Environmental Initiatives

An Interview with the Chief Environmental Administrator~The Ideal Approach that Toyota Industries Should Pursue~

Striving to Foster Changes
in Values and Actions by
Restoring the Chain among
Education, Ethics and Morals
Akira Imura
Executive Vice President*1

Having formulated the Fourth Environmental Action Plan as our medium-term environmental targets, we areundertaking an array of environmental conservation activities under this five-year plan that runs from fiscal 2007 to
fiscal 2011. We expect to attain most of the plan’s targets in fiscal 2011, the final year of the plan.
Society’s concerns about environmental problems are rising in parallel with the Japanese government’s
announcement of its medium- and long-term CO2 reduction targets and the convening of the 10th Conference of
the Parties to the Convention on Biological Diversity in 2010. Here we ask Akira Imura, Executive Vice President*1
and chief environmental administrator*1, how Toyota Industries will reflect various social changes into the Fifth
Environmental Action Plan.
*1: As of March 2010

Striving to realize zero CO2 emissions over the medium andlong terms should be the ideal approach taken by companies.

Q

Various environmental problems, beginningwith global warming, are becoming increasingly
serious. What is the fundamental cause
underlying these problems?

Let’s consider what has changed over the past 50 years.
Japanese lifestyles have become more materialistic as people
moved from an age of frugality toward the pursuit ofprosperity. The rise in standards of living has beenaccompanied by a corresponding increase in energy
consumption. I believe that perhaps the notion that
consuming large amounts of energy somehow equates toaffluence has become deeply entrenched in people’s minds.
This kind of attitude has made it necessary to give voice tosomething so obvious as protecting the environment. I believe
the way of thinking predominant during Japan’s period of
rapid economic growth, which was characterized by the
pursuit of convenience and economic efficiency, has remained
unchanged and this mindset is responsible for exacerbating
environmental problems.

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Toyota Industries Report 2010

Q

Global warming undoubtedly heads the list of
today’s environmental problems. Could you
explain how Toyota Industries will work to curb
global warming under the Fifth Environmental
Action Plan?

The Japanese government has set the extremely high targetof achieving a 25% reduction in greenhouse gases by 2020
compared with the 1990 level. When thinking about attaining
these targets and looking beyond into the future, I believe theideal approach taken by companies over the medium- andlong-term should be to realize zero CO2 emissions.
Toyota Industries is currently formulating various scenarios
for its activities aimed at attaining the government’s targets
for 2020. I believe that first and foremost, continuous andthorough energy-conservation efforts in production activities
are the basis of all efforts. We will also proactively introduce
reusable energy when the timing is right. Still, we will be
unable to realize zero CO2 emissions by relying solely onthese measures.

Environmental Initiatives

From the standpoint of protecting biodiversity,
we will once again affirm and reinforce efforts focused on
activities to curb global warming.
Meanwhile, there is also the concept of carbon offsets. In
our Advanced Logistics Division within the Logistics Business,for instance, we provide consulting for improving customers’
logistics processes and thus in a broad sense are able tocontribute to a reduction in CO2. We can also make similar
contributions by pursuing greater energy efficiency in our
products.
Even by implementing these measures, realizing “zeroCO2 emissions” realistically will still be difficult. I believe that
our ultimate target should be to establish new businesses, forexample, for absorbing CO2. With a view toward suchbusinesses, we are engaging in R&D on technologies basedon the keyword 3Es*2 and will further strengthen initiatives inthis area in the future.
*2: 3Es stands for energy, environmental protection and ecological thinking. Toyota
Industries uses this keyword to express the direction of its future product R&D.

Q

Besides global warming, biodiversity has
recently attracted a high level of concern as anenvironmental issue. Could you tell us about thetypes of initiatives you are taking in this area?

Q

You talk about reforming the awarenessof individuals. Could you elaborate on its
importance?

In carrying out our corporate activities, we cannot attain ourtargets if each employee does not share a common
awareness. This awareness inherently is characterized by achain of education, ethics and morals that spreads from
employees to their families and to local communities.
However, it appears that this chain has broken down
somewhere in contemporary society.
It is of course crucial that we attain the targets of ourenvironmental conservation activities as a company. On thisbasis, if each employee can help restore the broken chain
and expand the scope of changes in awareness, this will havefar-reaching effects. I believe this also represents a type ofsocial contribution and will in turn lead to an acceleration of
our environmental initiatives. Reforming the awareness of
individuals and strengthening activities as a company is asynergy I would like to create.

The impact of global warming is considered as one cause
underlying the biodiversity problem. From the perspective ofToyota Industries’ business operations, I think that carryingout activities aimed at curbing global warming is the best way
we can make the most direct contribution to protecting
biodiversity at the moment. From the standpoint of protecting
biodiversity, we will continue to channel our efforts toward
activities aimed at curbing global warming. In tandem, we will
undertake tree thinning at Kaisho-no-Mori (Kaisho Forest),
which was begun in fiscal 2010, as well as participate in newactivities such as biotopes in the future. Involvement in these
activities has the potential to change the ways employees
think about environmental problems.
I believe that changing the values and actions, even if
gradually, of each person inhabiting our planet is extremely
crucial for solving environmental problems, not just thoserelated to biodiversity. To this end, I would like to focus onreforming the awareness of each employee through a seriesof activities.

I would like to create a synergy by reforming the awareness of
individuals and strengthening our corporate activities.

Toyota Industries Report 201019

Environmental Initiatives

Special Feature (Curbing Global Warming)

Continually Meeting Challenges as a
Leading Company that Focuses on Earthand People-Friendliness through Logistics
The development of the GENEO-HYBRID diesel-powered internal-combustion hybrid lift truck represents our
strategic move for the future in creating environmentally conscious logistics that contributes to the realization of alow-carbon society.

Earth Friendly
An Earth-Friendly Lift Truck that
Halves the Environmental Impact
Making frequent starts and stops whiletransporting heavy loads, lift trucks require large
amounts of energy during driving and loading
operations.
Through a hybrid system that combines adiesel engine, an electric motor and a battery, theGENEO-HYBRID can realize efficient energy
usage in accordance with actual operating
conditions. Moreover, the adoption of the hybrid
system enables a reduction in engine
displacement and a more compact engine.
As a result, compared with Toyota Industries’
currently available diesel-engine lift trucks in thesame class, the GENEO-HYBRID reduces fuelconsumption and CO2 emissions by almost
50%, thereby realizing world-class*1
environmental performance.

Comparison of
Fuel Consumption
and CO2 Emission Volumes

50%

reduction

Engine-powered
lift truck
Model: 02-7FD35

Measured data from Toyota Industries Corporation’s
evaluation pattern using lift trucks withstandard specifications

Helping Realize Earth Friendliness by Promoting
an Awareness of Eco-Driving during Work Operations
Fuel consumption can fluctuate by up to 10% depending on the way of driving
during lift truck operation.
When the GENEO-HYBRID is operated in a fuel-efficient, eco-friendly
manner, the “eco indicator” lights up on the LCD speed indicator display. By
confirming the “eco indicator” status, the operator can maintain an awareness of
ecological driving and thus improve fuel efficiency.

Eco indicator

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Toyota Industries Report 2010

Model: 88-7FD35(Adheres to 2008 Japan
exhaust emission regulations)*1: Survey by Toyota Industries Corporation as of October 2009

Speed indicator display

Hybridlift truck

Environmental Initiatives

People Friendly
A People-Friendly Lift Truck that Realizes a Comfortable Work Environment
Since the engine room of a lift truck is located directly under
the driver’s seat, noise and vibrations felt by the operator tend
to be greater compared with automobiles, thus placing alarger burden on the operator. Through the adoption of a
hybrid system, the GENEO-HYBRID not only realizes acompact engine but also suppresses noise and vibrations by
optimally controlling the number of engine revolutions.
As a result, compared with Toyota Industries’ currently
available diesel-engine lift trucks in the same class, theGENEO-HYBRID achieves an approximately 10% reduction
in noise, thereby lessening the burden on the operator, while
reducing the level of noise audible to people in thesurrounding areas.
For load handling, which requires extra power, a motor
helps support the operation of the engine, which suppresses
the burden on the engine and reduces the emission of black
exhaust smoke.
The adoption of these measures has enabled a large
improvement in the work environment.

Noise Comparison

10%

reduction

Engine-powered
lift truck
Model: 02-7FD35(Adheres to 2008 Japan
exhaust emission regulations)Hybridlift truck

Model: 88-7FD35

Proportion of values using dB (A)measurement values

Developing Even More Earth- andPeople-Friendly Lift Trucks—­
TMHG Continues to Take on Challenges
with a Focus on the Logistics of Tomorrow
Developer Comments
Basically, there are no shortcuts leading to arevolutionary breakthrough. Rather, inventions
require repeatedly making daily efforts andthorough verifications. The GENEO-HYBRID
represents our best efforts at the moment but is
not a final goal.
On the Toyota Industries Website, chief engineer Yoshiyasu
Uchida describes the behind-the-scenes efforts leading up
to the birth of the GENEOHYBRID and explains histhoughts about development.

Yoshiyasu Uchida

Environmentally Friendly Certified Products

Eco label

The GENEO-HYBRID has been certified as anenvironmentally friendly product under Toyota Industries’
proprietary Environmentally Friendly Product Certification
System*2.
*2: A system for comprehensively evaluating such areas as curbing global warming, recycling
natural resources and risk management for substances of concern. This system
conforms to the Type II environmental labeling standard (ISO 14021) prescribed by theInternational Organization for Standardization (ISO).

Vehicle Engineering Office,Engineering Department
Toyota Material Handling Company

Access Toyota Industries’ Website for details.

GENEO HYBRID

Searchhttp://www.toyota-lf.com/hybrid/ (Japanese only)

Toyota Industries Report 201021

Environmental Initiatives

Global Environmental Commitment
The Toyota Industries Group will contribute to the compatibility of environmental conservation and economic growth throughout
its wide range of business activities, including automobile, materials handling equipment, logistics and electronics.

Basic Policy• The Toyota Industries Group will continue to set challenging
targets aimed at further reducing the environmental impact
of its business activities, listening carefully to voices of its
stakeholders such as customers, and acting in compliancewith the letter and spirit of laws and regulations.
• The Toyota Industries Group will continuously improve its
environmental management, placing environmental activities
among its highest priorities. In particular, the Company will
give priority to the following items.

• The Toyota Industries Group will aim to foster greatercommunication and teamwork within a wide range ofpartnerships, including those with customers and suppliers,
in order to promote sustainable management of theenvironment. In addition, the Toyota Industries Group will
act as an upstanding corporate citizen, taking an active partin the planning of activities that contribute to various
regional communities as well as to our global society.
July 2005

Tetsuro Toyoda
President

Curb global warming
Aiming to reduce energy consumption and the output ofgreenhouse gases through the entire lifecycle of its
products, services, and production activities

Address environmental concerns by working in harmony
with both regional communities and global society.

Use resources more efficiently

Harmony

Utilizing raw materials, water, and other resources
efficiently while working to reduce, reuse, and recycle
waste products

Sustainable
Management
Enhancement

Reduce environmental risk factors
Reducing the use and output of substances of concern
while evaluating environmental risk factors at the planningstage of business activity in order to prevent pollution

Enhance the eco-efficiency of
all our business activities,
products and services.

Responsibility
Fulfill our social responsibility
to participate inenvironmental conservation.

Environmental Management
Implementing an Environmental Management
SystemToyota Industries has positioned environmental response as
one of its most crucial management issues. To morevigorously undertake environmental response efforts, Toyota
Industries reorganized its environmental management system(EMS) previously operated independently at respective plants
and adopted a Company-wide integrated EMS, with thepresident at the top. We obtained certification for this EMS
from an external certification body in fiscal 2009. The
adoption of this EMS has enabled us to quickly reflect thedecisions made by management into our business
operations.
In fiscal 2010, we created the EMS Top Page, an internalsite for environmental information on our intranet. This site
lists trends in environmental performance and best practices
in improvement activities, with the aims of promoting

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Toyota Industries Report 2010

information sharing Company-wide on the status of EMS
implementation in each business division and for improving
communication internally. By setting up this site, details ofoutstanding activities can be shared throughout theCompany, facilitating the implementation of new initiatives ineach business division.
We will further promote the integration of environmental
activities and management as we strive to continually raise
the level of our environmental management.

Approach to Environmental Education
Based on its belief that manufacturing starts with nurturing
excellent personnel, Toyota Industries actively provides
environmental education programs and carries out
enlightenment activities for its employees. Toyota Industries
has clarified the environmental-related knowledge andcapabilities required for each job position and rank, andEnvironmental
Committee

PresidentInternal audit

Based on the latest environmental trends and effectivenessof education, we intend to review our environmental
education programs to continuously nurture personnel
capable of making environmental responses.

Executive
vice
president

Responsible
internal auditor•Team leader•Supervising auditors•Auditors

Specialized committees
Product Technology
Subcommittee

Chief environmental
administrator
Secretariat(Plant Engineering& Environment Dept.)

Head Office

Divisions

Corporate Planning

VehicleProduction Environment
Subcommittee
CO2 Emission
Reduction Conference

Compressor

Purchasing

Electronics
Human Resources

Materials Handling
Equipment

GeneralAdministration

Textile Machinery

Division-Based
Promotion
Committees

Logistics

Environmental Conservation
Organization by
manufacturing plants(environmental risk management
overseen by plant managers)

New employee training

Evaluations of Environmental Audits

EngineR&D

Quality Control

Environmental Initiatives

Environmental Management Structure

Environmental Risk
Reduction Subcommittees(respective plants)

accordingly, is building an environmental education program.
Specifically, we offer rank-based environmental education,
introductory courses for environmental management andenvironmental audits as well as environmental producteducation.

Toyota Industries implements annual internal environmental
audits as well as external audits carried out by anindependent third-party institute. We utilize the results ofthese audits in our Company-wide EMS in working to reduce
environmental risk and continually improve environmental
performance.
For internal audits in fiscal 2010, we achieved a reductionin the average number of citations from 1.03 in fiscal 2009 to
0.74. Improvement proposals were reported to the president
by the Environmental Committee and then underwent a
management review*.
In terms of the external audit, we received an evaluationof having “comprehensively satisfied the categories required
under ISO 14001, with the EMS being properly implemented
and improvements being pursued.” We are now executing
corrective actions and making further improvements for one
minor non-conformance cited during the audit.
* To ensure the appropriateness, adequacy and effectiveness of the EMS,
the president receives a report on the status of environmental activities by
the Environmental Committee once a year, and then evaluates the need forchanges and improvements to the EMS and gives directions on measures tobe taken.

Scope of Group-Wide Environmental Management(As of March 31, 2010)

EuropeManufacturing company: 5Asia

Manufacturing company: 6

North America

Japan

Toyota Industries: 10 plants
Manufacturing company: 15

Manufacturing company: 10

Non-manufacturing companies
Japan: 62
Outside Japan: 98

Toyota Industries Report 201023

Environmental Initiatives

Basic Perspective of the Fourth Environmental Action Plan
As one of Toyota Industries’ major approaches to theenvironment, we devise and implement a five-year
Environmental Action Plan. In the Fourth Environmental Action
Plan (fiscal 2007 to fiscal 2011), curbing global warming,
resource utilization, reducing environmental risk factors andconsolidated management are positioned as key areas.
Further, specific action items and targets of the Toyota
Industries Group are laid out. Target management ismeasured by the concept of “eco-efficiency,” which quantifies
the effectiveness of our environmental activities.

Curbing Global Warming
Reducing CO2 Emissions through Internal
1
ESCO* Activities
In fiscal 2010, Toyota Industries commenced internal ESCO
activities with the aims of improving profitability through the
reduction of energy costs and reducing CO2 emissions ineach business division. In undertaking these activities, we
perform numerical analyses of facility usage conditions andmake improvements to reduce CO2 emissions withoutcompromising production efficiency.
*1: ESCO stands for Energy Service COmpany. ESCO activities involve
providing comprehensive services related to energy conservation andsupporting energy conservation activities.

In fiscal 2010, the first year of our ESCO activities, we
implemented ESCO activities for 13 projects and on a
non-consolidated basis reduced CO2 emissions by 2,067
tons and energy costs by ¥54 million.
In the future, we will carry out such measures as creatinga manual for energy conservation activities and establishingan ESCO dojo to develop human resources who can promoteenergy conservation. Through these initiatives, we will strive
to further reduce CO2 emissions while focusing on firmly
establishing our internal ESCO activities.

Promoting Energy Conservation by Shifting
Air-Conditioning Energy Sources<Internal ESCO Activities>
1. Management Diagnosis

4. Feedback•Confirm the state of adherence toenergy conservation laws
•Confirm the present level of energy
conservation•Propose waste improvement measures•Provide commentary on
countermeasure methods, investment
amounts and effects

2. Operational Diagnosis

5. Implement
Countermeasures•Analyze production and energy data
•Reduce losses on non-working andnon-operating days

•Implement actual countermeasures
based on improvement proposals

3. On-Site Diagnosis

6. Confirm Effects•Discover waste by making on-site
observations•Provide feedback based on
confirmation of the effects ofcountermeasures and promote
information sharing among divisions

Principal Activities•Identify losses during times of non-operation•Investigate air leakages•Conserve energy in blowers at effluent
treatment sites•Conserve energy by lowering pressure of
air compressors

At the Hekinan Plant, which produces engines, we haveprimarily used steam- and gas-operated equipment as energy
sources for air conditioning. Along with a recent renewal of
aging steam-operated equipment, we implemented
comprehensive energy conservation measures that enabled
us to almost halve CO2 emissions. Initiatives to be undertaken
include proactively introducing high-efficiency air-conditioning
energy sources, promoting the sharing of optimal control
systems*2 among business divisions and efficiently using
exhaust heat.
*2: Forecasting demand for air conditioning based on meteorologicalinformation, the system selects optimal energy sources in terms of cost andCO2 emissions for targeted time periods.

Principal Energy Conservation Countermeasures
1. Raise energy efficiency by shifting from steam-operated
equipment to electric equipment.
2. Reduce energy costs and CO2 emissions by using the best
mix*3 of electric power and gas.
3. Reduce the volume of energy usage by introducing facilities
that integrate leading-edge technologies (make effective
use of cogeneration waste heat through high-efficiency
heat pumps; reduce power used in transportation throughtransportation equipment with high energy efficiency; andoptimally operate air conditioning through the use of
optimal control systems).
*3: Combining energy sources and supplying the optimal balance of energy

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Toyota Industries Report 2010

Environmental Initiatives

Resource Utilization[Product-Related]
Promoting Resource Conservation throughCompact, Lightweight Products
For the ES14 electric compressor fitted on the TOYOTA Priuslaunched in May 2009, we realized high-speed revolutions
and integrated the previously separate inverter that controls
revolutions into the car air-conditioning compressor. By doing
so, we created a compressor that is more compact andlightweight. As a result, we achieved a significant reduction inraw materials used andapproximately 20% reductions*1
in both cubic volume andweight while maintaining thesame level of coolingcapabilities compared with thepredecessor ES18 compressor.
*1: Comparison between the ES14 andthe ES18, including the inverter

wastewater treatment and realized an approximately 26%
reduction. As a result, we attained an approximately 34%
reduction in the volume of sludge generated.

[Production-Related]
Recycling Raw Garbage at MACI
Michigan Automotive Compressor, Inc. (MACI), a U.S.-based
subsidiary for manufacturing car air-conditioning
compressors, converted some 200kg of raw garbage from
employees’ lunch into compost and created a small garden,
where employees grow flowers and vegetables. The garden
also provides a venue for promoting internal communications.

ES14 electric compressor[Production-Related]
Reducing Amounts of Sludge Generated
At the Nagakusa Plant, a vehicle assembly plant, we
optimized the amount of sludge flocculants used inParticipating staff with plants grown using the compost

Reduction in Environmental Risk
[Product-Related]
Establishing a Company-Wide Management
System Capable of Responding to New
Chemical Substances Regulations
In January 2009, beginning the operation of a newly rebuilt
chemical substances management system (MARSY*2), Toyota
Industries is accumulating information on constituent
materials as well as chemical substances contained in our
products of all divisions. By confirming whether our products
contain substances subject to various new chemical
substance regulations, we can quickly ascertain the impact ofany such regulations on Toyota Industries.
Also, regarding the disclosure of information on whether
our products contain SVHC*3 as required by the European
REACH*4 regulation, we set up an information management
structure by establishing the REACH Response Committee
as a Company-wide organization.

[Production-Related]
Status of Compliance with Environmental
Laws
In fiscal 2010, there were instances of effluents from the plantexceeding standard values at three subsidiaries within the
Toyota Industries Group. Each of these subsidiaries has
already taken corrective measures and subsequentconfirmations have been made to ensure there are norecurrences.
We will work to prevent environmental risks in the futureby sharing information throughout the Toyota Industries
Group on cases of problems in the past and theircountermeasures as well as effective methods of risk
management. In addition, we will strengthen our initiatives tominimize the environmental impact should other incidents
occur.

*2: MARSY stands for MAterial data Research SYstem.
*3: SVHC stands for Substances of Very High Concern.
*4: REACH (Registration, Evaluation, Authorisation and restriction of CHemicals)
is a system for the comprehensive registration, evaluation, authorization
and restriction of substances of concern prescribed by the EU, and targets
parties involved in the manufacture and import of substances of concern
within the EU.

Toyota Industries Report 201025

Environmental Initiatives

Environmental Communication
Environmental Education for Elementary
School Children in Local Communities
To help continue preserving the Earth and its abundance of
nature, we strive to raise the environmental awareness ofchildren, who are the bearers of the future, by providing themwith opportunities to experience Toyota Industries’ various
environmental activities. As part of these efforts, we holdobservation tours of our plants and dispatch staff forenvironmental classes at schools for elementary and juniorhigh school children in local communities.

In September 2009, fifth graders from an elementary
school in Takahama City, Aichi Prefecture, visited the
Takahama Plant, which produces materials handlingequipment. The children listened to explanations onenvironmental activities at the Takahama Plant, observed afuel-cell lift truck, visited a recycling center that recycles fallen
leaves on the grounds of the plant into mulch and were given
a hands-on learning experience at the environmental dojo.
We will continue to communicate to children theimportance of protecting the natural environment.

Children participating in hands-on learning at theenvironmental dojo

Letters and pictorial diaries written by children

Forest Conservation Activities
Commencing “TICO Ecocoro Tree Thinning
Activity to Cultivate the Spirit of Ecology”
As part of its social-contribution activities in local communities,
in November 2009 Toyota Industries began participating in the
Kaisho-no-Mori (Kaisho Forest) Conservation Project*1 being
promoted by the Aichi Kaisho-no-Mori Center. Under the name“TICO Ecocoro Tree Thinning Activity to Cultivate the Spirit of
Ecology,” Toyota Industries plans to carry out tree thinning at
Kaisho-no-Mori (Seto City, Aichi Prefecture) over an area
covering 6,000 square meters during a three-year period. We
are contributing to the preservation of the forest and parkthrough planning, operation and tree thinning activities carriedout mainly by members of the Toyota Industries Team Leader
Association*2.
For the first activity, actual tree thinning was held following
a nature walk and lecture on the current state of the forest andthe necessity of tree thinning. The thinned trees are used tobuild a bridge spanning a stream in the forest and steps.
Impressed by the awe-inspiring expansiveness of nature,
participants also made such positive comments as “I would
like to see even more people become aware of the importanceof tree thinning” and “How about using the thinned trees formaking benches for use in rest areas at each plant?”
In the future, we plan to further advance these activities
including holding woodworking workshops using thinned trees.

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Toyota Industries Report 2010

Participant Comments
Kiyotaka Sanji

Logistics Section,
Manufacturing Department
Toyota Material Handling Company

I participated in tree thinning activities because I wanted
to preserve a rich natural environment for future
generations. I now understand the need for tree thinningand the importance of nature. I hope these activities
play an important role in raising employee awareness ofnature conservation.

Tree thinning activities*1: Aichi Kaisho-no-Mori Center engages in forest maintenance activities andin the Satoyama regeneration initiative with the participation of prefecturalresidents and companies.
*2: An autonomous Company-wide organization consisting of approximately
1,700 young leaders at manufacturing sites, the organization carries out
cleanup and other community activities, promotes interchanges for selfdevelopment and holds recreational activities to deepen interaction among
members.

Environmental Initiatives

Environmental Data

Targets and Results of the Fourth Environmental Action Plan
Progress of the Fourth Environmental Action Plan (Product-Related)
Action Policies

CurbingGlobalWarmingResource
Utilization

Specific Actions

FY2010 Achievements

Promote technology development forlightweight vehicles

Develop components and materials for
attaining compact and lightweight vehicles•Developed a plastic glazing quarter window•Developed a CFRP crash box

For non-automobile related products, promote
the development of technologies that achieve
the best energy efficiency in the industry

Develop technologies for improving lift
truck fuel efficiency•Developed a diesel-engine hybrid lift truck

Promote the development of devices for clean
energy vehicles

Further improve the performance ofdevices for hybrid vehicles•Developed a DC-DC converter•Developed a PCU direct-cooling device•Developed charging infrastructure facilities

Further promote the use of designs that are
based on the Designs for Recycling concept

Steadily increase recycling rate by carryingout recycling rate evaluation in all productfields•Developed the ES14 electric compressor

Reducing
Further expand range of control ofEnvironmental Promote stricter control of and further reduction
substances of concern
Risk Factors in the use of substances of concern•Established a Company-wide management
system capable of responding to various
chemical substance regulations

Progress of the Fourth Environmental Action Plan (Production-Related)
Action Policies

CurbingGlobalWarmingResource
Utilization

Specific Actions

Control Items (FY2011 Target)

FY2010 Achievements
Result Assessment

TargetEnergy-derived CO2 emissions

Promote energy
reduction and energy
conservation throughinnovative productionengineering•Streamline production processes•Optimize supplied energy•Promote introduction of alternative
energy sources

Reduce CO2
emissions throughgreen logistics•Promote modal shift

Enhance resource
productivity•Reduce the volume of discarded
materials by taking action at thesource, such as improving yields andother measures

Reduce use ofgroundwater•Promote recycling of wastewater•Reduce use of water

Groundwater use
50% reduction (Non-consolidated)[vs FY2004](Total volume is indicated in parentheses;
unit: km3)

Reduce total
environmental impactsof waste disposal•Eliminate landfill disposal at all
consolidated manufacturing
companies

Further reduce
emissions of
substances ofconcern•Reduce emissions of air pollutants,
including volatile organic
compounds (VOCs)•Reduce emissions of watercontaminants

Eco-efficiency: 1.30 (Non-consolidated)[vs FY1991]

1.35

1.56

○

Eco-efficiency: 1.10 (Consolidated)[vs FY2004]

1.08

1.16

○

Eco-efficiency: 1.04 (Consolidated)[vs FY2007]

1.03

1.08

○

1.09

1.16

○

62%
reduction
(480)

73%
reduction(346)○

Landfill volume
Less than 1% (Manufacturing sites in
1.37%
Japan consolidated)(140)[vs FY1999](Total volume is indicated in parentheses; unit: t)

0.20%
(21)

○

External disposal
Eco-efficiency: 1.05 (Non-consolidated)[vs FY2004]

Environmental impact
Reducing
Environmental
Risk Factors

Calculation Formula of Eco-Efficiency
Eco-efficiency =Production efficiency =10% reduction (Non-consolidated)[vs FY2004]

32%
reduction

57%
reduction○

5% reduction (Manufacturing sites
in Japan)[vs FY2004]

39%
reduction

59%
reduction○

Production-Related

Production efficiency in subject year
Production efficiency in base year
Production indicator (Net sales or production volume, etc.)
Environmental impact of production activities

Toyota Industries Report 201027

Environmental Initiatives

Environmental Data

Business Activities and Their Environmental Impact
Environmental Impact FlowINPUTOUTPUT
R&D/Design◆ Energy [consolidated]
Total consumption

8,728TJ*1

Electricity
City gas
LPG
Petroleum products
Coal products
LNG

700,454MWh
83,943km3N
1,954t3,108kl
5,770t804t◆ Into the Air [consolidated]
CO2
531,403t-CO2
Greenhouse gases
other than CO23,507t-CO2
CO2 from logistics
50,813t-CO2
SOx (Sulfur oxides)
495kg
NOx (Nitrogen oxides)164t
VOC (Volatile organic
compounds)
1,581tProcurement

Production*1: Terajoule is a unit used to measure heat.
1 TJ = 1012 joules◆ Raw Materials [consolidated]
Raw materials
consumption◆ Chemical Substances [Japan consolidated]

362,506t

Emissions/transfers of PRTR
law designated substances

Transportation/Sales◆ Water [consolidated]
Water consumption

530t◆ Waste [Japan consolidated]
Waste generation

3,621km3

87,413t

Usage◆ Chemical Substances [Japan consolidated]
PRTR law*2 designatedsubstances◆ Into Waterways [Japan consolidated]
Water pollutants
Discharge oftreated wastewater

2,316tRecovery/Recycling*2: Short for Pollutant Release and Transfer Register, the PRTR
law is a scheme whereby businesses measure the releaseand transfer of PRTR-designated pollutants and report theirperformance to the government. The government thencompiles this data and releases it to the public.

27t
2,683km3

Trends in Environmental Performance
Toyota Industries’ principal environmental performance trends are as follows.
Energy-Derived CO2 Emissions and Eco-Efficiency

Total Water Consumption

Fourth Environmental Action Plan targets (Eco-efficiency)
Non-consolidated: 30% improvement over FY1991 levels
Consolidated: 10% improvement over FY2004 levels

Fourth Environmental Action Plan targets (Groundwater use)
Non-consolidated: Less than 50% of FY2004 levels (less than 633km3)

Non-consolidated
Subsidiaries in Japan
Overseas subsidiaries
Eco-efficiency (non-consolidated)
Target (non-consolidated)
Eco-efficiency (consolidated)
Target (consolidated)

1.00

Total
emissions (kt)

589

600
400

1.23

1.25

1.40

1.07

Good

1.6

1.35

1.4

1.16
1.08

1.2
1.0

3,028

566

531

(FY)

91

04

07

08

09

Waste
moved
off-site (kt)

1.00

1.02

112

120

1.08

10

111

1.16

103

81

80

2,082

(FY)

04

1,029
07

714
08

356

480

346

09

10

Environmental Impact Index

1.09
109

0

Good

Fourth Environmental Action Plan targets (Eco-efficiency)
Non-consolidated: 5% improvement over FY2004 levels

1.12

Eco-efficiency
1.2 Good
1.0
0.8

Non-consolidated (index)
Non-consolidated target (index)

Japan consolidated (index)
Japan consolidated target (index)

Fourth Environmental Action Plan targets (Environmental impact)
Non-consolidated: 10% reduction from FY2004 levels
Japan consolidated: 5% reduction from FY2004 levels(index)

140
120

100

100
80

68.2

78.8
55.0

60
40

40

28

3,197
2,534

1,267

Waste moved off-site
Eco-efficiency Target

0

3,186

2,000

Waste Moved Off-Site and Eco-Efficiency

Good

Water consumption (km3)
4,000

745

700

Public water supply

273

200
0

1.36

1.00

800

Good

1.01

1.34

Eco-efficiency
1.56

Industrial water
Groundwater
Target (Groundwater use)

61.2
41.3

20
(FY)

04

Toyota Industries Report 2010

07

08

09

10

Good

0

(FY)

04

07

08

09

10

Environmental Initiatives

Environmental Data

Soil and Groundwater Pollution Countermeasures
Toyota Industries carries out surveys and purification of soil
and groundwater contaminated from its past use oftrichloroethylene as a cleaning agent. We report the survey
results to local government authorities and provide
information at local community meetings. As measures toprevent pollution from substances covered by the Soil
Contamination Countermeasures Law as well as from grease
and oils, we have drilled observation wells at all plants to
conduct regular checks.

Trichloroethylene Readings (FY2010)
Plant

Weighted Average Concentration in
Groundwater (mg/l)

Current Status

Kariya Plant

0.67

Cleanup in progress

Kyowa Plant

0.34

Cleanup in progress

Environmental Accounting/On-Site Verification
Fiscal 2010 Environmental Accounting*

On-Site Verification

Scope of data collection: Toyota Industries
TIBC Corporation
Data collection period: April 1, 2009 – March 31, 2010

In fiscal 2010, Toyota Industries Head Office’s Plant
Engineering & Environment Department primarily conducted
on-site verification of the accuracy and consistency ofenvironmental data included in the Toyota Industries Reportas follows.

* Environmental accounting data is collected in compliance with the Ministry of theEnvironment’s Environmental Accounting Guidelines 2005 Edition.

Environmental Conservation Cost

(Millions of yen)
FY2010FY2009Category
Investment Expenses Investment Expenses
485
330
518
1,014
Pollution prevention costs

Business
Global environmental
area
conservation costs
costs

33

3,257

1,075

3,665
1,545

Resource recycling costs

5

433

123

Upstream/downstream costs

–

–

–

–

Management costs

39

720

109

1,068

Research and development costs

3

81

–

393

Social contribution activity costs

–

6

7

30

Environmental remediation costs

–

5

–

9

565

5,020

1,644

Total

5,585

7,724
9,368

Environmental Conservation Benefits
Environmental Impact

Comparison with
Previous Fiscal Year
26,961t decrease

Generation of waste products

25,810t decrease

CO2
VOC

484,876m3 decrease

SOx

0.02t decreaseNOx

9t decrease

COD (Chemical oxygen demand)

0.16t increase

Economic Benefits of Environmental
Conservation Initiatives
Item
Revenue

Details
Returns from sale of recycled waste products
Energy cost reductions

Cost Reduction Cost reduction by resource savings(including reductions in amount of water use andwastewater treatment costs)

Total

Hekinan Plant: Manufacture of diesel engines and gasoline
engines
Higashichita Plant: Manufacture of castings and diesel
engines
Hara Corporation: Manufacture and sale of textile
machinery and related components[Items to be Verified]
1. Adequacy of the scope of data collection; validity of datacollection and calculation methods; validity of internalverification
2. Trustworthiness and accuracy of collected/calculated data
as well as data reported to the Head Office; accuracy ofreporting method to the Head Office[Results]

241t decrease

Water[On-Site Verification Sites](Millions of yen)

1. The verified sites retained original data (evidence) for all
statistics, which were confirmed valid as were the scopeand method of data collection.
2. All discrepancies identified during verification have beencorrected.
3. Considerations of improvements will be made for datacollected using complex collection methods.

Amount

3,087
899
81
4,067

Toyota Industries Report 201029