers that have received
Eco-Action 37 certification.

Status of ISO 14001 Certification (As of May 31, 2021)

Development Companies
Mitsubishi Automotive Engineering Co., Ltd.
Production Companies
Pajero Manufacturing Co., Ltd.
(Headquarters Plant, Yamamoto Plant, Takami Plant,
Kuriyama Warehouse)
Suiryo Plastics Co., Ltd.
Mitsubishi Motors Philippines Corporation (MMPC)
Asian Transmission Corporation (ATC)Mitsubishi Motors (Thailand) Co., Ltd. (MMTh)
MMTh Engine Co., Ltd. (MEC)
Mitsubishi Motors Krama Yudha Indonesia (MMKI)
Distribution and After-Sales Service Companies
Mitsubishi Automotive Logistics Technology Co., Ltd.
(Maintenance Service & Logistics Business Division,
Powertrain Department, Osaka Special Purpose Vehicle &Engineering Section of the Vehicle Business Department,
Mizushima Maintenance Service Section of the Vehicle
Business Department)

Examples of LCA Implementation in FY2020

Examples of LCA
Objectives
Implementation
Vehicles ECLIPSE CROSS • Assessing the effect of im(PHEV model)
provement from the gasolinemodel• Assessing the impact ofcomponents
New DELICA D:5 • C omparing the effects of(Japan model)
improvement against othervehicles in the same class(CO2 emissions)
Disposal*2
Production
0%

20%

Use
40%

60%

80%

100%

*2 Excluding items that have been removed prior to disposal:
bumpers, tires, lead batteries, lithium-ion drive batteries, etc.
MITSUBISHI MOTORS CORPORATIONESG Data

Concern about environmental impact throughout
the life cycle is mounting in individual countries andregions. We are putting in place systems and infrastructures to facilitate our response to regulations
and incentives.

Enhancing Disclosure of Environmental Information
We disclose information about our environmental initiatives through our website and sustainability report. We
will continue to take leverage these initiatives to engage
in dialogue with institutional investors and experts about
environmental and other non-financial information.

Release of Environmental Information on
Website and in the Sustainability Report

The Company releases information on the concepts
and details of its environmental initiatives on the
Company website and in the sustainability reportin order to make its environmental initiatives more
widely known.
Sustainability website: “Environment”
WEB https://www.mitsubishi-motors.com/en/sustainability/
environment/

Communication with Investors

LCA Results for the ECLIPSE CROSS (PHEV model)

ECLIPSE CROSS(PHEV model)

GovernanceWe engage in dialogue with investors, exchanging
opinions about environmental and other non-financial information.
In FY2020, we participated in dialogue with people
in charge of stewardship at institutional investors
in Japan and overseas. Our executives in charge ofvarious areas of sustainability listened to opinions onsuch matters as climate change risks and opportunities, response to TCFD and our CO2 emissions, among
other topics.

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialPromoting Employee Education andAwareness Activities

Promoting Environmental Preservation
Activities Rooted in the Local Community

MITSUBISHI MOTORS conducts sustainability-related
awareness activities throughout the year as part of its
aims of deepening the understanding of sustainability
among all executives and employees and contributing
toward the realization of a sustainable society throughroutine business activities. Environmental education
and awareness are one aspect of these activities.
In FY2020, we conducted rank-based training ande-learning to promote an understanding of our social responsibility for sustainability, the relationshipbetween sustainability and the environment, and therelationship between environmental issues and ourbusiness activities.

Recognizing the rich characteristics of life on land
and the importance of our connection to this life, theCompany promotes environmental preservation activities that are rooted in the local community. Realizing that factory construction and other types of land
use have a direct or indirect impact on biodiversity,
we strive to preserve surrounding ecosystems. We
do so by carefully maintaining connections between
factories and the natural environments that surroundthem and by maintaining green spaces within factory
sites. By participating in forest preservation projects
in Japan and overseas, we strive to select species
that are suitable to specific regions. In addition, employee volunteers work with local residents to plantand cultivate trees, engaging in activities connected
to local communities.

Please see page 9 for details on our activities to promote anawareness of sustainability.

Collaborating with Suppliers

Please see page 49 for details on our preservation of biodiversity.

Our business partners cooperate with us in various
initiatives, including meeting the requirements of ourGreen Procurement Guidelines. We believe that ongoing communication is an important part of the steady
implementation of initiatives by business partners.
We explain the importance of environmental initiatives at our Suppliers Meetings, for example, which
are attended by our business partners, and strive toengage in communications to reduce the environmental impact of our entire supply chain.

Environmental Risk Management

Please see page 85 for details on the Green Procurement Guidelines.

Having learned from past cases of failing to comply
with environmental regulations such as those aimed
at preventing pollution, we make every effort to comply with relevant regulations.
We sincerely respond to complaints from neighborhood residents after investigating the situation.
In the event that environmental laws and regulations are violated or an environmental accident

Governance

ESG Data

occurs (such as if regulatory values are exceeded), or
if we receive a complaint, the corresponding divisionmust submit a Legal Non-Conformity Report to theCompliance Department and take necessary measures against the cause. The report clarifies the details of the case, measures and more, and appropriate
countermeasures are taken. Furthermore, in order toprevent recurrence, initiatives are in place to improve
work processes, enhance the supervision system, andincrease employee awareness.
In FY2020, we were subject to no fines or administrative orders stemming from violations of environmental laws and regulations*. However, in three
instances plants exceeded statutory values provided
under the Water Pollution Prevention Act, and in one
instance they exceeded statutory values provided
under the Air Pollution Control Act.
Other than those cases mentioned above, voluntary internal checks and monitoring activities uncovered 15 cases of legal non-compliance (including
delays in notification and inadequate inspections).
We responded to these incidents by swiftly taking
corrective action, introducing measures to prevent
recurrence and sharing information with other related
divisions about the incidents and countermeasures.
* Refers to 31 environment-related laws and regulations identified
by the Company, including the Water Pollution Prevention Act
and the Air Pollution Control Act.

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Responding to Climate Change and Energy Issues
Medium- to Long-Term Vision for Material Issues
Risks

Long
Term

Opportunities

Direction of Responses We could increase sales by enhancing our lineup  W
 e will contribute to the realization of a societyA s regulations on fuel economy, CO2 and ZEVs* are strengthened,of electric vehicles (EVs) and other products that
more resilient to climate change as we move tofailure to comply could make the Company susceptible to fines,
help reduce CO2 emissions.
ward net-zero CO2 emissions through the growcredit costs or increasing costs for technology development toachieve regulatory compliance.
ing proliferation of EVs and renewable energy.
 We could meet new demand for emergency power The Company could incur higher procurement costs, such as forsources for use during meteorological disasters.
electricity and raw materials, due to the introduction of carbon taxes or other carbon pricing.
 More frequent and intense meteorological disasters that damage production facilities or supply chain interruptions could halt production.

* Zero emission vehicles (ZEVs) are BEVs and fuel cell vehicles that emit no exhaust gases. Automotive regulations in the US state of California state that for manufacturers that sell more than a certain number ofunits in the state, a certain percentage of those units must be ZEVs.

MediumTerm

External Environment

Stakeholders’ Needs and Expectations

 More than 120 countries and regions pledging to be carbon neutral
by 2050.
 Leading countries announcing higher 2030 targets moving toward
COP26.
 Various national governments considering or announcing lower
CO2 and higher fuel economy standards, making EVs mandatory,banning the sale of vehicles with internal combustion engines,
strengthening regulations on life cycle assessments (LCA).
 Automakers in Japan and overseas raising electrification targets.

 As interest in environmental considerations
mounts, growing expectation for carbon neutrality across the supply chain.
 Growing ESG investment (investors promotingchanges in corporate activities)

Medium-Term Targets
 CO2 emissions from new vehicles: -40%
 EVs sales ratio: 50%
 CO2 emissions from business activities: -40%
 Promotion of initiatives to address climatechangeMITSUBISHI MOTORS CORPORATION

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FeatureEnvironment

SocialGovernance

FY2020 Materiality Targets and Results
Details of Main Initiatives
By 2030, reduce CO2 emissions from newvehicles by 40% (compared with FY2010)

ESG Data

: As planned : Delayed

FY2020 Targets

Indicators

Progress of Identify CO2 emissions from new vehicles based on
initiative
new business plan, and reflect in product plans fornext fiscal year measures that will erase gaps between
targets and identified results.
—

Achieve an electric vehicle (EV) sales ratio  Identify ratio of EV sales based on new businessplan, and reflect in product plans for next fiscal yearof 50% by 2030
measures that will erase gaps between targets andidentified results.
—

SelfEvaluation

FY2020 Results Identified CO2 emissions from new vehicles based on
new business plan, reflected in product plans for next
fiscal year.

CO2 emissions-14%

Progress of
initiative Identified ratio of EV sales based on new businessplan, reflected in product plans for next fiscal year.

Ratio of EV
sales

8%

Progress of
initiative After confirming targets and results for each location,
identify and assess status of initiatives companywide.



—


—

By 2030, reduce CO2 emissions frombusiness activities by 40% (comparedwith FY2014) Identify and assess CO2 emissions targets at eachlocation.
—

CO2 emissions

-37%

—

Enact measures in response to climatechange Promote disaster countermeasures, such as electricity
supply systems that use EVs.

Progress of
initiative Introduced various measures, including the DENDO
DRIVE STAION/HOUSE, DENDO Community Support
Program and V2X demonstration project.

Basic Approach
In recent years, extreme weather, such as heat waves,droughts and floods due to heavy rain, has caused
disasters one after another around the world. The
leading culprit behind these extreme-weather eventsis climate change, and global warming caused by CO2
and other greenhouse gases is a major factor.
International frameworks for realizing a sustainable society, such as the Paris Agreement andthe United Nations Sustainable Development Goals(SDGs) are making major progress. In particular, theParis Agreement has set targets on climate change
and fostered increased awareness toward corporate

responsibility. Recently, Japan and more than 120
other countries have pledged to be carbon neutral by
2050. Japan, the United States and other countries
have raised their targets for reducing greenhouse gas
emissions by 2030. Thus, efforts to achieve a decarbonized society are rapidly gaining momentum.
Automobiles generate CO2 throughout the life
cycle, from production to driving and disposal. For
this reason, MITSUBISHI MOTORS has identified “responding to climate change and energy issues” asa topmost material issue. In the Environmental Plan
Package, this is also positioned as one of the material
issues for the Company to address directly, and weare setting specific targets in this regard.
To reduce energy consumption and CO2 emissions
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we are promoting various initiatives, such as electricvehicle technologies, the development of fuel-economy-improving technologies, the introduction of
low-energy equipment in production processes andthe use of renewable energy in offices and dealers. In
particular, the Company (which counts electrification
technologies as one of its strengths) should be able
to work simultaneously to realize a sustainable society and achieve sustainable growth for the Company.
Our electric vehicles have large-capacity batteries that can be used in energy management andas emergency power sources in times of disaster.
Through these measures, we are also engaging inmeasures to adapt to climate change.
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Commitment of
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FeatureEnvironment

SocialGovernance

ESG Data

Responding to the TCFD Recommendations

Scenario in Which Climate ChangeCountermeasures Are Successful

Scenario in Which Climate ChangeCountermeasures Are Not Successful

With the issue of climate change growing increasingly
serious, the Financial Stability Board (FSB) establishedthe Task Force on Climate-related Financial Disclosures (TCFD), which in June 2017 announced its recommendations. These recommendations encouragecompanies to disclose information related to climatechange so that investors can appropriately assessclimate-related risks and opportunities.
Recognizing the potential of climate change topresent medium- to long-term risks and opportunities
that affect its business domains, in July 2021 MITSUBISHI MOTORS expressed its support for the TCFD Recommendations. Accordingly, we are analyzing the impact of climate change on our businesses and finances(scenario analysis). Going forward, we will enhance ourdisclosure in line with the TCFD Recommendations.

In the countries and regions that are the Company’s
target markets, electric vehicles (EVs) and zero emission
vehicles (ZEVs) are expected to become more commonplace as regulations on fuel economy, CO2 emissions and
ZEVs are introduced or further strengthened. Failure tocomply with these regulations could affect the Company
by making it susceptible to fines or increasing costs forregulatory compliance. Also, the Company could incur
higher costs at the production and procurement stages
due to the introduction of carbon taxes and carbon pricing. At the same time, measures to counter regulations
on fuel economy, CO2 emissions and ZEVs could present
opportunities in the form of increased sales of EVs.
The Company will seek to respond to these conditions by lowering costs (by standardizing components
through the alliance) and promoting the adoptionof EVs, centered on plug-in hybrid electric vehicles(PHEVs). At the production and procurement stages, wewill seek to reduce risks by promoting energy conservation activities and the introduction of renewable energy.

Typhoons, flooding and other meteorological disasters
are forecast to become more frequent and intense.
Accordingly, the Company faces the growing risk thatdamage to production facilities or supply chain interruptions could halt production. On the other hand,increasingly frequent and intense meteorological disasters could present an opportunity in the form of higher
sales of EVs as demand rises for emergency powersources that can be used in times of disaster.
The Company’s BCM (Business Continuity Management) Committee has formulated a business continuity
plan and is seeking to mitigate risk by putting in placesystems and operating procedures in anticipation ofnatural disasters. In addition, we are responding to theopportunity to increase sales by promoting EVs, centering on PHEVs, which can serve as V2X*1 units.

Principal Risks and Opportunities the Company Recognizes, and their Response Measures
Global changes
Risks• Fines for failing to meet
Strengthening of
requirements for fuel fuel economy requirements
economy and ze• Additional costs to respondro-emission vehicles
to requirements• Higher costs to procure
Introduction of carbon taxes and carbon electricity and raw materials
pricing
Increasing frequency • Production stoppages due
to damage to production
and intensity of meteorological disasters facilities and disruption of
supply chains

Opportunities
Increased sales of EVs—
Increased sales of EVs
in line with a growing
need to secure emergency power sources*2 Please see page 30-31 for details on developing electric vehicles

Principal response measures•P romote EVs, centering on PHEVs*2• Reduce costs by taking advantage ofthe alliance, such as by standardizing
components• Promotion of energy conservation
activities and the introduction of renewable energy• Implementation of BCM-related systems and operating procedures• Promotion of EVs, centered on PHEVs• Promotion of V2X

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 general term encompassing vehicle to home (V2H) andvehicle to grid (V2G), among others

Given the circumstances outlined above, the Company is promoting climate change countermeasures
based on its Environmental Plan Package. We are
currently moving forward with vehicle development
employing plug-in hybrid technology, which is at thecore of our electrification technology. Among our efforts to achieve a decarbonized society, we will work
to address the so-called “last mile problem” in logistics with the MINICAB-MiEV, a Kei-car segment commercial battery electric vehicle, which we believe isideally suited to this application. This combination of
options based on alliance and proprietary technologies should enable us to respond flexibly to uncertain
future scenarios and the differing needs of individual
countries and regions.
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Commitment of
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Responding to Greenhouse Gas (GHG)
Across the Supply Chain
In its Environmental Targets 2030, MITSUBISHI
MOTORS has set targets for reducing CO2 emissions
from new vehicles and business activities. We are also
working to decrease GHG emissions across the supply
chain in relation to corporate activities.
To calculate GHG emissions across the supply
chain, in addition to emissions resulting from ourown business activities (such as from our fuel use
and from the generation of electricity we use), we
determined emissions from the procurement andtransport of raw materials, vehicle travel times, and at
the disposal stage. In FY2020, across the supply chain
our GHG emissions were 20,656 thousand tons of CO2
equivalent.
Data (pp. 109–110): CO2 emissions, Scope 3 breakdown, energy
input (primary, secondary energy)

FeatureEnvironment

SocialDeveloping Electric Vehicles
Automobiles emit CO2 throughout their life cycle,
during production, driving and disposal. Emissions are
particularly high during the driving phase.
In our Environmental Targets 2030, we set thetarget of achieving a 40% reduction in CO2 emissions
from new vehicles by 2030 (compared with FY2010
levels). To meet this target, we have raised our target
ratio of electric vehicle (EV) sales to 50% by 2030. Thischange focuses our core technologies on responding
to climate change and energy issues through EVs,
which emit little CO2 while driving, and concentrates
on their development. Centering on our strength inplug-in hybrid electric vehicles (PHEVs), we will expand our lineup of EVs, thereby promoting their popularization and use in society and contributing toward
the realization of a sustainable society.

Battery Electric Vehicles
Battery electric vehicles are driven by electricity inbattery, so they emit no exhaust gases such as CO2
while driving.
The Company released the i-MiEV as the world's
first mass-produced battery electric vehicle (BEV) in2009. In addition to its environmental performance,
the i-MiEV performed better than conventional gasoline engine vehicles on acceleration starting frommaximum torque. In 2011, we launched the MINICAB-MiEV, a Kei-car segment commercial BEV. In 2012,
we began offering the MINICAB-MiEV TRUCK, also a
BEV in the Kei-car segment. These technologies are
the foundation of next-generation EVs, such as PHEVs.

Governance

ESG Data

TOPICS

Launch of Partially Improved MINICAB-MiEV,a Kei-car segment Commercial BEV

After having made partial improvements, we launched
the MINICAB-MiEV, a Kei-car segment commercial BEV,
in September 2020.
The MINICAB-MiEV is equipped with the battery andmotor used on the i-MiEV. In addition to the superior
environmental performance inherent to a BEV, it excels
in power, silence, comfort and more. The MINICAB-MiEV
is highly effective as a delivery vehicle due to its driving
range and payload capacity. We have delivered morethan 9,000 of these vehicles to more than 40 companies, as well as municipalities throughout Japan.

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TOPICS

Japan Post Continuing to Introduce MITSUBISHI
MOTORS’ Battery Electric Vehicles (BEVs) as Delivery Vehicles

FeatureEnvironment

SocialPlug-in Hybrid Electric Vehicles (PHEVs)
PHEVs are powered by electricity stored in batteries
and by the motor, using the engine to generate electric power when the battery level is low. Concern over

Governance

ESG Data

TOPICS

Launch of the ECLIPSE CROSS (PHEV model),a Crossover SUV

the driving range is no longer an issue as it offers theadvantages of BEVs: powerful driving, superb quietness and high stability.
We released the OUTLANDER PHEV in 2013. At low
to medium speeds, the PHEV system uses electric
power from the battery, but when the battery level islow, it generates electric power during operation using
the engine while also supplying power to the motorand battery. Furthermore, during high-speed driving,
the vehicle is driven by the engine and simultaneously
assisted by the battery-powered motor. In this way,

Since FY2019, MITSUBISHI MOTORS has been providing
Japan Post Co., Ltd. with the MINICAB-MiEV, a Kei-car
segment commercial BEVs, for use as delivery vehicles.
By the end of FY2020, the total number of vehicles
delivered reached 1,500. These vehicles are well suited for deliveries in large metropolitan areas, wheretravel distances are relatively short. By using vehicles
that emit no CO2 or other exhaust gas while driving,
it is helping to promote environmental management
by Japan Post, which aims to reduce the emission ofgreenhouse gases.

the drive mode is automatically selected according
to the situation. CO2 emissions are substantially lower
than conventional gasoline engine vehicles, delivering
outstanding environmental performance.
Please see for details, refer to the section of the Feature on page 17
entitled “The Values Plug-in Hybrid Electric Vehicles (PHEVs) Provide.”

The Company has introduced a PHEV variant of the
ECLIPSE CROSS, a crossover SUV, which launched in
December 2020.
The ECLIPSE CROSS (PHEV model) apply twin-motor 4WD PHEV system from the OUTLANDER PHEV.
The architecture consists of one front and one rearhigh-power electric motor, a large-capacity battery
and a 2.4 L MIVEC engine, allowing for the smooth andpowerful acceleration unique to electric vehicles alongwith nimble yet stable handling.
The battery is 13.8 kWh with an all-electric rangeof 57.3 km (WLTC Mode), allowing pure electric driving
for most of daily commute. There are three driving
modes: EV Mode drives with the electric motors using
power from the battery, Series Hybrid Mode uses gasoline engine to generate power for the electric motors
which drive the vehicle, and Parallel Hybrid Mode uses
gasoline engine to drive the vehicle assisted by theelectric motors. Automatic switching between thesemodes according to driving conditions allows drivers
to feel the driving pleasure of motor drive in a varietyof environments.

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TOPICSOUTLANDER PHEV Becomes Europe’s Top-Selling SUVType Plug-in Hybrid Electric Vehicle (PHEV) in 2020

FeatureEnvironment

SocialPromoting the Use of Electric Vehicles
as a Way of Adopting to Climate Change
By leveraging the large-capacity batteries on its
battery electric vehicles (BEVs) and PHEVs to supply
electricity, MITSUBISHI MOTORS is contributing tomeasures in various countries and industries to adapt
to climate change and energy issues. We are applying
these to such areas as areas as energy management,
V2X*2 and use as emergency power sources in timesof disaster.
*2 A general term encompassing vehicle to home (V2H) and vehicle to grid (V2G), among others

The OUTLANDER PHEV was the top-selling SUV-type
PHEV in the European market in 2020, and the second
highest among all PHEVs of all, with 26,673 vehicles*1
sold during the year.
The OUTLANDER PHEV combines electrification and
4WD control technologies to produce the powerful yetsilent driving performance unique to electric vehicles(EVs), while delivering superior environmental performance. The world’s first SUV-type PHEV, the OUTLANDER PHEV launched in Japan in January 2013. Since then,the model has been sold in more than 60 countries.
*1 According to a study by JATO Dynamics Limited

TOPICS

Implementation of V2G Demonstration Project byUsing Electric Vehicles
The Company took part in the Fiscal 2020 V2G Aggregator Project, promoted and endorsed by the Ministryof Economy, Trade and Industry, providing an employee
parking lot at the Okazaki Plant as a demonstration site.
Under the vehicle-to-grid (V2G) scheme, thehigh-capacity batteries of EVs are used to regulate thedemand and supply of the power grid through an IoTaggregation system. We used 50 EVs to build one of
the largest demonstration sites in Japan.
In FY2020, the project’s third year, we made progress on considering the V2G business model and backup methods, such as transferring power between sites
in the event of a change in the number of vehicles orother unforeseen mobility needs.
Further effort is needed to stabilize the power gridand facilitate the expansion of renewable energy resources. We believe V2G could increase the value ofelectric vehicles and help to address environmental
problems, such as climate change and energy issues.

Governance

ESG Data

TOPICS

Start of a Demonstration Project to Adjust Charging
toward EVs with a View to Realizing Dynamic Pricing
We were selected to participate in the Fiscal 2020
Demonstration Project on Using Dynamic Pricing to
Shift the Charging of EVs. This project took place in
October 2020.
The ministry is concerned that the growing popularity of EVs could result in an increased load on the power grid if charging periods are concentrated. Dynamic
pricing is an arrangement in which electricity rates
vary depending on supply and demand. When demandfor electricity increases, rates rise. Conversely, rates
fall when excess supply exists, encouraging people tocharge vehicles during off-peak times and reducing theload on the power grid.
In this demonstration project, we invited customers who own their EVs to act as monitors. We emailed
monitors a day in advance about four-hour windows
during which electricity rates on the Japan ElectricPower Exchange (JEPX) were lowest. We encouraged
them to charge their EVs for free during these periods.
This project enabled electricity retailers to consider
the viability of this arrangement, encouraged a shift inbehavior among EV owners and provided a chance tostudy the impact on the power grid.

By using EVs to build an efficient electricity systemthat allows for adjustment, we aim to lower the cost tosociety by avoiding the need to expand the power grid.

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Development of Improving
Fuel Economy Technologies
MITSUBISHI MOTORS develops technologies to boost
the fuel efficiency of vehicles powered by convention-

FeatureEnvironment

stops and starts the engine when the vehicle stops or
moves off. This has a major effect on improving thefuel economy because no fuel is consumed when at astop. When fitted with a coasting stop function, AS&G
stops the engine while decelerating.

ESG Data

unnecessary accelerator operation and helping to

Mitsubishi Innovative Value timing Electronic Control

increase fuel economy.

System (MIVEC)
Exhaust side
Variable lift
sensortechnologies to reduce fuel and energy waste.

AS&G is an idling stop function that automatically

Governance

Variable Valve Timing Mechanism

al engines. We are developing engine and vehicle bodyIdle-Stop “AS&G”

SocialContinuously variable
valve lift system
Intake side
Variable camphase system

Variable lift
electric actuator
MIVEC engine

Deceleration Energy Recovery(Power Generation Control)

The MIVEC is a variable valve timing mechanism forThis technology controls power generation underminimizing fuel consumption. The intake valve lift isvarious driving conditions such as idling, accelerat-

continuously varied according to the operating condi-

ing, and cruising by conducting intensive charging

tion to reduce intake resistance. This minimizes air in-of the battery using electric power generated whiletake energy loss, resulting in improved fuel efficiency.

decelerating. We are improving fuel consumption by
reducing the load on the engine during charging and

Gasoline Direct-Injection Turbo Engine

power generation.

The ECLIPSE CROSS is equipped with a 1.5L downsized direct-injection turbo engine. By precisely controlling in-cylinder injection and intake port injection
based on driving circumstances, this engine delivers
superior fuel economy and a clean exhaust gas. By
Hybrid System
Some models in the eK series employ a hybrid system, using the energy produced during deceleration
to efficiently charge their lithium-ion batteries. The
electric motor assists the engine during acceleration,

combining an exhaust manifold integrated with thecylinder head, intake and exhaust MIVEC, and a compact turbocharger with an electric wastegate actuator, the engine optimizes supercharging pressure
control to respond as the driver wishes, avoiding

providing a torquey yet fuel-efficient drive.

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FeatureEfforts in Production
MITSUBISHI MOTORS is upgrading its production
facilities, introducing new equipment and improving
operations in an effort to conserve energy and reduce
CO2 emissions from production activities.
In FY2020, at our facilities we consolidated oursteam piping and upgraded the transformers at a
special high-voltage substation. People involved withproduction sites, production technologies and power
supply are also taking part in energy-conservation
activities. By reviewing startup timing and operating
conditions, we are improving the operation of production facilities by focusing on energy-intensive processes, such as painting, casting and forging. We are
improving the operation of boilers, compressors andother equipment that supplies power. Also, we areworking to optimize the operation of various types ofEnvironment

Socialmotor. In these ways, we are introducing measures,
starting from areas where we expect results to begreatest. The COVID-19 pandemic had a significantly
effect on production volumes in FY2020. We strove to
reduce energy losses by concentrating production andshutting off equipment when not in operation.

Introduction of Renewable Energy
To reduce the amount of CO2 emitted from our business activities, we are setting up rooftop solar powersystem at plants in Japan and overseas. In FY2020,
we increased generating capacity at the Okazaki Plant
and started operating a charging system built fromused OUTLANDER PHEV batteries. We also began
operating a large-scale rooftop solar power systemat Mitsubishi Motors (Thailand) Co., Ltd. (MMTh), ourproduction and sales company in Thailand. In FY2021,

TOPICS

Governance

ESG Data

we plan to commence operations of additional largescale rooftop solar power system at other plants in
the ASEAN.
TOPICS

Operational Start of a Large-Scale Rooftop Solar
Power System (MMTh)
Operation of a 5.0MW rooftop solar power system hascommenced at the Laem Chabang Plant of Mitsubishi
Motors (Thailand) Co., Ltd. (MMTh), our production andsales company in Thailand.
MMTh, which has a production and engine plant in
Laem Chabang, Chonburi Province, is our largest overseas manufacturing facility. In addition to the newly
operational rooftop solar power system, we are planning a 2.0MW rooftop solar power system upgrade ata new paint plant that is currently under construction.
These two systems combined will reduce the amountof CO2 emitted per year from production by more than
6,100 tons.

Saving Energy by Concentrating Production at a High-Frequency Induction
Furnace in the Casting process (Mizushima Plant)
In the first half of FY2020, we tackled to keep our production efficiency responding to lower production volumes stemming from the COVID-19 pandemic. In thecasting process at the Mizushima Plant, we consolidated production days toreduce energy losses from our high-requency induction furnace.
High-frequency induction furnaces are used in the casting process to melt
steel so it can be flowed into dies and made into engine parts and other components. This process requires high levels of heating, which needs to be maintained. Casting process at Mizushima Plant
Therefore production waiting time and frequent furnace startups and shutdowns
will result in substantial energy losses.
We adopted the emergency measure of concentrating production into the first half of the week and shutting down
the furnace during the remaining days. This approach minimized wait times and startup frequency, preventing energy
losses. As a result, we saved the equivalent of around 500t-CO2 compared with the energy that would have been lost if
we had not concentrated production in this way.

Large-scale rooftop solar power systemthat commenced operation at MMThMITSUBISHI MOTORS CORPORATION

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FeatureEnvironment

TOPICS

Expansion of a Rooftop Solar Power System andCommencement of a Power Storage System
Built from Used Batteries (Okazaki Plant)
At the Okazaki Plant, we have installed a rooftop solar
power system that makes use of an energy solution
service provided by Mitsubishi Corporation and Mitsubishi Corporation Energy Solutions. In FY2020, we
expanded the plant’s generation capacity by 0.3MW,
to 3.3MW. This plant has reduced our CO2 emissions by
more than 1,500 tons (FY2020 results). We have also
begun operating a 0.6MWh power storage system built
from reused batteries from the OUTLANDER PHEV,
which the Okazaki Plant manufactures. This power storage system is used in normal times to reduce
maximum power demand of Okazaki Plant. It can also
be used in times of disaster or during power outages
to provide power to our gymnasium (which serves asan evacuation center for the surrounding area). The
power storage system supplies electricity produced byour rooftop solar power system, so it can be used fordisaster response by the people in the community. We
are also studying how the power storage system might
be used in multiple ways, such as commercial use in theelectricity supply and demand adjustment market.

SocialGovernance

ESG Data

points and increasing direct deliveries. We also work

Efforts in Distribution

to decrease the number of transport trips by improving of packing specification for high load factor, andMITSUBISHI MOTORS sets reduction targets for unit

consolidating transport routes, reducing the number

CO2 emissions (kg-CO2/1,000t km) during the transportof trucks. We are also working more closely with ourof production parts, spare parts and vehicles to pro-transport subcontractors to introduce eco-cars andmote initiatives for achieving these targets.

promote eco-driving.

In each distribution area, we strive to shortentransport distances through the relocation of sourcing
Focused Distribution Routes for Reducing CO2 Emissions

Complete Build-up Vehicles
Distribution, etc. Trailer

Supply RoutePort

Trailer
Truck
Boat

MITSUBISHI
MOTORS
Plant

Supplier
Train

Train

Trailer

Distribution
Base(IncludingPorts andStations)

Train

Dealers

Truck

Vehicle dealers
Parts dealers

Truck

MITSUBISHI
MOTORS Plant

Complete
Build-up
VehiclesEngines andtransmissions

Truck
Truck

Parts

Port
Waste disposal contractors

Knock-down
parts
Waste

Power storage plant (built fromused batteries) that has commenced operation at the Okazaki
Plant
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Commitment of
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Sustainability Management

Collecting CO2 Emissions Data in Distribution
among Overseas Affiliates
MITSUBISHI MOTORS understands the importanceof collecting and disclosing CO2 emissions volumes
throughout the supply chain, including overseas, andwe are promoting initiatives in this regard.
Since starting in 2018, overseas plants at Mitsubishi Motors (Thailand) Co., Ltd. (MMTh) and Mitsubishi
Motors Krama Yudha Indonesia (MMKI) have been
moving ahead steadily with efforts to collect and calculate CO2 emissions from distribution, including land,sea and air transportation.

FeatureEnvironment

SocialOffice Initiatives

ESG Data

Dealer Initiatives

We are also promoting the use of renewable ener-

We encourage our dealers in Japan to acquire Eco-Ac-

gy and introducing various types of energy-savingtion 21 certification and carry out activities such as

equipment in areas other than manufacturing, such

reducing the amount of energy and water they use,

as at research and head office locations.

lowering the amount of waste they produce, and pro-Part of the electric power used at the Researchmoting the widespread use of electric vehicles.

and Development Building (Okazaki, Aichi Prefecture)

Eco-Action 21 is an environmental management

and our head office (Minato-ku, Tokyo) is supplied bycertification and registration system based on guide-

renewable energy, thanks to the erection of rooftop

lines recommended by Japan’s Ministry of the Environ-solar power system and making use of the Trad-

ment. Eco-Action 21 has the following three features.

able Green Certificates System*. Also, CO2 emissions• The environmental management framework is easy

are being reduced by using energy-saving electricalfor small and medium-sized businesses to configure

equipment and air conditioners.
In July 2020, we began tracking electricity use andand operate.
• The system enables organizations to track and man-power generation per capita at our Research and De-

age their CO2 emissions, working toward zero CO2.

velopment Building, comparing these figures with other• The system facilitates thorough management ofoffices, and using digital signage to show year-on-yearcompliance with environmental laws and regulations.

comparisons by month. In these ways, we are working
Transportation of vehicles (Thailand)

Governanceto increase employee awareness about saving energy.

For details on Eco-Action 21, see the website of the system’s central secretariat (Japanese only).
WEB https://www.ea21.jp/

Digital signage at our Research and Development Building (Okazaki)
Sea transport* This system is used to trade environmental added value of
renewable energy generated from natural energy sources using
renewable energy certificates issued by a certificate issuer andconfirmed by a third party organization.
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Sustainability Management

Dealers That Have Acquired Eco-Action 21 Certification(As of June 1, 2021)
Company
Hokkaido Mitsubishi Motor Sales Co., Ltd.
Aomori Mitsubishi Motor Sales Co., Ltd.
Yamagata Mitsubishi Motor Sales Co., Ltd.
Higashi Nihon Mitsubishi Motor Sales Co., Ltd.
Ibaraki Mitsubishi Motor Sales Co., Ltd.

FeatureEnvironment

SocialGovernance

ESG Data

TOPICS

Rolling out the DENDO DRIVE STATION across Japan’s Prefectures
MITSUBISHI MOTORS seeks to put DENDO DRIVE STATION into operation in prefectures across Japan.
In FY2020, we opened 6 DENDO DRIVE STATION branches, bringing the nationwide total to 89. The new DENDO DRIVESTATION branches, in order of opening, are the Sendai Branch (Kagoshima Prefecture), the Tamana Branch (Kumamoto
Prefecture), the Auto Mall Takeo Branch (Saga Prefecture), the Yakuin Branch (Fukuoka Prefecture), the Auto Mall Norimatsu Branch (Fukuoka Prefecture) and the Ichinomiya Suehiro Branch (Aichi Prefecture).
By deploying DENDO DRIVE STATION branches across Japan, we will increase the significance of electric vehicles by
diversifying their energy sources and communicating their value as sources of electric power in times of disaster.

Sawara Mitsubishi Motor Sales Co., Ltd.
Sobu Mitsubishi Motor Sales Co., Ltd.
Tokai Mitsubishi Motor Sales Co., Ltd.
Sunen Mitsubishi Motor Sales Co., Ltd.
Nishiowari Mitsubishi Motor Sales Co., Ltd.
Toyama Mitsubishi Motor Sales Co., Ltd.
Toyama Diamond Motors Co., Ltd.
Fukui Mitsubishi Motor Sales Co., Ltd.
Kanazawa Mitsubishi Motor Sales Co., Ltd.
Kyoto Mitsubishi Motor Sales Co., Ltd.

Sendai Branch
Kita Kagoshima Mitsubishi Motor Sales
Co., Ltd.

Tamana Branch
Kumamoto Mitsubishi Motor Sales Co., Ltd.

Auto Mall Takeo Branch
Kyushu Mitsubishi Motor Sales Co., Ltd.

Yakuin Branch
Kyushu Mitsubishi Motor Sales Co., Ltd.

Auto Mall Norimatsu Branch
Kyushu Mitsubishi Motor Sales Co., Ltd.

Ichinomiya Suehiro Branch
Nishiowari Mitsubishi Motor Sales Co., Ltd.

Nishi Nihon Mitsubishi Motor Sales Co., Ltd.
Shiga Mitsubishi Motor Sales Co., Ltd.
Fukuyama Mitsubishi Motor Sales Co., Ltd.
Kyushu Mitsubishi Motor Sales Co., Ltd.
Oita Mitsubishi Motor Sales Co., Ltd.
Kumamoto Mitsubishi Motor Sales Co., Ltd.
Nagasaki Mitsubishi Motor Sales Co., Ltd.
Kagoshima Mitsubishi Motor Sales Co., Ltd.
Ishikawa Chuo Mitsubishi Motor Sales Co., Ltd.
Mie Mitsubishi Motor Sales Co., Ltd.
Gunma Mitsubishi Motor Sales Co., Ltd.
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Resource Recycling Initiatives
Medium- to Long-Term Vision for Material Issues
Risks

Long
Term

Opportunities

External Environment
MediumTerm

Direction of Responses The cost of procuring raw materials could increase due to re We could stabilize procurement costs by reducing  We will contribute to a resource-recycling- orisource constraints, such as the depletion of precious metals or
our dependence on depleted resources.
ented society by minimizing input resources andother natural resources.
 It might be possible to reduce costs by using remaximizing resource efficiency.
sources more efficiently and reusing waste.
 The Company could face increasingly stringent regulations, suchas on the use of recycled materials and recycling, and rising costs  We could heighten competitiveness through 3R
design and more advanced recycling technologies.
to respond to them.
 We could find more opportunities to make use of The corporate image could suffer from a delayed response to
used batteries.
resource recycling.
 The corporate image could be enhanced by appealing to our efforts to contribute toward a
recycling-oriented society.
Stakeholders’ Needs and Expectations

Medium-Term Targets

 An increasing shift toward a circular economy Mounting demands for environmental consideration  Expanding adoption of plastic materials not derived from oil The manifestation of waste-related issues in Japan and overseas  G rowing ESG investment (investors promoting Achievement of zero direct landfill waste (less than(such as emerging markets limiting imports)changes in corporate activities)
0.5%)
 The increasingly strict EU Batteries Regulation (calls for disclo Reuse of batteries used in electric vehicles (EVs)sure of amounts of reused materials, among other items) Plastics causing the marine pollution problem

FY2020 Materiality Targets and Results
Details of Main Initiatives

: As planned : Delayed

FY2020 Targets

Indicators

FY2020 Results

SelfEvaluation

Expanding adoption of plastic materials
not derived from oil Create a roadmap for expanding the percentage of plas- Progresstic materials not derived from oil used in vehicles
of initiative Clarified the types of vehicles and components to consider expanding the use of plastic materials not derived
from oil; created a roadmap clarifying FY2025 targets
and measures

Achievement of zero direct landfill waste(less than 0.5%) by FY2030

 Plants in Japan: Achieve zero direct landfill waste (lessthan 0.5%)
 Overseas plants: Have begun gathering data

Progressof initiative Plants in Japan: Achieved Overseas plants: H ave begun managed operations ofdata on waste using an environmental
performance management system

Reuse of batteries used in EVs

 Install an energy storage system (BESS*1) at the Okazaki
Plant and begin considering issues related to utilizing
reused batteries

Progressof initiative Installed equipment for verification testing of BESS, andare implementation a VPP*2 verification test

*1: BESS stands for battery energy storage system.
*2: VPP stands for virtual power plant, which involves using information and communication technology for the integrated control of dispersed energy resources, creating a virtual plant that operates as if it were asingle power plant.
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialBasic Approach

Recycling-Based Design and Development

The rise in populations and economic growth inemerging markets is leading to a rise in the consumption of minerals, fossil fuels and other resources.
Against this backdrop, MITSUBISHI MOTORS is
working to use fewer resources and use them more
effectively. We believe we can add more value tovehicles in manufacturing process. This believe underpins our belief that effective resource use is an
important priority. The Environmental Plan Package
positions resource recycling as an environmental
issue to engage in directly, and we are contributing toa resource-recycling-oriented society by minimizing
input resources and maximizing resource efficiency.
Countries and industry groups are formulating
various initiatives in order to promote automobile
recycling and correct processing. In response, theCompany set targets to improve the ease of recycling,
reduce the use of lead, and introduce recycled partsfor new vehicles when the MITSUBISHI MOTORS Recycling Initiative was established in 1998. We have continued to engage in this initiative.
At production plants, with the aim of realizing a
recycling-oriented society that gives consideration to
the environment and resources, we are promoting theeffective use of resources. We are achieving a landfill
waste disposal rate of zero (less than 0.5%) at every
plant by converting industrial waste materials generated from production processes into reusable resources and reducing the volume of waste discharged.

Under vehicle recycling legislation in Japan, Europe
and China, automobile manufacturers are obligated toconsider recycling when developing products.
We conduct design and development that actively incorporates not just recycling, but all aspectsof the 3Rs including reduction and reuse. Since 1999,
we have implemented the 3Rs in the stage startingwith conceptual design in accordance with our unique
Recycling Plan Guidelines.
With regard to wires and harnesses, and motors,
we have improved detachability and ease of recyclingin accordance with the Harness Design Guidelines.
At dealers, bumpers replaced during repairs arerecycled for undercovers and battery trays. We arealso promoting the increased use in other parts ofrecycled materials and plastic materials not derived
from oil used in vehicles, such as biomass plastics.

Governance

ESG Data

TOPICS

Using Thermoplastic Resin
The ECLIPSE CROSS (PHEV model), which was launchedin 2020, uses easily recyclable thermoplastic resin for
exterior and interior parts.
Main parts (indicated in green) that use
thermoplastic resin

Exterior

Interior

End-of-Life Vehicle Recycling
We encourage the recycling of end-of-life vehicles
to reduce the environmental impact of waste fromthese vehicles. In Japan, the European Union andother regions, we promote recycling in accordancewith the automobile recycling laws of each country.
We comply carefully with the evolving automobile
recycling laws that are being introduced in emerging
countries in Asia.

Data (p. 111): Generated waste, generated waste and externallydisposed waste (MITSUBISHI MOTORS along), rawmaterial inputs
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Sustainability Management

The Environmental Targets 2030 identify the reuse of batteries used in electric vehicles as one item
to be addressed. From the perspective of conserving
resources, we are undertaking initiatives to utilize
used batteries.

Reuse of Batteries Used in Electric Vehicles (EVs)Used EV batteries retain sufficient storge capacity tomake them useful for other applications, so from theperspective of conserving resources we are working
to effectively reuse EV batteries. To ensure thesebatteries can be effectively used for storage, we areconducting verification using a large-scale rooftop
solar power system at the Okazaki Plant and built apower storage system that employs used batteries
from the OUTLANDER PHEV.
In Japan, Europe and North America, we have begun creating a system for collecting used batteries.
The aim is to develop recycling technologies for andproperly dispose of batteries for battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs).

Response to Automobile Recycling Laws in Japan

Environment

SocialThe company outsources the treatment of airbags
and fluorocarbons to the Japan Auto Recycling Partnership (JARP).
In addition, for the effective use of recycling fees
deposited from customers, we proactively work on
increasing the recycling rate by conducting efficient
recycling and proper processing of these three items.
*1 Automobile Shredder Residue Recycling Promotion Team established by Nissan Motor Co., Ltd., Mazda Motor Corporation,
MITSUBISHI MOTORS and others.

Recycling Promotion in the EU
Response to the EU’s Directive on the Recycling ofEnd-of-Life Vehicles
In the EU, in accordance with the End-of-Life Vehicles Directive*2 established in 2000, automobile
manufacturers or importers must accept and recycle
end-of-life vehicles. Also, in 2003, the ELV Directive*3
was enacted, specifying ease of recycling as a certification requirement.
The company built a system of acceptance andrecycling in line with the actual situation of EU member countries centering on our European subsidiary
Mitsubishi Motors Europe B.V. (MME).
*2 “Directive of the European Parliament and of the Council on
End-of- Life Vehicles”*3 Abbreviation of End-of-Life Vehicles.

GovernanceInitiatives to Reduce Waste Generation andReuse Resources in Production Activities
By improving its production processes, the Company
is working to reduce the amount of waste it generates
through manufacturing. For the waste we do generate, while curtailing treatment costs we continue toimprove the ways in which we sort and treat waste,using it more effectively as resources. As we continue
working toward the achievement of zero direct landfill
waste (less than 0.5%), a goal raised in the Environmental Targets 2030, we are endeavoring to reduce
waste generation, reuse waste as resources and dispose of waste properly.
Effective Use of Resources and Recycling

MITSUBISHI MOTORS CORPORATION

Low

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Provision of Dismantling Information
In the EU, automobile manufacturers must provide
dismantling information for new model vehicles totreatment operators. The company provides such information on a timely basis by using the International
Dismantling Information System (IDIS) jointly developed by automobile manufacturers.

Sustainability Report 2021

ESG Data

Response to the EU’s Directives on Approval for Vehicle Models for Recyclability
In the EU, satisfying the minimum 95% recyclability rate is a requirement for type approval of vehicle
models, and the company established a system thatsatisfies the requirements of this directive. Our vehicles sold in the EU meet the requirements of the directive under this system. We will continue to acquire
recyclability approval for all new models sold in the EU.

High

Since the End-of-Life Vehicle Recycling Law wasenacted in Japan in 2005, the company has been
accepting used automobile shredder residue (ASR),
airbags, and fluorocarbons for recycling.
Regarding ASR recycling, we participate in ART*1 inorder to jointly process ASR. As a result of the creationof new processing facilities and other measures, theASR recycling rate in FY2020 was 96.4%, substantiallyabove the statutory standard of 70% in effect since2015. We will continue to develop new recycling facilities to ensure the stable processing of ASR.

FeatureReused within
the process
Reused within
the company
Sold for consideration
Material recycling
Thermal recycling
Simple incineration
Direct to landfill

Valuablematerials
Waste

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Prevention of Pollution
Medium- to Long-Term Vision for Material Issues

Long
Term

MediumTerm

Risks

Opportunities

Direction of Responses The cost of managing hazardous substances could rise if regulations are become more stringent in response to increased damage to human health and the loss of ecosystems.
 The company could become subject to fines or sanctions in theevent of a serious leak into the air or water.
 Environmental problems at a supplier could disrupt the supplier’s
operation and halt our parts procurement.
 The Company’s image could suffer in the event of a delayed response to initiatives.

 We could reduce costs through more efficientmanagement, including of the supply chain.
 By reinforcing management, including of the supply chain, we could supply products that deliver
reassurance and safety, as well as maintaining
competitiveness.
 Managing in accordance with standards more
rigorous than those imposed by regulations could
enhance the corporate image.

 We will contribute toward a society free of environmental pollution by reducing the environmental
impact of our products and the pollution resulting
from our business activities.

External Environment

Stakeholders’ Needs and Expectations Increasingly stringent regulations on emissions in various countries and regions Increasingly stringent regulations on chemical substances invarious countries and regions Increasingly stringent regulations on the export and import ofhazardous waste (plastic waste) Growing interest in environmental consideration Growing ESG investment (investors promotingchanges in corporate activities)

Medium-Term Targets Conformance to regulations on hazardous substances in products

FY2020 Materiality Targets and Results
Details of Main Initiatives

: As planned : Delayed

FY2020 Targets

Indicators

Properly manage hazardous substances Properly manage hazardous substancesin products

SelfEvaluation

FY2020 Results

Progress of initiative We are obtaining information on regulated substances, upgrading our internal management system and conducting
content surveys on newly regulated substances

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Sustainability Management

Basic Approach

FeatureEnvironment

SocialPurifying Exhaust Gas while Driving

Vehicles are products that can affect human health

Vehicles powered by gasoline and diesel enginesand biodiversity through the emission of environmen-

inevitably emit combustion gases from the engine

tal pollutants and chemical substances during busi-

while driving. These exhaust gases contain hazardous

ness activities or product use.

substances that can cause air pollution.

In order to contribute to the realization of a sus-

In addition to developing and popularizing electrictainable society, MITSUBISHI MOTORS considers thevehicles, which emit little exhaust while driving, weprevention of pollution to be one of the material issues

are endeavoring to develop and encourage the use

for the Company. Our Environmental Plan Packageof gasoline and diesel vehicles that have emissions

positions this issue as one for the Company to addresscontaining fewer hazardous substances.

directly. To help realize a society free of environmental
pollution, we are working to reduce the environmental

Improving Gasoline Engine Vehicles

impact of our products and pollution resulting from

Since the 1960s, emissions of carbon monoxide, hy-

our business activities. In the stage of product devel-drocarbons, and nitrogen oxides (NOx) have been

opment, along with promoting the development ofsteadily restricted by regulations.

fuel economy improving technologies and electric ve-

We have taken various measures since such reg-hicle technologies, we strive to manage to hazardous

ulations were first introduced. We currently comply

substances. In production processes, we are endeavor-

with these regulations by applying electronicallying to reduce air pollutants emitted from out plants bycontrolled fuel injectors and advanced catalyst tech-voluntarily enacting activity standards that are stricter

nologies to the combustion control system.

Governance

ESG Data

Improving Diesel Engine Vehicles
For diesel engine vehicles, carbon monoxide, hydrocarbons, NOx, and particulate matter have been regulated in some countries, such as Japan, United Statesand European countries, since the 1970s.
Since such regulations were first introduced, we
have taken measures including improving the combustion technology. To comply with these regulations,
we have developed and produced clean diesel engines
by systemizing technology such as VG turbochargers, controlling combustion with a common rail fuelinjection system, introducing after-treatment using
NOx trap catalysts, diesel particulate filters and a urea
selective catalytic reduction (SCR) system.

than legal requirements. In order to reduce the impact
on the environment from air pollutants and chemical
substances, we engage in the prevention of pollution
throughout all our business activities.

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Sustainability Management

Clean Diesel Engine Systems
VG Turbocharger
The VG turbocharger helps to improve fuel economy andsuppress emissions of particulate matter through opti-

Environment

SocialUrea Selective Catalyst Reduction

ESG Data[The 4N14 Engine System](SCR) System

Intercooler

Nitrous oxides (NOx) from diesel

Governance

Turbocharger

Intakeengines’ emissions are purified us-

Urea SCR catalyst
Injection of AdBlue®
NOx
reduction

ing an aqueous urea solution (AdBlue®*1), breaking them down into

Exhaustgas

Enginemum supercharging across the engine’s operating range.

Featurenon-polluting nitrogen and water.

NH3 reduces NOx
into H2O and N2.

Urea SCR system
Fuel pump

Oxidation
Common rail catalyst DPF catalyst Aqueous urea tank

*1 A registered trademark of Germany’s Verband der Automobilindustrie (VDA)

Common Rail Fuel Injection System
Particulate matter and NOx can be generated due toincomplete combustion. In our vehicles, this is suppressed using a high-pressure fuel pump, common
rail accumulator that stores highly pressurized fuel,and electronically controlled fuel injectors.

Diesel Particulate Filter (DPF)
This substantially reduces particulate matter.

TOPICS

2.5L Naturally Aspirated Engine on
the New OUTLANDER
The new OUTLANDER, which
launched in
North America
in April 2021, isequipped withan inline direct
injection four-cylinder DOHC 2.5L engine. The engine isdesigned for low fuel consumption, smooth driving andenjoyably agile acceleration.
This newly developed engine, which was developed
through the alliance, clears emission gas level LEV III-SULEV30*2. By using the items described right column, the engine performs on both the output and fuel economy fronts.
*2: SULEV stands for Super Ultra Low-Emission Vehicles in theclassification for emission in California, U.S.

1. Mirror bore coating	A mirror bore coating is used on the surface of thecylinder wall. The mirror-like finish helps to reduce
friction loss.
2. Variable tumble control valve
	A variable tumble control valve is used to optimize
the flow of air drawn into the combustion chamber.
In-cylinder flow is increased as a result, promoting
rapid combustion, thereby reducing emissions andimproving fuel economy, while enhancing acceleration response.
3. Electric variable valve timing (VVT) mechanism	An electric intake VVT is used to optimally control
intake valve timing and provide superior responsiveness. On the exhaust side, a VVT with an intermediate
lock is used, with individual valve timing optimized toachieve low emissions and improved fuel economy.
4. Variable capacity oil pump	A variable capacity oil pump optimizes the control of oilpressure according to driving conditions, thereby reducing friction loss and helping to improve fuel economy.

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Sustainability Management

Reduction of Hazardous Substances
In accordance with the reduction targets of the Japan
Automobile Manufacturers Association, Inc. (JAMA)
and the EU’s end-of-life vehicles directive (a recyclinglaw), MITSUBISHI MOTORS is working to reduce theuse of four substances (lead, mercury, cadmium, andhexavalent chromium). We have established internal
technical standards to voluntarily reduce hazardous
substances. We are also taking measures to comply
with regulations on the use of hazardous substancesin each country in compliance with the REACH regulation*1 concerning substances and the Convention on
POPs* . At present, in addition to four substances and2other heavy metals, the use of VOCs (volatile organic
compounds), bromine-based flame retardants andvarious other substances is regulated. Regulations
similar to European ones are being enforced in developing countries in Asia as well.
We are working to voluntarily reduce hazardous
substances by setting internal technical standards.

FeatureEnvironment

SocialGovernanceMaterial Data Control by the International
Material Data System (IMDS)
Data on the hazardous substances contained in vehicle parts delivered by suppliers are collected by theInternational Material Data System (IMDS), an international system for collecting such data. Together withoverseas plants such as Mitsubishi Motors (Thailand)Co., Ltd. (MMTh), we utilize the collected data undera globally centralized internal system for reducing
hazardous substances.
In cooperation with suppliers, we are complying
with the REACH regulation, a general system for theregistration, evaluation, authorization, and restrictionof substances used in the EU.

Hazardous
Substance
control

Data input
requestInternal
systemReduction of In-Cabin VOCs
To provide customers with a healthy and safe cabin
space, we work to reduce volatile organic compounds(VOCs) inside the cabin.
VOCs are organic compounds that are easily volatilized at room temperature such as formaldehyde
and toluene. These compounds are thought to cause
sick building syndrome, and may irritate the eyes,
nose, and throat. In an automobile cabin, they aremainly generated by adhesives and paint used in interior parts.
Please see the JAMA website for details regarding
the Voluntary Guidelines.
WEB http://www.jama-english.jp/release/release/2005/050214.html

Flow of Data Collection through IMDS
Mitsubishi Motors

ESG Data

Data
download

Suppliers
Data input

IMDS

Progress
We are working to reduce in-cabin VOCs by developing materials with low VOC emissions and technologies to reduce VOCs generated inside the cabin.
Example of Measures to Reduce VOCs

*1 REACH stands for “Registration, Evaluation, Authorisation andRestriction of Chemicals.” Enacted on June 1, 2007, the REACH
regulation is a general system to register, evaluate, authorize
and restrict the use of substances*2 Persistent Organic Pollutants
Data (p. 110): Emissions of Sulfur Oxide, Nitrogen Oxide, VOC(Volatile Organic Compounds) and Ozone-Depleting
Substances
Data (p. 113, pp. 116–118): Atmospheric pollutants and PRTR-designated pollutants

Reduced aldehydes in pile adhesives
Reduced organic solvents in fabric adhesives
Reduced VOCs by using spun-dyed highgloss interior parts
AirReduces VOCs with clean air filter withconditioner deodorizing function
CarpetSeat
Ornaments

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Sustainability Management

Preventing Air Pollution
Reduction of VOC Emissions from Production
Processes
MITSUBISHI MOTORS is applying the waterborne 3WET
paint method*1 to its painting process to reduce
VOC emissions. In Japan, we use this method at theMizushima Plant and the Okazaki Plant. Overseas, thesystem is used on the No. 3 paint line at Mitsubishi Motors (Thailand) Co., Ltd. (MMTh). MMTh also plans to use
this approach at a new paint plant it is constructing.

FeatureEnvironment

SocialManagement of Air Pollutants

adjusting production lots and increasing the amountof used thinner we recover. Through these moves, weare reducing VOC emissions from vehicle production.
*1 With this method, water-soluble paints are used for the middle andtop coats. Solvent-based paint is used only for the clear overcoat.
Data (p. 110): VOCs (volatile organic compounds)

ESG Data

We will continue to manage chemical substances

We follow laws and regulations to manage the con-appropriately to ensure both occupational health andcentrations and amounts of such air pollutants assafety and pollution prevention.

Nitrogen oxides (NOx), Sulfur oxides (SOx) and soot*2 PRTR is short for Pollutant Release and Transfer Register.

emitted in production processes.
To lower NOx emissions, we introduce low-NOx-

Appropriate Management of Hazardous Waste

content boilers and burners when upgrading or in-

We manage hazardous waste to avoid importing orstalling new equipment. To reduce Sox emissions, we

exporting hazardous waste that is restricted by theare using lower-sulfur boiler fuels, such as kerosene

Basel Convention on the Control of Transboundaryor natural gas.

Movements of Hazardous and Their Disposal*3.
We also transport and treat waste produced in Ja-

Data (p. 113): Atmospheric pollutants

pan appropriately, based on various legal requirements.

We are also upgrading our robotic and other painting systems, reducing the amount of paint used byGovernanceManagement of Chemical Substances
Appropriate Management of Chemical Substances
We have introduced a chemical substance management system for using chemical substances. Before
deploying substances, we examine their physical andchemical properties and the details of usage plans, aswell as legal requirements, conduct risk assessments,
judge whether they can be used and educate workers.
We also use this system to conduct centralized management of the most recent Safety Data Sheet (SDS)*3 T
 his convention stipulates international frameworks and procedures related to restrictions on the movement of certain types
of waste across national boundaries.

Appropriate Management of Waste
Containing PCBs
Harmful polychlorinated biphenyls (PCBs) are contained as insulation oil in transformers and condensers that were manufactured a long time ago.
We process waste containing PCBs appropriately, in
accordance with the Act on Special Measures concerning Promotion of Proper Treatment of PCB Waste.

information. In addition, we use data from this system
to ascertain the quantity of PRTR*2 substances used
New paint plant under construction in Thailand (MMTh)and report on their usage and emissions, as well asother aspects of legal compliance.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Conservation of Water Resources
Medium- to Long-Term Vision for Material Issues

Long
Term

Risks

Opportunities

Direction of Responses Water shortages and water pollution could raise the uncertainty
and cost of securing water resources.
 Flooding and other damage arising from climate change could
halt operations and reduce earnings.
 We could face higher costs in response to increasingly stringent
regulations on water withdrawal and discharge.

 We could lessen the impact of water stress by
reducing our dependence on water resources.
 We could reduce costs by reducing water use andincreasing the water reuse rate.

 Based on the impact climate change, resource
extraction and pollution have on water resources(concentrated rainfall, droughts, water pollution
and water shortages), we will address these issues,helping to reduce water risk and preserve water
resources.

Stakeholders’ Needs and Expectations

Medium-Term Targets

External Environment
MediumTerm

 Climate change resulting in extreme weather events, resulting inenvironmental changes and increasingly severe water shortages
 Growing populations and urban development in emerging markets exacerbating water pollution Plastics causing marine pollution Mounting demands for environmental consideration  Promote climate change countermeasures andinitiatives targeting resource recycling and pollu Growing ESG investment (investors promotingtion prevention
changes in corporate activities) Manage the amount of water used based on water
risks at each production facility, and monitor thequality of discharged water

FY2020 Materiality Targets and Results
Details of Main Initiatives
Manage water risks at each production
facility

: As planned : Delayed

FY2020 Targets

Indicators

Increase the number of locations where we understand the amount of water used

SelfEvaluation

FY2020 Results

Number of locations where Understand the amount of water used at overwe understand the amount seas locationsof water used

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Sustainability Management

Basic Approach
Due to the increasing population and changes in thenatural environment caused by climate change, thedemand for water in specific areas is expected to
grow tighter, and social concern for the preservationof water resources are increasing.
MITSUBISHI MOTORS requires a large amount ofindustrial water, city water, and groundwater, etc., forthe automobile production process and discharge ofwater into sewage lines and rivers, etc. In regions wherewater risk is high, it is essential to consider the impactthat water withdrawal and discharge from our businessactivities have on the surrounding environment.
At business sites, we comply with various legal requirements, such as on the quality of discharged wa-

FeatureEnvironment

SocialWater Withdrawal Source and Drainage of Each Plant
Plant
Okazaki Plant(Okazaki, Aichi Pref.)Water Withdrawal
Drainage
SourceYahagi River
Kanda River
Tributary →Kanori River
Lake Biwa
Sewage line

Kyoto Plant –Kyoto(Kyoto, Kyoto Pref.)Kyoto Plant –Shiga
Lake Biwa
Sewage line
(Konan, Shiga Pref.)Mizushima Plant
Takahashi River Hakken
River →
(Kurashiki, Okayama Pref.)Mizushima
Port
Kiso River
Pajero Manufacturing Co., Kiso River
Ltd. (Sakahogi-cho, Gifu
Pref.)
Mitsubishi Motors (Thai- Nong Pla Lai
Sewage lineland) Co., Ltd. (MMTh)
Reservoir, etc.
Mitsubishi Motors Krama Lake Jatiluhur Sewage line
Yudha Indonesia (MMKI)

Governance

ESG Data

Reduction of Water Withdrawal Volume
We are striving to reduce water withdrawal volumes
by reusing washing water used in production processes for pre-washing and by circulating coolingwater and temperature control water.
At the Okazaki Plant, rainwater storage tanks havebeen set up in order to reuse rainwater. We have also
set up equipment to filter groundwater so that it canbe used to supply drinking water during disasters topeople nearby the plant.
Data (p. 111): Withdrawn water volume

ter. In addition, we work to reduce water withdrawal
amounts and introduce water recycling technologies
based on the status of water resource management
in individual countries and regions.

Rainwater storage tanks(Okazaki Plant)

Also, as water is required for the operations of ourbusiness partners. We are aware of the importance

Groundwater membrane
filtration equipment(Okazaki Plant)of water risk management throughout the entire
value chain.

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Commitment of
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Sustainability Management

Reuse of Discharged Water
Mitsubishi Motors Krama Yudha Indonesia (MMKI) is
making efforts to recycle wastewater and reuse rainwater in order to reduce water withdrawal. In FY2020,
roughly 47% of the water processed in its wastewater
treatment plant is reused within MMKI.
We are upgrading our discharged water recycling
plant in preparation for the start of operations in
FY2021 of a new paint plant under construction at
Mitsubishi Motors (Thailand) Co., Ltd. (MMTh). At thisplant, we plan to introduce a system that will recycle
up to 75% of water internally.
Data (p. 111): Wastewater volume

FeatureEnvironment

Socialwe confirm that no toxic substances are being discharged to the outside area. In order to quickly detect
abnormalities in discharge water quality due to such

ESG Data

TOPICS

Completion of Construction to Separate Piping forfactors as rainfall, we set up a surface oil detector* in

Rainwater and Plant Discharge (Kyoto Plant)

front of outlets leading from the plant to public water

In old sewer systems, rainwater and domestic wastewater flow together and are eliminated through the same
pipes as “combined sewerage.” During typhoons andheavy rains, water volumes can exceed the capacity of
downpipes and water treatment facilities. In such cases,
water is diverted into rivers and other public waterways.
There is continuous needs to reduce this pollution load.
Remnants of this old sort of combined seweragesystem were intact at the Kyoto Plant (established in1944). To completely separate piping for factory wastewater and rainwater, we have moved forward withphased construction to install new wastewater-specificpiping. Construction began in FY2019, and in FY2020
we completed the work, separating the water flows
completely. As a result, we are reducing rainwater flows
into the public sewerage system and preventing theflow of factory wastewater into public water supplies.

and continuously monitor discharge water conditions.
We carry out continuous monitoring so that water
discharged from the plant does not affect the environment outside the site. In the event of an accident, we
respond quickly to prevent pollution from spreading,report to the local authorities and disclose information
to the community.
At the Mizushima Plant, we are stepwise up grading equipment for processing discharged water that
had deteriorated over time. In FY2021, we plan tocomplete and commence operations at a community plant for processing
domestic waste water
emitted from offices.

Discharged water recycling plantunder construction (Thailand)

Governance* Detects the presence of oil bycapturing changes in reflectance as the reflectance of oil
is greater than that of water.

Data (pp. 114–115): Water
pollutants

Observation well (Okazaki Plant)

Prevention of Water Pollution
To prevent water pollution in areas surrounding
plants, we measure and manage the quality of dis-

Underground construction to install wastewater
piping for factory water discharge (Kyoto Plant)

charged water based on legal requirements. We also
conduct surveys and confirmations regarding thequality of groundwater and soil pollution. In this way,

General effluent treatment
facilities (Okazaki Plant)

Surface oil detector(Okazaki Plant)

For details on the issues with combined sewerage, see the Cityof Kyoto website (Japanese only).
WEB https://www.city.kyoto.lg.jp/suido/page/0000008679.
html

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Preservation of Biodiversity
Medium- to Long-Term Vision for Material Issues
Risks

Long
Term

Opportunities The loss of ecosystems could lead to environmental changes
that raise the uncertainty and cost of procuring resources.
 Land use for business operations could cause ecosystem losses,
reducing our corporate image.

External Environment
MediumTerm

Direction of Responses Based on the impact climate change, resource Prevent resource procurement uncertainties andextraction and pollution have on the ecosystem
rising procurement costs(species extinction and change, reductions and Prevent a decline in the corporate image by allevidisappearance of habitat and migratory regions),
ating and recovering from the impact on ecosyswe will address these issues to help reduce ecotems due to land use for business operations
system losses.
 Enact measures that are in harmony with local
biodiversity.

Stakeholders’ Needs and Expectations

Medium-Term Targets

 Mounting demands for environmental consideration  Promote climate change countermeasures and Growing international call for conservation based on the May
initiatives targeting resource recycling and the2019 assessment report by the Intergovernmental Science-Policy  Growing ESG investment (investors promoting
prevention of pollution
Platform on Biodiversity and Ecosystem Services (IPBES)
changes in corporate activities) Promote community-based initiatives to address Consideration on adopting a “post-2020 biodiversity framework”
environmental issues
at the COP15 biodiversity summit (to be held in Kunming, China, in
October 2021)

FY2020 Materiality Targets and Results
Details of Main Initiatives
Promote preservation activities thatleverage the results of ecosystemsurveys at locations in Japan

: As planned : Delayed

FY2020 Targets

Indicators Nurture and protect indigenous species at businesssites in Japan Conduct tree-planting and cultivation activities inJapan and overseas

Initiatives
Conducted

FY2020 Results Created a biotope* at the Kyoto Plant Planted and cultivated trees at Pajero Forest(Yamanashi Prefecture) Launched an afforestation project in Thailand

SelfEvaluation* A biotope is a space where organisms can live in natural surroundings.

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialBasic Approach

MITSUBISHI MOTORS Group
Guidelines for the Preservation of Biodiversity

All living things are intricately connected in various
relationships and live in balance. We benefit from thisbiodiversity in our lives.
MITSUBISHI MOTORS both directly and indirectly
impacts on biodiversity due to land use (including theconstruction of plants), the release of chemical substances from plants, and the greenhouse gas emitted
from the use of the company’s products and businessactivities. Meanwhile, climate change is transforming
regional environments, which has a major direct impact on ecosystems. We believe it is a priority to enact
climate change countermeasures, protecting biodiversity so that we can continue to enjoy its blessings.
The company formulated the “MITSUBISHI MOTORSGroup Guidelines for the Preservation of Biodiversity”
in August 2010 and promotes conservation activities.
None of our business sites in Japan are located inor adjacent to protected areas according to the Nature Conservation Act and prefectural codes. However, we conducted surveys on ecosystems in order tounderstand the impact our business activities haveon biodiversity.
We are collaborating with OISCA to preserve forests in Hayakawa-cho, Yamanashi Prefecture, whileinteracting with the local community through volunteer employee activities. These activities aim to protect metropolitan water sources and spread awareness of the environment among our employees.
We are also promoting preservation activities ataffiliated companies overseas.

The MITSUBISHI MOTORS Group will continue to track andreduce its impact on biodiversity, recognizing that theactivities of humankind can both benefit from and affectthe diversity of living organisms. To this end, the entire
Group will take on initiatives for preventing global warming and environmental contamination, and promote therecycling and efficient use of resources, while engaging
in activities that pay consideration to biodiversity.
1. Consideration to biodiversity in business activities
	We will track and reduce the impact of business activities on biodiversity by conserving energy, reducing
the generation of waste, and curtailing the release ofchemicals. At the same time, we will also pay consideration to neighboring communities when making useof land for factory construction and other purposes.
2. Consideration to biodiversity in products	We will promote fuel efficiency, exhaust gas
countermeasures and recycling-friendly design ofour products, while striving to select and use materials that pay consideration to the environment.
3. Education, understanding and self-awareness	We will continue to educate the entire Group frommanagement to employees on the front lines toshare a common understanding and develop a
self-awareness of the relationship between businessactivity and biodiversity.
4. Cooperation and collaboration with society	These activities will be promoted in cooperation
with all stakeholders including the supply chain,stockholders, local governments, local communities,
non-profit organizations (NPOs) and non-governmental organizations (NGOs).
5. Information disclosure	We will strive to disclose and disseminate the content and results of these activities to customers andlocal communities.

Governance

ESG Data

Promoting Preservation Activities by Utilizing
Ecosystem Surveys at Domestic Business Sites
Ecosystem Surveys at Business Sites in Japan
Production of vehicles requires largescale plants. We
believe that assessing the impact that the use of landin company business has on local biosystems is important to our biodiversity protection initiatives.
Based on this concept, we conducted ecosystemsurveys at our domestic business sites with largescaleland, such as our factories with support from consultancies related to biodiversity. Ascertaining biosystems
not only in domestic business sites but also in thesurrounding environment by means of field surveys
and documentary research leads to maintenancemeasures that are in harmony with local biodiversity.
Locations Where Ecosystem Surveys Were ConductedFiscal Year
2013
2015
2017
2018
2019

Location
Kyoto Plant-Shiga
Okazaki Plant
Mizushima Plant/Kyoto Plant-Shiga*
Tokachi Research & Development Center
Kyoto Plant-Kyoto* A monitoring survey was conducted to confirm the preservation
effects of the measures.

Data (p. 119): Biodiversity data
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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialCreating a Biotope at the Kyoto Plant

hearts and bulrushes, creating a habitat for dragon-

Based on an ecosystem survey conducted in FY2019,flies, locusts and other insects.

Governance

ESG Data

On the site of the Kyoto Plant, we work to preserve
the region’s biodiversity through such efforts as cul-

we learned that the Kyoto Plant serves as a refuge

Aquatic plant seedlings were separated out by

tivating Asarum caulescens, a native species that iswhere certain plants and insects can survive locally,“Sustainable Kyoto,” an environmental education cen-

deeply rooted in the culture of Kyoto. Going forward,

and we found that this area was an important en-

ter within the Kyoto City Southern Clean Center.

we will also nurture the connections between the Kyo-vironment in terms of preserving regional diversity.

to Plant and the natural surroundings we discovered

Within the plant, we found a diverse profusion ofduring this ecosystem survey. Through ongoing main-

plant and insect varieties, compared with the green-

tenance of the site’s greenery, we will maintain biodi-

ery surrounding the plant. At a pond in the square,versity and strive to preserve the regional ecosystem.

we found four types of dragonfly larvae, including theSympetrum eroticum eroticum.
Relaxation Plaza

Prickly water lily

Overseas Preservation Activities

Unusual Flora Discovered in the City during Our Survey

Mitsubishi Motors (Thailand) Co., Ltd. (MMTh) has
established a non-profit organization, the Mitsubishi
Motors Thailand Foundation (MMTF). The company
announced in January 2021 that as the first phase of
its activities, the foundation would promote the “60Rai Reforestation” Project to commemorate MMTh’s
Ranunculus japonicus

Carex doniana

Floating heart

Bulrushes

60th anniversary. Working with Thailand’s Royal For-

The prickly water lilies we cultivated at the pond in

est Department and the Thailand Greenhouse Gas

the Relaxation Plaza have steadily

Management Organization, in FY2021 the foundation

grown to the point where seeds

will endeavor to revitalize an area of forest covering

can be collected. Some seeds that60 rai (9.6 hectares) in eastern Chonburi and Sa Kaeo

were grown into seedlings at theprovinces. Employees

Sustainable Kyoto facility werefrom MMTh and people

returned to their original location.

from the local communi-

Through Sustainable Kyoto, wety will work together to

In FY2020, we turned a pond within an area ofplan to provide seeds to compa-

cultivate an awareness ofthe plant called Relaxation Plaza into a biotope. We

nies and schools in Kyoto so they

regional environmental

worked on the pond and grasslands to cultivate indig-

can cooperate in growing andenous species such as the prickly water lily, floating

breeding rare aquatic plants.

Sympetrum eroticum eroticum dragonfly larvae

Seeds collected fromthe prickly water lily

preservation.

Planting trees in Thailand(Chonburi Province)

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Commitment of
Top Management

SocialSustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

SocialDelivering Products which Help Prevent Traffic Accidents������������������������������������������������������������53

Promoting Occupational Health and Safety������������������������������������������������������������������������������������������������77

Basic Approach������������������������������������������������������������������������������������������������������������������������������������������������������������������53

Basic Approach, Management Organization, Initiatives to Ensure Workplace Safety�������78

Management Structure, Development of Safety Technology������������������������������������������������������������54

Responses to COVID-19������������������������������������������������������������������������������������������������������������������������������������������������79

Traffic Safety Education and Promotion����������������������������������������������������������������������������������������������������������56

Labor-Management Relations���������������������������������������������������������������������������������������������������������������������������������80

Improvement of Product, Sales, and Service Quality��������������������������������������������������������������������������57

Respect for Human Rights������������������������������������������������������������������������������������������������������������������������������������������81

Basic Approach and Quality Policy������������������������������������������������������������������������������������������������������������������������58

Basic Approach and Human Rights Policies, Management System�����������������������������������������������81

Improving Product Quality, Vehicle Quality Evaluations and Guarantees Based on
a Customer Perspective, Improving Perceived Quality, Improving Sales Quality��������������59

Complying with the Human Rights Policy��������������������������������������������������������������������������������������������������������82
Access to Assistance�����������������������������������������������������������������������������������������������������������������������������������������������������83

Improving Service Quality, Use of Customer Voice������������������������������������������������������������������������������������60
Management Structure������������������������������������������������������������������������������������������������������������������������������������������������62

Achieving a Sustainable Supply Chain���������������������������������������������������������������������������������������������������������������84
Basic Approach������������������������������������������������������������������������������������������������������������������������������������������������������������������84

Contribution to Local Economy through Business Activities��������������������������������������������������������64

Management System, Rollout of Supplier CSR Guidelines,
Rollout of Green Procurement Guidelines����������������������������������������������������������������������������������������������������85

Basic Approach, Management Structure, Employment,
Human Resource Development, Investment���������������������������������������������������������������������������������������������65

Policies on Conflict Minerals, Establishing a Business Partner Helpline,
Promoting Supply Chain Management����������������������������������������������������������������������������������������������������������86

Technology Transfer, Export, Environmental and Social Contribution�����������������������������������������66

Initiatives for Business Continuity Plans in the Supply Chain�������������������������������������������������������������87

Promotion of Work Style Reforms in Response to the New Normal(Diversity, Work-Life Balance)������������������������������������������������������������������������������������������������������������������������������67

Promoting Social Contribution Activities�������������������������������������������������������������������������������������������������������88

Basic Approach, Management Organization, Employee Surveys�����������������������������������������������������68

Basic Approach and Policies��������������������������������������������������������������������������������������������������������������������������������������88

Promoting Diversity,
Promoting Women’s Participation and Advancement in the Workplace��������������������������������69

Society, Traffic safety����������������������������������������������������������������������������������������������������������������������������������������������������89
Environment, People������������������������������������������������������������������������������������������������������������������������������������������������������90

Promoting a Work-Life Balance�����������������������������������������������������������������������������������������������������������������������������70

MITSUBISHI MOTORS STEP Funds and Matching Gift Program����������������������������������������������������������91

Increasing Employment of Senior Workers,
Promoting Employment of People with Disabilities, Global Action��������������������������������������������71

Support for Disaster-Stricken Areas, Supporting Measures to Address COVID-19���������������92

Promoting LGBT Awareness, Participating in Initiatives Outside the Company���������������������72

Stepping up Human Resource Development����������������������������������������������������������������������������������������������73
Basic Approach������������������������������������������������������������������������������������������������������������������������������������������������������������������73
Management Organization����������������������������������������������������������������������������������������������������������������������������������������74
Training and Education, Career formation and evaluation�������������������������������������������������������������������75
Fair Compensation System����������������������������������������������������������������������������������������������������������������������������������������76
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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Delivering Products which Help Prevent Traffic Accidents
Medium- to Long-Term Vision for Material Issues
Long
Term

Risks

Opportunities An increase in serious accidents as society ages A rise in accidents due to a surge in automobile ownership in emerging markets

 Maintain the brand and expand sales by introducing
advanced technologies

External Environment
MediumTerm

Direction of Responses MITSUBISHI MOTORS’ uniqueness: Environment x safety,
security and comfort

Stakeholders’ Needs and Expectations Laws and regulations related to traffic accidents,
heightened government safety targets

 Customers: Growing expectations for active safety
technologies Increasingly stringent standards for information disclosure testing and assessment, such as NCAP Local communities: Providing a safe means of mobility for all people

Medium-Term Targets Provide customers with safe, secure and comfortablemeans of mobility with the environment at the core

FY2020 Materiality Targets and Results

: As planned : Delayed

Details of Main Initiatives

Delivering products which help prevent traffic
accidents

FY2020 Targets

Indicators

Formulate basic policies for individual safety technologies Formulation of policies
as planed

Basic Approach
MITSUBISHI MOTORS is aware of its responsibility
towards traffic safety as an automaker, and we haveset “Delivering products which help prevent traffic
accidents” as a key part of our sustainability activities.
Approximately 1.35 million people are lost in traffic
accidents worldwide every year* As vehicle ownershipincreases in emerging countries in particular, traffic
accident fatalities are also on the rise. Reducing thenumber of traffic accidents is an urgent matter glob-

FY2020 Results

Formulated asplannedSelfEvaluation

ally. A new target was adopted for Target 3.6 of the
Sustainable Development Goals (SDGs) at the 74th UN
General Assembly in 2020. This target calls for halving
the number of global deaths and injuries from roadtraffic accidents between 2021 and 2030.
We are upholding the safety philosophy towards
a car society with zero traffic accidents. To this end,
we are taking action from two perspectives: developing safety technologies and promoting traffic safety
education.
*2018 World Health Organization (WHO) survey

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Sustainability Management

Management Structure

FeatureEnvironment

SocialDevelopment of Safety Technology

With regard to product development, the productBy reflecting a variety of safety technologies in oursafety committee has established guidelines and a

products, we aim to ensure our customers can drive

strategy for safe development based on the MITSUB-

in safety, security and comfort.

ISHI MOTORS’ safety philosophy. The committee also
formulated an automobile safety framework as our

Active Safety Technology to Avoid Crashes

approach to safety technology. We are conducting

We are working to develop and install various active

initiatives based on three points: 1. technology to help

safety technologies to help to eliminate traffic acci-

prevent traffic accidents (active safety), 2. technology

dents preemptively.

to mitigate damage from traffic accidents (passive
safety) and 3. Avoidance of dangers, both in hardware

Active Safety Technologies

and software, assumed as industrial products (funda-

Using millimeter-wave radar and cameras, these

mental product safety).

technologies help to detect the risk of accidents andWe are also working to enhance the management

help prevent, avoid or mitigate damage.

structure by educating R&D personnel, promoting
awareness of the safety philosophy and automobile
safety framework.
Automobile Safety Frameworkomobile SafetyAut
fic Safety
TrafA
Pre ccive

Accide
Mit ntig

Realizing
zero
accidentsgema
Da ionat

nt
de tion
n

ft

w

rd

e

So

me

n t a l P ro d u c t

fe

t

y

F

da

ar

ar

e

Ha

w

un

Sa

Governance

ESG Data

Active safety functions
Function
Forward Collision Mitigation Brake System

Description
Detects vehicles and pedestrians ahead. If there is a risk ofcollision, the system alerts thedriver or applies the brakes tohelp avoid a collision or mitigate
collision damage.
Forward Collision
Monitors two vehicles in front
Prediction Warningof the traveler. It detects achange in the situation ahead
which is difficult to see from thedriver, and alerts the driver withan alarm and a display.
Lane Departure Warn- The warning system monitors
the lane markers ahead of theing System and Lanevehicle and provides alarms andDeparture Prevention
displays to alert the driver if the
Functionvehicle appears likely to driveout of the lane.
In addition, the Lane Departure Prevention Function takes
control of the brakes for a shortperiod of time, helping to keep
the vehicle in its lane.
Adaptive Cruise Control This system automatically
Systemfollows the vehicle ahead by accelerating, decelerating or stopping. By helping to maintain aset distance between vehicles,
the system reduces the burden
on the driver.
Ultrasonic Misaccelera- When the driver drives forward
tion Mitigation System or in reverse, the system helps
to prevent acceleration causedby misoperation of the gear
shift or accelerator pedal.
Automatic High Beam Automatically switches between
low beams and high beams by
detecting whether there is anapproaching vehicle or vehicle
ahead, the ambient lighting
conditions, and other factors,
helping safer nighttime driving.

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FeatureEnvironment

SocialGovernance

ESG Data

Body Structures that Protect People

mitigate injury to pedestrians’ heads. Energy- absorb-

In the event of a collision, it is crucial to have a ve-

ing structures that help to protect pedestrians’ legs

Avoidance of Dangers Assumed as Industrial
Products

hicle body structure that mitigates the impact on

are used in bumper faces and headlights, for example.

On the hardware (physical) side, we use flame-re-passengers and provides adequate space. MITSUBISHI

tardant materials, employ isolation structures on

MOTORS has adopted the Reinforced Impact Safety

high-voltage components and use other technologies

Evolution (RISE) body, and enhance collision safety

to enhance safety and security.
On the software side, we use firewalls on vehicle

performance in all directions: front, rear, and sides.
For example, the new OUTLANDER, which launched in

networks and employ encrypted communications toNorth America in April 2021, uses a front-to-rear straight

reduce the risk of cyber threats via electrical equip-

frame structure that can efficiently absorb collision en-ment mounted in vehicles.

ergy. The vehicle interior (cabin) uses high-strength steel
plates, as in the past. In addition, hot-stamped ultrahigh-tensile-strength steel is used to achieve enhanced
passenger safety while reducing weight.
We are also pursuing safety with regard to pedestrians, as well as drivers and passengers. For example,
we have adopted energy-absorbing structures in thehood, cowl top, windshield wipers and other parts to

Results of Major Third-Party Safety Evaluations
RegionUnited States

NCAP*

Third-Party Evaluation

ASEAN
Australia

ASEAN NCAP*
NCAP*

RISE Body used in the new OUTLANDERModel
OUTLANDER PHEVECLIPSE CROSSOUTLANDERECLIPSE CROSS PHEV

RatingOverall 555Period: May 2020 to June 2021
* Abbreviation of New Car Assessment Program. An automobile safety testing and assessment program implemented by a third-party
organization in each country or region.

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Sustainability Management

Scope of Support Cars Expanded

FeatureEnvironment

SocialIn addition, our forward collision mitigation braking

Safety support cars are vehicles equipped with ad-

system and pedal misapplication prevention device

vanced technologies that support safe driving. It is

have been certified as achieving a certain degree ofa new automotive safety concept, as an effort toperformance under the Ministry of Land, Infrastruc-

help prevent traffic accidents among senior drivers,

ture, Transport and Tourism’s “Advanced Safety Tech-

being promoted in Japan through collaboration be-

nology Performance Evaluation Certification System.”

tween the government and private sectors. Vehicles
are classified into the following categories: “Safety
Support Cars” or and “Safety Support Cars S” (Basic,
Basic +, and Wide) depending on the features in eachvehicle. MITSUBISHI MOTORS is expanding its lineup ofsafety support cars.
Safety Support Car Models (as of June 2021)

Safety Support Car S Wide Models
ECLIPSE CROSSOUTLANDER PHEV
DELICA D:5
DELICA D:5 URBAN GEARRVR
eK WAGON
eK CROSSeK SPACE
eK CROSS SPACE
DELICA D:2
DELICA D:2 CUSTOMMIRAGETOWN BOXMINICABMINICAB TRUCK

Certified Models (As of June 2021)(Forward Vehicles) Forward Collision Mitigation Braking System(Pedestrians) Forward Collision Mitigation Braking System
ECLIPSE CROSSDELICA D:5
eK WAGON
eK CROSSeK SPACE
eK CROSS SPACE
DELICA D:2
TOWN BOXMINICABMINICAB TRUCK

Governance

ESG Data

Traffic Safety Education and Promotion
The Company seeks to reduce the number of traffic
accidents by conducting traffic safety education andpromoting awareness. In these ways, we are working
to raise safety awareness throughout society.

Dissemination of Traffic Safety Information
Automobile Safety Facts Guide Website
We disseminate information on the proper use of
equipment and other topics that require drivers’
special attention so that drivers will use automobiles
more safely.

Pedal Misapplication Prevention Device
ECLIPSE CROSSDELICA D:5
eK WAGON
eK CROSSeK SPACE
eK CROSS SPACE
DELICA D:2
TOWN BOXMINICABMINICAB TRUCK
Vehicles That Pedal Misapplication Prevention
Device can be retrofitted
eK WAGON (2013–2019)
eK CUSTOM (2013–2019)
eK SPACE (2014–2020)
eK SPACE CUSTOM (2014–2020)
MIRAGE (from June 2012)
DELICA D:5 (from January 2007)

Automobile Safety Facts Guide
WEB https://www.mitsubishi-motors.co.jp/support/safety/
popup/index.html(This site is only available in Japanese.)

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FeatureEnvironment

SocialGovernance

ESG Data

Improvement of Product, Sales, and Service Quality
Medium- to Long-Term Vision for Material Issues
Long
Term

Risks

Opportunities Quality problems that originate in product or service
quality
External Environment

MediumTerm

 Enhance loyalty and win new customers by providing
high-quality products and services

Direction of Responses Quality Policy**1 Please see 58 page for the details on the “Quality Policy”

Stakeholders’ Needs and Expectations Customer perspective: Sense of satisfaction in relation Increasingly diverse customer needs as vehicles beto quality through various contact points with products
come more advanced (electrification, intelligence)and MITSUBISHI MOTORS Increase in vehicle off-board functions (connected, link Business perspective: Maintain and enhance managewith smartphones)
ment to ensure against losing trust on the quality front

1

Medium-Term Targets
 Through quality MTP, earn top level customers evaluations in our core market of “ASEAN5” (Thailand, Indonesia, the Philippines, Vietnam and Malaysia)

FY2020 Materiality Targets and Results
Details of Main
Initiatives

: As planned : Delayed

FY2020 Targets

Indicators

Improving product quality Ratio of defects identified within 3 months in service of
new vehicle sale
Improving sales quality

Improving service quality

SelfEvaluation

FY2020 Results

Ratio of defects identified within 3months in service of new vehicle sale

Achieved reduction target

Sales Satisfaction Index (SSI)
Top 3 ranking in industry surveys in the ASEAN5*2

Sales Satisfaction Index (SSI)

Sales Satisfaction Index (SSI)
Achieved target in three of the five ASEAN5
countries

Customer Satisfaction Index (CSI)
Top 3 ranking in industry surveys in the ASEAN5*2

Customer Satisfaction Index (CSI)

Customer Satisfaction Index (CSI)
Achieved target in all five of the ASEAN5 countries*2 Three countries of Indonesia, Philippians and Malaysia set internal target instead of industry survey because these countries were not conducted industry survey.

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Basic Approach and Quality Policy
Based on Quality Policy revised on April 1, 2019,MITSUBISHI MOTORS are undertaking measures toimprove quality in four categories: product quality,perceived quality, sales quality and service quality
in order to enhance quality in all stages from whena customer first considers purchasing a productthrough the vehicle ownership period,
Product quality includes the initial quality that
customers experience immediately after purchasing
a new car, and durability that customers experiencethroughout the entire period of use and so we sincerely listen to the opinions of customers and correct any

FeatureEnvironment

SocialGovernanceissues so that we can promptly make improvements.

ESG Data

Quality Policy

In addition, we are working to improve perceived

Quality is the fundamental requirement to support
our business.

quality in terms of aspects such as the usability, comfort, and appearance that customers perceive when

1. Commit to excellence in Product, Sales, and Service
Quality exceeding customer expectations

they observe, feel, and use our products.
With regard to sales quality and service quality
demonstrated at sales companies that have direct

2. Focus on Quality of Management to continuously
improve overall company performance.

contact with customers, we listen closely to customers
and make timely proposals and responses to customer

3. Comply with laws and global regulations to gain truston MMC quality.

requests to achieve high levels of customer satisfaction.
We strive to achieve the highest levels of quality
from the customer's viewpoint so that we can achievecustomer satisfaction during every point of contact
with customers.

The Four Quality Pillars Support Brand Image

Perceived
Quality

Sales
Quality

Purchase

MMC Quality House

Perceived
Quality

RejectBrand Value
Retention

Attractive Quality

Ownership Cycle
Customer Feedback

Product Quality(Initial/Durability)

Perceived
Quality

Sales Quality

Service Quality

InitialQuality

Outflow
Durability
Quality

Quality Mindset(HR Talent/Scheme)

Service
Quality

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Improving Product Quality
Dealing responsibly not only with defects related
to safety but also with regard to points raised andcomplaints about products is essential to improving
customer satisfaction.
Regarding vehicles that have already been sold,
MITSUBISHI MOTORS is taking measures to reduce
initial quality issues with a focus on defect incidents
that occurred within three months to twelve
months after sale. We have accelerated the speed ofresolution through collaboration between the qualityand development and production divisions, helping to
reduce customer complaints.
Furthermore, to improve the initial quality of its
new vehicles, we hold cross-functional “oobeya (largeroom) activities,” where employees from various
divisions (including development, production, service,quality control and procurement) meet in one roomfrom the point at which shipment starts to consider
countermeasures to address any problems that
may occur. This approach allows initial quality to be
improved more quickly.
Also, addressing issues that are not defects butthat can cause customer dissatisfaction helps toimprove processes during the development stage so
new vehicles can be improved.

FeatureEnvironment

SocialVehicle Quality Evaluations and Guarantees Based on a Customer Perspective
We are implementing a quality evaluation standard
based on a customer perspective customer’s point ofview called AVES* to ensure full quality assessments
evaluation on prototype vehicles under development,

Governance

ESG Data

Improving Perceived Quality
We are taking measures from the development stage
to improve quality with an emphasis on customer
perceptions in order to achieve high levels of customer satisfaction not only at the time of purchase, but
throughout the life of a vehicle after purchase.

vehicles undergoing quality verification and production vehicles sold to customers.

By looking at

By touching

By using the product

Good stance Integration Consistency

Good material
Good texture

Secure operation
Intuitive layout

Assessments AVES evaluations includes static
evaluations (interior and exterior appearances) anddynamic evaluations (when driving drivability). Dynamic evaluations check such aspects as noise, vibration, steering stability and various in-vehicle equipped
functions. AVES assessors evaluators (specially qualified Company personnel) perform assessments evaluations in the customer’s stead and checking achievement of various criteria against quality standards.
AVES plays an important role in deciding whether
to produce or start production of new models, as wellas in maintaining quality guarantees on production
vehicles. Accordingly, these assessments are evaluations are performed rigorously according to a rigorous
customer perspective the customer’s point of view.
* AVES is a quality evaluation system used across the Renault-Nissan-Mitsubishi alliance, in which specially trained experts assess
evaluates vehicles using more than 300 quality assessment
evaluation criteria established from the customer’s perspective
customer’s point of view.

Improving Sales Quality
We aim for top-level quality from a customer viewpoint and act in concert with sales companies toimprove the quality of sales and become a brand that
customers support and identify with.

Cooperation with Domestic Sales Companies

One of the measures that domestic sales companies
are taking is the provision of proposals and a newsales pitch experience tailored to customer needs bypromoting sales pitch styles using IT. For example,
sales companies introduced tablet PCs to provide
visual and easy to understand product explanations

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Commitment of
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Sustainability Management

and have customers that come to the sales outlets
use the tablets to respond to questionnaires regarding the quality of service in order to make timely
improvement. Further improvements in customer
satisfaction are being made through the timely sharing with nationwide sales companies of best practices
that have resulted in higher customer satisfaction.

Cooperation with Overseas Sales Companies

It is crucial to keep providing customer-oriented“superior service quality” from the customers' firstexperience of purchasing a vehicle at dealers where
customers and our meet.
We, hand in hand with partners in Japan and global
dealers, are improving our capabilities of customer
services, such as communication and technical skills,
to deliver more satisfaction than customers expectation.

Transferring Skills, in Japan
We have established its unique certification programfor dealer staff. And it is offering an appropriate training for each staff member according to their skills. It
is, after all, enhancing their capabilities of actual customer services.
We have 7 Technical Centers across Japan andorganizes technical meet-ups, seminars and technicalexpert visits, supporting dealers from various perspectives including highly technical advice. It ends up swift

ESG Data

pandemic. Supporting from our technical experts are,of course, available at global dealerships regarding
such as highly technical advice.

Use of Customer Voice
One of our Group’s missions is to provide rich experiences for customers by offering them attractive
products and excellent service, ensuring satisfaction
throughout the ownership cycle. For that reason, we
gather and analyze valuable customer comments andopinions received by domestic and overseas sales companies and by our Customer Contact Center. Our quality
control, development, production, sales, and service
divisions work together to actively improve quality.

Improving Quality through Customer Voice
Sales companies hold specific interviews with customers on defects and related conditions. The quality

response to customers.

sophisticate their competence in spite of the COVID-19

Contact

Service/
Quality Divisions

LiaiseTo ensure the same and high-quality customer services around the world, We have been introducing its
global-common-standard training and certification
program for automobile technicians aiming to advanced customer services.
On-line trainings are also available via internet.
It delivers ceaseless opportunity for dealer staff toCustomerContact Center

Contact

Transferring Skills, Global

LiaiseIn compliance with the laws and regulations of eachcountry and region, we strive to provide product andservice information and labeling displays.

Improving Service Quality

GovernanceSales
companies

Appropriate Product and Service Information
Disclosure

SocialCustomers* Thailand, Indonesia, the Philippines, Vietnam and Malaysia

Environment

LiaiseCooperation with sales companies in each country
and region is essential for achieving high customer
satisfaction overseas. MITSUBISHI MOTORS provides
product information to sales companies on a daily
basis and strives to gather comments and opinionsfrom local customers. In addition, we obtain market
information from sales companies and gather productrequests through interviews. In these ways, we strive
to gather input from local customers.
In FY2020, sales companies in various countries
and regions concentrated on sales activities underthe “new normal” conditions. For example, Within ourcore market ASEAN region*, we held online meetings among sales companies to share and discuss on
issues and solutions. We highlighted good examplesof sales companies’ efforts to enhance service qualityand distributed this information among the countries
and regions. In these ways, we supported sales companies’ efforts to augment customer satisfaction.

FeatureDevelopment
division/
Production
division

Service/
Quality Divisions

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sections have a system in place for sharing information
received from sales companies with relevant divisions.

FeatureEnvironment

SocialCustomer Support for Recalls and Other
Market Responses

Also, by using a newly introduced system to ana-

We have systems in place to provide information tolyze issues found in specific models, indications of de-customers in a timely manner in the case of market

fects from customers (quality information) and repair

responses such as recalls as a result of defects thatrecords, we can identify defect information and takeinvolve safety. We send direct mail to users of thecountermeasures at an early stage to improve quality.

affected vehicles and provide information on obtain-

Major Activities of the Customer Contact Center
cepts inquiries every day including weekends andwhether their vehicles are subject to a recall and theholidays. The various comments and information fromstatus of repair implementation.

customers are managed in a database. Of the points

Refer to the site below for information on recalls.

raised, matters regarding defects are addressed in

WEB http://www.mitsubishi-motors.co.jp/support/recall/This site contains the Japanese market information (only in Japanese).

enhancements. In addition, feedbacks as well as opinions about product functionality, or opinions about
specifications, are shared with relevant divisions andDomestic Cases and Number of Vehicles Involved in
Recalls, Improvement Measures, and Service Campaigns

that are particularly important are periodically report-

FY2016FY2017FY2018FY2019ed to management. Rather than outsourcing opera-

FY2020used to improve product capabilities even further.
Noteworthy comments and opinions including thoseContacts Received at the Customer Contact Center in
Fiscal 2020
Number of contacts: approx. 33,700b) Opinions and comments 11%

sales company at an early time. We also post information on our website so that customers can checkwith sales companies and are used for further quality

ESG Data

ing free inspections and repairs to be performed at a

MITSUBISHI MOTORS’ Customer Contact Center ac-order to resolve customer problems in collaboration

Governance

No. of cases
26 cases
27 cases
13 cases
15 casesNo. of units
Approx. 1,938,000 units
Approx. 629,000 units
Approx. 298,000 units
Approx. 590,000 units

19 cases

Approx. 655,000 unitsa) Inquiries 89%a) Breakdown of inquiries
Requests formaterials
3%

Other 7%
Vehicle body related(specifications,equipment, etc.)
39%

Electric Vehicles
Service-related
18%
Service-related(recalls, inspections,repairs, etc.)
33%b) Breakdown of opinions and comments

tions, our own personnel staff the Customer Contact
Center. Enabling our customers to communicate
directly with customers helps maintain high-quality

Other
31%

customer response and facilitates smooth interaction
among internal departments. This approach ensures

Servicerelated
22%

that customer feedback is used appropriately to improve products and services.

Vehiclebody
related47%

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialWe believe that ongoing improvements in company-

MITSUBISHI MOTORS analyzes quality information in order to realize “Top level quality from customer viewpoint”
and we set specific objectives for which we investigate and implement policies toward realization while regularly
following-up on the status of improvements.
Also, regarding information from customers about vehicle defects provided by sales companies, we haveestablished systems for immediate policy consultation, establishment and enactment by regularly gathering andsharing information.

Quality Strategy
Committee (QSC)

Quality of Management Committee(QMC)

Quality Management Meeting(QMM)

ESG Data

QMS*3 ISO 9001 Initiatives

Management Structure

Organization

Governancewide management quality are essential to achieving
excellence in product, sales, and service quality exceeding customer expectations. Accordingly, all departments across the Company are earning ISO 9001
certification, not only those involved directly in product quality or sales and service quality.
Ongoing improvements in management quality

Meeting
Chair
Members
Objective
Frequency
Deliberation and decision of straQuarterly Division general man- Directors in charge of deager of TCS*1 Division velopment and production, tegic topics in quality relating todivision general managers sales, service and products
related to sales, service andproduct quality
Quarterly Top management of
Sharing of best practices related
Division and plant general
QMS*2
managers, responsible per- to enhancing companywide manson of direct departments agement quality, responding toexternal examinations, reportingon items requiring correction andlateral deployment
Monthly
Division general man- Division general managers Confirmation of progress towardager of TCS Divisionand supervisors in special- product quality targets, considerist positions (section head ation and deliberation concerningor higher) of divisions relat- effectiveness of improvement
measures, provision of a forum fored to product quality
resolution in the event of defects*1 Total customer satisfaction*2 The Executive Officer, President & CEO or an executive designated by the Executive Officer, President & CEOmeans the following.
1) Prepare and implement annual plans with quantitative targets
2) Confirm progress at first-half and full-year management reviews3) S hare opportunities for improvement throughinternal audits4) Use certification bodies to conduct examinations(surveillance, recertification)
Overseas production bases are obtaining ISO 9001
certification in the same way. We will continue thisinitiative to ensure that the products we produce andsell around the world exceed customers’ expectations
for product quality, as well as sales and service quality.
*3 Quality Management System

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Developing a Quality-Oriented Mindset

Assessing the Needs of Customers

Improvement of Customer Focus

Since FY2014, MITSUBISHI MOTORS has been holding

By listening to the actual comments and opinions

For desired employees,, we are supporting the acqui-

Quality Forums in all domestic business locations inof customers, we are helping employees to consider

sition of Consumer Affairs Advisor qualification, whichconnection to activities that lead to increased qual-customer needs.

is a business qualification from the Prime Minister

ity in products, people and the Company as each

We incorporate this approach into the new em-

and Minister of Economy, Trade and Industry, with theemployee individually reassesses and improves theployee training curriculum for new graduates andobjective of considering needs from the perspective

quality of their work.

mid-career hires. We also provide numerous oppor-

of consumers and improving the quality of products
and services.

We also introduced Quality Forums in FY2018 attunities to take on customer perspectives, including

two overseas business locations: Mitsubishi Motors

through training for promoted personnel and volun-(Thailand) Co., Ltd. (MMTh) and Mitsubishi Motors Kra-

tary training courses.

ma Yudha Indonesia (MMKI). We plan to expand this

As of April 1, 2021, 65 qualification holders haveenrolled, making MITSUBISHI MOTORS 11th in the list

At the same time, we conduct and regularly up-

of companies with the largest number of qualification

date the video site for our Customer Voice Seminar

holders.*3 Around 70% of these people are from man-Due to the limitations imposed by the COVID-19

on the employee intranet. With this system, people

ufacturing and quality-related departments, demon-

pandemic, we launched a dedicated website, allowing

working from home or taking breaks from other tasks

strating a wide-ranging interest in and awareness of

the activities to be continued online.

can view the content at any time.

automaking from a customer perspective.

activity going forward.

*3 According to research by Japan Industrial Association

Number of Participants in Quality Forums
FY2017FY2018FY2019FY2020

Domestic forums

2,810
4,550
6,200
6,200*2

Overseas forums

Consumer Affairs Advisor qualification holders

—
1,880
800*1
2,310*2

Procurement/
Production 7%
Corporate
Affairs10%*1 Due to COVID-19, held only in Indonesia*2 Due to COVID-19, held online

Sales
12%

Other 2%

Product
Strategy/
Development
56%

Quality
13%

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Contribution to Local Economy through Business Activities
Medium- to Long-Term Vision for Material Issues
Long
Term

Risks
Opportunities
C ompanies from around the world are investing in the  Strengthen management base by developing human
ASEAN region, leading to concerns about labor shortresources.
ages and rising personnel costs.
 Ongoing capital expenditure could improve the working
E conomic development could lead to increasing inenvironment and raise productivity and efficiency.
come disparities within the region.

Direction of Responses We will develop our business in pace with the region.
We aim to grow along with the region through development and by resolving issues.

MediumTerm

External Environment
Stakeholders’ Needs and Expectations
Medium-Term Targets In the ASEAN region, Regional development through employment, human Conducting business with an emphasis on contributing
resource development, investment, technology transfer,to all stakeholders and society- Environmental regulations are growing stricter, andexports, the environment and social contribution
 Concentration of management resources with a busiindividual countries are promoting electrification policies with a view to increasing EV production volumes.
ness focus on the ASEAN region-M ultiple free trade agreement networks are being
expanded, facilitating exports and imports.

FY2020 Materiality Targets and Results
Details of Main
Initiatives
Employment
Human
resource
development
Investment

Technology
transfer

FY2020 Targets

Indicators

Continuous creation of local employment

Actualemployment
Number of training
sessions, numberof participants
Rate of progress
on investment
plan

Support for the development of
personnel responsible for thedevelopment of the local economy
Continuous implementation of capital
investment that supports the growth ofthe local economy
By continuing with local production,
support advances in the local
manufacturing industry
Localized production of engines

ExportEnvironmental
and social
contribution

: As planned : Delayed

SelfEvaluation

FY2020 Results

Created local employment for 11,000 people in Thailand, Indonesia, the Philippines and Vietnam(including non-full-time employees)
Representative examples of training
Sales and service training for dealer staff, business-level-enhancement seminars for local employees, “manufacturing training” to enhance technical skills, internal control and compliance training
Principal investment plans
Upgraded a paint plant and installed a rooftop solar power system in Thailand, prepared toexport commercial vehicles to the Philippines and ASEAN countries, considered a new plantin Vietnam
Progress on
Major projects
projects
Commenced local production of the XPANDER in Vietnam and Malaysia; in Thailand, Indonesia,
the Philippines and Vietnam, provided scholarships to vocational training schools andtechnical universities, provided training vehicles, and conducted traveling courses
Achieve business viability, reach KPI targets, and begin mass production of engines in
Business viability
KPI targets
Indonesia
Number of vehicles Exported 202,000 vehicles from Thailand and 39,000 from Indonesia
exported

Supporting growth of the local economy
through the acquisition of foreign
currency by means of export
Leverage our technologies and services to Level ofhelp resolve local social issues
contribution

Engaged in initiatives using the OUTLANDER PHEV
Began producing the OUTLANDER PHEV in Thailand; in Indonesia, donated OUTLANDER PHEV
vehicles to the Red Cross to assist in efforts to halt the COVID-19 pandemic

—











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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Basic Approach

Management Structure

Human Resource Development

MITSUBISHI MOTORS has been developing business in

Local subsidiaries take charge of planning and imple-

the ASEAN region since prior to the rise of motoriza-

menting activities in line with initiatives that targettion, and we have grown up alongside these countries

material issues in the ASEAN region. Our sales division,

while developing close ties with the region based on

which maintains administrative and supervisory func-

the idea that “regional development” is “MITSUBISHI

tions, is responsible for promoting these initiatives.

MOTORS development.”

In the four countries where our production bases are

In the ASEAN region, which is working to become
more industrially advanced, we help by providing
experience in automobile manufacturing, sales andservice. In addition to cultivating specialized expertise and skills, we cultivate people who are involvedin manufacturing and foster local economic growth.
In fiscal 2020, we maintained strict COVID-19 precautions, conducting some training online and providing OJT in other areas, depending on the individualcompanies’ circumstances. In Thailand, we conductedsales and service training for around 20,000 employees and dealer staff. In Indonesia, we conducted online training for local employees according totheir business level. In the Philippines, more than 200
employees received manufacturing training in the aimof enhancing the production division’s capabilities,
boosting their level of specialization. In fiscal 2021, weplan to continue providing training courses and OJT
according to conditions in each country.

In this region, where we have undertaken businesslocated (Thailand, Indonesia, the Philippines and Viet-

activities for many years, we are working proactivelynam), every six months we check with local subsidiar-to address local social issues. We aim to grow to-ies on the rate of progress and results of initiatives,gether, invigorate the region, cultivate the market,

reporting to the management team via the Sustain-

understand consumers’ needs and reinforce our own

ability Committee.

brand. We believe these efforts will allow us to simultaneously achieve social value and our own corporate

Employment

value. Our current mid-term business plan, “Small but
Beautiful,” calls for the concentration of management
resources, identifying the ASEAN region as a corebusiness area. We aim to achieve further growth byproviding customers with the products they require.
One of our material issues is “contribution to the local
economy through business activities.” In accordancewith this aim, by developing our business in the ASEAN region, we will contribute to the local economy
through employment, human resource development,
investment, technology transfer and exports.*1

Markets in the ASEAN region have been affectedby the COVID-19 pandemic. To help reinvigorate theeconomy and facilitate growth, we believe it is our
mission to continue to create employment in theregion. We employ approximately 11,000 people in
the four countries where we have production bases:
Thailand, Indonesia, the Philippines and Vietnam. In
fiscal 2021, we plan to create employment in line withour business plans.

In addition, by responding to social needs specificto the ASEAN region, we will engage in initiatives thatleverage our technologies and services in the areas ofthe environment and social contribution, as well.*2*1 Please see page 11 for details on identifying material issues*2 See pages 89–92 for specific examples.
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We continue to make capital investments in plants,
which support local economic growth. In Thailand,
where our largest overseas production base is located, we are building a new paint plant and installing arooftop solar power system. Through these efforts,
we are reconfiguring our manufacturing structure
to reduce environmental impact. In the Philippines,
we are setting up production facilities for the L300, acommercial vehicle model for export. In Vietnam, weare considering the construction of a new plant.
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Commitment of
Top Management

Sustainability Management

FeatureTechnology Transfer

Environment

SocialExportGovernance

ESG Data

Environmental and Social Contribution

In terms of technology transfer by production sites inExports generate foreign currency, which supports

Responding to environmental regulation is becoming

the ASEAN region, by continuing with local production

the continuous growth of the local economy. Mit-a more serious issue than ever before. Amid growing

we are supporting the advancement of the local man-

subishi Motors (Thailand) Co., Ltd. (MMTh) is ourmobility and worldwide advances in electrification,

ufacturing sector. MITSUBISHI MOTORS is also working

largest overseas production base. Leveraging thiselectric vehicles are swiftly being adopted in theto make our factories more competitive by trans-

strategic location, we export key models (including

ASEAN region, as well. Leveraging our strengths in EV

forming the value chain, such as by raising quality andpickup trucks and SUVs) to ASEAN countries andtechnologies and expertise, we are helping various

lowering costs. In fiscal 2020, we commenced local

globally. In fiscal 2020, the COVID-19 pandemic madecountries popularize EVs and resolve local social prob-

production in Malaysia of the XPANDER, a compact

market conditions extremely problematic. Even so,lems. In fiscal 2020, we commenced local production

MPV. We established a new engine assembly plant for

we exported 200,000 vehicles from Thailand. Fromand sales in Thailand of a plug-in hybrid electric ve-

the XPANDER in Indonesia. In addition to generatingIndonesia, we shipped approximately 40,000 units

hicle, the OUTLANDER PHEV, as well as launching in

new employment, the plant will encourage technolo-of the XPANDER, a compact MPV. We will continue

the Philippines. In Indonesia, we donated OUTLANDER

gy transfer from Japan and promote local parts pro-to enhance a mutually comprehensive structure for

PHEV models to the Red Cross, which used them tocurement. Mass production began at the plant in fis-

production within the ASEAN region, as well as main-

supply power in efforts to fight the COVID-19 pan-cal 2020. The COVID-19 pandemic limited the number

taining exports to other ASEAN countries and the rest

demic. Going forward, we will continue to provideof engineers we were able to dispatch from overseas.

of the world.

technologies and expertise related to electric vehicles

However, we provided local support remotely, and as

and EV infrastructure.

a result production was able to commence generally according to plan. Boosting engine production at
another location in the ASEAN region in addition to
Thailand has reinforced our competitiveness.
In fiscal 2020, we offered scholarships to technicaluniversities and vocational training schools in Indonesia, the Philippines and Vietnam. We also provided
training vehicles, conducted traveling courses, andprovided instructors for online seminars, supporting
vocational training with an eye to technology transfer.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Promotion of Work Style Reforms in Response to the New Normal(Diversity, Work-Life Balance)
Medium- to Long-Term Vision for Material Issues
Risks
Long
Term

MediumTerm

Opportunities

Direction of Responses Human resources could become concentrated at companies  The potential to secure excellent human resources,
product development from a diverse perspectivethat are progressive on diversity and work style reforms.
 Higher productivity Remote working could result in lower productivity (moredifficult to manage operations and personnel, breakdowns
in communication, problems with managing the working
environment).

 Create an environment where diverse human resources can leverage their capabilities Reform work style to heighten productivity

External Environment

Stakeholders’ Needs and Expectations

Medium-Term Targets Calls to create diverse workplaces that encourage promotion among women, foreign nationals and mid-career hires Disasters and infectious disease prompting a sharp rise inremote working

T he provision of equal opportunity
P rovision of working environments that suit individual
lifestyles and life events Creating workplaces where women and people
with disabilities can leverage their capabilities Establishing flexible working styles that enhance
productivity

FY2020 Materiality Targets and Results
Details of Main Initiatives
Promotion of work style reforms

Promotion of women’s participation
and advancement in the workplace

: As planned : Delayed

FY2020 Targets

Indicators

Ongoing implementation of work style reform measures Overtime hours (administrative and engineering staff)*1

18.7 hours/monthPaid leave taken (administrative and engineering staff, manufacturing workers*2,
medical workers*3)

19.3 days/year

Telecommuting ratio (Tamachi area)

77% (average for the fiscal year)79(As of April 2021)



2.36%
(As of March 2021)

Implementation of ongoing measures to promote wom- Number of female managers
en’s participation and advancement in the workplace

Promotion of employment of people Ongoing promotion of employment of people with
with disabilities
disabilities

SelfEvaluation

FY2020 Results

Percentage of employees with disabilities*1 Administrative and engineering staff: Employees who work in corporate planning, adjustment, research, auditing, and other professional and engineering categories*2 Manufacturing workers: Employees engaged directly in manufacturing work or parts supply, equipment maintenance, testing or other supplementary work; also, employees who engage in supervision or instruction, technical instruction, or on-site support*3 Medical workers: Employees who engage in medical and health-related work, such as doctors, pharmacologists and nurses

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Commitment of
Top Management

Sustainability Management

Basic Approach

Management Organization
We have been promoting telecommuting and flextime systems in our effort to develop an environment
where diverse employees can maximize their abilities.
To realize more flexible working styles through remote working, we recognized the need to consider
the situation from a medium- to long-term perspective. Accordingly, in July 2020 we established the Flexible Working Styles Consideration Committee, which ischaired by the Executive Officer, President & CEO. This
committee is deliberating and promoting initiatives.

Environment

SocialGovernance

Organization of the Flexible Working Styles
Consideration Committee

Since FY2013, we have conducted employee surveys

Flexible Working Styles Consideration Committee
Chair: Executive Officer, President & CEO
Vice-chair: Senior executive officer(in charge of corporate governance)
Members: Related senior executive officers,
executive officers and division
general manager
Instructions
Proposeon responses
agenda items

to identify issues affecting the Company, organizations, and individual employees. The survey results areused to improve awareness and operations at each
workplace.
In FY2019, we conducted a global survey target-

Committee secretariat

Departments in charge of human resources, IT and facilities<Action items>
Request• Establishing an HR system and operating rules(telecommuting ratios, overtime, holidays, etc.)• Setting up an IT infrastructure environment
Gatherand providing IT support tools, offering
information
education to improve IT literacy• Considering an office setup amenable toflexible working styles
Send
Gatherinformation
information

ESG Data

Employee Surveys

ing affiliated companies in Japan and overseas. In
Individual
divisions

MITSUBISHI MOTORS views the key to creating sustainable growth and improving corporate value in an
everchanging operating environment is people. We
therefore believe that realizing an environment isimportant where each and every person can perform
meaningful work and demonstrate his or her abilities,
and where people can work enthusiastically and ingood health, both physically and mentally.
Before COVID-19, it was usually assumed that employees would go to the workplace, but the pandemic
is changing this assumption. We have now shiftedto a flexible working style that is less dependent on
specific times and locations. To create value by leveraging diverse human resources, we are creating anenvironment that embraces working styles that help
individuals achieve a work-life balance and make themost of their capabilities. At the same time, we aim toenhance work productivity and the quality of life.

FeatureFY2020, we provided feedback to individual corporate
organizations.

Employees

Examples of Work Style Reform Initiatives

Measures related to working hours• Setting the third Friday or the Friday closest to the 20th
day of each month as “Premium Friday” when employees are encouraged to leave work by 3 p.m.
• Encouraging employees to use our half-day leave system and flextime system, which we recently revised toremove the core time requirements• Encouraging employees to take paid leave around public holidays and consecutive holidays in order to make alonger weekend
Measures related to places of work
• Promoting the use of telecommuting
Measures for raising awareness about work style reforms• Making progress visible by counting and internally disclosing overtime hours and paid leave taken by each division

Data (pp.120-121): Working hours, ratio of paid leave taken, number of employees using telecommuting/flextime systems
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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

Socialbased on the Diversity Promotion Policy we estab-

Promoting Diversity

lished in July 2014. By embracing diversity, our aim

MITSUBISHI MOTORS aims to grow sustainably while
responding to the significant changes in the businessand market environment resulting from diversifying
customer needs and technological innovation. To thisend, we need employees with different values andideas working together to create automobiles with new
appeal and value. With respect for employee diversity
including race, nationality, ethnicity, gender, sexual
orientation, gender identity, age, ability or religion, weare making efforts to create environment where eachis to leverage employees’ diverse characteristics in amanner that will contribute to the mutual growth of
the Company and each individual employee. Initially,
Di@MoND activities prioritized women’s participation
and advancement in the workplace. Now, we are also
working to provide working environments that are
comfortable for all.
Data (p. 120): Number of employees, number of employees byregion, number of locally hired managerial employees at overseas subsidiaries, status of female management promotions,employee makeup, number of new graduates hired

person can energetically work without difficulty.
To promote and achieve diversity, we are pursuing
Di@MoND activities by the Diversity Promotion Office

Governance

ESG Data

Promoting Women’s Participation andAdvancement in the Workplace
We promote women’s participation and advancementin the workplace as a priority issue. Since 2014, wehave been selecting female managers and manager
candidates to join Working Women’s Empowerment
Forum, led by the Japan Institute for Women’s Empowerment & Diversity Management.
As of July 2021, 8.8% (three) of the Company’s
executives were women, and we had 80 female managers, of whom 13 were division general managers.
Based on the Act on Promotion of Women’s Participation and Advancement in the Workplace, in April
2021 we formulated an action plan to promote women’s advancement, setting 15% as our target ratio forfemale manager candidates, which we are working toachieve by March 2024.
Data (p. 120): Status of female management promotions

Diversity Promotion Policy
We aim to respond to change and heighten organizational capabilities by incorporating diverse viewpoints and approaches through the different abilities and characteristics of each employee. In this way, we will create vehicles offering new levels of attractiveness and value. We are promoting Di@MoND (Diversity @MITSUBISHI MOTORS New Drive)
activities to create an environment where employees can maximize their individual abilities and play an active role.
We aim to respond to change and heighten organizational capabilities by incorporating diverse
viewpoints and approaches through the different abilities and characteristics of each employee. In this way, we will create vehicles offering new levels of attractiveness and value. We
are promoting Di@MoND (Diversity @MITSUBISHI MOTORS New Drive) activities to create anenvironment where employees can maximize their individual abilities and play an active role.

MITSUBISHI MOTORS CORPORATIONTOPICSMITSUBISHI MOTORS Selected as Constituent of
MSCI Japan Empowering Women Index
We have been selected as a constituent member of the
MSCI Japan Empowering Women Index (WIN) for the
fourth year in a row, beginning in 2018. WIN is an index
developed by MSCI Japan Inc. for supporting investmentin the environment, society, and governance (ESG).
MSCI selects companies that lead their industries
in promoting the hiring, continued employment, andadvancement of women and diversity. MSCI makes its
determinations based on data relating to the employmentof women disclosed pursuant to the ACT on Promotion of
Women’s Participation and Advancement in the Workplaceand information disclosed by companies for example.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialWe actively support employees who seek to balance

MITSUBISHI MOTORS is enhancing our work-life balance assistance programs to accommodate the diverse work
styles of our employees. In FY2017, we introduced the telecommuting and accompanying leave systems to accommodate diverse work styles and life events. In FY2018, we established the Work-life Balance Support Concierge within the Company, from which employees can seek advice on the programs suitable for their individual
childcare and nursing care needs. Following feedback from employees who had sought advice, we relaxed thecriteria for child nursing leave, short-term nursing care leave and the telecommuting system. In August 2021, werevised the telecommuting system in an effort to create an environment that fosters more productive and highly
flexible working styles.
PDF Women’s Participation and Advancement in Workplace Action Plan (Japanese only)
Data (pp. 120–121): Status of female management promotions, number of persons taking childcare leave and retention of returnees, people utilizing major programs to promote work-life balance

work and childcare.
This support also extends to facilities, with two
on-site daycare centers having been established.
Dia•Kids Okazaki was opened at the Okazaki site in
April 2017, followed by Dia•Kids Tamachi at our head
office building in February 2019.
In FY2020, some daycare centers were closed or
employees voluntarily restrained from taking theirchildren to daycare centers. The Company intervened
by offering an interim baby sitter dispatch service.
With elementary and other schools temporarily closed

List of work-life balance assistance programs
Programs
Childcare Pregnancy leave

Miscellaneous

ESG Data

Helping Employees to Balance Work and Childcare

Promoting a Work-Life Balance

Nursingcare

Governance

Overview
Can be taken for the designated period of time applied for in advance, between becoming pregnant and the day prior to maternity leave (may be taken multiple times)
Maternity leave
Six weeks prior to birth and eight weeks after birthChildcare leave
Can be taken up to the end of April of the following fiscal year after the child’s third birthday
Child nursing leave Can be taken until the end of the fiscal year of the child’s 12th birthday (one child: up to 5 days;
two and over: up to 10 days; first five days are paid in both cases)
Reduced working
Four-, five-, six-, or seven-hour work shifts can be chosen until the end of the fiscal year of thehours for childcare child’s 12th birthday (combined use with the flextime system is also available)
Nursing care leave
Aggregate total of three years can be taken per person receiving nursing care
Short-term nursing If one person receiving nursing care: up to 5 days; if two or more people receiving nursing care:
care leave
up to 10 days (first five days are paid in both cases)
Reduced working
Available until the reason for the nursing care no longer exists. Employees can elect to work,
hours for nursing care four-, five-, six-, or seven-hours per day, and are also eligible for flextime work.
Life plan leave
Employees can take up to 10 days leave per year for various predefined purposes such asreceiving treatment for non-work-related injury/illness, caring for family, childcare, infertility
treatment, participating in volunteer activities, and language studies
Accumulation of
Employees can accumulate unused annual paid leave up to four days per year to a maximum of 40
unused paid leavedays which can be used for predefined purposes. (E.g., receiving treatment for non-work-related injury/illness, caring for family, childcare, participating in volunteer activities, and infertility treatment)
Flextime system
System that lets employees set their own working hours with no core time under predefinedconditions on prescribed work days
Telecommuting
System that allows employees to work from a location other than their own or family home, assystem (Revised inlong as certain conditions are met, and to pay an allowance
August 2021)
Reemployment
Eligible for employees who resigned due to pregnancy, the birth of a child, childcare, nursing
systemcare, marriage, moving due to spouse work transfer, or other reasons recognized by the Company, with an applicable period within five years after resignation
Accompanying
Temporary leave system for employees to accompany spouses who have been transferred in Jaleave
pan or overseas or are studying abroad, with an applicable period of from one month to five years

and government authorities requesting that people
refrain from attending after-school children’s clubs
and the like, some employees were compelled to taketime off to care for their children. We addressed thisissue with a system of special paid leave. This leave
was provided in addition to annual paid leave and offered to help employees balance work and home life
during the emergency.

Dia•Kids Tamachi, a day-care center for employees

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Commitment of
Top Management

Sustainability Management

Helping Employees to Balance Work andNursing Care
As birth rates decline and society ages, we believe it isimportant to help employees balance work and nursing care.
MITSUBISHI MOTORS has set up contact points
where employees can consult with nursing care specialists as required via email or on the phone. We alsoorganize on-site individual nursing care consultations with nursing care specialists. Furthermore, weorganize nursing care seminars delivered by outside
instructors to provide basic information about how
they can balance their work and nursing care. In
FY2020, we held the seminars simultaneously in four
regions (head office, Okazaki, Kyoto and Mizushima)
online. They were attended by about 300 employees,
primarily managers.

Increasing Employment of Senior Workers
With the goal of handing down skills and technologies
and securing a talented workforce that makes themost of its knowledge and experience, we operate a
program to reemploy senior workers after their retirement. As of March 2021, there were 714 reemployedworkers, engaged in handing down techniques andtraining the next generation.

FeatureEnvironment

SocialPromoting Employment of People with Disabilities

Governance

ESG Data

Global Action

Aiming to achieve a workplace where everyone canwork, we actively hire people with disabilities in a wide
range of occupations. The percentage of employeeswith disabilities at the Company was 2.38%.* We willcontinue to promote additional employment while
improving the work environment.
At the parent company, we employ 180 people*
with physical and mental disabilities. At our head
office, we have installed wheelchair- and ostomatecompatible toilet facilities, creating a working environment amenable to employees with disabilities.
We also promote the employment of people withdisabilities through MMC WING, a special-purpose
subsidiary established in April 2007. This company
employed 62 workers* with intellectual disabilities
at the Okazaki and Mizushima plants. In the 14 years
that have passed since its establishment, MMC WING
has received many inquiries about employment from
“Hello Work” Public Employment Security Offices, theprefectural employment and support center for disabled persons, and special needs schools, and has
established a high profile in the region. In addition,
we do not stop at just providing employment within
our company when doing our part for employment
support of people with disabilities. For example, we
proactively accept requests from employment support facilities and special needs schools to try on-sitetraining, providing people with disabilities opportunities to experience group activities and work processes.

As part of the support offered to our workforce of* As of April 2021
Data (p. 121): Number of hired people with disabilities

Prayer room in our head
office building

non- Japanese employees, which is increasing year
by year, we have established prayer rooms at ourhead office and Okazaki sites which are available topeople of all religions and denominations. A facility forcleansing parts of the body before worship has also
been set up in the prayer room at the Okazaki site.
In FY2020, we began offering elective training
in Japanese business etiquette to non-Japaneseemployees as part of entry-level employee training.
This five-hour course, which centered on written andspoken output, included such topics as using polite
language, participating in a customer visit role playand learning about business email.
Data (p. 120): Number of employees by region, number of locally
hired managerial employees at overseas subsidiaries

Signs on the ceiling
indicting the directionof worship

Hand- and foot-washingfacilities

Prayer room in the Okazaki area

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Commitment of
Top Management

Sustainability Management

Promoting LGBT AwarenessFeatureEnvironment

SocialGovernance

ESG Data

Participating in Initiatives Outside the Company

The MITSUBISHI MOTORS Global Code of Conduct

The Company is a member of the “policy advocacy

expressly includes respect for LGBT individuals underteam” of the Japan Automobile Manufacturers Asso-“Respect Human Rights and Diversity and Provide

ciation, Inc. This team, which is made up of people in

Equal Opportunity.” In FY2018, we began holding an

charge of human resources at individual companies,

LGBT seminar with the aim of providing basic knowl-

participates in efforts to propose legal amendments

edge for accurate understanding of LGBT issues andand policies on new working styles. The team is com-increasing supporters known as “Allies.” Around 480

piling recommendations and requests regarding theemployees attended the seminar in FY2020. FY2020

five days of mandatory paid leave stipulated in thewas the second year for our e-learning course, “Un-Labor Standards Act.

derstanding the Basics of LGBT,” which was taken byaround 7,400 employees.
In September 2019, we partially revised our rules of
employment so that the definition of marriage extends to same-sex partners and applies when taking
wedding vacations or life planning leave.

TOPICS

Awarded PRIDE Index Gold Rating
Developed by “work with Pride,” a voluntary organization in Japan, PRIDE Index is an indicator for rating
workplace initiatives for sexual minorities, includingLGBT. For three consecutive
years, since 2018, we have been
awarded the highest “gold”
rating. We will continue to create
workplace environments that arefriendly for all employees.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Stepping up Human Resource Development
Medium- to Long-Term Vision for Material Issues
Long
Term

Risks
 Remote working could lead to a decrease in operational or HR management, causing productivity to fall andweakening the organization.
 A delayed response to social or environmental changes
could reduce competitiveness.

Opportunities Higher productivity, a more resilient organization Enhanced competitiveness due to an increase inhighly specialized personnel

Direction of Responses Enact measures to enhance managers’ ability to manage Augment the skills needed to respond flexibly to changes inthe environment

MediumTerm

External Environment
Stakeholders’ Needs and Expectations
 Remote working leading to a lack of communication and  Secure personnel who have strong management
growing sense of isolation
capabilities A rapidly changing environment surrounding the auto Provide training that matches the environment
industry (CASE, MaaS)
and the times

Medium-Term Targets Increase managers’ management and HR development skills Improve training methods to match the environment andthe times

FY2020 Materiality Targets and Results
Details of Main Initiatives
Conduct training online and ensure
online training gains a foothold

: As planned : Delayed

FY2020 Targets
Ensure that all training for administrativeand engineering staff can be done online

Indicators

FY2020 Results

Education program The COVI-19 pandemic made it difficult to conduct face-to-face training,
so all training for administrative and engineering staff was moved online.

SelfEvaluation


Education Pillars of MITSUBISHI MOTORS

Basic Approach
MITSUBISHI MOTORS’ educational system is supported by three pillars: the Three Principles, a statementof the Mitsubishi Group’s management principles;
our Corporate Vision and Mission; and the MMC WAY,
guidelines for daily behavior. We have clarified theabilities and skills necessary to put these principles
or behavior into practice. We also specified the ideal model for each job classification and introduced
respective curricula based on both.
Employees also discuss their personal vision for
the future during annual interviews with their superiors. Sharing such visions between superiors and subordinates leads to achievement of human resource
development with deeper understanding.

Three Principles
Corporate Vision and Mission
MMC WAY
MMC Companywide Education(1) Ideal to be pursued(2) Training(off-the-job-training)(3) Human resource
development(HRD) systems(4) Practical training(on-the-job training)

Required humanresource model

Introduction of selective
reinforcement training

Introduction of
PDCA cycle for HRD

Performance evaluation/
feedback interview

Ability requirements

Awareness-raisingfor MMC WAY

Revitalization of
HRD communication

Check of preferred career/
stocktaking of skills

Criteria for ability
development

Enhancement ofobjective ability
assessment

Promotion ofawareness/development
based on resultsof assessment

Provision of development
experience/opportunities
based on resultsof assessment(dimensions)(some training)(Quality Gates assessment)

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Commitment of
Top Management

Sustainability Management

Management Organization
Based on the education pillars, sections in charge ofeducation with the Human Resources Division have

FeatureEnvironment

Job Classification(required humanresource model)

for all employees and selective training that allows
ticipate in.

Leadershiptraining fororganizationaltransformation

Sectionmanagers (M2)(management
professional)

AssistantManager

Selective
reinforcement training(e-Learning)

Training for
newly promoted AssistantManagerTraining for M2
candidates (preparatory training
for assessment)

Training for
newly promoted Main Staff

Staff(a professional in
the operational
work)

Clerical Staff(efficiently carries
out operations)

Entry-level
employeetraining

Entry-level
employeetraining

Good communicator
developmenttraining
Third year
training*1
Second year
training
Third year
training*1
Second year
training

Mindset/SkillsGlobal mindset
training*2

Global mindset
training*2

EnglishMeasures for improving TOEIC score

Main Staff(a key player in theexecution of work)

Engineer training

Training for
Assistant Manager candidates (advancetraining)

Training forM2 candidates(assessment)
Training for mentors of new graduates(a leader ofpractical work)

Training for
newly promoted M2

Training forM1 candidates(assessment)

Training for mid-career employees

employees to select the programs they want to par-Selective
reinforcement raining(e-Learning)

Institutional
training

TOEIC score range from 300 to 695

programs for employees, including e-learning training

Training for
newly Promoted M1

Training forcandidates
for promotion

GlobalTraining for expats to be dispatched toforeign affiliates

mapped out an introduced various other training(innovation leader)

Reinforcement
training

Training
across all job
ranks

Selective training (GCDP*3 program, etc.)

ployee job classifications, MITSUBISHI MOTORS has

ESG Data

Follow-up training oncommitment and target &MMC WAY

In addition to training curricula tailored to em-

Generalmanagers (M1)

Training for each job rankTraining
for newly
promoted
employees

Feedback interview training

employees to general managers.

Governance

MITSUBISHI MOTORS’ Organizational Framework for Education

put in place a training program for the systematicdevelopment of human resources, from entry-level

Social*1 Mid-career employees undergo fundamental business skills follow-up training corresponding to third year training.
*2 To be conducted within third year training and entry-level employee training program, respectively.
*3 GCDP: Global Career Development Program

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Training and Education
Conducting Training Online and Ensuring
Online Training Gains a Foothold
To respond to the changing environment and boost
its organizational capabilities, MITSUBISHI MOTORS
has put in place a training system that cultivates
personnel in a systematic manner, from entry-level
employees to general managers.
In FY2020, the COVID-19 pandemic made it difficult
to create opportunities for in-person group education
at training centers. With many employees moving
to a remote working environment, we set up an environment that also allowed employees to undergo
training online and provided learning opportunities
during remote working. We will continue to enhance
our training system in the aim of cultivating personnel who can respond flexibly and autonomously to achanging environment.
The future is currently difficult to predict, and each
person’s strength will be tested. We will continue toconsider and implement measures that foster employees’ abilities to respond to a changing environment and create an organization that supports individual growth.
Data (p. P121): FY2020 training results

Fostering Global-Minded Human Resources
In line with increases in both overseas production andsales volumes, we are placing emphasis on developing human resources who are capable of adopting a

FeatureEnvironment

Socialglobal perspective and performing in the global business field.
English language skills are essential when working
with people outside Japan, so we offer employees
training designed to systematically improve theirEnglish skills, including beginner and intermediate
courses aimed at improving basic skills. We also offer local language courses for employees who will bestationed in non-English-speaking countries.
In addition to language training, we run a program in which younger employees are dispatched tonon-English-speaking emerging countries for three
years (one year of language training + two years ofwork experience at a local affiliate). Plans are also inplace for training programs at overseas subsidiaries.

Supporting Lifelong Education
In keeping with the Revised Act for Stabilization of
Employment of Older Persons, we are encouraging
the reemployment of retirees aged 60 and over tosteadily hand down the techniques, knowledge andexperience of skilled workers.
We are also working to support the lifelong career development of our employees. For instance, we
regularly hold Good Life Seminars, a joint undertaking
with the labor union geared toward employees aged
50 and over, where we give post-retirement life planning advice.

Governance

ESG Data

Career formation and evaluation
Personnel System
Regarding career formation, we have put in place asystem which enables employees to proactively set
their own goals based on their achievements, capabilities, and life plans, while elevating their capacity toachieve these goals.
As a specific career development method, employees participate in interviews with their superiors every
year. The interviews are held based on their Career
Development Plans in which employees describe
a future career course they hope to take and theirmedium- to long-term career design by reflecting on
their past career. The aim of this process is to have
employees build an objective picture of their challenges and then proceed along a career path they haveformed for themselves with conviction and a highdegree of motivation.
We have introduced management-enhancing tools
aimed at section managers and general managers
with the objective of revitalizing the organization. In
doing so, we aim to: (1) Share organizational objectives and foster a sense of responsibility for achieving
these objectives, (2) Enhance incentives for achieving
objectives, (3) Enforce mindset and behavior expected from employees, and (4) Make appointments andpromotions according to merit.

FY2020 Seminars for Future Good Life

Number of seminars
2 in total across the company
The number of participants 58

For non-management personnel, our aims are (1)Sharing organizational objectives and instilling a senseof responsibility for achieving them, (2) Raising trans-

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Sustainability Management

parency and employee approval of evaluations andemployee treatment, and (3) Promoting the establishment of shared values.

FeatureEnvironment

SocialGovernance

ESG Data

Fair Compensation System
We introduced a remuneration system that allows for

Evaluation Standards: MMC WAY
MITSUBISHI MOTORS has created six, simple keywords
that capture the minimum necessary preparation andbehavior required as MITSUBISHI MOTORS employees.

appropriate compensation based on the roles, degreeof contribution, and weight of the roles and responsibilities of each employee. We provide the system toenhance each employee’s career and motivation. In
conjunction with raises given annually based on individual performance, raises are also given according to

MMC WAY
MindsetCross-functional
	Work beyond organizational boundaries

Actions
Commit	Achieve quantifiablegoals

Transparent	Candid and accountable

Challenge	Take proactive action
for value creation

Look outward
Go out and learn

advances in career.
We comply with local laws and regulations regarding wage levels and set wage levels according tojob classifications, taking into consideration industry
levels. There are no discrepancies in wages based on
race, nationality, sex, or other such reasons.
Data (p. 121): Wage levels

Perform	Results with sense of
speed

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FeatureEnvironment

SocialGovernance

ESG Data

Promoting Occupational Health and Safety
Medium- to Long-Term Vision for Material Issues
Risks

Long
Term

MediumTerm

Opportunities

Direction of Responses Create an environment where employees can work safely and be Ensure business stability by creating safe and Workplace accidents, increases in the number ofphysically and mentally healthy
secure workplaces and promoting physical andpeople with lifestyle diseases or mental health dismental healthorders, or damage to the physical and mental healthof employees could adversely affect our corporate Protect employee health and work through meaimage and obstruct our business continuity.
sures to halt infectious disease Infectious diseases could affect our employees andbusiness activities.
External Environment

Stakeholders’ Needs and Expectations

 A growing number of people with mental healthdisorders and lifestyle diseases Threats from infectious diseases on a global scaleH elp employees respond to environmental, age
and lifestyle changes
E nsure thorough measures to halt infections
C alls for business continuity

Medium-Term Targets Prevent mental health disorders stemming from environmental
changes, and maintain employees’ physical and mental health Promote health and safety management systems and ensurecompliance with safety-related laws and regulations

FY2020 Materiality Targets and Results

: As planned : Delayed

Details of Main Initiatives

FY2020 Targets

Indicators

Creation of safe workplaces

Ongoing measures for the creation of safe workplaces

Overall accident rate*

FY2020 Results

SelfEvaluation

0.30



*Number of accidents with or without loss of workdays per 1 million working hours

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FeatureEnvironment

SocialGovernance

ESG Data

Basic Approach

Management Organization

MITSUBISHI MOTORS believes ensuring the health and safety of employees is the foundation of corporate activities.

The Central Production Committee comprises the lead
officer, heads of production sites, and labor union
representatives. The committee meets annually toassess the status of measures taken over the year
to address such issues as occupational safety, traffic safety, natural disaster preparedness and healthmanagement and sets quantitative targets for healthand safety in the coming year, determines priority
measures and takes action to achieve the targets.
Each time a workplace accident occurs, the situation is reported to the Executive Officer, President andCEO and other members of senior management, andthe Company responds according to their instructions.

Accordingly, we have established a Health and Safety Management Policy and are undertaking related measureson an ongoing basis, including through offices for on-site cooperation.

Basic Policy
1.	 We will undertake companywide activities with emphasis on each process of the PDCA cycle to eliminate workplacerisks and hazards with safety taking priority over all else. Within each activity, confirmation, follow-up, and improvement will be carried out successively and continuously.
2.	Workplace supervisors from senior management down will implement comprehensive health and safety management measures under their own responsibility with an awareness that ensuring health and safety is the foundationof management. They will strive to create a workplace culture of discipline with consideration for others and a strict
attitude of not engaging in, not allowing others to engage in, and not overlooking unsafe conduct. All workplace supervisors will also work to create a workplace culture that fosters open communication where subordinate personnel
feel that they can say anything through honest dialogue at any time and to raise awareness of health and safety.
3.	Each employee shall observe basic rules and conduct guidelines relating to safety to protect their own safety andendeavor to create healthy workplaces with no accidents by conducting on health and safety activities in cooperation
with all MITSUBISHI MOTORS personnel with a strong commitment to complying with decisions that they have madeand decisions that have been made by others.
4.	Companywide efforts shall be made to create clean and comfortable work environments, prevent disease, and promote the health and physical well-being of each employee.
5.	Health and safety management shall be implemented in accordance with the MITSUBISHI MOTORS Health and Safety
Management System.

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We work to create safe and secure workplaces where all
employees can dedicate themselves to their work with afeeling of reassurance. In particular, we strive to prevent
accidents in production sites, which account for around
80% of workplace accidents. In order to prevent these,
we identify unsafe conditions or employee behaviors inall work situations and make improvements. Additionally, we create safe workplaces by carrying out mutualsafety checks at production sites by senior officials andworkplace supervisors to identify commonly overlooked
hazards. Other measures include adopting improvement
proposals and requests raised by employees. We alsoestablished “safety training schools” at each businesssite to raise hazard awareness and conduct hands-on
hazard training so that all employees can experience
firsthand such hazardous situations as pinching, beingcaught up in equipment, becoming wounded and falling.
In FY2020, 1,550 people took part in this training.
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Commitment of
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To prevent falls, we have introduced non-slip
shoes for some senior workers, improved steps, heldcourses, distributed materials and taken other efforts
to heighten awareness.
In FY2020, there were no workplace accidents
involving the loss of one or more workdays. However,
the accident rate was 0.30. Although lower than theautomobile industry average of 0.46, this figure wasabove our target of 0.26. As previously unsafe conditions are the cause of most accidents, in FY2021
we will seek to analyze why accident potential had
not been determined as we work to create countermeasures. We will again work to enhance the ability
to predict danger and take synchronized, companywide, in-depth efforts to eradicate unsafe conditions
by identifying potential accidents and ensuring thatfacilities are intrinsically safe.
As for assessing our compliance with safety-related laws and regulations, we use checklists to conduct
self-checks of each workplace and to conduct reciprocal checks on other workplaces to ensure thoroughcompliance. In FY2020, we began conducting checks
at technical centers and parts centers as well. At ouroverseas plants, compliance assessments were performed at Mitsubishi Motors (Thailand) Co., Ltd. (MMTh),
Mitsubishi Motors Philippines Corp. (MMPC) and P.T.
Mitsubishi Motors Krama Yudha Indonesia (MMKI). We
plan to increase the number of bases going forward.
Data (p. 121): Accident rate

Mental and Physical Health Initiatives

For the purpose of maintaining and improving themental and physical health of our employees, MITSUBISHI MOTORS prioritizes two key measures: guidance on preventing lifestyle-related diseases andmeasures for maintaining good mental health.

FeatureEnvironment

SocialGiven that mental health issues account for morethan half of absences due to illness, we have positioned mental health measures as a company-widepriority issue and have introduced an outside Employee Assistance Program* (EAP), a type of mental
health program. We also offer consultation on individual issues, provide mental health education and offer
support programs to improve the workplace.
The number of employees who were absent fromwork due to the onset of mental health issued decreased by 27% compared to the previous FY. However, given that work-related concerns account for approximately 80% of all cases, we continue to prioritize
prevention with the aim of providing care for individuals, encouraging care of subordinates by superiors,
and improving workplace environments.
We arrange face-to-face sessions with industrial
physicians or counselors for employees determined to
be experiencing high levels of stress based on the results of annual stress checks. We have made an appeal
for employees to actively attend sessions with industrial physicians, explaining the purpose of the sessions
and about how confidentiality is assured. This effort is
helping with the early detection and response to mental
health issues. We also assess stress levels at each workplace, conduct training to improve workplace communications, and conduct a program delivered by outside
counselors to improve workplace environments.
In our efforts to create an environment that facilitates consultation, we facilitate individual consultations with outside counselors. We have also established a helpdesk where employees can consult withattorneys and other specialists.
* This employee support program seeks to improve individual andworkplace health by implementing organizational mental healthmeasures, offering health consultations on individual physical ormental health issues, and addressing compliance and other issues.
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ESG Data

Responses to COVID-19
MITSUBISHI MOTORS has been affected by the
COVID-19 pandemic in a variety of ways. Under thesecircumstances, we have given topmost priority tobusiness continuity and the health of our employees
as we introduced measures through a structure cutting across the organization.
In February 2020, we established the COVID-19
Countermeasures Council to facilitate the timely
sharing of information and swift decision-making. The
council, composed of the Executive Officer, President
and CEO, directors and division general managers, andleaders at key locations in Japan and overseas. The
council gathered up-to-date information from individual departments and reported on and discussed

Specific Initiatives•D aily disinfection of common areas• Installation of shielding curtains on production lines•T emperature checks of
employees and visitors• Preparation of face guards• Erection of shields in the cafeteria, and other measures

Shields in the cafeteria(Mizushima Plant)

Seats in the dining area are numbered, making it easier to maintaina seating record (Okazaki Plant).
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Commitment of
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Sustainability Management

FeatureEnvironment

Socialmatters across the organization, such as the impactl We recommended teleworking for employees con-of the pandemic on production, procurement (includ-

cerned about the high risk of infection from using

ing suppliers) and sales, the status of associates andpublic transport, as well as employees with existingmeasures being taken to protect the health of em-

illnesses that placed them at increased risk fromployees. We strive to remain abreast of movements

the disease.

Preventing and Containing Infection

ESG Data

Labor-Management Relations
MITSUBISHI MOTORS supports the basic principlesof the Universal Declaration of Human Rights, theOECD Guidelines for Multinational Enterprises, and thein Japan and overseas, including government trends,
and implement measures swiftly.

Governance

We monitor conditions at headquarters (Tokyo)
and in other prefectures, maintaining the ratio ofpeople telecommuting in each area at a certain level.

To protect the health of our employees, we have

The company has also swiftly put in place an IT

notified all employees about efforts to prevent andenvironment in place to enable efficient teleworking.

contain infection.

United Nations Global Compact, and guarantees fundamental labor rights to employees. Our labor agreement stipulates that the labor union has the threerights of labor (the right to organize, the right to collective bargaining, and the right to collective action).
As of April 2021, our labor union had 12,718 members (excluding reemployed senior staff), account-l A call for attention to efforts to prevent and con-ing for 99% of general employees excluding officers

tain infection and instructions for how to respondand management.

if feeling ill or if infected or in close contact withthose who are

Status of Labor-Management Communicationsl Consistent rules to apply when working at all sites,

The labor-management council is regularly held alongsuch as social distancing at business sites and of-with collective bargaining as an opportunity for labor

fices, temperature checks and cafeteria measuresmanagement discussions. These discussions aim tol Details about the Ministry of Health, Labour andshare information about issues such as working con-Welfare’s enhanced quarantine measures in relation

ditions and the working environment, and labor andto employee business travel to and from overseas

management then work together to solve these issues.

locations, danger levels for infection around the

In FY2020, 57 discussions were held between theworld and other precautions

Company headquarters and union headquarters, andmany discussions were also held between offices and

Implementation of Telecommuting to Prevent
the Spread of Infection

union branches in each business site.
For important topics such as major changes in

In late February 2020, we notified all employees of ourworking conditions, we organize a labor-management

basic policy on telecommuting.

expert committee and make decisions after carefull We relaxed rules on telecommuting, raising the max-

consideration and discussions and management.

imum number of hours per month from 80 to 160.

We are also working to build good relationships
with labor unions at overseas affiliates in accordance
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Respect for Human Rights
Basic Approach and Human Rights Policies
Based on the idea that respect for human rights
is the foundation of our business activities, in May
2019, MITSUBISHI MOTORS announced its support for
the United Nations Global Compact (UNGC)* in which
the United Nations advocates the ten principles in
the four categories of human rights, labor, environment, and anticorruption. As a participating company, we support and respect international standards
and norms such as “the International Bill of Human

In June 19, we enacted a Human Rights Policy, fol-

Our internal system for promoting an awarenesslowing approval by the Executive Committee. The policyof human rights starts with awareness training, which

defines specific initiatives, including support and re-is headed by the executive in charge of human re-spect for international standards and norms regarding

sources. Personnel in charge of education stationed

human rights, matters for compliance, and the imple-

at our business sites are working to raise humanmentation of human rights risk assessment and exec-rights awareness among employees by conducting

utive/employee training. The policy has been translated

lectures using shared educational materials. We also

into English and is available on our website for viewing

participate in events held by the Industrial Federationby all employees in Japan and other countries.

for Human Rights, Tokyo, of which we have been a*See page 9 for details on our support of the UN Global Compact.
PDF Human Rights Policy

member for some time, and the MITSUBISHI MOTORS
conferences, research meetings, and so on held by

Rights,” “the ILO’s Declaration on Fundamental Principles and Rights at Work,” and “the United Nations
Guiding Principles on Business and Human Rights.”
Based on the 10 principles of the UNGC, we will continue our activities toward the realization of the sustainable growth of society.
As a global company, we believe that respectfor human rights and anti-corruption initiatives arevery important.
Based on that idea, in order to further specify
initiatives for the respect of human rights and anticorruption, in May 2019, a partial revision was madeto the MITSUBISHI MOTORS Global Code of Conduct.
“Respect Human Rights and Diversity, Provide Equal
Opportunity” in the Global Code of Conduct specifies
that discrimination, retaliation and harassment are
not permitted in any form or to any extent, and thatthe diversity of suppliers, customers, executives, employees and local communities shall be respected inaddition to respecting human rights.

Human Rights Enlightenment Committee and attend

Management System
The Company’s efforts addressing respect for humanrights are mainly focused on the sustainability, humanresources and procurement departments. Three times
each year, the executive in charge of sustainability,

other external organizations, gather information, andtake measures to improve understanding. In FY2020,
we spent approximately 41 days in such meetings, although some of them were cancelled due to COVID-19.
The insights gained from these opportunities havebeen reflected in internal training and other purposes.

acting as the person in charge of promoting humanrights initiatives, reports the status of human rights
risk assessment and related measures to the Sustainability Committee, which is held three times a year.
Members of the Sustainability Committee share thedetails of these reports with their departments, promoting companywide efforts to respect human rights.
The Company uses a human rights due diligenceframework to identify the negative impact its business activities could have on human rights and takes
steps to minimize or eliminate such circumstances.
In FY2021, we plan to conduct human rights audits at
our production bases in Japan.
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Complying with the Human Rights Policy
Prohibiting Discrimination
MITSUBISHI MOTORS requires executives and employees to respect diversity and to create equal opportunities with no allowance for unfair discrimination orharassment on bases such as race, skin color, nationality, ethnicity, family origin, sex, sexual orientation,
gender identity, age, disability, language or religion.
Also, we emphasize the importance of diversity in
our training programs, and we encourage our employees to work together with respect for diverse values.

Eliminating Unjustifiable Labor Practices
The Company does not tolerate slavery labor, including human trafficking, child labor, forced laboror other unjustifiable labor practices, and strives toeliminate such practices.
To ensure against such practices, we verify potential employees’ ages to ensure statutory requirements are met when entering into labor agreements.
Pay slips clearly state any legal deductions; we do notmake unfair deductions, but regularly pay employees
their full dues. We do not retain employees’ passports
or ID cards or prevent them from movement.

Freedom of Association and Labor–Management Dialogue
The Company respects its employees’ right to associate, and we engage in sincere dialogue with employees to resolve various types of issues. Regarding

FeatureEnvironment

SocialGovernance

ESG Data

collective agreements with labor unions, we recognize

ability of our business, when establishing businessemployees’ freedom to engage in legitimate union ac-sites or related facilities, we give consideration to thetivity, including collective bargaining. We clearly state

cultural values of the country and region includingthat employees who engage in such activities will notcustoms and religions.

be subject to disadvantageous working conditions orother sanctions.

Ensuring Access to Decent (Rewarding and Humane) WorkIn-House Education and Training
In order to encourage all employees to cultivate theirrespect for human rights, the Company is offeringcourses that deepen understanding toward human

To ensure decent work, in addition to complying withrights within its training programs tailored to eachindividual countries’ laws and regulations, we conduct

job rank, beginning with entry-level employee train-

activities focused on respect for human rights, based

ing. In FY2020, we conducted a total of 940 hours of

on international norms (such as the International Bill

human rights training for 980 employees, includingof Human Rights and the ILO’s Declaration on Fun-

entry-level employees, mid-career employees anddamental Principles and Rights at Work). Specifically,

newly promoted managers (section managers andwe ascertain the living wage and ensure that we pay

division general managers). Details of the training aresalaries that satisfy this requirement. In addition, in

described below.

our production processes we take gender and age
into consideration when devising work content.
Data (p. 121): Wage levels

Community Involvement
In our efforts to maintain harmony with the local
community, we contribute to society by utilizing eachand every employee’s skills and know-how as well as
our technologies and products.

Consideration for Human Rights in Work andInvestment
As we believe that positive relationships based on
mutual understanding between employees and everyone in the community are essential to the sustain-

Newly promoted Generalmanagers
Newly promoted managers
Mid-career
employees
Entry-level
employees

Provision of expertise needed as workplace managers, etc.
Recent topics regarding human rights,
prevention of harassment, roles ofmanagers, etc.
Recent topics regarding human rights,
the relation between our business andhuman rights, etc.
The significance of corporate initiatives
regarding human rights, fundamental
knowledge regarding human rights, etc.

In addition to training, we regularly distributeinformation on human rights-related topics to alldivisions within the Company with the aim of raising

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Commitment of
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FeatureEnvironment

Socialawareness of human rights. One such initiative is theRequests to Sales Companies

dissemination of a message from our Executive Of-

At sales companies, we carry out initiatives to provide

ficer, President & CEO, coinciding with Human Rights

a work environment with consideration for the healthDay on December 10.

and safety of employees and we prohibit acts that

To promote LGBT awareness among employees,

infringe on human rights.

Access to AssistanceIn order to make timely responses in cases where ahuman rights related issue occurs within the comsultation offices (helplines) *2 for whistle blowing and

an internal e-learning course covering basic knowl-

consultation for employees.

edge of LGBT issues.

Entry-level employee training
Mid-career employee training(newly promoted)
Newly promoted manager
training
Seminars to raise understanding of LGBT issues
LGBT e-learning course

ESG Data

pany, we have established internal and external con-

we held seminars at various sites. We also rolled out

Training Programs by Type

GovernanceAlso, having established a Business Partner Helpline*3 for suppliers, and a Customer Contact Center*4

Number of AttendanceParticipants
Rate

466
377

100%
100%

141

100%

478

—*1

7,629

—*1

as a consultation office for customers, we are receiving reports and request of consultations regarding
human rights issues.
Confidentiality and user anonymity is guaranteed
at all of these consultation offices. We ensure thatpeople who seek consultation are not treated unfairly.
*2 E stablishment of Internal and External Consultation Offices(Helplines) P103
*3 F
 or further information regarding the Business Partner Helpline, please go to P86*4 For further information regarding the Customer Contact Center,please go to P61*1 Attendance ratio not disclosed for voluntary attendanceRequests to Suppliers
In addition to internal efforts targeting human rights
internally, MITSUBISHI MOTORS places great importance on initiatives that address human rights
among suppliers. In the Supplier CSR Guidelines, we
specify matters involving respect for human rights,
including the complete elimination of discriminationand the prohibition of child labor and forced labor.
We confirm that suppliers agree to consider humanrights based on these guidelines by having themsign Supplier Commitment agreements.

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Achieving a Sustainable Supply Chain
Medium- to Long-Term Vision for Material Issues
Risks
Long
Term

MediumTerm

Opportunities

Direction of Responses We could lose social credibility if we were to infringe on hu-  Maintain social credibility through responsible behavior
in the supply chain
man rights in our procurement of raw materials and parts.
 We could be complicit in infringement on human rights orenvironmental destruction
External Environment

Stakeholders’ Needs and Expectations CSR procurement (consideration on the ethics front)

Medium-Term Targets

 Growing awareness of human rights in international society  Expectations of business continuity and enhanced trust  Collaboration and communication with business
partners

FY2020 Materiality Targets and Results
Details of Main Initiatives
Reinforcement of CSR in
the supply chain

: As planned : Delayed

FY2020 Targets

Indicators

SelfEvaluation

FY2020 Results Expansion of Supplier CSR Guidelines to MITSUBI-  Promoting the purpose of Supplier CSR  Rolled out Supplier CSR Guidelines via production
bases in Thailand, Indonesia and the Philippines
Guidelines
SHI MOTORS overseas production bases
to their business partners
 Recommendation of supplier on CSR
 Support for supplier CSR evaluations by
evaluations by third party organization  Explained the purpose of third-party evaluations
third-party organization
to business partners and commenced evaluations

Basic Approach
In April 2018, MITSUBISHI MOTORS, Renault and Nissanestablished the APO (Alliance Purchasing Organization), a joint purchasing organization that integrates
the three companies’ purchasing functions. This organization carries out its activities with the three sharedpillars of trust, respect, and transparency as its basic principles. The alliance members are exchanging
information on CSR activities in the supply chain, as
well, and moving forward with these activities.
The Company and its overseas production bases

conduct business directly with around 800 companies, including suppliers of raw materials and parts
and business partners providing services, advertising and logistics. We recognize that the Company’sbusiness activities have a significant impact on thesecompanies, as well as on Tier 2 and other suppliers.
All processes, from the procurement of raw materials
to the manufacture of parts and products to the end
delivery require responsible behavior that takes suchfactors as the environment and human rights into
account.
To achieve sustainable growth throughout thesupply chain, we work to remain at the industry leadin terms of quality, reinforce our cost competitiveness and promote local procurement. We also issue
Supplier CSR Guidelines and work together with all ourbusiness partners on CSR initiatives.
To address one aspect of our CSR activities, theenvironment, we issue Green Procurement Guidelines and request that business partners comply withthem. These two sets of guidelines are posted on
Supplier Portal, which they can readily access. Company executives also address suppliers at Supplier Meeting and other times.

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Commitment of
Top Management

Sustainability Management

Management System

FeatureEnvironment

SocialGovernance

ESG Data

Rollout of Supplier CSR Guidelines

Rollout of Green Procurement Guidelines

MITSUBISHI MOTORS asks business partners to con-

Aiming for collaborative initiatives with suppliers,

form with its Supplier CSR Guidelines and Green

we formulated its Supplier CSR Guidelines in 2010.

Procurement Guidelines. To ensure steady implemen-

Through these guidelines, we promote collaborative

tation, we ask suppliers to submit Supplier Commit-

activities with our suppliers from the same point ofment and Declaration of Conformity to Regulations on

view. The scope of these activities covers all domestic

Substances of Concern. We ask new business partners

suppliers and their quality, while also including laborto submit these documents before commencing busi-

practices, environment management, and compliance.

In its Green Procurement Guidelines, we ask business
partners to acquire and renew external certificationsof environment management systems, as well as tomanage hazardous substances, promote the 3Rs (reduce, reuse and recycle), submit LCA data to allow us
to understand the lifecycle environmental impact, reduce environmental impact in business activities, andreduce their environmental impact related to logistics.
In addition to Japan, we have introduced theGreen Procurement Guidelines at overseas production
bases, adjusting the guidelines to account for actual
conditions in each country and operational details at
each location. These companies are also applying theguidelines to their business partners.
We are considering revisions to the Green Procurement Guidelines in keeping with the Environmental
Plan Package we formulated in October 2020.

ness with them. We also continue to confirm compli-

Also, having reestablished these guidelines inance once we have begun working together to ensure

February 2019, we have specified the implementation

the guidelines’ effectiveness.

of supplier CSR initiative evaluations by third party

Supplier CSR evaluations by third-party organiza-

agencies and measures to be taken when compliancetions, which are described in the Supplier CSR Guide-violations are discovered. We have also received Sup-lines, are raised as themes in Supplier Meeting. Re-

plier Commitment. In FY2020, our overseas bases—

sponsible persons for CSR also engage in any inquiries

Mitsubishi Motors Thailand (MMTh), Mitsubishi Motors

from suppliers to discuss the topic.

Krama Yudha Indonesia (MMKI) and Mitsubishi Motors
Philippines Corporation (MMPC) also conducted these
activities, ensuring that suppliers of overseas production bases are also submitting Supplier Commitment.

PDF Green Procurement Guidelines

Collection of Materials and Hazardous Substance Data through IMDSPDF Supplier CSR Guidelines

Applying the International Material Data System (IMDS),
we ask business partners to disclose hazardous substance data, etc. regarding materials and parts basedon the Green Procurement Guidelines. We also haveour business partners construct their own internalmanagement systems for hazardous substances.
Through these processes, we confirm compliancewith use regulations regarding hazardous substancesused in new vehicles and vehicles in ongoing production, and we confirm that their usage decreases.
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Commitment of
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Sustainability Management

Policies on Conflict Minerals

FeatureEnvironment

SocialPromoting Supply Chain Managementgold) and cobalt produced in the Democratic Republic

Enhancing CSR Activities in the Supply Chain
through Third-Party Evaluationsof the Congo and neighboring countries have become

In order to mutually confirm and promote CSR ac-a source of funding for armed groups, resulting intivities with suppliers, we will request statements ofserious violations of human rights.

agreement for the Supplier CSR Guidelines, and, as an

The “conflict minerals” (tin, tantalum, tungsten and

In order to ensure that it is not complicit in hu-

APO, regarding the evaluation of supplier CSR activi-

man rights abuses through the procurement of theseties, we will start to use the same third-party evalua-conflict minerals, our Supplier CSR Guidelines clearlytions as Renault-Nissan. In FY2020, we communicat-

state our policy of not using conflict minerals as raw

ed with numerous business partners and had themmaterials, and we promote responsible procurement.

undergo third-party evaluations. In fiscal 2019 and2020, around 40% of business partners underwent

Establishing a Business Partner Helpline
As part of our efforts to adhere to the METI guidelines, we have established a Business Partner Helpline
for the suppliers of our procurement division.
The helpline receives opinions and comments frombusiness partners, quickly identifies compliance issues
or concerns, such as legal or regulatory infractions
or unfair practices in our procurement activities, andpromptly rectifies them, striving to achieve even fairer business transactions.

third-party evaluations (on a purchase amount basis).
We plan to increase this percentage in FY2021.
Based on the aforementioned evaluations, we promote improvements and ask business partners to undergo evaluations periodically. For business partners
with low evaluation scores, we ask to formulate andimplement improvement plans, and undergo periodic
re-evaluation.

Governance

ESG Data

were performed on a document-only basis, due to
COVID-19. Improvements to issues pointed out during
these audits were generally implemented by suppliersin three months or less. Quality self-checks were also
conducted at 432 supplier plants. We will continue toimprove communication and quality across the supply
chain through these activities.
We periodically issue Supplier Score Card, which
numerically represent suppliers’ quality results. We
encourage suppliers to make improvements themselves and work with them on on-site improvements.
Responsible procurement engineers conduct on-site
visits of business partners with particularly low scores,
jointly analyzing past defects, suggesting improvements and conducting activities in collaboration with
suppliers. We cooperate on preventative activities tokeep defective parts from being delivered and ensure
we are able to provide new models with confidence.

Ensuring Knowledge of the Guidelines within
the Company
As part of managing the Supplier CSR Guidelines, we

Working with Suppliers to Improve Quality
MITSUBISHI MOTORS regularly conducts quality audits
and quality self-check guidance with its suppliers to
improve quality along the entire supply chain.
In FY2020, we conducted process audits for
90 suppliers at 140 plants. Some of these audits

take efforts to ensure that the guidelines are wellknown within the company. As part of MITSUBISHI
MOTORS procurement training, we conduct training
for new employees (both entry-level employees andnew midcareer employees), as well as training whenemployees are transferred.

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Sustainability Management

FeatureEnvironment

SocialCommunicating with Suppliers

Promotion of Localization

Providing suppliers with appropriate information

To optimize costs at overseas production bases, ourand two-way communication is essential for properbasic policy is to source from local suppliers where

supply chain management. At the end of every fiscal

possible, as long as such procurement is effective andyear, MITSUBISHI MOTORS holds Suppliers Meeting to

the necessary technologies are in place.

make our policy for the next fiscal year well-known.

For parts which are already locally procured, we

In Japan, we help the MITSUBISHI MOTORS Coopera-

also promote the local procurement of the compo-

tion Council, a voluntary organization of around 200

nents used within these parts, etc., to optimize costs.

supplier companies, hold lectures and conduct re-

We conduct advance audits of the systems andsearch activities each year. Doing our best to maintainstructures of new business partners, evaluating items

communications, in FY2020 these lectures were heldsuch as their development capabilities, production

online due to COVID-19.

capabilities, and quality management capabilities
and issuing improvement instructions if necessary.
We also provide support to local business partners
by serving as a go-between with Japanese business
partners, joint ventures with local business partners,
technical partnerships, and the like. We work to contribute to local regions by creating local jobs andGovernance

ESG Data

Initiatives for Business Continuity Plans
in the Supply Chain
To reduce the risk of suspended manufacturing operations due to a shortage of parts during a large-scale
natural disaster or a major outbreak of infectious disease, we formulate business continuity plans (BCPs)
in the supply chain and takes measures that include
finding alternative production for each supplier andpart. In addition, we ask that our suppliers be registered in the damage status confirmation system, sothat in the event of a natural disaster, the damage
status of plants will be reported to us immediately.
We have created a special supplier map that enables us to better understand the status of damage
and risk with regard to not only Tier 1 but also Tier 2
and other suppliers.

improving local technical capabilities.

Takao Kato, Executive Officer, President & CEO,providing an online briefing

Parts Procurement Ratios by Production Base
(FY2020)
Indonesia 10%

Philippines 1%

Japan
50%

Thailand39%

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Promoting Social Contribution Activities
Medium- to Long-Term Vision for Material Issues

Long
Term

Medium
Term

Risks
A
 n increase in large-scale disasters due
to climate changeD isparities in economic development andinequality

Opportunities
Direction of Responses Create structures to provide electrified vehicles swiftly in Provide reassurance and support safety through further extimes of disasterpansion of disaster cooperation agreements and by quickly
putting support systems in place in times of disaster Leverage individual employees’ skills and know-how as well as Contribute to communities’ social development through ongoour products for continuous development of the community
ing activities that meet regional needs

External Environment
Stakeholders’ Needs and Expectations
 Expectations of disaster support in emergencies and recon Around the world, subsequent disasters
struction support
stemming from extreme weather, such asheat waves, droughts and flooding due toheavy rains

Medium-Term Targets Promote the conclusion of disaster cooperation agreements In STEP fields, leverage individual employees’ skills and knowhow as well as our products to continue engagement in social
contribution activities

FY2020 Materiality Targets and Results

: As planned : Delayed

Details of Main Initiatives

FY2020 Targets

Indicators

FY2020 Results

Promote ongoing activities that addresssocial issues and regional needs Revise our Social Contribution Activities Policy Step up the dissemination of information
utilizing our logo mark—F ormulated a new Social Contribution Activities Policy andannounced it outside the company
D isseminated information globally, utilizing our logo markBasic Approach and Policies
In April 2020, we formulated a new Social Contribution Activities Policy based on MITSUBISHI MOTORS’
Vision and Mission. We promote activities in line withthis policy, such as entering into disaster cooperationagreements that leverage the features of our plug-in
hybrid electric vehicles (PHEVs).
To generate broader awareness of these activities,
we disseminated information globally, making use of

SelfEvaluationSocial Contribution Activities Policy
To address diversifying social issues, MITSUBISHI MOTORS carries out its STEP social contribution activities, focused on four main themes, standing for the
first letters of Society, Traffic safety, Environment
and People. Based on this policy, we will continue tocontribute to society by utilizing each and every employee's skills and know-how as well as our technologies and products, aiming to create a better society
where people can hope for a better future.

our logo mark.
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Commitment of
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Sustainability Management

FeatureLogo Mark for Social Contribution Activities
The figure shows how our circle of activity in STEP
areas expands outward from the center.

17
6
5
175

Support for disaster-stricken areas,
support measures to address COVID-19

57

Total expenditure259*1 Social contribution expenditures including donations as well as
in-kind benefits and free use of company facilities converted
into monetary equivalents.

Number of Participants in Social Contribution
Activities and Activity Time in Fiscal 2020*2
Number of employees participating

Time employees spent on activities

SocialSociety
DENDO Community Support Program

Breakdown of Social Contribution Expenditures in
Fiscal 2020*1
(¥ million)
Society
Traffic safety
Environment
PeopleEnvironment

Cumulative total of
9,426
6,330 hours

By entering into disaster cooperation agreementswith municipalities and loaning them roving COVID-19
vaccine vehicles, MITSUBISHI MOTORS is helping municipalities with its PHEVs, which can generate powerand be tapped as sources of electricity.
By combining the power of PHEVs to provide
transportation and the power of electricity, we aremaking people’s lives safer and more secure.
For details, see the feature on page 19.

Activities to Support the Employment ofPeople with Disabilities

Four times each year since 2012, we have contractedwith welfare facilities for people with disabilities to
mow the greenery around our plants. We also encourage people with disabilities to gain employment skills.
For example, we periodically offer bread and otheritems they have made for sale in our offices.
We provide them with PET bottle caps collected at
our plants to social welfare corporations that employ
people with disabilities and collect and crush plastic
products and shred used papers as part of an effort
to support employment.

*2 Activities during working hours

People with disabilities mowing
around plants

PET bottle caps are being
crushed for recycling

MITSUBISHI MOTORS CORPORATION

Governance

ESG Data

MMC and MLIT Sign Agreement to Collaborate
on Verification Test

We are participating in a verification test for the Ministryof Land, Infrastructure, Transport and Tourism involving
the use of diesel engines mass-produced for our DELICA
D:5 to power pumps used at drainage facilities.
Throughout Japan, drainage facilities are growing
dilapidated and are expected to require upgrades almost
at the same time. An increase in flood damage in recent
years has prompted calls to further upgrade and augment
drainage facilities, but reducing the costs of doing so has
been an issue. The current project seeks to keep costs downby using mass-produced engines. We are studying methods
and developing technologies
to upgrade drainage facilities
efficiently, ultimately leading to Signing ceremony todenote collaboration on
safety and security for citizens.
verification testing

Traffic safety
Traffic safety around business sites
Employees serve as traffic safety sentries on theroads around our business sites, helping to ensure
safe commutes to and from school and work. We
also conduct patrols in collaboration with local traffic
safety associations and police. In addition to heightening awareness of traffic safety through patrols,
marked company cars patrol local areas, check locations that are susceptible to accidents, and inspect
traffic safety facilities and install footprint stickers tocall attention to pedestrian stops.
In fiscal 2020, cumulative total of 283 employees
took part in 20 such activities across our business sites.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

Environment
Forest Preservation Activities

Calling out for traffic safety at apedestrian crossing (Okazaki)

Installing footprint stickers(Shiga)Traffic Safety Awareness for Children
Website for Children “Do You Know the Answer?
Traffic Safety Quiz”
On the “Why? Why? Car Development ResearchGroup” website that was designed to provide information on the automobile industry to elementary
school age children, there is a webpage about traffic
safety using a quiz format to introduce traffic rules
and manners they should follow when walking or riding a bicycle in their day-to-day activities.

“Do You Know the Answer? Traffic Safety Quiz”
WEB https://www.mitsubishi-motors.com/jp/sustainability/
contribution/people/kids/anzen/(This site is only available in Japanese.)

MITSUBISHI MOTORS is collaborating with OISCA topreserve forests in Hayakawa-cho, Yamanashi Prefecture, while interacting with the local community
through volunteer activities. These activities aim
to protect metropolitan water sources and spreadawareness of the environment among our employees.
In fiscal 2020, we halted employee volunteer
activities to prevent the
spread of COVID-19, but
we did mow areas where
this work was needed to
Trimming undergrowth innurture saplings.
planted areas

ESG Data

PeopleSupporting the Education of Elementary,
Junior and Senior High School Students
We support the education of the children who willtake responsibility for the next generation through ahands-on lesson program, in which employees visit
elementary schools to conduct lessons. We also hostcareer counselling studies to encourage junior andsenior high school students to think about the futureand broaden their horizons.
In fiscal 2020, we began conducting these activities remotely due to COVID-19. The activities wereattended by 3,053 children from 39 schools.

Powering Illumination with a Plug-in HybridElectric Vehicle (PHEV)In December 2020, we provided an OUTLANDER PHEV,
which was used to light up an illumination event heldby Heian Jogakuin (St. Agnes) University, called Agnes
Illumination 2020.
The event was conceptualized as one in which allillumination would be provided by electricity generated from renewablesources. To achieve this,solar power was used tocharge the OUTLANDER
PHEV, which then supplied the electricity topower all the illumination.

Illumination powered by a PHEV

Student showing his work
remotely

Student learning to tighten
a screw with an impact
screwdriver

Educational Support in Asia
Through our local associates, we take part in various
efforts to help prevent children from being denied access to education for economic reasons. We provide
scholarships to junior high school, high school anduniversity students; donate learning tools to orphanages; donate teaching vehicles that can help cultivate
high-quality human resources for the automotive
industry; and host interns.

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Commitment of
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Donating Teaching Vehicles to Eight Universities
in Vietnam
In October 2020, Mitsubishi Motors Vietnam Co., Ltd.
(MMV) announced that it had donated prototype
vehicles to eight universities in Vietnam’s Ho Chi Minh
City and Binh Duong Province. MMV’s aims are to help
educate the students that will take responsibility forthe next generation, as well as to further strengthen
university–business ties to encourage job-seeking
university students and support recruiting efforts
by companies looking for experienced employees. In
addition to serving as teaching aids to help students
learn about automotive technologies and driving skills,
the prototype vehicles also help students with vehicle
assembly and other practical exercises.

FeatureEnvironment

SocialMITSUBISHI MOTORS STEP Funds andMatching Gift Program
The MITSUBISHI MOTORS STEP Funds, introduced in
April 2009, is a structure through which employees
can continuously participate in social contribution
activities by voluntarily donating fixed sums to thefunds. These funds are then used for to support
activities in developing countries and areas struck by
the Great East Japan Earthquake, in line with the purposes of MITSUBISHI MOTORS social
contribution activities. The company
also matches donations made by the
MITSUBISHI MOTORS STEP Funds.

Governance

ESG Data“Forest Wooden Building Block Project”
for children
The concept of this project is to present nurseries andkindergartens with cozy wooden building blocks forenhancing the children’s creativity through block play,which are made of Japanese cypress comes fromforestry thinning operations mainly in Hayakawa-cho,located in the prefecture of Yamanashi, where wecarry out our forest conservation activities.
In addition, we have been engaging in “Employee
Presenter Program” through which our employees
hand out a set of forest wooden building blocks tonurseries and kindergartens of their choice (usually
choice from their childhood memories) through ourinternal donation funds.
In fiscal 2020, we presented blocks to 60 kinder-

Support Recipient
Prototypes donated as teaching vehicles

Donating to a Soccer Club That Takes Part in Welfare
Activities in Malaysia
In November 2020, Mitsubishi Motors Malaysia (MMM)
donated some 35,000 ringgit (around ¥920,000) to the
1st International Soccer Academy (FISA). FISA engages
in welfare activities targeting children from low-income
households, aiming to keep them from becoming embroiled in drugs and crime and to live active lives.

 World Vision Japan OISCA International (The Organization for Industrial,
Spiritual and Cultural Advancement-International) The MICHINOKU Future Fund
 Kindergartens, Nursery schools, elementary schools,
etc., near our workplaces

gartens and nursery schools. The blocks have been
donated to 405 kindergartens since 2010.

Building blocks made from thinned cypress

Soccer club that engages in welfare activities(FISA)MITSUBISHI MOTORS CORPORATION

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Commitment of
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Sustainability Management

Support for Disaster-Stricken Areas

FeatureEnvironment

SocialSupport in Japan
Immediately after the Great East Japan Earthquake,
MITSUBISHI MOTORS carefully listened to the needs ofSupport in Asia
In January 2021, different parts of Indonesia were hit
with a series of natural disasters, including earthquakes, flooding and landslides due to heavy rains.
Mitsubishi Motors Krama Yudha Sales Indonesia(MMKSI) provided the OUTLANDER PHEV to supply
electricity power lighting in disaster-stricken areas.
MMKSI also provided the TRITON to help evacuate
people and cooperated with local support organizations in other ways.

the disaster-stricken areas, created a mechanism tosupport them through our business and in our employees’ daily lives, and have been continuously providing support under the theme of “Don’t Forget/Stay
Connected.” Every effort is made to provide a wide
range of support in response to emergency situations
such as natural disasters. This includes contributions
through donations, free loan of vehicles, and volunteer work by employees.
Based on a disaster cooperation agreement, in
fiscal 2020 we loaned OUTLANDER PHEV and ECLIPSECROSS PHEV models to evacuation centers in Akita
City, which suffered a large-scale power outage due
to heavy snowfall. The vehicles were used to power electric appliances, such as televisions, lights andCourtesy of Palang Merah Indonesia

Leveraging a PHEV’s ability tosupply electricity

Courtesy of Aksi Cepat Tanggap Indonesia

TRITON conducting rescue in adisaster-stricken area

stoves. Going forwards, we aim to continue conducting rapid support activity in times of disaster.

Plug-in hybrid electric vehicles (PHEVs) supplying electricity toan evacuation center

Governance

ESG Data

Supporting Measures to Address COVID-19
The Company’s business sites produced face shields,
which we donated to local governments and medical
institutions. We also joined the Open COVID-19 Declaration. Based on this declaration, we will neither
seek compensation nor assert any patents, utility
models, designs or copyrights against any activities,
which purpose to stop the epidemic, until the World
Health Organization (WHO) declares the end of the
COVID-19 outbreak.
Overseas, associates set up hand-washing stations at public facilities, provided orphanages with
online tools for learning about COVID-19 (such as
donating PCs and peripheral equipment) and offeredsupport, such as helping to transport food to families
impoverished by COVID-19. They continue to support
efforts to halt COVID-19.
See the feature on page 19 for details on COVID-19 vaccine support vehicles

Providing a bundled PC and Internet environment (Indonesia)

Setting up a hand-washingstation (Indonesia)

Measures to help prevent the spread of COVID-19
https://www.mitsubishi-motors.com/en/sustainability/contribution/society/relief/covid-19/
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Main Support in Fiscal 2020 (Measures to Address Natural Disasters and COVID-19)
February
2021
January2021

COVID-19
Flooding in Indonesia
Monsoon in northeast Malaysia
Heavy snowfall
Earthquake on the Indonesianisland of Sulawesi
Landslides due to heavy rains
in Indonesia

December
2020

COVID-19

November
2020

The disaster caused in Mexico
by Hurricane ETA

SupportDonated 10 notebook PCs for online learning
Cooperated with the Aksi Cepat Tanggap (ACT) team and loaned one TRITON
Donated 23,000 ringgit
Loaned one OUTLANDER PHEV and one ECLIPSE CROSS PHEV
Cooperated with the Indonesian Red Cross Society and loaned one OUTLANDER
PHEV
Cooperated with the United Volunteer Otomotif (UVO) Peduli and loaned one
TRITON•D onated 30 sets of PCs, printers, projectors, one-year Internet data plans andother online learning tools• Donated masks, clothing, books and toys
Loaned an L200 to support food transportation by Comedor Santa Maria, anNPO•L oaned one L200
•P
 rovided support for food and other supplies
Erected 10 portable hand-washing stations

September
2020

COVID-19

July 2020

Heavy rainfall

June 2020

COVID-19

Loaned a total of eight PAJERO SPORT and TRITONCOVID-19

Loaned one eK CROSS SPACE
Joined the Open COVID-19 Declaration• Loaned one OUTLANDER PHEV
• Donated N95 medical masks
Donated 50 benches for resting, 200 water tanks and 400 face shields

May 2020•D onated 5,000 masks•D onated 100 sets of food (rice, cooking oil, canned foods)
Donated personal protective equipment (PPE) to faculty and staff
Donated ¥3 million
Loaned five OUTLANDER PHEV and five eK SPACE

Donated face shields we had madeApril 2020

COVID-19

Support Recipient
Pertubuhan Kebajikan Yesuwin Mahligai Selangor (PKYMS)
Majene Regency, West Sulawesi
Triton Tuners Club Malaysia
Akita city, Akita Prefecture
Mamuju and Majene Regencies, West Sulawesi
Puncak/Gunung Mas Regency, western Java
Ten orphanages in area around Jakarta, Indonesia
States of Coahuila, Nueovo Leon, Oaxaca, Yucatan andGuanajuato, Mexico
State of Tabasco, Mexico
Hospitals and parks in the Special Capital Region of Jakarta, Indonesia
Orphanages in the Special Capital Region of Jakarta, Indonesia
Community resource center in the state of Tennessee, U.S.
Japanese Red Cross Society
Village of Kuma in Hitoyoshi, Kumamoto PrefectureStates of New South Wales, Victoria and Queensland andthe city of Canberra, Australia
Soja City, Okayama Prefecture—
Indonesian Red Cross Society
City of Santa Rosa, Laguna Province, Philippines
Okazaki City, Aichi Prefecture; Sakahogi Cho, Gifu Prefecture; Kyoto Prefecture; Okayama Prefecture; nearby medical facilities

In collaboration with Nitto Denko Philippines Corporation, the local arm of Nitto
Philippines Department of Trade and Industry
Denko Corporation, donated 500 meters of filter materials used in making masks
Philippines Department of Transportation, City of Santa
Loaned four L300
Rosa, Laguna Province, Philippines
Donated 3 billion dong
Central Committee, Vietnam Fatherland Front
Donated five L300
Indonesian Red Cross Society
Donated one OUTLANDER PHEV
Community resource center in the state of Tennessee, U.S.
Donated artificial respirators, protective clothing and masks
Medical institutions in Thailand
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Governance
Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Governance

Strengthening Governance and Ensuring Compliance�����������������������������������������������������������������������95
Corporate Governance����������������������������������������������������������������������������������������������������������������������������������������������������95
Basic Approach and Policies, System of Corporate Governance������������������������������������������������������95
Status of Audit Committee Audits and Internal Audits,
Items Relating to Takeover Defense���������������������������������������������������������������������������������������������������������������98

Internal Control���������������������������������������������������������������������������������������������������������������������������������������������������������������������99
Basic Approach, Policies and Organization�����������������������������������������������������������������������������������������������������99

Risk Management������������������������������������������������������������������������������������������������������������������������������������������������������������100
Basic Approach and Policies, Development of Risk Management Framework,
Responses to COVID-19�����������������������������������������������������������������������������������������������������������������������������������������100

Compliance����������������������������������������������������������������������������������������������������������������������������������������������������������������������������101
Basic Approach and Policies�����������������������������������������������������������������������������������������������������������������������������������101
Management Structure���������������������������������������������������������������������������������������������������������������������������������������������102
Establishment of Internal and External Consultation Offices, Education and Training����103
Anti-Corruption, Political Involvement (Political Contributions)����������������������������������������������������104
Information Security, Protection of Personal Information, Security Export Control,
Approach to Taxation���������������������������������������������������������������������������������������������������������������������������������������������105

List of Executives�������������������������������������������������������������������������������������������������������������������������������������������������������������106
Executive Remuneration�������������������������������������������������������������������������������������������������������������������������������������������107

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Strengthening Governance and Ensuring Compliance
Medium- to Long-Term Vision for Material Issues

Long
Term

Risks
Opportunities
Direction of Responses
E nsure soundness and transparency by es-  Further reinforce governance by working to ensure compli Corporate malfeasance becoming an increasing social
ance with laws and regulations and to promote proper, effectablishing a robust governance system, andproblemtive business execution
earn society’s trust Increasing number of cyberattacks and other issues related
E nsure safety and sustainability of corporate  Assess risks appropriately and prevent them from occurring.
to information leaks, as well as their increasing severity
Minimize the impacts should they occur
business through enhanced risk management Business interruptions due to natural disasters or outbreaks of infectious diseases

MediumTerm

External Environment
Stakeholders’ Needs and Expectations
 Expectations of business continuity and Revisions to the Companies Act (2019) to reinforce goverenhanced trustnance, such as making it mandatory for listed companies tohave outside directors
 Business interruptions due to natural disasters or outbreaks of infectious diseases
 Frequent information leaks due to cyberattacks

Corporate Governance
Basic Approach and Policies
Based on its corporate philosophy (Vision & Mission),
MITSUBISHI MOTORS considers compliance to be of
topmost importance and making the ongoing reinforcement and improvement of governance a management priority, in order to meet the expectations ofshareholders, customers and all other stakeholders,
and to achieve sustainable growth and increase incorporate value over the medium to long term.
In addition, the Company has put together its basic framework for and views on corporate governancein the form of “Corporate Government Guidelines” andpublishes these guidelines on the Company’s website.

Medium-Term Targets
 Maintain a robust governance structure by achieving effective
and efficient operation of the internal control system Enact thorough compliance to prevent serious incidents

System of Corporate Governance
As of June 21, 2019, the Company has transitioned to
a company with three committees, as part of its efforts to enhance its corporate governance and clearly
separate supervisory and execution function, and inorder to achieve swift execution of business in quick
response to environmental changes and to ensure thesoundness and transparency of management throughfurther strengthening of supervision and implementation of more thorough risk management.

(1) Board of Directors and Members of the Board(i) Composition of Members of the Board
The Board makes decisions on important management issues and oversees the execution of business

by Executive Officers. As of June 23, 2021 the Board
consists of 13 Directors (including 2 female members), 11 of whom oversee the Company as Outside
Directors each with considerable experience and ahigh level of insight. Furthermore, five of the Outside
Directors are registered at Tokyo Stock Exchange as
Independent Directors.
We believe that these Outside Directors make insightful comments at Board meetings based on theirconsiderable experience and knowledge in such fields
as corporate management, finance, accounting andlaw, and sufficiently fulfill their duties as Directors.
The Company will continue to build a structure withawareness of the balance and diversity of knowledge,
experience and capabilities, as well as the scale, of theBoard as a whole.

PDF Corporate Governance Guidelines
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Commitment of
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Sustainability Management(ii) Independence standards for outside directors
MITSUBISHI MOTORS has established independence standards for outside directors as follows, and we appoint as
independent directors those persons who are not at riskof having a conflict of interest with general shareholders.
<Independence standards for outside directors>
The Company’s Outside Directors must occupy a neutral position, independent from the Company’s operational management and must not be:
1.	An executive of a major shareholder*1 of the Company
2.	An executive of a major business partner*2 of theCompany, or of a company for which the Company
is a major business partner, or the parent company or subsidiary of such a company
3.	An executive of a major lender*3 to the Company
or the parent company or subsidiary of such a
company
4.	A person affiliated with an auditing firm that conducts statutory audits of the Company
5.	A consultant, an accounting professional such as acertified public accountant, or a legal professionalsuch as an attorney-at-law who receives a large
amount*4 of monetary consideration or otherproperty other than compensation of Members of
the Board from the Company (in the event suchproperty is received by a corporation, associationor other group, then any person belonging to suchgroup)
6.	An executive of a company with which the Company shares a Director
7.	An executive of an organization that is receiving alarge*4 donation or grant from the Company
8.	A person to whom any of 1 through 7 has applied
during the past 3 years

FeatureEnvironment

Social9. A person with a close relative (second degree ofkinship) to whom any of 1 through 7 applies
10.	A person whose total period in office as an Outside
Director exceeds 8 years
11.	Other persons for whom the possibility of a relationship with the Company appears strong undersubstantive and comprehensive consideration of
the situation*1.	Major shareholder: A shareholder who owns a 10% or greater
share of voting rights*2.	Major business partner: A business partner of the Company
with annual transactions valued at 2% or more of either theCompany’s consolidated net sales in the most recent fiscal
year or the business partner’s consolidated net sales in themost recent fiscal year
*3.	Major lender: A financial institution that provides the Company
with loans amounting to 2% or more of the Company’s consolidated total assets at the end of the most recent fiscal year
*4.	Large amount: An amount of consideration received from theCompany that is 10 million yen or more(iii) Analysis and evaluation of the effectiveness of
the Board of Directors
To improve the effectiveness of corporate governance,
the Company annually evaluates the effectiveness of its
Board through a questionnaire survey of all Directors.
In FY2020, the Company evaluated the effectiveness of the Board based mainly on the four elements“composition of the Board and each committee,”“matters for deliberation by the Board and eachcommittee,” “oversight functions of the Board andeach committee,” and “status of deliberations by the
Board and each committee” from the perspective ofenhancing the Board’s oversight function.
As a result of the evaluation, the Company has
judged that there are no serious concerns or otherissues regarding the effectiveness of the Board. The
main issues revealed in the evaluation were as follows.

Governance

ESG Data• Coordination of agenda items and matters to be reported in order to emphasize broader deliberation fromthe perspective of the Board’s oversight functions•P rovision of information regarding examination anddecision-making processes on the management sidethat form a basis for the Board’s determinations,
corporate and business information that enable theBoard to perform its oversight functions, and opportunities to acquire knowledge
The Company will work to continue to strengthen
corporate governance by further improving the effectiveness of the Board, including initiatives for major
issues recognized through analysis and evaluation of
the Board.

(2) Committees
The Board has the following three statutory committees of which Outside Directors comprise the majorityof the Members and the Company has established asystem that monitors Directors and Executive Officers
as well as facilitates corporate governance.
(i) Nomination Committee
The Nomination Committee makes decisions on
proposals for electing and dismissing Members of theBoard, which are proposed at the General Meeting of
Shareholders, and engages in deliberations regarding
matters such as proposals for appointing and removing the Executive Officers and Corporate Officers,which are proposed at the Board of Directors and thesuccession planning for the Executive Officer, President & CEO. The committee is composed of five outside directors, and an Independent Outside Director(Main Kohda) serves as the chairperson.

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Commitment of
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Sustainability Management(ii) Compensation Committee
The Compensation Committee deliberates and determines the policy regarding determination of remuneration of Directors and Executive Officers, as well as
the details of individual remuneration. The committee
is composed of four outside directors and one internal director. An Outside Director (Shunichi Miyanaga)
serves as the chairperson.
(iii) Audit Committee
The Audit Committee supervises the execution of
the duties of Directors and Executive Officers andprepares audit reports, and also implements internal
investigations based on the judgment of the Board.
The committee is composed of four outside directors
and one internal director, and an Independent Outside
Director (Yaeko Takeoka) serves as the chairperson.

(3) Executive Officers

The Board of Directors entrusts the Executive Officer,
President & CEO with the authority to make decisions
concerning the general execution of business, withthe exception of matters stipulated for determinationby the Board of Directors based on laws, regulations,
the Articles of Incorporation and the rules of theBoard of Directors.
The Executive Officer, President & CEO entrusts
some of that authority to other executive officers
based on rules for the delegation of authority and holds
control over the shared business execution framework.
Meanwhile, to contribute to the appropriate exercise
of authority by the Executive Officer, President & CEO,the Company has established the Executive Committee
and the Product Decision Meeting to ensure sufficientdeliberation of important management matters andimportant matters related to product development.

FeatureEnvironment

SocialGovernance(4) Conflicts of Interest

ESG Data

regard to transactions that are in competition withor that represent conflicts of interest between the
Company and its directors or executive officers, therules of the Board of Directors stipulate prior approval
from the Board of Directors and reporting after any
such transaction.
In addition, the rules of the Board of Directors
stipulate that directors with special conflicts of interest may not participate in voting on such Board of
Directors resolutions.

To avoid harming the common interests of the Company and its shareholders, the Company conducts
transactions with interested parties such as executives and major shareholders in the same manner asother transactions: we engage in such transactions
after giving due consideration to their economic
rationale, checking with multiple related departments
and upon the approval of the responsible person towhom authority has been delegated. Particularly with

Corporate Governance and Business Execution Structures (June 23, 2021)
General Meeting of Shareholders
ReportAccounting
audit

Audit Committee

Cooperation

Remuneration
DecisionsBoard of Directors

Audit/Report

Accounting
AuditorNomination Committee

Compensation Committee

Audit

Instruction/report(Specific case such as misconduct)

Cooperation

Right topropose dismissal

Executive Committee

Appointment/
Dismissal
Delegation of
authority
Supervision

Report/submission
for agenda

Executive Officer,
President & CEO

Audit Division

Subsidiaries
and Affiliates

Quality audit
Internal audit(Executive departments)

Structure of meetings related
to internal control

Internal Control Committee
ReportProduct Decision Meeting
Quality audit
Internal audit

Remuneration
Decisions

J-SOX Promotion Committee
Executive Officers
and Executive
Vice Presidents

Departments

ReportInstruction

Executive Officer andExecutive Vice President (CFO)

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Commitment of
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Sustainability Management

Status of Audit Committee Audits andInternal Audits(1) Status of Audit Committee audits
MITSUBISHI MOTORS’ Audit Committee gathers information and conducts organizational audits in relation
to the establishment and operation status for internal
control systems (including internal controls pertaining
to financial reporting), such as those for main affiliates in Japan and overseas, status of progress withand operation of compliance activities, verificationof the appropriateness of risk evaluations, and risk
management frameworks and the like, through Audit

FeatureEnvironment

SocialGovernance

ESG Data

Audit results from internal audits conducted by Internal Audit Division are reported directly to President& CEO.

(3) Cooperation between the Audit Committee
and internal audit departments
The Audit Committee Members regularly hold meetings with Internal Audit Division to receive information
regarding the auditing system, auditing plans, andinternal audit results within the Company and at its
affiliated domestic and overseas companies, and toprovide feedback to Internal Audit Division on the status of the Audit Committee Members’ audits.

Committee meetings that are held monthly in principle and other meetings with Internal Audit Divisions,interviews with Executive Officers, and the like, basedon audit policy and audit plans.

Items Relating to Takeover Defense
Not applicable.

(2) Status of internal audits
The Company has established internal audit departments (Internal Audit Department and Quality Audit
Department) in Internal Audit Division (an independent organization reporting directly to President &CEO) and these departments conduct internal audits
based on the annual audit plan.
Internal Audit Department conducts audits todetermine whether operational management of theGroup is being conducted with transparency using
appropriate processes. Quality Audit Department conducts audits regarding the proper execution of thequality-related work of the Group.
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Internal Control
Basic Approach, Policies and Organization
Based on the “Basic Policy on the Establishment ofInternal Control Systems”*1 resolved at the Board of
Directors, MITSUBISHI MOTORS monitors the status ofoperations and strives to improve and reinforce internal control systems.
We recognize the gravity of its improper conduct
in fuel consumption testing, on top of past quality
problems, and in fiscal 2017 made profound reforms
to its internal control system as one of its priority
measures aimed at regaining trust.
First, it appointed a Vice President in charge of
Global Risk Control to manage compliance and operation risk and regularly report on governance improvement measures to the Board of Directors. Furthermore, in order to reinforce, and improve the efficiencyof, its handling of internal controls based on laws andregulations, it revised its internal control system. In
the revised system, the J-SOX Promotion Committee,
under the direct control of the Executive Officer, Ex-of achieving effective and efficient internal control

the Establishment of Internal Control Systems.” Fromfiscal 2018 and onwards, we will proceed to create a
global internal control system through establishingand operating internal control committees at its major
associates in Japan and overseas.
We have also positioned the Internal Audit Division
as independent of business execution. The Internal
Audit Division coordinates with other committees, including the Internal Control Committee, with the aim

system operation.
Going forward, we will continue with initiatives tofurther reinforce governance by working to ensurecompliance with laws and regulations and to promote proper, effective business execution in line withchanges in the domestic and overseas environments.
*1 S
 ee here for “Basic Policy on the Establishment of Internal Control systems” PDF

Internal Control Structure
Accounting
AuditorReportAudit/report

Board of Directors
Nomination
Committee

Audit Committee

Coordination
Audit

Accounting
audit

Instruction/report(specific issues of
misconduct, etc.)

Compensation
Committee

Coordination

ReportInternal Audit Division
Audit

Executive Officer, President & CEO
ReportReportReportExecutive Officer,
Executive Vice President (CFO)

Coordination

Whistleblowing
contact

ecutive Vice President (CFO), handles internal control
related to financial reporting in accordance with the
Financial Instruments and Exchange Act. The Internal
Control Committee, chaired by the Executive Officer,
President & CEO and vice-chaired by the Vice President in charge of Global Risk Control, promotes internal control related to the Companies Act. This Internal
Control Committee confirms and evaluates the reports

and J-SOX, in accordance with the “Basic Policy on

Internal Control Committee

ReportReportCoordination

Compliance
Committee

ReportInformation
Security
Committee

BCM*2
Committee

J-SOX
Promotion
Committee

Controls

Departments/Affiliates

and resolution contents decided on by subcommittees
in each internal control field, such as compliance, information security, business continuity management,*2 Business Continuity Management
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Risk Management
Basic Approach and Policies
MITSUBISHI MOTORS has defined a policy for the
management of business risks in the form of the
Basic Policy on the Establishment of Internal Control
Systems, and promotes risk management activities
throughout the entire MITSUBISHI MOTORS Group.
We consider it one of our most critical management
issues to appropriately assess risks to the MITSUBISHI MOTORS Group’s business, prevent risks fromoccurring, and engage in appropriate management tominimize the impact of risks that do occur.

Development of Risk Management Framework
We have put in place and works to improve its risk
management system for the entire Group throughthree types of risk management activities: priority risk
management, divisional risk management and affiliated company risk management.
For priority risk management, we select risks thatthe entire MITSUBISHI MOTORS Group faces directly,that have a high potential impact and a high degreeof urgency. For each risk, we assign “risk owners,” whoare of vice president or corporate vice president level,
and work as quickly as possible to reduce these risks.
In divisional risk management, we have appointed
risk management officers to each division or plant.
These officers work to reduce risks through repeatedapplication of the PDCA cycle involving identifying

and evaluating each risk, devising and implementing
countermeasures, and monitoring.
Affiliated company risk management involves

the basis of a presumed emergency.
As preparations against the possibility that employees will be unable to return to their homes for a three-regular confirmation by MITSUBISHI MOTORS of the

day period, we have ensured means through which

status of initiatives addressing various risks faced bythey can communicate with their families, cachedsubsidiaries and associates and activities such as busi-

emergency supplies and are conducting initiatives byness continuity planning improvements. Improvement

communicating with local municipal authorities.

suggestions and guidance are provided as required.

We have formulated plans of operation that as-

These risk management initiatives are regularly

sume a large-scale earthquake or major outbreak ofreported to the Board as major internal control activi-

infectious disease. We work to improve these BCPs

ties, and their efficacy is verified.

through regular drills and communication among

In addition, to prepare for unforeseen contingen-individual regions.

cies we have developed urgent information commu-

Further, in light of the spread of COVID-19, thenication system that enable the rapid communication

Company newly established a “BCM (Business Conti-

of information to directors and other key personnel,

nuity Management) Committee” from FY2020 and will

as well as a swift and accurate response. In particular,

endeavor to promote BCM activities on a regular basis.

to create a crisis management system to respondwhen serious incidents occur, we have formulated
an emergency response manual, which we revise as
appropriate. This manual outlines the establishment

Responses to COVID-19

of an emergency response organization and clarifies

Via the BCM Committee, which we established in

the chain of command, enabling us to put appropriate

FY2020, we created guidelines to help prevent infection

response systems into place.

and keep it from spreading for each relevant depart-

The MITSUBISHI MOTORS basic policy in times ofment within us and at Group companies. We also re-disaster such as earthquake or other natural disastersponded in other ways, such as revisiting work process-or an outbreak of infectious disease-to ensure thees in supply chain to ensure stable parts procurement.

safety of customers, as well as employees and their

We will continue to monitor the infection status.

families, and assist local communities. We are prepar-

By responding appropriately, such as by establishinging disaster countermeasures and business continuity

response headquarters, we will work to enhance risk

plans (BCPs) to this end.

management and reinforce business continuity.

We conduct drills in communicating among various manufacturing facilities and Group companies on
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Commitment of
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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Compliance
Basic Approach and Policies
Corporate activities are closely interlinked with various laws and public systems such as those related tothe environment, labor, and consumer protection.
Corporate activities must be carried out in compliance with these laws and systems. MITSUBISHI
MOTORS recognizes that the failure to appropriately
comply with these laws, regulations, and systems
would not only impede its business continuity, butwould also place significant burdens on society andthe environment.
In order to fulfill its social responsibilities as acompany by not only complying with laws, international rules, and internal regulations but also by
respecting changing social norms to the greatest
degree possible, we have issued a “Global Code of
Conduct” to serve as a standard of conduct for all
executives and employees. We are also redoubling ourefforts to enhance our compliance framework andemployee training, including those at our major associates in Japan and overseas.

MITSUBISHI MOTORS Global Code of Conduct[Principle]
MITSUBISHI MOTORS Group Companies (collectively herein referred to as “MITSUBISHI MOTORS Group” or “Company”) have
set this Global Code of Conduct that all MITSUBISHI MOTORS Group executives and employees must follow in order tofulfill our social responsibilities as a company.
This Global Code of Conduct applies to all MITSUBISHI MOTORS Group executives and employees. Each member of theCompany is charged with responsibility to comply this Global Code of Conduct.
1. Comply with all Laws and Rules

We shall comply with all applicable laws and regulations of
the country where the Company conducts business as well
as all Company policies and rules.

2. Promote Safety

We shall maintain and promote a healthy work environment, and engage in safe work practices. We are also committed to ensuring the safety of our customers and passengers, and continually promoting the safety of products.

3. Avoid Conflicts of Interest

We shall act in the best interests of the Company, and shallnot behave, act, or use any information contrary to theCompany's interests. Furthermore, we shall strive to avoid
any conduct that may be considered a conflict of interest.

4. Prohibit Association with Anti-Social Forces

We shall never have any association with anti-social forces
whatsoever. We shall not participate in acts of terrorism,
drug dealings, money laundering, and other individual ororganized criminal activities.

5. Preserve Company Assets

We shall safeguard the Company's assets, and shall never
use the said assets, including funds, confidential businessinformation, physical properties and intellectual properties
without permission.

6. Be Impartial and Fair

We shall maintain impartial and fair relationship with public
servants as well as business partners, including dealers,

suppliers, and other third parties. We shall not participate
in or endorse any corrupt practices including bribery, directly or indirectly such as through a third party.

7. Be Transparent and Accountable

We shall maintain accounts and records relating to corporate management with integrity, and disclose Company's
business activities fairly and transparently to our stakeholders, including shareholders, customers, employees,
and local communities with timely and properly manner.

8.	Respect Human Rights and Diversity, Provide Equal
Opportunity

We shall respect the human rights and diversity of suppliers, customers, other executives, colleagues, and local
communities. We shall never tolerate discrimination, retaliation or harassment in any form or degree.

9. Be Environmentally Responsible

We shall strive to take into consideration environmental
conservation when developing products and providing
services, and promote recycling, as well as resource andenergy savings.

10. Be Active and Report Violations

We shall carry out our work in accordance with this Global
Code of Conduct. When we have come to know any violation of this Global Code of Conduct, we shall immediately
report it to the Company, and the executives and employees who have come forward with such information basedon their own beliefs shall be infallibly protected from any
form of retaliation.

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Sustainability Management

FeatureManagement Structure
In order to prevent compliance infractions, including
information security infractions, from a global internal
control perspective, each division or function appoints
a compliance officer and department heads serveas code leaders, with the Vice President in charge of
Global Risk Control providing overall leadership. Major
subsidiaries and associates in Japan and overseas also
appoint compliance officers. To help prevent compli-

Environment

SocialGovernance

ESG Data

ance infractions, in FY2018 we established and started

ed to education and the formulation or revision of theoperating MITSUBISHI MOTORS Global Hotline.

Global Code of Conduct, as well as the status of any

Procedures are in place for reporting of serious

compliance infractions and their countermeasures.

compliance concerns ultimately to the Board of Di-

Members of the Board of Directors, including outside

rectors via code leaders and compliance officers. As

directors, deliberate on and supervise these matters.

required, compliance officers give their departments

As for internal controls related to financial report-

appropriate instructions for dealing with problems,ing, we verify compliance structures and procedures

taking corrective action and preventing a recurrence.

for financial summaries. If inadequate controls are

The Board of Directors is provided with regularfound at a company being evaluated, we request

reports on these compliance structures, efforts relat-

reporting on the nature of the problem and improvements being made. In FY2020, we checked the statusof 20 Group companies (MITSUBISHI MOTORS, 7 domestic associates, and 12 overseas associates).

Organizational Framework for Promoting Compliance

In FY2020, we experienced no serious complianceinfractions requiring disclosure.

Board of Directors
Executive Officer, President & CEO
Vice President in charge of Global Risk Control
Chief officers, corporate
general managers
ReportDirectSupervise

Thoroughly implement focus
on compliance prioritization

Requestapproval
ReportCompliance officers
Consult/
reportThoroughly implement focus
on compliance prioritization

General managers = code leaders(including general managers ofthe department in charge of primarymanagement of the affiliates)

Compliance
Coordination Department

Information
Security
Management
OfficeCoordination

Outsideattorney
consultation(Helpline)

MITSUBISHI
MOTORS
GlobalHotlineEmployee Consultation
Office (Helpline)
Whistleblowing

ReportComplianceproblem
consultation

Thoroughly
implement Subsidiaries and associates
Consultation
focus onCompliance officers
compliance
Thoroughly implement focus
prioritization Consult/on compliance prioritization
reportMITSUBISHI MOTORS employees

Affiliates employees

Consultation

MITSUBISHI MOTORS and affiliates employees (in Japan)

MITSUBISHI
MOTORS andaffiliates
employees

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Sustainability Management

Establishment of Internal and External
Consultation Offices
To prevent and promptly detect improper conduct,
MITSUBISHI MOTORS has established an internal
consultation office (Employee Consultation Office)allowing employees of the Company or its subsidiaries
and associates in Japan to report or consult aboutsuch conduct. Outside the Company, we have set up a
consultation office staffed by outside attorneys, as wellas the MITSUBISHI MOTORS Global Hotline, accessible
to employees both in Japan and overseas. In FY2020,
these offices fielded 132 reports or consultations.
Offices endeavor to swiftly resolve issues raisedin reports and consultations after first seeking
to confirm the facts through an investigation by

FeatureEnvironment

SocialThe MITSUBISHI MOTORS Global Hotline

Information received about compliance issues or
issues with potential business risks is immediately
reported to the Vice President in charge of Global
Risk Control. After receiving instructions on how to
respond, offices endeavor to resolve the issues.
In handling such information and in investigating
the relevant facts, we established our “ComplianceOriented Whistleblowing Operation Procedure” andmade company personnel aware of the provision inorder to ensure that persons who seek consultation
are not treated unfairly.
We have also established a Business Partner Helpline
designated to be used by our business partners.

ESG Data

helping reinforce employees’ sense of compliance.

established in FY2018 was set up within an outside

Furthermore, similar training is also offered in somefirm providing such services. This makes it possible to

Japanese associates, fostering such sense for the

file anonymous reports. Systems for identifying andgroup as a whole.

managing risks of the entire group have been put in

We also use e-learning and lectures by outsideplace, too, with MITSUBISHI MOTORS headquarters

instructors in legal compliance training relating, foreven able to check details of reports from subsidiaries

example, to environmental laws, the Labor Standards

and associates.

Act, and security trade control laws, to provide em-

Number of Reports/Consultations Fielded by
Consultation Offices by Category (FY2020)

Item
NumberCorporate/business proposals
20
Workplace environment
17
Labor relations
12
Human relations/harassment
25
Compliance, violations of operational rules, fraud
26
Others32

the Employee Consultation Office or by enlisting
the assistance of relevant compliance officers.

Governanceployees with the most current information related totheir own work. In particular, we are currently putting
effort into harassment prevention training. In FY2020,
we promoted awareness by holding training, including training for all executives and tailored to each job
rank.
On and around Safety Pledge Days,* each individual division voluntarily holds events to reaffirm the
day’s significance. Workplace discussions are also
held at the same time (two times a year) to talk about

Education and Training
Every fiscal year we formulate compliance-related
education and training programs, and offer them to
employees stratified by each job rank. Each divisionalso draws up and conducts its own measures under
the direction of the compliance officer.
Specifically, in order to improve the complianceawareness of all employees, when new graduates orbusiness ethics issues faced in the workplace andworkplace culture.
In addition, we provide easy-to-understand compliance- related information by posting a Compliance
Newsletter on our intranet every month.
* To prevent past incidents, such as the regrettable recall coverup, from being forgotten over time, in October 2004 we designated January 10 and October 19 as “Safety Pledge Days.” Thesedays were chosen because two fatal accidents involving large
trucks manufactured by Mitsubishi Fuso, a former MITSUBISHI
MOTORS division, occurred on these days.

mid-career recruits join the company, they receive
training regarding the Company’s compliance history
and the lessons to be learned from it. This training
is repeated when employees are given promotions,
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Sustainability Management

Anti-Corruption
Policies and Approach
The “Global Code of Conduct” clearly stipulates that
MITSUBISHI MOTORS executives and employees shallcomply with laws and regulations and shall maintain
fair and equitable relationships with public servants andbusiness partners. Moreover, we have built and operatea system that is designed to prevent corruption.

Management Structure
The Company implements e-learning programs for all
employees to familiarize them with the Global Codeof Conduct and allows them to review the code at
any time by distributing pamphlets and posting it toa smartphone app (for managers and above). We also
communicate the code across the group, distributing
the pamphlets to subsidiaries and associates in Japan, and in electronic form to subsidiaries and associates overseas.
We have formulated the “MITSUBISHI MOTORSGlobal Anti-Bribery Policy” as a global guideline for theprevention of bribery and corrupt practices. This policy
states clearly that we tolerate absolutely no bribery or
corrupt practices. In our efforts to reinforce measuresfor preventing bribery and corrupt practices throughout the Group, we require affiliated companies inJapan and overseas to comply with the same policies.
We also ask our suppliers, contractors, procurement
partners, dealers and outside agents to comply withapplicable laws and regulations related to bribery andwith individual companies’ anti-bribery policies.
In particular, the Company has formulated control

FeatureEnvironment

Socialregulations and operational standards on the provision and receipt of gifts or business entertainment
for public servants, prohibiting the improper provision of such gifts or business entertainment to public
servants or their receipt from public servants. When
providing gifts or business entertainment to public
servants, a preemptive application must be made to
the general manager of the Legal Department, andmust be provided only if approval is received.
The Company has management and operational
standards for providing and receiving gifts or businessentertainment, in addition to those to public servants.
It expressly prohibits (1) providing gifts or businessentertainment that is illegal or goes beyond generally
accepted bounds, and (2) receiving illicit payoffs. In
addition to this, we provide guidelines for the scope of
exceptions to the above and make filing of an application compulsory to ensure transparency. If thesestandards are violated, the compliance officer of therelevant division formulates internal reports and implements preventative measures for the future.
Since many employees in sales sites directly handle money with customers, there is a heightened riskof improper conduct such as embezzlement. At ourdomestic sales subsidiaries we conduct regular education and training to instill thorough awareness of
our compliance policies and prevent improper activity.
Each company implements site audits regularly. As
part of our internal auditing of affiliated companies inJapan, our Internal Audit Division also conducts operational audits of domestic sales subsidiaries. Audit
results are reported to the Company’s President &CEO, and the results are also shared with our Domes-

Governance

ESG Data

tic Sales Division. We follow up the progress of actionplans for improvement.
We work to thoroughly prevent corruption atoverseas associates by assigning oversight to their
executives and employees. Prior to their appointment,
we provide training on legal risks, including the prohibition and prevention of corruption.
When conducting audits of overseas subsidiaries,
our Internal Audit Division also verifies the progress ofefforts to prevent bribery and other corrupt practices.
In FY2020, no fine or any other punishment was
imposed on the Company by regulatory authorities
for corrupt practices.
No employees have been disciplined for corrupt practices.

Political Involvement (Political Contributions)
We respect the requirements set forth in the Global
Code of Conduct to “comply with all laws and rules,”“be impartial and fair” and “be transparent and accountable,” and maintain appropriate relationshipwith politics.
Recognizing that reasonable expenditures are
required to appropriately maintain a democratic
government, the Company considers making politicalcontributions to be one aspect of its social responsibility. When making such contributions, we do so inaccordance with the Public Offices Election Act, thePolitical Funds Control Act, and other laws and regulations related to politics. We also ensure to follow ourown internal rules for approval. In FY2020, we donated¥15 million to the People’s Political Association.

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Commitment of
Top Management

Sustainability Management

Information Security

FeatureEnvironment

SocialSecurity Export Control

MITSUBISHI MOTORS recognizes its social responsi-

The Company sincerely believes in the importance ofbility to adequately protect its important information

strict security trade controls to prevent the prolifera-

assets (information and the IT systems, equipment,tion of weapons of mass destruction and the exces-

media, facilities, and products that handle this infor-

sive accumulation of conventional weapons in ordermation) in the course of its business activities in orderto maintain international peace and security.

to gain the trust of all its stakeholders. Our measures

To conduct strict export controls, we have estab-to ensure information security include putting inlished Security Export Control Regulations. We ensure

place and reviewing internal regulations, managing

the legality of our export transactions through our

information assets, strengthening measures against

management system, with its The Security Export Con-computer viruses and cyberattacks, providing educa-trol Committee, led by the Executive Officer, President &tion to employees via e-learning and other measures,CEO, who serves as chief security trade control officer.

and monitoring information security activities by the
Information Security Committee.

Protection of Personal Information
Based on our Privacy Policy, we have built a management framework by establishing internal rules
and taking other measures. We also conduct ongoingeducation, such as through the use of e-learning for
employees. In addition, rules on personal information
protection are being strengthened around the world.
We coordinate with our bases in individual countries,

Approach to Taxation
The Company recognizes that proper tax payment in all
operating countries is one of key elements of corporate social responsibility for multinational companies.
MITSUBISHI MOTORS Group has established thefollowing Global Tax Policy to promote tax compliancein business activities. In line with this policy, we havecreated a governance system and strive to maintainproper tax payments in compliance with internationalrules and national regulations.

putting in place systems to respond appropriately
with their laws and regulations on the protection of
personal information.

Governance

ESG Data

Global Tax Policy for MITSUBISHI MOTORS Group
1.	 Tax compliance
The MITSUBISHI MOTORS Group (hereinafter simply
referred to as “MITSUBISHI MOTORS”) pledges topursue proper tax payments all over the world basedon the “MITSUBISHI MOTORS Global Code of Conduct.”This means MITSUBISHI MOTORS maintains appropriate and timely tax payments by understanding theintent and purpose of the BEPS* Action Plan, which
was developed and publicized by the OECD and G20
countries, as well as by complying with tax regulations in all countries and regions in which it conducts
businesses, tax treaties, and other international tax
regulations related to its business. In addition,
MITSUBISHI MOTORS pledges not to use any tax
havens or loopholes that are against the intentions
and purposes of laws.
*Base Erosion and Profit Shifting Action Plan

2.	Corporate governance on tax matters(1)	MITSUBISHI MOTORS recognizes corporate governance on tax matters as an infrastructure topromote tax compliance and tax planning and,
under the initiative of top management, pursues
the optimization of governance systems to secure the accuracy and transparency of accounting
and tax-related information.
(2) M ITSUBISHI MOTORS makes disclosures to all
relevant taxation authorities and stakeholders in aproper and timely manner, ensuring the submission of the country-by-country report (CBCR) required by the taxation authority under the transfer pricing regulation for multinational enterprises
after receiving verification from external experts.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

List of Executives (as of June 23, 2021)
Name

Position

Attributes

Members of
the Board
Tomofumi
OutsideChairman
Hirakuof theBoard

Indep.

Committees

Nomination
Committee

Attendance at Board of Directors andCommittee Meetings(April 2020 to March 2021)

Tenure as Director(As of June 23, 2021)

—*1

—

Takao
Kato

Member of
the Board

Board of Directors
16 of 16 times
Compensation Nomination Committee 4 of 4 times*2
Committee
Compensation Committee 9 of 9 times

Kozo
ShirajiMember of
the Board

Audit
Committee(Full timeMember)ShunichiMiyanaga

Member of
the Board

OutsideCompensation
Committee(Chairman)

Ken
Member of
Kobayashi the Board

OutsideNomination
Committee

Main
Kohda

Member of
the Board

OutsideIndep.

Nomination
Committee(Chairman)
Compensation
Committee

Yaeko
TakeokaMember of
the Board

OutsideIndep.

Audit
Committee(Chairman)

Kenichiro
Sasae

Member of
the Board

OutsideIndep.

Nomination
Committee
Compensation
Committee

KiyoshiSono

Member of
the Board

OutsideAudit
Committee

HideyukiMember of
Sakamoto the Board

OutsideNomination
Committee

Yoshihiko Member ofNakamura the Board

OutsideJoji
TagawaMember of
the Board

OutsideCompensation
Committee

Takahiko
Ikushima

Member of
the Board

OutsideAudit
Committee

Indep.

Audit
Committee

2 years

SocialGovernanceOutside Outside director

Indep. Independent director

ESG Data

Male

FemaleReasons for Appointment
He has served in a series of important roles as Director-General of the Kansai Bureau andDirector-General of the Manufacturing Industries Bureau for the Ministry of Economy, Tradeand Industry (METI) and was engaged in energy policy at the Agency for Natural Resources
and Energy, possessing broad experience and knowledge and a wide network across industrial fields, and we expect he will use these attributes to actively oversee management of
the Company and provide advice and opinions as Director and Chairman.
He has many years of experience and insight concerning management of MMC’s global
business, including experience of serving as President of one of the MMC’s largest overseas
manufacturing base in Indonesia. In addition, he has been engaged in MMC’s management
since June 2019 as CEO. We believe he will play an important role in the decisions in significant matters and business execution of the Company.

2 years
He has not only experience in MMC but also considerable experience, achievements and insight(Reference: Previously
16 of 16 times
for two years as an nurtured through his long-standing career in the automotive business at a global general
15 of 15 times served
Audit & Supervisory Board trading company. We expect these experiences to benefit the Company’s management.
member of the Company)
He possesses considerable experience and knowledge obtained as top management in corpoBoard of Directors
16 of 16 times
7 years
rate management in a global manufacturing company, and we expect he will utilize thoseCompensation Committee 9 of 9 times
attributes to actively oversee management of the Company and provide advice and opinions.
He possesses considerable experience, achievements and insight on global business manageBoard of Directors
16 of 16 times
ment nurtured through his career as top management at a global general trading company,
5 years
and we expect he will utilize those attributes to actively oversee management of the Company
Nomination Committee 6 of 6 times
and provide advice and opinions.
She possesses deep knowledge about international finance, keen acumen and objective
Board of Directors
16 of 16 times
perspective as a writer, and considerable insight and experience gained as a Member of theNomination Committee 6 of 6 times
3 years
Council of the Ministry of Finance and the Ministry of Land, Infrastructure, Transport andTourism, and we expect she will utilize those attributes to actively oversee management ofCompensation Committee 8 of 9 times
the Company and provide advice and opinions.
2 years
She possesses lengthy experience as an Audit & Supervisory Board Member of the Company(Reference: Previously
Board of Directors
14 of 16 times
and has distinguished herself as a lawyer over a long period, and we expect that she will use
served for five years as an her considerable experience and knowledge as a legal professional to actively oversee
Audit Committee
15 of 15 times Audit& Supervisory Board management of the Company and provide advice and opinions.
member of the Company)
He served in a series of important roles at the Ministry of Foreign Affairs and possesses
Board of Directors
16 of 16 times
broad international understanding and experience as a diplomat, and we expect he will
Nomination Committee 6 of 6 times
2 years
utilize those attributes to actively oversee management of the Company and provide advice
3
Compensation Committee
—*and opinions.
He has a wealth of experience and extensive knowledge as top management of a global
Board of Directors
14 of 16 times
2 years
international financial institution, and we expect he will utilize those attributes to actively
Audit Committee
12 of 15 times
conduct oversee management of the Company and provide advice and opinions.
He has a wealth of knowledge and experience in the management of a global automotive
Board of Directors
14 of 16 times
2
years
manufacturer,
and we expect that he will utilize those attributes to actively oversee manNomination Committee 5 of 5 times*4
agement of the Company and provide advice and opinions.
He has worked for many years as a certified public accountant and possesses extensive
Board of Directors
13 of 13 times*5
1 yearknowledge as a specialist in accounting audits, and we expect that he will utilize those
Audit Committee
11 of 11 times*4
attributes to actively oversee management of the Company and provide advice and opinions.
5
Board of Directors
13 of 13 times*
He has a wealth of knowledge and experience in the management of a global automotive
1 yearmanufacturer, and we expect that he will utilize those attributes to actively oversee manCompensation Committee
4agement of the Company and provide advice and opinions.

6 of 6 times*
He has a wealth of knowledge and experience at a global automotive manufacturer, and we
Board of Directors
13 of 13 times*5
1 yearexpect that he will utilize those attributes to actively conduct oversee management of the
Audit Committee
—*3Company and provide advice and opinions.
Board of Directors
Audit Committee

*1 Mr. Tomofumi Hiraku was appointed as director and Nomination Committee member on June 23, 2021. Accordingly, no Board of Directors or committee meetings had yet been held for him to attend.
*2 Mr. Takao Kato was appointed as Nomination Committee member on August 7, 2020. Accordingly, the number of committee meetings available for him to attend differs from that of other directors.
*3 Messrs. Kenichiro Sasae and Takahiko Ikushima were appointed as Compensation Committee and Audit Committee members on June 23, 2021 respectively. Accordingly, no committee meetings had yet been held for them to attend.
*4 Messrs. Hideyuki Sakamoto, Yoshihiko Nakamura and Joji Tagawa were appointed as Nomination Committee, Audit Committee and Compensation Committee members on June 18, 2020 respectively. Accordingly, the numberof committee meetings available for them to attend differs from that of other directors.
*5 Messrs. Yoshihiko Nakamura, Joji Tagawa and Takahiko Ikushima were appointed as directors on June 18, 2020. Accordingly, the number of Board of Directors meetings available for them to attend differs from that of other directors.
For directors’ career summaries, visit:
WEB https://www.mitsubishi-motors.com/en/company/director/
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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Executive Remuneration
Information on the remuneration of directors andexecutive officers, as well as policies for determining
how this remuneration is calculated, is contained in
the annual securities report for the year ended March
31, 2021. (See pages 89 to 92.)
WEB https://www.mitsubishi-motors.com/content/dam/com/
ir_en/pdf/yuka/2021/yuka20210729e.pdf

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Commitment of
Top Management

ESG Data
Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

ESG Data
E

G

Environmental Data Related to Products and Business Activities����������������������������������������109

Governance-Related Data����������������������������������������������������������������������������������������������������������������������������������������122

Sales of Electric Vehicles (EVs), Product Fuel Economy and CO2 Emissions���������������������������109

Overview of Corporate Governance in FY2020, Total Compensation in FY2020,
Compliance-Related Data������������������������������������������������������������������������������������������������������������������������������������122

Business Activity Indicators
CO2 emissions������������������������������������������������������������������������������������������������������������������������������������������������������������109

GRI Standards Reference Chart���������������������������������������������������������������������������������������������������������������������������123

Scope 3 Breakdown, Energy Input (Primary and Secondary Energy), Sulfur Oxide,
Nitrogen Oxide, VOC (Volatile Organic Compounds),
Emissions of Ozone-Depleting Substances��������������������������������������������������������������������������������������110

FY2020 Materiality Targets and Results������������������������������������������������������������������������������������������������������133

Generated Waste, Generated Waste and Externally Disposed Waste,
Raw Material Input, Withdrawn Water Volume, Wastewater Volume�����������������������������111
Environmental Accounting�������������������������������������������������������������������������������������������������������������������������������112

Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data������������������������������113
Atmospheric pollutants��������������������������������������������������������������������������������������������������������������������������������������������113
Water pollutants������������������������������������������������������������������������������������������������������������������������������������������������������������114
PRTR-designated pollutants����������������������������������������������������������������������������������������������������������������������������������116

Biodiversity Data��������������������������������������������������������������������������������������������������������������������������������������������������������������119
Condition of Protected or Restored Habitats, Habitat Status of Rare Species��������������������119

S
Human Resource-Related Data���������������������������������������������������������������������������������������������������������������������������120
Number of Employees, Number of Employees by Region,
Number of Locally-Hired Managerial Employees at Overseas Subsidiaries,
Status of Female Management Promotions, Employee Makeup,
Number of New Graduates Hired, Working Hours and Ratio of Paid Leave Taken��������120
Number of Persons Taking Childcare Leave and Retention of Returnees,
Major Programs to Promote Work-Life Balance,
Employment of People with Disabilities, FY2020 Training Results, Wage Levels,
Accident Rate, Employee Shareholding Association��������������������������������������������������������������������������121

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Environmental Data Related to Products and Business Activities
Sales of Electric Vehicles (EVs)
Total EVs
EV sales ratio
Plug-in hybrid electric vehicles (PHEVs)
Japan
Overseas

2016
31,8773

201736,125
3

201854,5724

201975,1437

2020
64,561
8

Vehicles

23,85028,29647,23847,75835,553

Vehicles
Vehicles

3,625
20,225

5,105
23,191

6,780
40,4584,970
42,788

1,153

773

766

392
761

288
485

Vehicles

6,874

Vehicles
Vehicles

6,874
0

Global sales(including vehicles
with internal combustion engines)

VehiclesUnitedStates (fueleconomy)Europe (CO2emissions)
China (fueleconomy)Light truck
Passenger
automobile
ImportvehicleLocal production
vehicle(FY)

Production
Non-production

2016
394
67

2017
492
63

2018
518
70

2019
464
62

2020
315
53

5,629
29,924Japan
Asia
Othersx103t-CO2
x103t-CO2
x103t-CO2

362
92
7

387
162
6

404
178
6

348
173
5

245
120
3

1,015

1,566

410
356

901
114

1,517
49

7,056

6,568

26,37027,442

Scope 1 (direct emissions)x103t-CO2
Scope 2 (indirect emissions)x103t-CO2(Scope 1+2) Total
x103t-CO2
Scope 3x103t-CO2 eq(Scope 1+2+3) Total
x103t-CO2 eq

102
359
461
32,592
33,053

119
436
555
38,721
39,276119
469
588
42,58043,168110416
526
35,42935,95579289
368
20,286
20,654

7,056
0

6,568
0

26,370027,442
0926,390 1,101,194 1,243,914 1,126,843

801,442

Product Fuel Economy and CO2 Emissions (Corporate Average) *1
Importpassenger
automobile

CO2 emissionsUnit
x103t-CO2
x103t-CO2

Battery electric vehiVehicles
cles (BEVs)
Japan
VehiclesOverseas Vehicles
Hybrid electric vehicles (HEVs)
Japan
Overseas

Business Activity Indicators

(FY)

Unit
Vehicles
%

Unit

2016

2017

2018

2019

Figures have been recalculated retroactively to reflect corrected aggregation and revised CO2 emission factors.
Target site: MITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.
CO2 emission factors•B ased on “Greenhouse Gas Emissions Conversion, Reporting, and Announcement System based on
the Act on Promotion of Global Warming Countermeasures”•O verseas electricity emission factors use values for individual electric power companies. Some bases
use emission factors obtained annually from the IEA’s “CO2 Emissions from Fuel Combustion” or its“Emission Factors.”

2020

mpg

41.3

44.6

45.9

45.4

45.5

mpg

34.6

34.9

35.8

35.9

36.8

g-CO2/km

118

118

121

115.6

—

L/100km

10.0

12.0

12.0

12.0

—

L/100km

7.6

7.5

7.1

7.2

7.5

* Values reported publicly in respective countries and regions. Values are by model year in the UnitedStates and by calendar year in Europe and China.

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Commitment of
Top Management

Scope 3 BreakdownCategory
Purchased goods
1and services
2 Capital goods
Fuel energy not
3 included in Scope
1 or 2
Upstream trans4 portation anddistribution
Waste generated
5
in operations
6 Business travel
7
8
9
10
11
12
13

Employee commuting
Upstream leased
assetsDownstream
transportationand distribution
Processing of soldproducts
Use of sold products
End-of-life treatment of soldproducts
Downstream
leased assets

14 Franchises
15 Investment

Sustainability Management

FeatureEnvironment

Governance

Energy Input (Primary and Secondary Energy)
Unit
2016
Total amount
PJ*
8.3

(FY)

Unit
x103tCO2 eqx103tCO2 eq

Social

2016

2017

2018

2019

5,389

5,855

6,900

6,331

159

297

407

319

310 non-consolidated

Production
Non-production

PJ
PJ

x103tCO2 eq

42

45

21

49

36 consolidated

Japan
Asia
Others

PJ
PJ
PJ

x103tCO2 eq

772

1,013

1,278

1,174

541 consolidated

10

16

19

21

11

4

4

4

4

4 consolidated

x103tCO2 eqx103tCO2 eqx103tCO2 eqx103tCO2 eqx103tCO2 eq

2020

Coverageconsolidated
4,043(only production)

14

14

14

13 consolidated

—

—

—

—

—

—

—

—

—

—

—

—

Sulfur Oxide

x10 tCO2 eqx103tCO2 eqx103tCO2 eq
3

575

741

727

671

—

—

—

—

—

—

5

5

12

13

19

Some dealers in
Japan

—

—

—

—

—

—

2018
10.2

2019
9.5

2020
6.9

7.0
1.3

8.7
1.2

9.0
1.2

8.3
1.2

5.8
1.1

6.5
1.6
0.1

7.0
2.8
0.1

7.2
2.9
0.1

6.6
2.8
0.1

4.9
1.9
0.1

2019
163

2020
125

Total emissions

(FY)

Unit
t

2016
182

2017
184

2018
218

Figures have been recalculated retroactively to reflect corrected aggregation.
Target site: MITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.
Calculation method: calculated the weight of sulfur contained in the used fuel and converted theweight into sulfur dioxide (SO2)x103t——————
CO2 eq3
x10 t25,623 30,731 33,199 26,833 14,927 all destination
CO2 eqx103tCO2 eq

(FY)

2017
9.9

Figures have been recalculated retroactively to reflect the coefficients applied.
Target site: MITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.
* 1015 joules Unit calorific value: Quoted from the “Act on the Rational Use of Energy”

consolidated(only production)

13

ESG Data

Nitrogen Oxide
Total emissions

382 all destination

(FY)

Unit
t

2016
62

2017
65

2018
65

2019
61

2020
44

Figures have been recalculated retroactively to reflect corrected aggregation.
Target site: M
 ITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.
Calculation method: Fuel usage volume calculated using the Ministry of the Environment's “Environmental Activity Evaluation Program” emission factor

VOC (Volatile Organic Compounds)
Unit
Total emissions
t

(FY)

2016
2,166

2017
1,882

2018
2,354

2019
2,243

2020
2,480

Target site: Okazaki Plant, Mizushima Plant, Pajero Manufacturing Co., Ltd, Suiryo Plastic Co., Ltd.

Emissions of Ozone-Depleting Substances
Estimated at less than 0.1t (CFC equivalent) for MITSUBISHI MOTORS CORPORATION alone.
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Commitment of
Top Management

Generated Waste
Total emissions
Production
Non-production

Sustainability Management

FeatureEnvironment

Wastewater Volume

(FY)

Unit
x103t

2016
150

2017
162

2018
187

2019
202

2020
109

x103t
x103t

141
9

148
14

176
11

194
8

103
6

Generated Waste and Externally Disposed Waste (MITSUBISHI MOTORS alone)
Unit
2016
2017
2018
2019
93
99
104
89
Total amount produced
x103t
Externally disposed waste
Internal recycle

Raw Material Input
Iron and aluminum
Resin

2020
58

47
46

48
51

56
48

53
36

40
18

Unit
x103t
x103t

2016
137
3.0

2017
143
3.0

2018
154
2.5

2019
141
2.1

2020
97
1.1

ESG Data

(FY)

2016
3,977

2017
4,577

2018
4,504

2019
4,104

2020
3,266

Production
Non-production

x103m3x103m3

3,666
311

4,193
384

4,194
310

3,843
261

3,034
232

SewagePublic waters

x103m3x103m3

1,708
2,269

2,405
2,172

2,396
2,108

2,041
2,063

1,713
1,553

Target site: M
 ITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.
• Includes some estimated figures.

(FY)

x103t
x103t

GovernanceUnitx103m3

Total amount

Target site: MITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.

Social(FY)

Target site: Okazaki Plant, Mizushima Plant, Kyoto Plant

Withdrawn Water Volume

(FY)

Unit
x103m3

2016
5,606

2017
6,727

2018
6,211

2019
5,915

2020
4,420

Production
Non-production

x103m3x103m3

5,295
311

6,343
384

5,901
310

5,654
261

4,188
232

City waterIndustrial water
Underground waterx103m3x103m3x103m3

428
3,505
1,673

1,150
3,602
1,975

878
3,412
1,921

988
3,280
1,647

718
2,594
1,108

Total amount

Target site: MITSUBISHI MOTORS CORPORATION and 21 management target companies
Please see page 24 for details on management target companies.
• MMKI recycles and reuses some of its wastewater. In fiscal 2020, roughly 119,000m3 of water wasrecycled. (Roughly 2% of total MITSUBISHI MOTORS Group water withdrawal.)

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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Environmental Accounting
Environmental Conservation Costs
Category

Business Area Cost

Upstream/Downstream
Costs
Administration Activity
Cost
R&D Cost
Social Activity Cost
Environmental Remediation Cost
Total

(FY)

Main Initiatives Details

Unit

Preventing air pollution,
Pollution Prevention Cost water pollution and soil
pollution
Global Environmental Con- Preventing global warming
servation Costand the ozone depletion
Reduction, proper disposal
Resource Circulation Costand recycling of the waste
Withdrawing used bumpers and corresponding automobile recycling law
Maintaining certification of ISO14001, educating employees and monitoring
Research and development about reductions in environmental impact of products such as improving fueleconomy and exhaust gas measures
Hands-on environmental lessons, supporting global
environmental activity, donation to environmentalgroups and disclosing environmental information
Compensation for environmental damage by businessactivities

2019
Investment

Cost

2020
Investment

Cost

Cost

Million yen

106

1,315

41

1,251

203

629

Million yen

171

13

250

9

346

13

Million yen

22

1,226

0

1,418

0

933

Million yen

0

1,770

0

1,688

0

1,661

Million yen

56

680

130

420

18

588

Million yen

1,116

41,527

1,711

51,383456

32,731Million yen

68

239

0

273

47

189

Million yen

0

138

0

12

0

5

Million yen

1,539

46,9072,132

56,454

1,070

36,749Unit<Reference> Group-wide capital investment, R&D cost

2018
Investment

100 Million yen

Economic Benefit Associated with Environmental Conservation Activities (Actual Benefits)
Category
Details of Benefit
Unit
Operating revenue from the sale of recycled waste
Revenue
products and used products produced through key
Million yen
business
Energy expense saving through energy conservation
Million yen
Water expense saving through water conservation
Million yen
Cost Reduction
Disposal cost saving through lower resource input orMillion yen
recyclePackaging materials cost saving through recycling
Million yen
Total
Million yen

Capitalinvestment
1,377

R&D cost
1,243

Capitalinvestment
1,039

R&D cost
1,308

Capitalinvestment
764

R&D cost
1,014

(FY)

2018

2019

2020

2,512

1,774

1,083

-889
-3

532
8

2,333
31

-241

114

-551

439
1,818

422
2,850

422
3,318

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FeatureEnvironment

SocialGovernance

ESG Data

Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data (Results from FY2020)
Explanation of values
The regulation values indicate the strictest values in the text of laws, regulations and pollution prevention agreements. For atmospheric emissions, the maximum values are indicated.
Regarding PRTR, Class I Designated Chemical Substances that are handled at a volume of a 1 t/year or more are listed.
Technical words in the charts
NOx: Nitrogen oxide SOx: Sulfur oxide BOD: Biochemical oxygen demand COD: Chemical oxygen demand SS: Concentration of suspended solids in water

Atmospheric pollutants
Okazaki Plant
Atmosphericpollutants
NOx

Equipment

Boiler (Large-type, NO2)
(Other)Drying furnace (for coating)
Soot dust
BoilerDrying furnace (for coating)SOx (sulfur in fuel regulations)
Formaldehyde Drying furnace

Mizushima Plant
AtmosphericEquipment
pollutants
NOx
Boiler (Steam)(Heating)(Small-type)(Absorption- typeair conditioner)(Booth fan heating
facility)
Drying furnace
Melting furnace
Metal heating furnace
Total amount
Soot dust
BoilerBoiler (Booth fan heating
facility only)
Drying furnace
Melting furnace
Metal heating furnace
SOx (sulfur in fuel regulations)

Unit
ppm
ppm
ppm
g/Nm3
g/Nm3
wt%
mg/m3

Unit

Regulation
120
120
120
0.1
0.1
0.5
30

Regulation

Mizushima Plant (Harmful gases (Okayama Prefecture regulations))
Atmospheric pollutants
Unit
Regulationppm
Acrylonitrile40
ppm
Acetonitrile80
ppm
Formaldehyde
10
ppm
Cyan and its compounds
10
ppm
Carbon disulfide
40
ppm
Phenol10ppm
Styrene200
ppm
Benzene50ppm
Phosgene
0.1
ppm
Vinyl chloride
500

Actual(maximum)
61
72
44
0.005
0.002
—
5.6

Actual(maximum)

ppm
ppm
ppm

150
150
150

ppm

180

59

ppm

100

＜15

ppm
ppm
ppm
Nm3/h
g/Nm3

230
200
180
12.749
0.1

44
＜27
40
7.284
0.01

g/Nm3

0.03

＜0.0005

g/Nm3
g/Nm3
g/Nm3
wt%

0.1
0.1
0.1
0.50

0.071
＜0.001
0.018
0.48

Kyoto Plant – Kyoto
AtmosphericEquipment
pollutants
NOx
BoilerDrying furnace
Melting furnace
Metal heating furnace
Soot dust
BoilerDrying furnace
Melting furnace
Metal heating furnace
SOx (sulfur in fuel regulations)
DioxinDrying furnace
Melting furnace

—
65
45

Kyoto Plant - Shiga
AtmosphericEquipment
pollutants
NOx
BoilerSoot dust
Boiler

Unit
ppm
ppm
ppm
ppm
ppm
ppm
ppm
ppm
wt%
ng-TEQ/Nm3
ng-TEQ/Nm3

Unit
ppm
g/Nm3

Actual (maximum)
＜0.1
＜0.1

0.8
—
—
0.2
＜0.1
1.3
—
—

Regulation
150
230
200
180
0.1
0.2
0.1
0.2
0.5
1
1

Regulation
150
0.1

Actual(maximum)
78
93
56
110
0.00800.00270.0096
0.029
0
0.041
0.48
Actual(maximum)63
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FeatureEnvironment

Water pollutantsSocialMizushima Plant

Okazaki Plant
Water pollutants

Unit

pH
BOD
COD
SS
Oil
CopperZinc
Soluble ironSoluble manganese
Chromium
E-coli
Total nitrogen
Total phosphorus
Fluorine
COD total amount
Total amount of
total nitrogen
Total amount of
total phosphorus

—
mg/L
mg/L
mg/L
mg/L
mg/L
mg/L
mg/L
mg/L
mg/L
Unit/cm3
mg/L
mg/L
mg/L
kg/dayWater pollutants

Regulation
Actual (Maximum)
Daily average shown
Maximum Minimum Averagein parentheses
7.7
6.7
7.2
5.8〜8.6
25
(20)
7.3
1.9
4
25
(20)
3.1
0.7
1.6
30
(20)
6.0
1.0
1.2
2
＜0.50
＜0.50
＜0.50
0.5
＜0.01
＜0.01
＜0.01
1
0.3
0.02
0.09
3
＜0.01
＜0.01
＜0.01
3
＜0.10
＜0.10
＜0.10
0.1
＜0.02
＜0.02
＜0.02
300
550
30
49
15
8.80
0.40
5.04
2
0.42
0.06
0.19
4.0
0.58
0.1
0.28
61.6
15.1
0.4
4.8

kg/day

71.5

13.1

0.5

4.8

kg/day

8.6

13.6

0.5

7.0

pH

RiversSeas
BOD
RiversCOD
RiversSeas
SS
RiversSeas
OilRiversSeas
Zinc
RiversSeas
Soluble ironRiversSeas
SolubleRiversmanganese
Seas
E-coliRiversSeas
Total nitrogen
RiversSeas
Total phosphorus Rivers
Seas
Boron
RiversSeas
Fluorine
RiversSeas
Ammonia, ammo- Rivers
nium compounds,
nitrites, and nitric Seas
compounds
COD Total amount
Total amount of
total nitrogen
Total amount of
total phosphorus• Other than the above, the following were all below lower limits (not detected): Cyan, hexavalentchromium, cadmium, organic phosphorus, lead, phenol, trichloroethylene, 1,1,1-trichloroethane, alkyl
mercury, PCB, selenium, carbon tetrachloride, 1,2-dichloroethane, 1,1-dichloroethylene, dichloromethane, cis-1,2-dichloroethylene, tetrachloroethylene, 1,1,2-trichloroethane, benzene, 1,3-dichloropropene,simazine, and thiram, thiobencarb.

Governance

ESG Data

Regulation
Actual (Maximum)
Daily average shown
Maximum Minimum Averagein parentheses
—
7.9
6.8
7.3
6〜8
—
7.8
6.9
7.3
6〜8
mg/L
30
(20)
27
1.8
＜0.5
mg/L
30
(20)
20
1.6
6.6
mg/L
20
(15)
6.7
0.8
2.9
mg/L
40
(20)
3.0
＜1
＜1
mg/L
40
(20)
＜2.5
＜1
＜1
mg/L
2
(1)
1.1
＜0.5
＜0.5
mg/L
2
(1)
＜0.5
＜0.5
＜0.5
mg/L
2
0.09
0.09
＜1
mg/L
2
0.06
0.06
＜0.06
mg/L
10
＜0.01
＜0.01
＜0.01
mg/L
10
＜0.01
＜0.01
＜0.01
mg/L
10
0.20
＜0.2
＜0.2
mg/L
10
＜0.01
＜0.01
＜0.01
Unit/cm3
3,000
22
22
22
Unit/cm3
3,000
11
11
11
mg/L
120
(60)
14
1.2
7.6
mg/L
120
(60)
3.6
0.5
2
mg/L
16
(8)
5.3
0.1
1.6
mg/L
16
(8)
0.1
0.1
0.1
mg/L
10
＜0.1
＜0.1
＜0.1
mg/L
230
＜0.1
＜0.1
＜0.1
mg/L
8
2.3
0.3
1.3
mg/L
15
＜0.2
＜0.2
＜0.2
mg/L
100
7.8
3.4
5.6
Unit

mg/L

100

1.9

1

1.5

kg/day

294

121.9

2.6

23.5

kg/day

123

48.2

3.2

25.3

kg/day

47.8

22.4

0.2

5.4

• Other than the above, the following were all below lower limits (not detected): Copper, lead, cyan,
total chromium, hexavalent chromium, cadmium, organic phosphorus, total mercury, arsenic, phenol, trichloroethylene, trichloroethane, alkyl mercury, PCB, selenium, carbon tetrachloride, 1,2-dichloroethane, 1,1-dichloroethylene, dichloromethane, cis-1,2-dichloroethylene, tetrachloroethylene,
1,1,2-trichloroethane, benzene, 1,3-dichloropropene, simazine, thiram, and thiobencarb.
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ESG Data

Water pollutants
Kyoto Plant - Shiga

Kyoto Plant - Kyoto
Water pollutants
pH
BOD
SS
Oil
Oil

Mineral oil
Animal andvegetable oils

Soluble ironSoluble manganese
Total nitrogen
Total phosphorus
Arsenic
Dioxins

Actual (Maximum)
Maximum Minimum Average
6.8
6
6.4
230
8.1
76
51
6
21
＜1
＜1
＜1

Unit

Regulation

—
mg/L
mg/L
mg/L

5〜9
600
600
5

mg/L

30

12.6

1

4.8

mg/L
mg/L
mg/L
mg/L
mg/L
pg-TEQ/L

10
10
240
32
0.1
10

0.65
0.71
54.4
0.9
＜0.05
＜0.0005

0.07
0.22
1.05
＜0.1
＜0.05
＜0.0005

0.21
0.42
22.7
0.2
＜0.05
＜0.0005

Water pollutants
pH
BOD
SS
Oil
Total nitrogen
Total phosphorus

Unit

Regulation

—
mg/L
mg/L
mg/L
mg/L
mg/L

5〜9
600
600
5
60
10

Actual (Maximum)
Maximum Minimum Average
8.1
6.5
7.4
22
5.2
＜0.1
11.5
5.3
＜5.0
1.5
1
＜1
7.9
0.3
3.5
0.8
0.3
＜0.1

• All drainage from processes is discharged to sewers, and the items for analysis have been determinedin an agreement with the government of Konan City.

• All drainage from processes is discharged to sewers, and the items for analysis have been determinedin an agreement with the government of Kyoto City.

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ESG Data

PRTR-designated pollutants
Okazaki Plant
NO.

Substance name

Unit

1
53
71
80
239

Water-soluble zinc compounds
Ethyl benzene
Ferric chloride
XyleneOrganic tin compounds(Dibutyltin oxide)
Styrene
1,2,4-Trimethylbenzene
1,3,5-Trimethylbenzene
TolueneNaphthalene
Nickel compounds
n-HexaneBenzeneFormaldehyde
Manganese and its compounds

kg/yearkg/yearkg/yearkg/year

240
296
297
300
302
309
392
400
411
412
Total

AmounthandledEmissions volume

Removal volume
Sewage line

Recycled
volumeRemovaltreatment
volumeAtmosphere

Public waters

6,592
27,233
3,820
62,2650
13,0990
15,956

45
0
0
0

0
0
0
0

1,648
400
0
395

0
2,726
0
1,819

4,899
5,873
0
24,991kg/year

1,475

0

0

0

221

0

1,254

0

kg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/year031,351
4,103
175,424500
669
10,613
4,471
0
1,934
330,450

0
4,121
1,054
26,584
323
0
68
15
0
0
61,220

0
0
0
0

0
0
0
0
0
0
0
0
0
0
0

0
406
117
1,102
15
384
3
0
0
665
5,356

0
5
2
35,59500000040,147

0
13,26020
42,461
0
232
4,581
2,801
0
1,154
101,526

0
13,5592,910
69,682
162
0
5,961
1,655
0
0
121,988

53
0
0
0
115
213

Waste

Consumed
volume

0
5,135
3,820
19,104• Amount handled=Emission+transport volume+recycled volume+consumed volume+removal processed volume• Consumed volume: Volume transformed to other substances by means of a reaction or contained within a product• Removal treatment volume: Volume transformed to other substances by means of incineration, decomposition or reaction

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ESG Data

PRTR-designated pollutants
Mizushima Plant
NO.

Substance name

Unit

1
53
80
188
239
296
297
300
309
392
400
407
411
412
438
Total

Water-soluble zinc compounds
Ethyl benzene
XyleneN, N-Dicyclohexylamine
Organic tin compounds
1,2,4- Trimethylbenzene
1,3,5- Trimethylbenzene
TolueneNickel compounds
n-HexaneBenzenePolyoxyethylene alkyl ether
Formaldehyde
Manganese and its compounds
Methylnaphthalene

kg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearAmounthandled
15,356
7,284
42,1191,348
4,122
39,553
5,056
85,604
3,139
32,149
5,509
9,704
2,079
3,137
3,926
260,083

Emissions volume

Removal volume

Atmosphere

Public waters

0
2,721
3,196
0
0
14,395
4,164
359
0
180
17
0
1,853
0
217
27,101

599
0
0
0
0
0
0
0
346
0
0
97
0
166
0
1,208

Sewage line

Waste
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0

4,273
206
230
1,348
206
866
253
0
1,646
0
0
9,607
0
1,190
0
19,824

Recycled
volume
0
4,163
4,510
0
0
0
0
10,061
0
0
0
0
0
0
0
18,734

Consumed
volume10,48347
34,0200
3,916
22,29556
75,184
1,147
31,968
5,492
0
0
1,767
3,709
190,084

Removaltreatment
volume

0
147
164
0
0
1,997
583
0
0
0
0
0
226
14
0
3,132

• Amount handled=Emission+transport volume+recycled volume+consumed volume+removal processed volume• Consumed volume: Volume transformed to other substances by means of a reaction or contained within a product• Removal treatment volume: Volume transformed to other substances by means of incineration, decomposition or reaction

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ESG Data

PRTR-designated pollutants
Kyoto Plant
NO.

Substance name

37
53
80
258
296
297
300
349
392
400
Total
243

Bisphenol A
Ethyl benzene
XyleneHexamethylenetetramine
1.2.4-Trimethylbenzene
1.3.5-Trimethylbenzene
ToluenePhenoln-HexaneBenzeneDioxinsUnit
kg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/yearkg/year
mg-TEQ/year

Amounthandled
2,993
4,008
18,431
22,176
21,497
3,943
82,726
2,130
4,998
2,244
165,145

Emissions volume

Removal volume

Atmosphere

Public waters

0
1
6
0
6
1
25
0
2
0
41
11,100

0
0
0
0
0
0
0
0
0
0
0

Sewage line

Recycled
volume

Waste
0
0
0
0
0
0
0
0
0
0
0

0
0
0
0
0
0
0
0
0
0
0

Consumed
volume
0
0
0
0
0
0
0
0
0
0
0

2,984
4,007
18,425
15,523
21,4903,942
82,701
1,704
4,997
2,243
158,016

Removaltreatment
volume

9
0
0
6,653
0
0
0
426
0
0
7,088

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FeatureEnvironment

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ESG Data

Biodiversity Data
Condition of Protected or Restored Habitats (Achievements by FY2020)

Kyoto Plant-Shiga

Protection:
Initiatives of preserving native plants and creatures in andaround the plants
Environmental preservation of “Yatsuda” where White egret flower lives

Kyoto Plant- Kyoto

Creating biotopes to provide habitats for insects and others.

Business Site

Preparation of growth environments for birds through the installation of
Okazaki Plant and Research birdbaths& Development Center
Construction of a culvert beneath the test course to provide a movement
route for mammals, etc.

Restoration:
Initiatives of restoring the ecosystem in and around the business sites to thecondition which native plants and creatures are able to live
Restoration of cogongrass gregariousness, which provides habitats for various insectsPlanting Asarum caulescens, Blackberry lily and Eupatorium japonicum, which arenative plants of Kyoto city
Planting water lily, floating hears and bulrushes, which are plants native to thecity of Kyoto—

Habitat Status of Rare Species (Red List of Japanese Ministry of the Environment) in and around the Plants (Status up to FY2019)
Tokachi Research & Development Center (period of survey: 2018)
Number ofCategory
Discovered Species
SpeciesWhite tailed eagle, Black woodpecker, Far eastern brook
VU (Vulnerable)
7
lamprey, Japanese crayfish, Corydalis, Rhododendron
dauricum, Ajuga ciliata var. villosior
Japanese sable, Grey nightjar, Latham’s snipe, Northerngoshawk, Lasius teranishi, Brenthis daphne (subspeciesof Hokkaido/North Honshu), Glaucopsyche, Japanese
NT (Near Threatened)
12
big-ear radix, Hyphydrus japonicus Sharp, Ilybius apicalis,
Water scavenger beetles, Potamogeton pusillus
EN (Endangered)2
Margaritiferidae, Carex uda
Tamias sibiricus, Hazel grouse, Ezo salamander, CoenoDD (Data Deficient)4
myia basalis

Kyoto Plant-Shiga (period of survey: 2013 - 2014)
Number ofCategory
Discovered Species
SpeciesVU (Vulnerable)
3
Clouded salamander, Whirligig Beetle and Oryzias latipes
White egret flower, Agrostis valvata, Eurasian SparrowNT (Near Threatened)
7
hawk, Japanese pond turtle, B lackspotted Pond Frog,
Trigomphus citimus and Trigomphus interruptus
EN (Endangered)
1Species of insects not to be disclosed

Okazaki Plant and Research & Development Center (period of survey: 2016)
Number ofCategory
Discovered Species
SpeciesNT (Near Threatened)2
Northern Goshawk, Eurasian Sparrowhawk
DD (Data Deficient)
1
Polistes japonicus

Kyoto Plant- Kyoto (period of survey: 2019)
Number ofCategory
Discovered Species
SpeciesDD (Data Deficient)1
Grey-headed lapwing

Mizushima Plant (period of survey: 2017)
Number ofCategory
Discovered Species
SpeciesVU (Vulnerable)
1
FalconOsprey, Japanese buzzard (Okayama Prefecture Red
NT (Near Threatened)2
Data Book)

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Human Resource-Related Data
Number of Employees
Total
Number of employees (noncon- Malesolidated)
FemaleNumber of employees(consolidated)
Number of temporary
workers (consolidated)(Percentage of temporary
workers on a consolidated
basis)FY 2016
13,222
11,932
1,290
29,604

FY 2017
13,693
12,336
1,357
30,507FY 2018
14,171
12,695
1,476
31,314

FY 2019
14,407
12,848
1,559
32,171

FY 2020
13,951
12,403
1,548
30,091

3,892
(13%)

7,122
(23%)

8,682
(28%)

7,558
(23%)

6,434
(21%)

Employee Makeup (non-consolidated)

Australia and others
245 (1%)
Asia
8,532
(28%)

Total
Japan
20,460(68%)

University graduate/Master’s
degree or above
Junior college/
vocational school
graduates
High school
graduates/other

1,018
10.6%
9,631

(As of March 2021)

Number of
femaleexecutives*2

Persons
Ratio
Generalmanager or
above
Persons
Ratio

FY 2019
41.4
38.1
16.2
11.6
735

FY 2020
41.1
37.5
15.8
11.1
1,002

221
421
(63%)

248
249
(46%)

272
240
(45%)

381
303
(41%)

203
305
(30%)

8
15

2
40

7
14

14
37

11
483

Male
FemaleMale
FemaleFY 2016
298
40
196
34

FY 2017
220
31
133
27

FY 2018
314
54
226
47

FY 2019
368
92
229
76

FY 2020
386
85
204
76

Male
Female

2
0

1
0

5
0

1
0

0
0

Male
Female

100
6

86
4

83
7

138
16

182
9

FY 2016
2,092.9
hours
328.3
hours

FY 2017
2,115.5
hours
329.5
hours

FY 2018
2,131.2
hours
372.3
hours

FY 2019
2,013.6
hours
288.6
hours

FY 2020
1,880.8
hours
221.4
hours

81.6%

82.6%

86.6%

100.6%

99.2%

Working Hours and Ratio of Paid Leave Taken

Status of Female Management Promotions
Number of
femalemanagers*1

FY 2018
41.6
38.5
16.7
12.4
533

Number of New Graduates Hired

Number of Locally-Hired Managerial Employees at Overseas Subsidiaries
Number of mana- Persons
gerial employees Ratio
Number of employees

FY 2017
41.9
39.2
16.6
12.8
539

Male
FemaleAverage years of Male
service
FemaleNumber of employees who
have left the company(total)Retirement
Voluntary retirement(Percentage of voluntary
retirement)
Involuntary retirement
Work transfer, other

Number of Employees by Region: 30,091 (consolidated)
Europe 360 (1%)
North America
494 (2%)

FY 2016
41.1
38.3
16.7
12.3
665

Average age

FY 201649
2.9%
6FY 201758
3.5%
11FY 201868
3.9%
13FY 201974
3.5%
14FY 2020
80
4.1%
13

2
5.1%

3
7.7%

5
12.5%

5
12.5%

3
8.8%

*1 Including dispatched personnel on leave and secondees, excluding medical workers*2 Number of female executives includes outside directors

Total working hours perperson/per year
Overtime worked perpersonRatio of annual paid
leave taken*3*3 Days of annual paid leave taken during the year (days carried forward from the previous
year + days granted for the current year)×100
		Days of annual paid leave available for the year

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Top Management

Sustainability Management

FeatureEnvironment

Number of Persons Taking Childcare Leave and Retention of Returnees
Total
Number of
persons taking
Malechildcare leave
FemaleRetention rate of returnees*1

FY 2016
86
3
83
91.9%

FY 2017
127
6
121
92.3%

FY 2018
131
10
121
100%

FY 2019
194
49
145
97.7%

FY 2020 Results
Childcare

Nursing care

Miscellaneous

Pregnancy leave
Maternity leave
Childcare leave
Child nursing leave
Reduced working hours for childcare
Nursing care leave
Short-term nursing care leave
Reduced working hours for nursing care
Life plan leave
Accumulation of unused paid leave
Flextime system (including managerial
employees)*2
Reemployment system umber of employees registered as canNdidates for re-hiring under the reemployment system (in FY2020, one employee wasrehired under this program)

Male

0
0
35
248
3
3
146
1
68
194

Female
7
59
46
151
159
1
44
4
26
9

7,006

1,221

Governance

ESG Data

FY2020 Training Results

Number of employees who took courses
during the year (total)
Total number of hours attended
Number of course hours/days per employee
Training expenses per employee

FY 2020
81
35
46
96%

*1 Total number of employees still employed 12 months after returning to work from childcare leave
×100
Total number of employees whose childcare leave ended during the previous reporting period

Major Programs to Promote Work-Life BalanceSocialWage Levels

Total

7
59
81
399
162
4
190
5
94
203

Starting pay

Average salary of all employees
Percentage of women’s salaries
to men’s salaries

12,834
240,359 hours
17.2 hours /2.1 days
¥5,296

High school graduate Administrative and Engineering staff
High school graduate Manufacturing Worker
Technical college graduate
Junior college graduate
University graduate
Master’s degree
Doctor of Philosophy(annual)Ratio of Valuable Compensation

6

22

0

8

8

General Manager (responsible
for specific duties)

Accident Rate (Accident Frequency)

Accompanying leave (two returnees in
FY2020)¥186,600¥171,400¥210,400¥232,400¥266,400¥6,519,000
78%Manager
16¥172,900(annual)General Manager

8,227¥166,900

Maximum of 35% ofannual basic salary
Maximum of 25% ofannual basic salary
Maximum of 20% of
annual basic salary

FY 2016
0.54

FY 2017
0.60

FY 2018
0.41

FY 2019
0.42

FY 2020
0.30

0.06

0.09

0.10

0.10

0.00

*2 With regard to the flextime system, the number of employees eligible to use the system (as of April
1, 2021)

Overall accident rate*4
Accident rate with loss of
workdays*5

Employment of People with Disabilities*3*4 Number of accidents with or without loss of workdays per 1 million working hours*5 Number of accidents with loss of workdays per 1 million working hours

500
400
300

Number of disabled persons hired (as of April)
2.18
330

2.21
346

2.14
349

Employment rate (%) (%)
2.5
2.38
2.0
360

2.20
363

1.5

200

1.0

100

0.5

0

2017

2018

2019

2020

2021

0.0

*3
In accordance with the
Act for Promotion of
Employment of Persons with Disabilities,
one severely disabled
person is recognized as
two people

Employee Shareholding Association
Number of members of the employee
shareholding association
Membership rate
Shares owned

As of March 2021
1,038
6.0%
2,014,580

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Governance-Related Data
Overview of Corporate Governance in FY2020
Organizational form
Board of Directors members
Outside directors
Of whom, independent directors
Number of Board of Directors meetings
Ratio of attendance at Board of Directors
meetings
Of which, ratio of attendance by outside
directors
Chairperson of the Board of Directors
Statutory committees
Nomination Committee
Compensation Committee
Auditor Committee

Total Compensation in FY2020

Company with three committees
14
12
6
16
96.3%

Information related to total compensation is disclosed in the Annual Securities Report.
WEB https://www.mitsubishi-motors.com/en/investors/library/yuka.html

Compliance-Related Data
Number of reports to or consultations with the internal
Employee Consultation Office(helpline)
Number of reports to or consultations with the outside
attorney consultation office(helpline)
Number of reports to or consultations with the MITSUBISHI MOTORSs Global Hotline
Number of reports to or consultations with the Business
Partner Hotline

95.6%
Chairman of the Board*
Nomination Committee, Compensation
Committee, Auditor Committee
5 (including 4 outside directors)
Chairperson: Outside director(independent director)
5 (including 4 outside directors)
Chairperson: Outside director
5 (including 4 outside directors)
Chairperson: Outside director(independent director)

Units

FY 2016 FY 2017 FY 2018 FY 2019 FY 2020

Instances

153

170

194

166

112

Instances

2

4

13

4

2

Instances

—

—

14

25

14

Instances

0

0

0

3

4

* The director, Executive Officer, President & CEO takes on the chairperson’s responsibilities.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

GRI Standards Reference Chart
Item
Description
GRI 102: General Disclosures 2016
Organizational profile
102-1
a. Name of the organization
102-2
a. A description of the organization’s activitiesb. Primary brands, products, and services, including an explanation of any products or services that are banned incertain markets
102-3
a. Location of the organization’s headquarters
102-4
a. N
 umber of countries where the organization operates, and the names of countries where it has significant operations and/or that are relevant to the topics covered in the report
102-5

a. Nature of ownership and legal form

102-6

a. Markets served

102-7

a. Scale of the organization

102-8

a. Total number of employees by employment contract (permanent and temporary), by genderb. Total number of employees by employment contract (permanent and temporary), by regionc. Total number of employees by employment type (full-time and part-time), by genderd. Whether a significant portion of the organization’s activities are performed by workers who are not employees.
If applicable, a description of the nature and scale of work performed by workers who are not employees.
a. A description of the organization’s supply chain, including its main elements as they relate to the organization’s
activities, primary brands, products, and services

102-9
102-10102-11a. Significant changes to the organization’s size, structure, ownership, or supply chain
a. Whether and how the organization applies the Precautionary Principle or approach102-12a. A list of externally-developed economic, environmental and social charters, principles, or other initiatives towhich the organization subscribes, or which it endorses

102-13a. A
 list of the main memberships of industry or other associations, and national or international advocacy organizations

Index for applicable pages

Corporate Overview
Corporate Overview
Securities Report (P4-5) Description of businessCorporate Overview
Corporate Overview
Securities Report (P4-9) Description of business, Status ofsubsidiaries and associates
Corporate Overview
Securities Report (P39-50) Information about shares, etc.
Corporate Overview
Securities Report (P4-9) Description of business, Status ofsubsidiaries and associates
Corporate Overview
ESG Data＞Human Resource-Related Data
Securities Report (P11) Employees, (P19-23) Management
analysis of financial position, operating results and cash flows
Corporate Overview
ESG Data＞Human Resource-Related Data
Securities Report (P11) Employees

Social＞Achieving a Sustainable Supply Chain
Securities Report (P4-5) Description of business
N/A
Environment＞Environmental Management
Governance＞Risk Management
Securities Report (P14-18) Business-related risks
Editorial Policy
Sustainability Management＞Sustainability Management＞
External Initiatives Supported or Referred to
Sustainability Management＞Sustainability Management＞
Participation in External Organizations
Social＞Respect for Human Rights＞Management System

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialItem
Description
Strategy102-14a. A statement from the most senior decision-maker of the organization (such as CEO, chair, or equivalent senior
position) about the relevance of sustainability to the organization and its strategy for addressing sustainability
102-15a. A description of key impacts, risks, and opportunities

Ethics and integrity
102-16
a. A description of the organization’s values, principles, standards, and norms of behavior

Governance

ESG Data

Index for applicable pages
Commitment of Top Management
Commitment of Top Management
Sustainability Management＞MITSUBISHI MOTORS’ Materiality
Each Materiality＞Medium- to Long-Term Vision for MaterialIssues (P27, 38, 41, 46, 49, 53, 57, 64, 67, 73, 77, 84, 88, 95)
Environment＞Responding to Climate Change and Energy
Issues＞Responding to the TCFD Recommendations
Securities Report (P14-18) Business-related risks

Sustainability Management＞Corporate Philosophy and Policy
Governance＞Compliance＞Basic Approach and Policies
102-17a. A description of internal and external mechanisms for seeking advice about ethical and lawful behavior, and or- Governance＞Compliance＞Establishment of Internal andganizational integrity, and reporting concerns about unethical or unlawful behavior, and organizational integrity. External Consultation Offices
Environment＞Environmental Management＞Environmental
Risk Management
Social＞Achieving a Sustainable Supply Chain＞Establishinga Business Partner Helpline
Governance102-18a. Governance structure of the organization, including committees of the highest governance body
Sustainability Management＞Sustainability Management＞
Framework for Promoting Sustainability
b. Committees responsible for decision-making on economic, environmental, and social topics
Governance＞Internal Control
Corporate Governance Report (P29) Diagram of Governance
Framework including Outline of Internal Control System102-19a. P
 rocess for delegating authority for economic, environmental, and social topics from the highest governance
Securities Report (P53-94) Information about corporatebody to senior executives and other employees
governance, etc.
102-20a. W
 hether the organization has appointed an executive-level position or positions with responsibility for econom- Sustainability Management＞Sustainability Management＞
ic, environmental, and social topics
Framework for Promoting Sustainability
b. Whether post holders report directly to the highest governance body
Securities Report (P53-94) Information about corporate
governance, etc.
102-21a. P
 rocesses for consultation between stakeholders and the highest governance body on economic, environmenSocial＞Promoting Occupational Health and Safety＞
tal, and social topics
Labor-Management Relations
b. If consultation is delegated, describe to whom it is delegated and how the resulting feedback is provided to the General Shareholders Meetings Website
highest governance body
Corporate Governance Report (P4) Basic Views on Corporate
Governance, Capital Structure, Corporate Profile and Other
Basic Information＞Policy for Constructive Dialogue with
Shareholders

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FeatureEnvironment

SocialItem102-22

Description
a. Composition of the highest governance body and its committees

102-23a. Whether the chair of the highest governance body is also an executive officer in the organizationb. If the chair is also an executive officer, describe his or her function within the organization’s management andthe reasons for this arrangementa. Nomination and selection processes for the highest governance body and its committees
b. Criteria used for nominating and selecting highest governance body members

102-24102-25a. Processes for the highest governance body to ensure conflicts of interest are avoided and managedb. Whether conflicts of interest are disclosed to stakeholders, including, as a minimum:

102-26a. Highest governance body’s and senior executives’ roles in the development, approval, and updating of theorganizations’ purpose, value or mission statements, strategies, policies, and goals related to economic,
environmental, and social topics
a. Measures taken to develop and enhance the highest governance body’s collective knowledge of economic,
environmental, and social topics

102-27102-28102-29102-30102-31
102-32102-33102-34a. Processes for evaluating the highest governance body’s performance with respect to governance of economic,
environmental, and social topics
b. Whether such evaluation is independent or not, and its frequency
c. Whether such evaluation is a self-assessmentd. Actions taken in response to evaluation of the highest governance body’s performance with respect togovernance of economic, environmental, and social topics, including, as a minimum, changes in membershipand organizational practice.
a. Highest governance body’s role in identifying and managing economic, environmental, and social topics and theirimpacts, risks, and opportunities–including its role in the implementation of due diligence processesb. Whether stakeholder consultation is used to support the highest governance body’s identification andmanagement of economic, environmental, and social topics, and their impacts, risks, and opportunitiesa. Highest governance body’s role in reviewing the effectiveness of the organization’s risk management processes
for economic, environmental, and social topics
a. Frequency of the highest governance body’s review of economic, environmental, and social topics and theirimpacts, risks, and opportunities
a. The highest committee or position that formally reviews and approves the organization’s sustainability reportand ensures that all material topics are covereda. Process for communicating critical concerns to the highest governance bodya. Total number and nature of critical concerns that were communicated to the highest governance bodyb. Mechanism(s) used to address and resolve critical concerns

Governance

ESG Data

Index for applicable pages
Governance＞List of Executives
Corporate Governance Report (P6-22) Business
Management Organization and Other Corporate
Governance Systems regarding decision-making,Execution of Business, and Oversight in Management
Securities Report (P53-94) Information about corporate
governance, etc.
Securities Report (P53-94) Information about corporate
governance, etc.
Corporate Governance Report (P1-22), I. Basic Views on
Corporate Governance, Capital Structure, Corporate Profile
and Other Basic Information and II. Business Management
Organization and Other Corporate Governance Systems
regarding Decision-making, Execution of Business, andOversight in Management
Corporate Governance Report (P1-6) Basic Views on
Corporate Governance, Capital Structure, Corporate Profile
and Other Basic Information
Securities Report (P53-94) Information about corporate
governance, etc.
Corporate Governance Report (P1-6) Basic Views on
Corporate Governance, Capital Structure, Corporate Profile
and Other Basic Information
Governance＞Corporate Governance＞System of Corporate
GovernanceCorporate Governance Report (P1-6) Basic Views on
Corporate Governance, Capital Structure, Corporate Profile
and Other Basic Information
Securities Report (P14-18) Business-related risks, (P53-94)
Information about corporate governance, etc.
Governance＞Risk Management＞Development of Risk
Management Framework
Governance＞Risk Management＞Development of Risk
Management Framework
Sustainability Management＞Sustainability
Management＞Framework for Promoting Sustainability
Governance＞Compliance＞Management Structure
Governance＞Compliance＞Management Structure

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Commitment of
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Sustainability Management

FeatureEnvironment

SocialItem
102-35

Description
a. Remuneration policies for the highest governance body and senior executives
b. How performance criteria in the remuneration policy relate to the highest governance body’s and senior executives’ objectives for economic, environmental, and social topics
102-36
a. Process for determining remunerationb. Whether remuneration consultants are involved in determining remuneration and whether they are independentof managementc. Any other relationships which the remuneration consultants have with the organization
102-37a. How stakeholders’ views are sought and taken into account regarding remuneration
b. If applicable, the results of votes on remuneration policies and proposals
102-38a. R
 atio of the annual total compensation for the organization’s highest-paid individual in each country of significant operations to the median annual total compensation for all employees (excluding the highest-paid individual) in the same country102-39a. Ratio of percentage increase in annual total compensation for the organization’s highest-paid individual in eachcountry of significant operations to the median percentage increase in annual total compensation for all employees (excluding the highest-paid individual) in the same country
Stakeholder engagement102-40a. A list of stakeholder groups engaged by the organization
102-41a. Percentage of total employees covered by collective bargaining agreements
102-42102-43a. The basis for identifying and selecting stakeholders with whom to engage
a. The organization’s approach to stakeholder engagement, including frequency of engagement by type and by
stakeholder group, and an indication of whether any of the engagement was undertaken specifically as part of
the report preparation process
102-44a. Key topics and concerns that have been raised through stakeholder engagement, including:i. How the organization has responded to those key topics and concerns, including through its reporting
Reporting practice102-45a. A list of all entities included in the organization’s consolidated financial statements or equivalent documentsb. Whether any entity included in the organization’s consolidated financial statements or equivalent documents is
not covered by the report102-46a. An explanation of the process for defining the report content and the topic Boundaries
b. An explanation of how the organization has implemented the Reporting Principles for defining report content
102-47a. A list of the material topics identified in the process for defining report content
102-48a. The effect of any restatements of information given in previous reports, and the reasons for such restatements
102-49a. Significant changes from previous reporting periods in the list of material topics and topic Boundaries
102-50a. Reporting period for the information provided
102-51a. If applicable, the date of the most recent previous report102-52
a. Reporting cycle

Governance

ESG Data

Index for applicable pages
Corporate Governance Report (P14-15) Incentives
Securities Report (P53-94) Information about corporate
governance, etc.
Corporate Governance Report (P14-15) Incentives
Securities Report (P53-94) Information about corporate
governance, etc.
General Shareholders Meetings Website——

Sustainability Management＞Stakeholder Engagement
Social＞Promoting Occupational Health and Safety＞
Labor-Management Relations—
Sustainability Management＞Stakeholder Engagement—

Securities Report (P6-10) Status of subsidiaries and associates

Editorial Policy
Sustainability Management＞MITSUBISHI MOTORS’ Materiality
N/A
N/A
Editorial Policy
Editorial Policy
Editorial Policy

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Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Item102-53102-54102-55

Description
Index for applicable pages
a. The contact point for questions regarding the report or its contents
Editorial Policya. The claim made by the organization, if it has prepared a report in accordance with the GRI Standards—a. The GRI content index, which specifies each of the GRI Standards used and lists all disclosures included in the report. GRI Standards Reference Chartb. For each disclosure, the content index shall include:102-56
a. A description of the organization’s policy and current practice with regard to seeking external assurance for the report —b. If the report has been externally assured:
GRI103 Management approach 2016
103-1
Following information related to each material topic
Sustainability Management＞MITSUBISHI MOTORS’ Materiality
a. An explanation of why the topic is materialb. The Boundary for the material topicc. Any specific limitation regarding the topic Boundary
103-2
Following information related to each material topic
Sustainability Management＞Sustainability Management＞
Framework for Promoting Sustainability
a. An explanation of how the organization manages the topic
Sustainability Management＞MITSUBISHI MOTORS’ Materiality
b. A statement of the purpose of the management approach＞Identifying and Reviewing Material Issuesc. A description of the following, if the management approach includes that component
FY2020 Materiality Targets and Results
103-3
Following information related to each material topic
Sustainability Management＞MITSUBISHI MOTORS’ Materiality＞Identifying and Reviewing Material Issues
a. An explanation of how the organization evaluates the management approach
FY2020 Materiality Targets and Results
Economical
GRI201: Economic performance 2016
201-1
a. Direct economic value generated and distributed
Securities Report (P98-99) Consolidated statement of income
b. Where significant, report EVG&D separately at country, regional, or market levels, and the criteria used for defin- Social＞Promoting Social Contribution Activities＞Basicing significanceApproach and Policies (Breakdown of Social Contribution
Expenditures)
201-2
a. Risks and opportunities posed by climate change that have the potential to generate substantive changes in
Securities Report (14-18) Business-related risks
operations, revenue, or expenditure
Securities Report (P132-134) Retirement benefits
201-3
a. If the plan’s liabilities are met by the organization’s general resources, the estimated value of those liabilities
b. If a separate fund exists to pay the plan’s pension liabilities, its explainc. If a fund set up to pay the plan’s pension liabilities is not fully covered, explain the strategy, if any, adopted by
the employer to work towards full coverage, and the timescale, if any, by which the employer hopes to achieve
full coveraged. Percentage of salary contributed by employee or employer
e. Level of participation in retirement plans

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FeatureEnvironment

SocialItem
201-4

Description
a. Total monetary value of financial assistance received by the organization from any government during the reporting periodb. The information in 201-4-a by countryc. Whether, and the extent to which, any government is present in the shareholding structure
GRI 202: Market Presence 2016
202-1
Ratios of standard entry level wage by gender compared to local minimum wage
202-2
Proportion of senior management hired from the local community
GRI 203: Indirect Economic Impacts 2016
203-1
Infrastructure investments and services supported
203-2

Examples of significant identified indirect economic impacts of the organization, including positive and negative
impacts
GRI 204: Procurement Practices 2016
204-1
Proportion of spending on local suppliers
GRI 205: Anti-corruption 2016
205-1
Operations assessed for risks related to corruption
205-2
Communication and training about anti-corruption policies and procedures
205-3
Confirmed incidents of corruption and actions taken
GRI 206: Anti-competitive Behavior 2016
206-1
Legal actions for anti-competitive behavior, anti-trust, and monopoly practices
GRI 207: TAX 2019
207-1
Approach to tax
207-2
Tax governance, control, and risk management
207-3
Stakeholder engagement and management of concerns related to tax
207-4
Country-by-country reporting
Environment
GRI 301: Materials 2016
301-1
Materials used by weight or volume301-2
Percentage of recycled input materials used to manufacture the organization’s primary products and services
301-3
Reclaimed products and their packaging materials
GRI302: Energy 2016
302-1
Energy consumption within the organization
302-2

Energy consumption outside of the organization

302-3

Energy intensity

Governance—

ESG Data

Index for applicable pages—
ESG Data＞Human Resource-Related Data
Social＞Contribution to Local Economy through Business
Activities
Social＞Contribution to Local Economy through Business
Activities
Social＞Achieving a Sustainable Supply Chain
Governance＞Compliance＞Anti-Corruption
Governance＞Compliance＞Anti-Corruption
Governance＞Compliance＞Anti-Corruption
Governance＞Compliance
Governance＞Compliance＞Approach to Taxation
Governance＞Compliance＞Approach to Taxation
Governance＞Compliance＞Approach to Taxation—

ESG Data＞Environmental Data Related to Products andBusiness Activities—
Environment＞Resource Recycling Initiatives
ESG Data＞Environmental Data Related to Products andBusiness Activities
ESG Data＞Environmental Data Related to Products andBusiness Activities—

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Commitment of
Top Management

Sustainability Management

Feature

Item
302-4

Reduction of energy consumption

302-5

Reductions in energy requirements of products and services

Environment

SocialDescription

Water discharge

303-5

Water consumption

GRI 304: Biodiversity 2016
304-1
Operational sites owned, leased, managed in, or adjacent to, protected areas and areas of high biodiversity value
outside protected areas
304-2
Significant impacts of activities, products, and services on biodiversity
304-3
Habitats protected or restored
304-4
IUCN Red List species and national conservation list species with habitats in areas affected by operations
GRI305: Emissions 2016
305-1
Direct GHG emissions (Scope 1)

305-2

Energy indirect GHG emissions (Scope 2)

305-3

Other indirect GHG emissions (Scope 3)

305-4

GHG emissions intensity

305-5

Reduction of GHG emissions

305-6

Emissions of ozone-depleting substances (ODS)

ESG Data

Index for applicable pages
ESG Data＞Environmental Data Related to Products andBusiness Activities
ESG Data＞Environmental Data Related to Products andBusiness Activities

GRI 303: Water and Effluents 2018
303-1
Interactions with water as a shared resource
303-2
Management of water discharge-related impacts
303-3
Water withdrawal
303-4

Governance

Environment＞Conservation of Water Resources
Environment＞Conservation of Water Resources
ESG Data＞Environmental Data Related to Products andBusiness Activities
ESG Data＞Environmental Data Related to Products andBusiness Activities
ESG Data＞Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data
Environment＞Conservation of Water Resources
ESG Data＞Environmental Data Related to Products andBusiness Activities
Environment＞Preservation of Biodiversity
Environment＞Preservation of Biodiversity
Environment＞Preservation of Biodiversity
ESG Data＞Biodiversity Data
ESG Data＞Environmental Data Related to Products andBusiness Activities
Responding to Climate Change and Energy Issues＞Responding to Greenhouse Gases (GHGs) Across the Supply Chain
ESG Data＞Environmental Data Related to Products andBusiness Activities
Responding to Climate Change and Energy Issues＞Responding to Greenhouse Gases (GHGs) Across the Supply Chain
ESG Data＞Environmental Data Related to Products andBusiness Activities
Responding to Climate Change and Energy Issues＞Responding to Greenhouse Gases (GHGs) Across the Supply Chain
ESG Data＞Environmental Data Related to Products andBusiness Activities
ESG Data＞Environmental Data Related to Products andBusiness Activities
Identifying Material Issues
Environment＞Policy Directions＞Environmental Targets 2030
ESG Data＞Environmental Data Related to Products andBusiness Activities

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Item
305-7

Sustainability Management

FeatureEnvironment

SocialDescription
Nitrogen oxides (NOX), sulfur oxides (SOX), and other significant air emissions

Waste diverted from disposal

306-5

Waste directed to disposal

Environment＞Resource Recycling Initiatives
Environment＞Resource Recycling Initiatives
ESG Data＞Environmental Data Related to Products andBusiness Activities
Environment＞Resource Recycling Initiatives
ESG Data＞Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data
ESG Data＞Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data

GRI 307: Environmental Compliance 2016
307-1
Non-compliance with environmental laws and regulations
GRI 308: Supplier Environmental Assessment 2016308-1
New suppliers that were screened using environmental criteria
308-2
Negative environmental impacts in the supply chain and actions taken
SocialGRI 401: Employment 2016
401-1
Total number and rate of new employee hires during the reporting period, by age group, gender and region.
401-2
Benefits provided to full-time employees that are not provided to temporary or part-time employees
401-3
Total number of employees that took parental leave, by gender.
GRI 402: Labor/Management Relations 2016
402-1
Minimum notice periods regarding operational changes
GRI403: Occupational Health and Safety 2018403-1
Occupational health and safety management system403-2
Hazard identification, risk assessment, and incident investigation
403-3
Occupational health services
403-4
Worker participation, consultation, and communication on occupational health and safety
403-5
403-6
403-7

ESG Data

Index for applicable pages
ESG Data＞Environmental Data Related to Products andBusiness Activities
ESG Data＞Atmosphere/Wastewater Quality/PRTR-designated Pollutants Data

GRI 306: Waste 2020
306-1
Waste generation and significant waste-related impacts
306-2Management of significant waste-related impacts
306-3
Waste generated

306-4

GovernanceWorker training on occupational health and safety
Promotion of worker healthPrevention and mitigation of occupational health and safety impacts directly linked by business relationships

Environmental Management＞Environmental Risk Management
Social＞Achieving a Sustainable Supply Chain
Social＞Achieving a Sustainable Supply Chain

ESG Data＞Human Resource-Related Data
ESG Data＞Human Resource-Related Data
Securities Report (P132-134) Retirement benefits
ESG Data＞Human Resource-Related Data
Social＞Promoting Occupational Health and Safety＞
Labor-Management Relations
Social＞Promoting Occupational Health and Safety
Social＞Promoting Occupational Health and Safety
Social＞Promoting Occupational Health and Safety
Social＞Promoting Occupational Health and Safety＞
Labor-Management Relations
Social＞Promoting Occupational Health and Safety
Social＞Promoting Occupational Health and Safety—

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Sustainability Management

FeatureEnvironment

Item
403-8

Description
Workers covered by an occupational health and safety management system

403-9Work-related ill healthSocial

403-10Work-related ill health
GRI 404: Training and Education 2016
404-1
Average hours of training per year per employee
404-2
Programs for upgrading employee skills and transition assistance programs
404-3
Percentage of employees receiving regular performance and career development reviews
GRI 405: Diversity and Equal Opportunity 2016405-1
Diversity of governance bodies and employees
405-2
Ratio of basic salary and remuneration of women to men
GRI 406: Non-discrimination 2016406-1
Incidents of discrimination and corrective actions taken
GRI407: Freedom of Association and Collective Bargaining 2016
407-1
Operations and suppliers in which the right to freedom of association and collective bargaining may be at risk
GRI 408: Child Labor 2016
408-1
Operations and suppliers at significant risk for incidents of child labor

Governance

ESG Data

Index for applicable pages
Social＞Promoting Occupational Health and Safety＞
Labor-Management Relations
Social＞Promoting Occupational Health and Safety
ESG Data＞Human Resource-Related Data—
ESG Data＞Human Resource-Related Data
Social＞Stepping up Human Resource Development
Social＞Stepping up Human Resource Development
ESG Data＞Human Resource-Related Data
Social＞Stepping up Human Resource Development
ESG Data＞Human Resource-Related Data—
Social＞Promoting Occupational Health and Safety＞
Labor-Management Relations
Social＞Respect for Human Rights＞Complying with the
Human Rights Policy

GRI 409: Forced or Compulsory Labor 2016409-1
Operations and suppliers at significant risk for incidents of forced or compulsory labor

Social＞Respect for Human Rights＞Complying with the
Human Rights Policy

GRI 410: Security Practices 2016
410-1
Security personnel trained in human rights policies or procedures
GRI411: Rights of Indigenous Peoples 2016
411-1
Incidents of violations involving rights of indigenous peoples
GRI 412: Human Rights Assessment 2016
412-1
Operations that have been subject to human rights reviews or impact assessments

—
—

412-2

Employee training on human rights policies or procedures

412-3

Significant investment agreements and contracts that include human rights clauses or that underwent humanrights screening

Social＞Respect for Human Rights＞Basic Approach andHuman Rights Policies
Social＞Respect for Human Rights＞Complying with the
Human Rights Policy
Social＞Respect for Human Rights＞Basic Approach andHuman Rights Policies

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

Item
Description
GRI413: Local Communities 2016413-1
Operations with local community engagement, impact assessments, and development programs
413-2
Operations with significant actual and potential negative impacts on local communities
GRI 414: Supplier Social Assessment 2016414-1
New suppliers that were screened using social criteria
414-2
Negative social impacts in the supply chain and actions taken
GRI 415: Public Policy 2016
415-1
Political contributions
GRI416: Customer Health and Safety 2016
416-1
Assessment of the health and safety impacts of product and service categories
416-2
Incidents of non-compliance concerning the health and safety impacts of products and services
GRI 417: Marketing and Labeling 2016
417-1
Requirements for product and service information and labeling
417-2
Incidents of non-compliance concerning product and service information and labeling
417-3
Incidents of non-compliance concerning marketing communications
GRI 418: Customer Privacy 2016
418-1
Substantiated complaints concerning breaches of customer privacy and losses of customer data
GRI419: Socioeconomic Compliance 2016
419-1
Non-compliance with laws and regulations in the social and economic area

SocialGovernance

ESG Data

Index for applicable pages
Social＞Contribution to Local Economy through Business
Activities—
Social＞Achieving a Sustainable Supply Chain
Social＞Achieving a Sustainable Supply Chain
Governance＞Compliance＞Political Involvement(Political Contributions)
Securities Report (P4-5) Description of business
Recall Information
Social＞Improvement of Product, Sales, and Service Quality
Governance＞Compliance
Governance＞Compliance—
Governance＞Compliance

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

FY2020 Materiality Targets and Results
: As planned : Delayed

Category

Material Issues

Details of Main Initiatives

E: Environment

Responding to
Climate Change
and Energy
IssuesBy 2030, reduce CO2
emissions from new vehicles by 40% (comparedwith fiscal 2010)

Resource Recycling Initiatives

Prevention of
Pollution

FY2020 Targets

Indicators

Identify CO2 emissions from newvehicles based on new business plan,and reflect in product plans for next
fiscal year measures that will erase
gaps between targets and identified
results.
—
Achieve an electric vehicle Identify ratio of EV sales based on(EV) sales ratio of 50% by new business plan, and reflect in
2030
product plans for next fiscal year
measures that will erase gaps between targets and identified results.
—
Identify and assess CO2 emissions
By 2030, reduce CO2
emissions from business targets at each location.
activities by 40% (compared with fiscal 2014)—
Enact measures in rePromote disaster countermeasures,sponse to climate change such as electricity supply systems
that use EVs.
Expanding adoption ofplastic materials not derived from oil

Create a roadmap for expanding thepercentage of plastic materials notderived from oil used in vehicles

Achievement of zero
direct landfill waste (lessthan 0.5%) by fiscal 2030

• Plants in Japan: Achieve zero direct
landfill waste (less than 0.5%)• Overseas plants: Have begun gathering data

Reuse of batteries usedin EVsInstall an energy storage system(BESS*1) at the Okazaki Plant andbegin considering issues related toutilizing reused batteries
Properly manage hazardous substances

Properly manage hazardous substances in
products

FY2020 Results

Progress of initiative Identified CO2 emissions from newvehicles based on new business plan,reflected in product plans for next
fiscal year.
-14%
CO2 emissions
Progress of initiative Identified ratio of EV sales based on
new business plan, reflected in product plans for next fiscal year.
Ratio of EV sales
8%
Progress of initiative After confirming targets and resultsfor each location, identify and assess
status of initiatives companywide.
-37%
CO2 emissions
Progress of initiative Introduced various measures, including the DENDO DRIVE STATION/HOUSE,DENDO Community Support Programand V2X demonstration project.
Progress of initiative Clarified the types of vehicles andcomponents to consider expanding the use of plastic materials notderived from oil; created a roadmap
clarifying fiscal 2025 targets andmeasures
Progress of initiative Plants in Japan: Achieved
Overseas plants: Have begun managed operations of data on waste
using an environmental performance
management system
Progress of initiative Installed equipment for verification
testing of BESS, and are implementation a VPP*2 verification test
Progress of initiative We are obtaining information on
regulated substances, upgrading ourinternal management system andconducting content surveys on newly
regulated substances

SelfPage Contribution
Evaluation Described to the SDGs



—


P27

—

—






P38





P41

*1: BESS stands for battery energy storage system.
*2: VPP stands for virtual power plant, which involves using information and communication technology for the integrated control of dispersed energy resources, creating a virtual plant that operates as if it were asingle power plant.
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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

: As planned : Delayed

Category

Material Issues

Details of Main Initiatives

E: Environment

Conservation of
Water Resources

Manage water risks ateach production facility

Preservation of
Biodiversity

Promote preservation
activities that leverage
the results of ecosystemsurveys at locations in
Japan
Delivering products which Formulate basic policies for individual Formulation ofhelp prevent traffic acci- safety technologies as planed
policiesdents• Created a biotope*1 at the Kyoto Plant•P lanted and cultivated trees at Pajero Forest (Yamanashi Prefecture)•L aunched an afforestation projectin Thailand
Formulated as planned

Improving product quality Ratio of defects identified within 3
Ratio of defects
months in service of new vehicle sale identified within 3months in service of
new vehicle sale
Sales Satisfaction
Improving sales quality
Sales Satisfaction Index (SSI)
Top-3 ranking in industry surveys in Index (SSI)
the ASEAN5*2
Customer SatisfacImproving service quality Customer Satisfaction Index (CSI)
Top-3 ranking in industry surveys in tion Index (CSI)
the ASEAN5*2
Employment
Continuous creation of local employ- Actual employment
ment

Achieved reduction target

S: Social

Delivering Products which Help
Prevent Traffic
Accidents
Improvement of
Product, Sales,
and Service
Quality

Contribution to
Local Economy
through Business
Activities

Human resource development

Investment

FY2020 Targets

Indicators

Increase the number of locations
Number of locations
where we understand the amount of where we underwater used
stand the amountof water used• Nurture and protect indigenous
Initiatives Conductspecies at business sites in Japaned• Conduct tree-planting and cultivation activities in Japan and overseas

FY2020 Results
Understand the amount of waterused at overseas locations

Sales Satisfaction Index (SSI)
Achieved target in three of the five
ASEAN5 countries
Customer Satisfaction Index (CSI)
Achieved target in all five of the ASEAN5 countries
Created local employment for 11,000
people in Thailand, Indonesia, thePhilippines and Vietnam (including
non-full-time employees)
Support for the development of
Number of training Representative examples of training
personnel responsible for the devel- sessions, number of Sales and service training for dealer
opment of the local economy
participants
staff, business-level-enhancement
seminars for local employees, “manufacturing training” to enhance
technical skills, internal control andcompliance training
Continuous implementation ofRate of progress on Principal investment plans
capital investment that supports the investment plan
Upgrade a paint plant and install a
growth of the local economy
rooftop solar power system in Thailand, prepare to export commercial
vehicles to the Philippines and ASEAN
countries, consider a new plant in
VietnamSelf- Page De- Contribution
Evaluation scribed to the SDGs


P46



P49



P53





P57

—



—


P64



*1 A biotope is a space where organisms can live in natural surroundings.
*2 Three countries of Indonesia, Philippians and Malaysia set internal target instead of industry survey because these countries were not conducted industry survey.

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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

: As planned : Delayed

Category
S: Social

Material Issues

Details of Main Initiatives

Contribution to
Technology transfer
Local Economy
through Business
Activities

FY2020 Targets

Indicators

By continuing with local production,
support advances in the local manufacturing industry

Localized production of engines
ExportEnvironmental and social
contribution

Supporting growth of the local
economy through the acquisition offoreign currency by means of export
Leverage our technologies andservices to help resolve local social
issues

FY2020 Results

Progress on projects Major projects
Commenced local production of the
XPANDER in Vietnam and Malaysia; inThailand, Indonesia, the Philippines andVietnam, provided scholarships to vocational training schools and technicaluniversities, provided training vehicles,
and conducted traveling courses
Business viability
Achieve business viability, reach KPIKPI targets
targets, and begin mass productionof engines in Indonesia
Number of vehicles Exported 202,000 vehicles from Thaiexported
land and 39,000 from Indonesia

Level of contribution Engaged in initiatives using the OUTLANDER PHEV
Began producing the OUTLANDER
PHEV in Thailand; in Indonesia, donated OUTLANDER PHEV vehicles to
the Red Cross to assist in efforts tohalt the COVID-19 pandemic
18.7 hours/month
Promotion of
Promotion of work style
Ongoing implementation of work
Overtime hours
Work Stylereformsstyle reform measures(administrative andReforms inengineering staff)*1
Response to the19.3 days/year
Paid leave taken
New Normal (Di(administrative andversity, Work-Lifeengineering staff,
Balance)manufacturing
workers*2, medical
workers*3)
Telecommuting ratio 77% (average for the fiscal year)(Tamachi area)
Promotion of women’s
Implementation of ongoing measures Number of female
79 (As of April 2021)
participation and advance- to promote women’s participation
managers
ment in the workplace
and advancement in the workplace
Percentage of employ- 2.36% (As of March 2021)
Promotion of employment Ongoing promotion of employment
ees with disabilitiesof people with disabilities of people with disabilities
Stepping up
Conduct training online
Ensure that all training for adminisEducation program The COVI-19 pandemic made it diffiHuman Resource and ensure online training trative and engineering staff can becult to conduct group training, so all
Development
gains a foothold
done online
training for administrative and engineering staff was moved online.

Self- Page De- Contribution
Evaluation scribed to the SDGs





P64








P67





P73

*1 Administrative and engineering staff: Employees who work in corporate planning, adjustment, research, auditing, and other professional and engineering categories*2 Manufacturing workers: Employees engaged directly in manufacturing work or parts supply, equipment maintenance, testing or other supplementary work; also, employees who engage in supervision or instruction, technical instruction, or on-site support*3 Medical workers: Employees who engage in medical and health-related work, such as doctors, pharmacologists and nurses
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Commitment of
Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

: As planned : Delayed

Category
S: Social

Material Issues

Details of Main Initiatives

Promoting Occupational Healthand Safety
Achieving a Sustainable Supply
Chain

Creation of safe workplaces

Ongoing measures for the creation of Overall accident
safe workplaces
rate*

0.30

Reinforcement of CSR in
the supply chain• Expansion of Supplier CSR Guide• Promoting thelines to MITSUBISHI MOTORS overpurpose of Suppliseas production bases
er CSR Guidelines• Support for supplier CSR evaluations • Recommendationby third-party organizationof supplier on CSR
evaluations by
third party organization• Rolled out Supplier CSR Guidelines
via production bases in Thailand, Indonesia and the Philippines to theirbusiness partners• Explained the purpose of third-party evaluations to business partners
and commenced evaluations

Promoting Social Contribution
Activities
G: Governance

FY2020 Targets

Indicators

Promote ongoing activ• Revise our Social Contribution Activities that address social
ities Policy
issues and regional needs • Step up the dissemination of information utilizing our logo markStrengthening
Operate internal control
Governance and committees
Ensuring CompliancePrevent serious incidents

Meet twice during the year, report
the status and evaluation of internal control to the Executive Officer,
President & CEO
Enact thorough effective internal
control to prevent serious incidents—
Internal Control
Committee
Serious incidents

FY2020 Results• Formulated a new Social Contribution Activities Policy and announced
it outside the company• Disseminated information globally,
utilizing our logo markMeetings convened in April andNovemberNone occurred

Self- Page De- Contribution
Evaluation scribed to the SDGs


P77



P84



P88



P95



*Number of accidents with or without loss of workdays per 1 million working hours

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Top Management

Sustainability Management

FeatureEnvironment

SocialGovernance

ESG Data

Third-Party Opinion

Mr. Keisuke
Takegahara
Executive Fellow
Research Institute of
Capital Formation
Development Bank ofJapan Inc.

The Sustainability Report 2021 follows the two-partstructure, with the first part introducing corporate
philosophy and strategies, and the second part reporting broadly on ESG activities, although in terms ofcontent, several changes are observed. The following
three points particularly impressive.
First of all, I observe in many places MMC’s efforts
to clarify “MITSUBISHI MOTORS-ness” and communicate to readers the direction the Company is aimingfor. Notably, the “Commitment of Top Management”
section elaborates on the concept of “selection andconcentration,” a basic policy under the current midterm business plan. This section outlines the Company’s focuses on elements that support its strategies:
a business structure centered on the ASEAN region,
electric vehicle technologies concentrated on PHEVs,
and response to innovation by leveraging the alliance.
The message clearly and fully expresses how the
Company is leveraging these aspects to provide value
to customers, that is “MITSUBISHI MOTORS-ness.” Ina way that embodies this, I think it is also effective indeepening the reader’s understanding that the feature article covered various challenges in pursuing
new mobility with focus on PHEV. The product superi-ority in terms of life cycle CO2 is also summarized in avery easy-to-understand manner.
Second, the medium- to long-term timeline has
been strengthened. As shown in the conceptual diagram of “Reflecting Medium- to Long-term Perspectives when Setting Annual Targets Related to MaterialIssues,” the Environmental Vision 2050 has been
newly incorporated into the timeline for 2030 set inview of the targeted year of SDGs, thus establishing a
new long-term timeline. There are some cases where
there are too many visions added after the fact andthe whole picture becomes unclear, but MITSUBISHI
MOTORS’ approach that allows “long-term” to become
ambiguous according to social issues, and prioritizes
integration. I think that allows the definition of “longterm” to become flexible to accommodate changes
in social changes and prioritize integration is easy tounderstand and can be highly appreciated, although
I presume that it was difficult to reach consensus
internally. Furthermore, for each and every Materiality,
this report adopts an across-the-board perspectiveon mid- to long-term risks and opportunities and isorganized to show long-term risks, opportunities,
response policies, medium-term targets and theirbackground external environment and stakeholder
expectations by theme. This style demonstrates that
response to the TCFD framework is already beingrolled out across the Company.
Finally, MITSUBISHI MOTORS clarifies flexible
stance toward reviewing its material issues in response to changes in the external environment. In
this year’s report, in light of the aggravation of environmental problems and the spread of the COVID-19,
the impact on the company of “Prevention of pollution” has been raised, and “Work style reform” and“Diversity” have been merged. It can be said to be apresentation of a model for the debate over the review of the material issues in response to changes inthe external environment.

In this way, I feel that the differentiating factors ofyour report have become clearer in this issue, in termsof such factors as identity, medium- to long-term
perspective, and dynamic materiality. Going forward,
it is expected that the story will be strengthened andpursued by taking advantage of these. It is necessary
to devise ways to bring out long-term growth strategies through “your company’s uniqueness,” such as
the advantages in the ASEAN market, leading electric
technology centered on PHEV, and the potential of Alliance. For example, raising the impact of “Preventionof pollution” on the company” by reviewing the material issues can be evaluated as an indication of the
stance of emphasizing the minimization of negative
impact, but I think it was because the Company was
conscious of the ASEAN market. In order to make theflexible Materiality structure a strength, it is desirable
to describe the background of the review in conjunction with growth strategies.
Improvements are being made to the ESG activity
report in the second half of this report, such as adding a medium- to long-term perspective as describedabove. But as a reader, I would like to ask to prioritize,such as changing the weighting in the form of linking to the first half of this report. Regarding E, while
the progress of TCFD etc. can be appreciated, there
seems to be room for improvement in the connection
with the first half of this report, especially the consistency with the long-term direction indicated by theEnvironmental Plan Package. As for S, I think it is also
effective to promote the uniqueness of your company
by communicating more information on technology
and quality related to safety and security such as
ADAS as a differentiating factor including Alliance. Regarding “people,” I would also like to expect Mitsubishi
Motors’ approach to be strengthened from the perspective of continuing to enhance human capital as
an intangible asset. I look forward to seeing how thereport progresses further.

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