Sustainability
Data
Book

2023

Promoting Sustainability

Overview

Environment

SocialGovernance

Sustainability Data Book Overview

Content Index

Overview of Toyota Motor Corporation｜ Editorial Policy ｜ Update History ｜ Contents ｜Editorial Policy
Updated in June 2023

Sustainability
Data Book
Overview

The Sustainability Data Book explains Toyota’s sustainability approach and policies for
ESG initiatives along with practical cases and numerical data, as a medium for specialists
and those who are particularly interested in sustainability issues.
Since fiscal 2021, the Sustainability Data Book, which had conventionally been released
annually, has been updated whenever necessary so that the information can be disclosed
in a timely manner.

Toyota Times website
Securities Reports/SEC Filings

Sustainability Data Book

Financial Results/Operating Results

Corporate Governance Report

IR section of Toyota’s website

Sustainability section of Toyota’s website
Non-financial

Financial

Period Covered

Reference Guidelines

Disclaimer

Focusing mainly on the results of initiatives implemented
during the previous fiscal year, the contents are updated asnecessary throughout the year. For update history, please see
the following page.

• Task Force on Climate-related Financial Disclosures

This report includes not only past and current facts pertaining
to Toyota Motor Corporation and other companies within thescope of coverage of the report, but also plans and projections
at the time of its publication as well as forecasts basedon management policies and strategies. These forecasts
are assumptions or determinations based on information
available at the time they are stated, and the actual resultsof future business activities and events may differ from theforecasts due to changes in various conditions. In cases
where information provided in prior reports is corrected orrestated and in cases where material changes occur, thedetails thereof will be indicated in this report. The readers’
understanding about this point would be appreciated.

Scope of Report

GRI 2-2~4

Integrated Report

This Book introduces the initiatives and activities of Toyota
Motor Corporation and its consolidated subsidiaries etc. inJapan and overseas. The scope of data covered is describedin each section.

1

Editorial Policy

Toyota References in This Document2

Update History

3

Contents

Toyota Motor Corporation:
Information on or initiatives of Toyota Motor
Corporation
Toyota:Information on or initiatives of Toyota Motor
Corporation and its consolidated subsidiaries(TCFD)• Sustainability Accounting Standards Board• (Reference code SASB TR-AU-●●● is indicated at eachapplicable part.)
P.120 SASB Content Index• GRI Standards(Reference code GRI ●●●-●●● is indicated at eachapplicable part.)
P.121 GRI Content Index• ISO 26000 Guidelines
Third Party Assurance
Third Party Assurance denotes data assured by an Independent

Practitioner

Sustainability Data Book

1

Overview

Promoting Sustainability

Environment

SocialSustainability Data Book Overview

GovernanceContent Index

Overview of Toyota Motor Corporation｜ Editorial Policy ｜ Update History ｜ Contents ｜Update History
February 2024
January 2024		

Promoting Sustainability
Promoting Sustainability
SocialOctober 2023		

Environment

SocialSustainability Issues and Initiatives (Materiality)
Public Policy
Diversity,Equity, and Inclusion (DE&I)
Value Chain Collaboration
Policy and Environmental Management
Climate Change
Resource Recycling
Harmony with Nature
Environmental Data
FY2023 Review of the 7th Toyota Environmental Action Plan (2025 Target)
Third-party Verification
Value Chain Collaboration (Initiative with Dealers)
Vehicle Safety
Quality and Service (After-sales Service)
PrivacySocial Data
Compliance

		Governance
Promoting Sustainability
		Environment
Climate-related Financial Disclosures Based on TCFD Recommendations
		Social
		Governance
SASB/GRI Content Index
December 2022		
Promoting Sustainability
Public Policy
October 2022		
All pages updated (Review of FY2021 initiatives and layout)
August 2022		
Environment
Climate-related Financial Disclosures Based on TCFD
Recommendations
SASB/GRI Content Index
January 2022		
Environment
Strategy and Management, Environmental Data
June 2023		

Promoting Sustainability
Fundamental Approach, Public policy
		Safety
Information Security and Privacy	(The content transferred from “Governance” to “Society” andexpanded disclosure of more information about our contribution
to the society.)
Business Partners
Dealers
Diversity and Inclusion
Social Recognition
Intellectual Property(Newly added)
Risk Management
Fundamental Approach
November 2021		
Environment
October 2021		
Quality and Customer
Social Contribution Activities
Respect for Human Rights
Business Partners
Supply Chain
Diversity and Inclusion
Social Data
Risk Management
Business Continuity Management (BCM)
Compliance
Bribery / Corruption Prevention Measures
July 2021		
Overview of Toyota Motor Corporation
Promoting Sustainability
Organizational Structure
Quality and Customer
Quality
Respect for Human Rights
Health and Safety
Diversity and Inclusion
Human Resources
Social Data
Corporate GovernanceRisk Management
Initiatives for Information Security
		Compliance
December 2021		

Sustainability Data Book

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Promoting Sustainability

Overview

Environment

SocialGovernance

Sustainability Data Book Overview

Content Index

Overview of Toyota Motor Corporation｜ Editorial Policy ｜ Update History ｜ Contents ｜Contents
Climate-related Financial Disclosures Based on TCFD Recommendations

Overview

Governance37

Initiatives for Precarious Work

63

Education Related to Human Rights

63

Editorial Policy

1

Strategy

38

Fundamental Approach

64

Update History

2

Risk Management

43

Organizational Structure

64

Contents

3

Metrics and Targets

44

Women's Activity

65

Overview of Toyota Motor Corporation

Company Profile

5

Greenhouse Gases (GHG)

47

Childcare / Nursing Care Support

68

Promoting Sustainability

Fundamental Approach

6

Energy49

Inclusion of Persons with Disabilities

69

Organizational Structure

6

Water

49

Inclusion of LGBTQ+ Employees

70

Sustainability Issues and Initiatives (Materiality)

7

Recycling50

Stakeholder Engagement

8

Waste

51

Public Policy

9

VOC, NOx, SOx

51

Toyota’s SDGs

9

Reference factors

51

Sustainability Data Book Overview

Environmental Data

FY2023 Review of the 7th Toyota Environmental Action Plan (2025 Target)

52

Third-party Verification		

55

Environment
Policy and Environmental Management

Climate Change

Resource Recycling

Harmony with Nature

Diversity, Equity, and Inclusion (DE&I)

	Initiatives Related to Race and Nationality

Value Chain Collaboration

Vehicle Safety
Fundamental Approach

11

Environmental Management

11

Initiatives with Suppliers

13

Initiatives with Dealers and Distributors

15

Stakeholder Engagement

16

Fundamental Approach

17

Life Cycle

18

Product

21

Corporate Activities and Production

25

SocialRespect for Human Rights

Fundamental Approach

58

Organizational Structure

58

Policy Development and Dissemination

58

Human Rights Due Diligence

59

Initiatives for Migrant Labor (Forced Labor)

60

Initiatives for Wage

61

Fundamental Approach

28

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

61

Activities to Achieve Resource Recycling

28

Initiatives for Anti-harassment

62

Fundamental Approach

33

Initiatives for Inclusion of Diverse Culture

62

Biodiversity

33

Initiatives for Child Labor

62

Water Environment

36

Initiatives for Freedom of Association

63

Quality and Service

70

Employment for Over 60s

71

Fundamental Approach

72

Initiative with Suppliers

72

Responsible Material Sourcing

74

Initiative with Dealers

75

Fundamental Approach76

Integrated Safety Management Concept

76

Active Safety

77

Passive Safety

78

External Safety Evaluations (2022)

78

Emergency Response

78

Automated Driving Technology

79

Initiatives to Improve Traffic Safety Awareness79

Fundamental Approach80

Organizational Structure

81

Product Safety Initiatives

81

Quality Risk Management81	Fostering Quality-oriented Awareness andCultureCoping with Quality Problems

82
82

Sustainability Data Book

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Promoting Sustainability

Overview

Environment

SocialGovernance

Sustainability Data Book Overview

Content Index

Overview of Toyota Motor Corporation｜ Editorial Policy ｜ Update History ｜ Contents ｜Information Security

After-sales Service

83

Quality105

Customer Feedback System

84

Social Contribution Activities

105

Fundamental Approach

85

Organizational Structure

85

Information Security Measures86	Preparing for Information Leaks and External
Attacks

Governance86
Fundamental Approach

107

Security for Automobiles

87

Corporate Governance Structure

107

Fundamental Approach88

Board of Directors

109

Organizational Structure

88

Audit & Supervisory Board

110

	Respect for Privacy and Protection of Personal 89
Information

Executive Compensation

110Internal Control

110

Fundamental Approach111

PrivacyIntellectual Property

Human Resource Development

Health and Safety

Social Contribution

Social Data

Corporate GovernanceFundamental Approach

90

Organizational Structure

90Intellectual Property Activities

90

Fundamental Approach91

Recruitment

92

Education and Career Development

92

Evaluation of and Feedback to Employees

94

Employee Engagement Survey

94

Initiative to Promote Psychological Well-being

94

Fundamental Approach96

Organizational Structure

97

Health and Safety Education

97

Risk Management

Compliance

Governance Data

Organizational Structure

111

Risk Management System

112

Business Continuity Management (BCM)

112

Fundamental Approach

115

Compliance Education

115

Bribery / Corruption Prevention Measures

116

Initiatives for Taxation

116

Speak-up

116

Checks to Enhance Compliance

117

Governance118

Initiative for Health98

Initiative for Safety

100

Fundamental Approach

102

Organizational Structure

102

SASB Content Index		

120

GRI Content Index		121

Social Contribution Activities

102

Employees

103

Supply Chain

105

SASB/GRI Content Index

Sustainability Data Book

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Overview

Promoting Sustainability

Environment

SocialGovernance

Sustainability Data Book Overview

Content Index

Overview of Toyota Motor Corporation｜ Company Profile ｜Company ProfileJapan
203,212

Other
23,117

Updated in June 2023

Overview of
Toyota Motor
Corporation

Company Name

Toyota Motor Corporation

President andRepresentative
Director

Koji Sato

Company Address
Head Office
Tokyo Head Office
Nagoya Office

1 Toyota-cho, Toyota City, Aichi Prefecture, Japan
1-4-18 Koraku, Bunkyo-ku, Tokyo, Japan
4-7-1 Meieki, Nakamura-ku, Nagoya City, Aichi
Prefecture, JapanFoundedAugust 28, 1937

Capital635.4 billion yen (as of the end of March, 2023)

Main Business
Activities• Automotive business• Financial services (vehicle loans and leasing, etc.)• Other operations (information technology, etc.)

No. of Employees(consolidated)

375,235 (as of the end of March, 2023)

Global/Regional Data
Asia
66,176
Other
23,117
Europe23,730Asia
66,176Japan(as of the end of
March,
No. 2023)
of

Employees

North
America
Europe59,00023,730375,235(as of the end of
March, 2023)

North America
59,000Other
1,565,337

Japan
2,069,133

Asia
1,858,509

Japan
Other
Asia Other
507,186 No. of vehicles3,788,5931,750,773
1,565,337

No. of203,212
Employees

375,235

Japan
3,788,593

Other507,186

No. ofvehicles soldproduced

Asia
Europe1,858,509
771,3078,694,032(FY 2023)

No. of vehicles
produced

North America
1,768,437Europe771,3078,694,032

Japan
2,069,133

8,821,872(FY 2023)

Asia
1,750,773
Europe1,029,955

No. ofvehicles sold

8,821,872(FY 2023)

North America
2,406,674(FY 2023)

North America
1,768,437

North America
2,406,674

Europe1,029,955
SASB TR-AU-000.A

SASB TR-AU-000.B

No. of Consolidated 569 (as of the end of March, 2023)
Subsidiaries
No. of Associates
and Joint Ventures
Accounted for by
the Equity Method

168 (as of the end of March, 2023)

Vision & Philosophy
For details of our Vision & Philosophy, please see our official
website.

Europe6EuropeVision & Philosophy

GRI 2-1, 7

3

3
0
7

5

Company Profile

Financial Data
0

5North America

Japan

16
8 JapanExcluding

Asia

7
Other

13

16
8

6
Other

North America

Japan

26
Asia

13
5

No. of plants and manufacturing companies (as of the end of March, 2023)

4

No. of R&D centers (as of the end of March, 2023)

Excluding Japan

26
4

No. of plants and manufacturing companies (as of the end of March, 2023)
No. of R&D centers (as of the end of March, 2023)

For our major financial data, please see our official website.
Financial Data

Sustainability Data Book

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OverviewEnvironment

Promoting Sustainability

SocialGovernanceContent Index｜ Fundamental Approach ｜ Organizational Structure ｜ Sustainability Issues and Initiatives (Materiality) ｜ Stakeholder Engagement ｜ Public Policy ｜ Toyota’s SDGs ｜Fundamental Approach
Updated in February 2024

Promoting
Sustainability

Organizational Structure

Aim

Ai m

■ Contributing to the creation of a prosperous society through our business activities basedon the Guiding Principles at Toyota while continuing to uphold the spirit of the Toyoda
Principles, which we have inherited since our foundation.
■ Aiming to be the “best company in town” that is both loved and trusted by local people
to achieve the mission of “Producing Happiness for All” under the Toyota Philosophy
compiled in 2020.
⇒ Contributing to the sustainable development of our society and planet bypromoting sustainability under the Toyota Philosophy.
Toyota Philosophy
Guiding Principles at Toyota

In i t i a t i v e■ Advancing initiatives based on our Sustainability Fundamental Policy and individual

policies and guidelines.
Sustainability-related policies

Sustainability Fundamental Policy
GRI 2-12~14, 17, 24, 28, 29, 3-1, 2

6

Fundamental Approach

6

Organizational Structure

7

Sustainability Issues and Initiatives (Materiality)

8

Stakeholder Engagement

9

Public Policy

9

Toyota’s SDGs

■ Addressing issues of greater importance and urgency on a priority basis while grasping,for example, changes in the external environment and social needs.
Initiative■ Continuously

promoting andimproving our sustainability activities
with oversight and decision-making
provided by the Board of Directors.
We will work in close liaison with
relevant departments to carryout environmental, social, andgovernance-related initiatives(asindicated on the right).
■ Toyota has appointed a Chief
Sustainability Officer (CSO) tolead the engagement with external
stakeholders and dissemination of
information regarding sustainability
activities.

Management
Oversight
anddecision-making

Consultation

Board of Directors

Sustainability
Meeting

Opinions
and advice

Operation[Operational Consultation
Execution]

Reports

Sustainability
Subcommittee<Related policies>
Environment

Earth Charter

Information

Information Security Policy

Human rights

Human Rights Policy

Supply chain

Basic Purchasing Policies
Policies and Approaches to
Responsible Mineral Sourcing
Green Purchasing Guidelines

Supplier Sustainability Guidelines
Policy for Sustainable Natural Rubber
Procurement

Health and safety

Declaration of HealthCommitment

Basic Philosophy for Safety and HealthSocial contribution

Basic Principles and Policies ofSocial Contribution Activities
Toyota Code of Conduct

ComplianceToyota Speak Up Policy
Taxation

Tax Policy

Sustainability Meeting

Policy on Harmony with Nature

Toyota Global Anti-Bribery and AntiCorruption Policy
Anti-Bribery Guidelines

Sustainability Subcommittee

Chairperson

Executive President

Deputy Chief Officer, General
Administration & Human Resources Group(Senior management positions responsible
for sustainability)

Members

Members include 3 external officers, theChief Sustainability Officer and the Chief
Human Resources Officer

Officers and General Managers from related
divisions will participate in keeping withagenda topics such as the environment,
financial affairs, and human resources

Frequency

Twice a year, in principle

Four times a year, in principle

Function• To help increase corporate value byreflecting opinions and external advice
about key sustainability-related issues
in management practices to achievesustainable growth• To implement operations related to thepromotion of sustainability• To consult with the Sustainability

Meeting about key issues and submit
reports to the Board of Directors

Sustainability Data Book

6

OverviewEnvironment

Promoting Sustainability

SocialGovernanceContent Index｜ Fundamental Approach ｜ Organizational Structure ｜ Sustainability Issues and Initiatives (Materiality) ｜ Stakeholder Engagement ｜ Public Policy ｜ Toyota’s SDGs ｜Sustainability Issues and Initiatives (Materiality)
A im

To y o t a ’s O r i g i n s a n d M a t e r i a l i t i e s ( K e y I s s u e s )■ On transforming into a mobility company under the mission of “mass production

Toyoda Principles(DNA / Philosophy)of happiness”, identify and continuously evaluate our materiality (key issues)in response to shifts in the societal landscape as well as feedback from ourstakeholders.
■ Contribute to the society and enhance our own corporate value sustainably.
Init ia t iv e

ToyodaPrinciples

Value

Partnerships

We focus on work that isvalue-adding, with integrityand practicality, by avoiding
superficial matters.

We develop and learn from outstanding ideas andcutting-edge technologies across the world.
We enhance our capabilities utilizing our own wisdomand create new value to continue to lead the change.

We build a sense of community andpromote the personal growth of ourpeople while valuing mutual trust andequal partnership with our stakeholders.

We show humility for the support ofour business by our valued stakeholders
and society while also respecting
the diversity of the world.

The Toyota Way —Combining Software, Hardware and Partnership to Create Unique Value—

Software Hardware
Value

Inheritance

The Toyota Way

MissionMateriality Identification Process

Produ

VisionStep 1■ Universal values like the Toyota Philosophy were classified as “inheritance,”

and issues necessary to promote our transformation into a mobility company
were classified as “evolution.”■ Referring to both internal and external information, we organized andidentified all issues that are pertinent to Toyota in terms of the impact Toyota
has on the environment and society as well as the impact the environmentand society have on Toyota itself while also determining issues that must be
addressed to ensure Toyota’s transformation into a mobility company.
■ References: the European Sustainability Reporting Standard (ESRS),
the Sustainability Accounting Standards Board (SASB), and such ESG
assessment indicators as MSCI and FTSE.

We unite as one teamregardless of rank in order tocontribute to our people,
society, and communities.

What Toyota
holds dear

Producing Happiness for All

Missionc i n g H app i n e s s f o r A l l

C r e a t i ng

VisionMo bi lity f o r A lCreating Mobility for Alll“ E ver- b et t er car s”“ B est - i n - t o wn ”

“ Fo r t h e sake o f o t h er s”

Transformation into a mobility company

Expanding theValue of Mobility

Evolution

Safety & Reliability

Coexistence of
Humanity & the Earth(including carbon neutrality)

Supporting the Communityand Employment“Let’s change the future of cars”
Active Participation
for all

Strong Production andBusiness Operation

Materialities(key issues)

Step 2■ Discussions regarding the issues identified and organized in Step 1 were

held with our own employees, eight NGOs and NPOs, four specialists, and10 institutional investors.
■ We then reordered the issues in response to the feedback we received.

Step 3
regarding the issues identified in Step 2 were held by
the Sustainability Subcommittee, which is an executive body, and theSustainability Meeting, which is an advisory body chaired by President
Sato and attended by Outside Directors and executives, with six key issues
ultimately being identified.

Key Remarks from Stakeholders
Employees• Once we understand how our roles are connected to

Toyota’s values, we can accelerate our efforts.
• I’d like to use this as a compass to get the concepts
communicated by top management down to a tangible
level of detail.

■ Discussions

NGOs and NPOs

• We’d like Toyota to express its perspective on the“society and future” it wishes to create.

Experts• “Nature Positive” will be an important initiative in the
future and should be considered.

Institutional investors• It is taken directly from Toyota’s DNA and has a qualitythat is unique to this Company.

• It is important to have a story that connects such KPIs
as financial impact with materialities.

• Toyota’s stance on addressing climate change should
be communicated in clear language.

Sustainability Data Book

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OverviewEnvironment

Promoting Sustainability

SocialGovernanceContent Index｜ Fundamental Approach ｜ Organizational Structure ｜ Sustainability Issues and Initiatives (Materiality) ｜ Stakeholder Engagement ｜ Public Policy ｜ Toyota’s SDGs ｜Stakeholder Engagement
A im

In i t i a t i v e■ Engaging in stakeholder-oriented management to contribute to sustainable

development and striving to maintain and develop sound relationships
with stakeholders through open and fair communication.

Customers

Based on our “Customer First” policy, we take measures toincorporate the comments and opinions of customers into better
products and services.

Communication methods and frequency

Incorporation into corporate activities●Official website, product websites (as needed)

Improving customer satisfaction
activities

Disseminating company information and business details,
providing FAQs, etc.

●Information sharing through social media (as needed)
Disseminating company information and business details

Shareholders

and through speech delivery at external lecture meetings.
Bilateral communications to build teamwork and foster a sense of unity

Employees based on a labor-management relationship founded on mutual trust
and responsibility.

Communication methods and frequency●Joint labor-management roundtable conferences/
Labor-management meetings (several times a year)●Toyota Customer Assistance Center (as needed)
Responding to customer opinions by telephone and email forms■ Holding dialogues with major stakeholders through Toyota’s relevant divisions and offices around the world.
■ Disseminating information about Toyota’s initiatives through dialogues with external experts to examine, for example, the direction of our sustainability-related initiatives,

Discussions/negotiations, opinion exchanges and mutual
understanding regarding labor-management issues●Employee satisfaction survey (once or twice every two years)
Surveying employees’ satisfaction regarding workplace culture and company life

Incorporation into corporate activities
Communication methods and frequency
Strengthening labor-management
relationships
Improving workplace culture andevaluating and planning various labormanagement and personnel policies

Disseminating information in
response to customer demand

Incorporation into corporate activities●Roundtable conferences with local residents(several times a year)
Explanation and discussions with local representatives on
Toyota’s initiatives at each plant●Inviting local communities to Toyota’s events andparticipating in local events (as needed)

Promoting mutual
understanding and forming
stable local communities

Social gatherings with local residents●Participating in joint projects between public and private
sectors (as needed)

Timely and appropriate disclosure of operation and financial results
to shareholders and investors, and constructive dialogues towardsustained growth and enhancement of corporate value.

Communication methods and frequency

Local Communities/ Dialogue with various stakeholders to build good
relationships with local communities and to solve global
Global Societysocial and environmental issues.

ToyotaCooperating in progressive initiatives such as verification tests

Improving advanced
technologies and recognizing/
resolving social issues●Participating in economic and industry organizations(as needed)

Introducing policies to improvethe vitality of the nation/industries●Participating in collaborative activities with NGOs andNPOs (as needed)

Incorporation into corporate activities

Social contribution activities in each region around the world

Recognizing social needs
in individual regions●Shareholders’ Meeting (once a year)
Unconsolidated and consolidated financial statements, audit andsupervisory board reports, and deliberation and decisions on resolutions

Close communication to achieve a mutually beneficial

Business Partners relationship based on mutual trust.

●Financial results announcement (four times a year)
Press and telephone conferences to explain Toyota’s financial status
and initiatives●Individual meetings (as needed)
Explanation and discussion on financial status, local projects,
technologies, products, etc. with institutional and private investors●Investor information website, etc. (as needed)
Providing information on financial status, business details, etc.

Communication methods and frequency
Improving management quality
through constructive dialogue[Dealers]●Supplier conventions, various meetings with
supplier associations, seminars, and events(as needed)• World Business Council for Sustainable Development (WBCSD)
P.16 Stakeholder Engagement (Environment)●Various meetings, seminars, and events(as needed)
Sharing corporate policies[Suppliers]

Incorporation into corporate activities■ Major initiative we participate inP.59 Engagement with stakeholders (Human Right)
Building closer, mutually
beneficial relationships basedon mutual trust

Sharing purchasing policies and strengthening
mutual study and partnerships

Sustainability Data Book

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OverviewEnvironment

Promoting Sustainability

SocialGovernanceContent Index｜ Fundamental Approach ｜ Organizational Structure ｜ Sustainability Issues and Initiatives (Materiality) ｜ Stakeholder Engagement ｜ Public Policy ｜ Toyota’s SDGs ｜Public Policy
A im■ Carrying out Toyota’s mission “Producing Happiness for All” and aiming

to be the No. 1 company in the community, loved and relied on by local
residents.
• For example, in terms of climate change, it is very important to expand
the use of electrified vehicles worldwide. In the process of achieving thisobjective, governments and the authorities concerned have a crucial rolein developing energy policies and infrastructure. Working and learning
together with stakeholders, Toyota will maximize its contribution to local
communities and the development of public policies in consideration ofpolicies, social needs, technological advancement, and various customer
needs while always bearing transparency and compliance in mind.

Toyota’s SDGs
Aim
■ Producing happiness for all individuals in the era of diversification, with a“YOU perspective” that sees the other side of the story.
In i t i a t i v e■ Promoting initiatives based on the desire of working for the benefit of others,

which has been passed on since our founding.
Examples ● Initiatives for the global environment● Initiatives for a happier society● Initiatives for working people
SDGs Initiatives

Init ia t ive■ Building good relationships with governments and their administrative

agencies, regulators, political parties, NGO, local communities, customers,
and other stakeholders.
■ Participating in economic organizations and industry associations around theworld and many officers and employees are involved in and contribute toformulating policy recommendations.
■ Disclosing Toyota’s Views on Climate Public Policies• Bringing more transparency to our activities, building and increasing trustwith the public, and further strengthening cooperation with all stakeholders
by compiling our views on key climate-related policies and conducting
objective evaluations on the industry associations to which we belong.
Toyota’s Views on Climate Public Policies 2023

Sustainability Data Book

9Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Resource Recycling

Environment
Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification

Environment
11

Policy and Environmental Management

17

Climate Change

28

Resource Recycling

33

Harmony with Nature

37

Climate-related Financial Disclosures Based on TCFD Recommendations

47

Environmental Data

52

FY2023 Review of the 7th Toyota Environmental Action Plan (2025 Target)

55

Third-party Verification

Sustainability Data Book

10

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Resource Recycling

SocialEnvironment
Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Environmental Management ｜ Initiatives with Suppliers ｜ Initiatives with Dealers and Distributors ｜ Stakeholder Engagement ｜Fundamental Approach
Updated in October 2023

Policy andEnvironmental
Management

Aim■ Reduce the environmental footprint and contribute to the sustainable development ofsociety and the world throughout all areas of our business activities.
■ Build close, cooperative relationships with a wide spectrum of individuals and organizations
involved in environmental preservation.

Ai m
■ To

achieve sustainable development together with society, establish the global
environmental management system with consolidated subsidiaries to ensure throughrisk management and compliance and maximize environmental performance.
■ Always improve the management system and quickly respond to changes in environmental
issues including worsening climate change.

In i t i a t i v e

Toyota Earth Charter■ Conducting continuous environmental initiatives since the 1960s.

Initiative

Establish an Environmental Management System■ Established the Toyota Earth Charter in 1992 (revised in 2000).

■ Establish strategies, policies and approaches in each field under the lead of the■ Formulated our long-term initiatives for the global environment by 2050 as the Toyota

three committees of the Environmental Product Design Assessment Committee, theConsolidated Environmental Committee, and the Resource Recycling Committee, under
the supervision of the Board of Directors.
■ Share our target with the following companies and proceed with environmental
management• Consolidated subsidiaries on a financial accounting basis (494 companies).
• Unconsolidated vehicle production companies (7 companies).
■ Set environmental affairs offices in the six regions (North America, Europe, China, Asia,
South America, and South Africa) and proceed with global environmental efforts withconsideration given to local conditions.

Environmental Challenge 2050, in 2015.* Subsequently advancing various initiatives
centered on this.
* 2015: The 21st session of the Conference of the Parties to the United Nations Framework Convention on Climate Change (COP21)
was held this year.

Vision & Philosophy
Toyota Earth Charter
SDGs
Contributions

Environmental Management

P.45 Toyota Environmental Challenge 2050

Global Environmental Management Framework
GRI 2-25, 2-27, 3-3, 305-6, 306-2, 308-1, 308-2

11

Environmental Management

13

Initiatives with Suppliers

15

Initiatives with Dealers and Distributors

16

Stakeholder Engagement

Toyota Environmental Challenge
2050
Global 2025 Target

Implementation

Fundamental Approach

Strategy/target

11

Toyota Motor Corporation

Environmental Product Design
Assessment Committee,
Consolidated Environmental Committee,
Resource Recycling Committee,
etc.

RegionShare

Regional 2025 Target

CooperateE.g., Regional Environmental
Committee

E.g., various global
committees

North America, Europe, China, Asia,
South America, and South Africa

Sustainability Data Book

11

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Environmental Management ｜ Initiatives with Suppliers ｜ Initiatives with Dealers and Distributors ｜ Stakeholder Engagement ｜ISO*1 14001/ISO 50001

Maximize Performance

Certification as of 2022
■ ISO 14001: All plants of Toyota Motor Corporation and consolidated
subsidiaries (121 companies)■ ISO 50001: 7 of the above companies■ Proceed with initiatives to address climate change, resource recycling, and*1 International Organization for Standardization■ For chemical substances, air quality, and other compliance-related initiatives,

Risk Management and Compliance■ Takethe following actions at the operating bases of Toyota Motor
Corporation and consolidated subsidiaries:• Implement preventive measures• Undertake risk management in accordance with criteria that meet or
exceed laws and regulations• Have systems in place, just in case, to respond to a violation or acomplaint in a timely manner, and if such a situation occurs, work toprevent reoccurrence through identification of root causes■ Conduct mutual learning for production plants by sharing practices among
Toyota Group companies

harmony with nature based on the Toyota Environmental Challenge 2050.
P.17 Climate Change

P.28 Resource Recycling

P.33 Harmony with Nature

and also for waste and logistics packaging, proceed with initiatives basedon the 2025 target.

Outside Evaluation for Our Commitment to Climate Change andWater Security
CDP*2 Corporate Research■ Selected for inclusion as an A- List company under CDP climate change, andthe highest evaluation A list company under CDP water security (in December
2022)*2 An international NGO that encourages and assesses corporate disclosures on environmental initiative basedon calls from global institutional investors with high levels of interest in environmental issues

Sustainability Data Book

12

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Environmental Management ｜ Initiatives with Suppliers ｜ Initiatives with Dealers and Distributors ｜ Stakeholder Engagement ｜Initiatives with Suppliers
A imPolicy for Sustainable Natural Rubber Procurement■ Work together with suppliers toward reducing the environmental footprint■ Toyota proceeds to eliminate deforestation and ecosystem conversion fromthroughout the product life cycle based on the concepts of mutual trust
and mutual benefit, thereby contributing to accomplishing a sustainable
society.

■ Believing that protection of forests and other natural ecosystems is critical

Init ia t iv e

Green Purchasing* Policy
Compliance with the Guidelines■ TMC

asks all tier 1 suppliers, including new suppliers, to implement
basic initiatives based on the TOYOTA Green Purchasing Guidelines (the“guidelines”), and also deploy and enlighten the guidelines to all tier 2 andsubsequent suppliers so that the guidelines will take root.
■ Ask through the guidelines that initiatives be taken toward reducing theenvironmental footprint at each company’s production plants and throughout
the product life cycle, and that related legal compliance be ensured.

* Prioritizing the purchase of parts, materials, equipment and services with a low environmental footprint whenmanufacturing products

our supply chains.
for maintaining biodiversity, combating climate change, and sustaining
livelihoods, we have formulated the Policy for Sustainable Natural
Rubber Procurement for natural rubber used in cars.
■ This policy features the following:• Being aligned with the Policy Framework that was adopted in a September
2020 resolution by the General Assembly of the Global Platform for
Sustainable Natural Rubber (GPSNR), of which Toyota is a member
Respecting
the principles and guidelines laid out in the UN Guiding•
Principles for Business and Human Rights and the ILO fundamental
conventions
FY2023 Results• TMC is working together with suppliers to gather information andgive responses to questions received from GPSNR regarding theimplementation status of this Policy.
Policy for Sustainable Natural Rubber Procurement■ Cases of regional Green Purchasing Policy• Ask the purchasing base in each region to implement the guidelines in linewith local conditions and make continuous efforts.

Cases

Toyota Motor North America (North America)■ Updated the existing guidelines and issued the Green Supplier Requirements
in April 2021, and reinforced environmental management by including
compliance with requirements (CO2 emission reductions) in the terms andconditions.
Green Purchasing Guidelines
Supplier Sustainability Guidelines

Compliance with the Guidelines■ Referred to the possibility that if we do not observe improvement after theoccurrence of a supplier’s violation of the guidelines, such as non-compliancewith laws and regulations, the transactional relationship may be subject toreview.
■ Already informed to tier 1 suppliers about these points by including in the
Supplier Sustainability Guidelines (revised in 2021).
Supplier Sustainability Guidelines

Monitoring
Self-assessment Sheet■ Use a self-assessment sheet to confirm the status of initiatives by eachcompany and share the results.
FY2023 Results• Received responses from 203 main companies in Japan and provided
feedback on the scoring results.
CDP Supply Chain Program■ Introduced the CDP Supply Chain Program in 2015 to support continuous

environmental initiatives conducted with suppliers, enabling us to determine
the supplier’s risks, opportunities and initiatives on climate change and water
security.
■ Create opportunities for environmental communication by annually holding
briefing sessions and response guidance where we share information onsocial trends and Toyota’s environmental policies, and provide feedback on
response results.
2022 Results• Received responses from suppliers accounting for approximately 82
percent of the total purchasing value by Toyota Motor Corporation.
• Approximately 70 percent of these suppliers reduced their CO2 intensity(per unit of net revenue) compared to the previous year (due to the recovery
of production units in some areas after the slump caused by the impact
of COVID-19 and other initiatives such as energy-saving activities and theadoption of renewable energy.)
Main Results of the CDP Supply Chain Program (2022)
Climate Change

Water Security

Number of responding companies

133

121

Response rate

99

98

Governance (board-level
oversight, corporate policy)

98

79

Identifying risks

93

73

Integrating issues into businessstrategy

84

81

Setting quantitative targets

97

77

Percentage
responding“implemented”

Sustainability Data Book

13

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Environment

Resource Recycling

Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Environmental Management ｜ Initiatives with Suppliers ｜ Initiatives with Dealers and Distributors ｜ Stakeholder Engagement ｜Initiatives toward Reducing CO2 Emissions■ Share carbon neutrality in 2050 as our common goal and investigate

concrete CO2 reduction measures by presenting CO2 reduction guidelines
tailored to each supplier.
2025 Target• Work with major suppliers in each country and region toward reducing
CO2 emissions.
• Applicable countries and regions: Seven regions with purchasing functions(Japan, North America, Europe, China, Asia, South America and South
Africa)2022 Results• Steadily achieved targets set in each country or region.

Risk Management
Ensuring Compliance with Regulation Concerning REACH*1 andOther Global Regulations on Chemical Substances■ Comply with laws and regulations on chemical substances in various

countries and regions, such as the Chemical Substances Control Law*2 inJapan, and the Directive on ELV*3 and Regulation concerning REACH of theEuropean Union (EU).
■ Improve structures and undertake operational management in cooperation
with all parties involved in conveying chemical substance information.
■ Continue industry collaboration and global deployment and comprehensive
implementation of regulations tailored to the cultures and industrial structuresof each region.
FY2023 Results• Revised regulations based on the Global Automotive Declarable Substance
List (GADSL) of regulated substances reflecting the latest laws andregulations in each country (setting content rate targets for each substancein consideration of legal and regulatory requirements, etc.).
• Steadily introduced vehicles that comply with these regulations, and also
work in cooperation with European affiliates to continue to fully respondto data registration regulations (WFD Directive*4/SCIP*5) newly launched inEurope.
• Continued supplier awareness raising activities to ensure thorough chemical
substance management and continued to engage in collaborative activities
with overseas affiliates.

Environmental Due Diligence at the Time of Purchasing■ Policies and Approaches to Responsible Mineral Sourcing• Established the Policies and Approaches to Responsible Mineral Sourcing

in accordance with the OECD guidance to take into account the impact
on local societies by the procurement of minerals that may cause social
problems regarding human rights and environment.
■ Due Diligence Policy• Identify and assess risks in the supply chain together with suppliers, and if
any risk is identified, implement appropriate measures that will lead to themitigation of the risk.
*6 O
 ECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-affected and High-risk
Areas

Policies and Approaches to Responsible Mineral Sourcing
P.74 Responsible Material Sourcing
P.32 Efforts toward Compliance with the New EU Battery Regulation
P.33 Challenge of Establishing a Future Society in Harmony with Nature

Supplier Hotline
P.73 Supplier Hotline*1 Regulation concerning the Registration, Evaluation, Authorisation and Restriction of Chemicals: A regulation
for managing chemical substances to protect human health and the environment*2 Act on the Regulation of Manufacture and Evaluation of Chemical Substances: An act to prevent environmental
pollution caused by chemical substances that pose a risk of impairing human health and interfere with the
inhabitation and growth of flora and fauna*3 Directive on End-of-Life Vehicles: A directive designed to reduce the load of end-of-life vehicles on theenvironment*4 Waste Framework Directive: A waste framework directive in Europe*5 Database of information on Substances of Concern in articles as such or in complex objects [Products]

Sustainability Data Book

14

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Environment

Resource Recycling

Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Environmental Management ｜ Initiatives with Suppliers ｜ Initiatives with Dealers and Distributors ｜ Stakeholder Engagement ｜Awareness-raising Activities (Japan)
Training for Purchasing Group Personnel■ Provide group training for new employees regarding sustainability including

the environment.
■ Organize periodic study groups regarding carbon neutrality (CN) for staff
who communicate directly with suppliers.

Training Sessions with Suppliers■ A variety of practical opportunities established by Toyota and its suppliers forjoint training on environmental issues.

Briefing on achieving carbon neutrality (2021 and 2022)■ Dissemination of specific emission reduction calculation methods and tools

to achieve CO2 reduction targets.
■ Presentation about items to reduce CO2 emissions.
■ Implementation of a matching service to link companies providing emission
reduction solutions with suppliers that are having trouble reducing theiremissions.
■ Suppliers in Tier-1 encourage suppliers in Tier-2 and beyond to participate
in the initiatives above in an effort to disseminate this information throughout
the supply chain.
P.73 Awareness-Raising Activities

Initiatives by Kyohokai*■ Established research groups that consider environmental topics in 2019.

Recognition of Supplier’s Environmental Initiatives■ In FY2023, four theme-specific groups (environmental management, legal■ Annually present the Environmental Activity Awards, established in 2017 tocompliance, energy saving, and renewable energy) were established andeach group carried out independent study activities for one year.
■ Outcomes were reported at the Outcome Reporting Session and madeavailable to members on the Kyohokai website.
* Voluntary organization consisting of more than 200 suppliers delivering automotive components, bodies, etc.
to Toyota Motor Corporationcommend suppliers that conduct exceptional environmental initiatives.

Initiatives with Dealers and Distributors
Ai m■ Worktogether with dealers and distributers toward reducing theenvironmental footprint, help them earn trust from their local communities
and serve as the “Best-in-Town”, and contribute to the communities andcustomers.

Initiative

Implement the Environmental Global Policy in the Sales
and Service Area
■ Continuing to implement a strategy to reduce the environmental footprint instore operations since 2016.

Regions■ Dealers in 67 major countries and regions, such as Japan, North America,

Europe, Asia, South America, Oceania, and Africa (approximately 14,000
stores, accounting for 92 percent of the total in terms of the number ofvehicles sold).

Actions■ Establish a structure of environmental management system■ Minimize environmental risks■ Improve environmental performance■ Activities to make environment better with customers and society

Initiatives to Reduce CO2 Emissions
Photo of the FY2023 Outcome Reporting Session

2025 Target• 100 percent introduction rate for CO2 reduction items at newly constructed

and remodeled dealers.
2022 Results• Achieved targets in all applicable countries and regions (67 countries andregions).

Sustainability Data Book

15

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Environmental Management ｜ Initiatives with Suppliers ｜ Initiatives with Dealers and Distributors ｜ Stakeholder Engagement ｜Overseas Initiatives
Toyota South Africa Motors (Pty) Ltd. (South Africa)

Stakeholder Engagement■ In 2017, Toyota issued the Environmental Activities Guidelines for Toyota

Dealerships in South Africa to promote environmental management initiatives
among dealers.
■ All dealers are participating in environmental management initiatives basedon the guidelines above.
■ Dealers are evaluated into four levels according to the degree of achievementin establishing a structure of environmental management system, CO2
reduction activities, etc.
■ Initiatives being promoted including the introduction of 100% LED lighting at
both new and existing dealers.

Aim■ Establish positive relationships with governments and their administrative

agencies, regulators, political parties, non-profit organizations, local
communities, customers, dealers, suppliers, and employees.
■ Contribute and commit to public policy by participating in activities by industry
and economic associations, and other initiatives.
In i t i a t i v e■ U.S.: Participate in the Suppliers Partnership for the Environment*1 andpromote environmental initiatives where suppliers, governments, NGOs andother stakeholders collaborate.
■ Europe: Address key sustainability issues in the supply chain as a member
company of CSR Europe’s*2 Drive Sustainability,*3 an automobile industry
partnership program.
■ Global: Participate in the WBCSD*4 and promote initiatives to accelerate thetransition to a sustainable society.
*1 A U.S.-based public-private partnership program for automobile manufacturers and suppliers to promotesustainability*2 A European NPO that operates a European business network to promote corporate sustainability*3 A European partnership NPO that promotes sustainability in the automobile industry*4 World Business Council for Sustainable Development: An NGO that conducts advocacy and verification
projects to realize a sustainable society with the participation of major corporations worldwide

Suppliers Partnership for the Environment
Drive Sustainability
World Business Council for Sustainable Development

Japan■ Engage in public relations and present recommendations by ourselves or

through industry and economic associations regarding climate public policies,
such as those related to the Paris Agreement, the accomplishment of carbon
neutrality, and the stable supply of low-cost renewable energy.
■ Representative Affiliation:• Japan Automobile Manufacturers Association, Inc. (JAMA)• Japan Business Federation (KEIDANREN)
Cases

JAMA

• Reduce pollution, waste, or the use of resources.
• Comply with the End-of-Life Vehicle Recycling Law: Collection, recycling
and appropriate treatment of CFC/HFC, airbags, and shredder residue(ASR*5).
• Proceed with the 3R efforts (reduction, reuse and recycling): Reduceweight and make even better use of raw materials at the time of the designof automobiles, and control the generation of designated byproducts or
recycle such items at the manufacturing phase.
• Reduce in-car emissions of volatile organic compounds (VOCs).
• Prohibit the use of the four heavy metals (lead, mercury, hexavalentchromium, and cadmium) / public policy on considerable reduction.
*5 Automobile Shredder Residue

Public Policy

Sustainability Data Book

16

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Environment

Resource Recycling

Harmony with Nature

SocialGovernance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Fundamental Approach
Updated in October 2023

ClimateChangeAim■ Through contributing to achieving carbon neutrality

Toyota aims to achieve CN throughout the vehicle life cycle
through initiatives at each stage(CN), aim to establish a sustainable society in harmony
with nature.

Vehiclemanufacturing

In i t i a t i v e■ As an initiative to tackle climate change under the

Toyota Environmental Challenge 2050, formulated “Life
Cycle Zero CO2 Emissions Challenges,” “New Vehicle
Zero CO2 Emissions Challenges,” and “Plant Zero CO2Emissions Challenges,” and started actions in 2015.

Other
Equipment
companies
manufacturers and industries

Logistics
companies

Energycompanies

renewable energy
PART

MATERIAL

Logistics

Energycompanies

Parts
manufacturers

Materials
Materials
and parts
Dealers andmanufacturers
distributors
manufacturing
Recycling

renewable energy

Drivingcompanies

Recycling

Well to Wheel ＊* CO2 emissions during driving as well as CO2 emissions during the production stage of fuel and electricity (CO2 emissions vary depending on the power supply configuration andhydrogen production method, in the case of battery electric vehicles and fuel cell electric vehicles)

SDGs
Contributions
GRI 201-2, 302-4, 302-5, 305-3, 305-5

17

Fundamental Approach

18

Life Cycle

21

Product

25

Corporate Activities and Production

Sustainability Data Book

17

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

GovernanceContent Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Life Cycle
A im■ Eliminate greenhouse gas (GHG) emissions during driving as well as achievecarbon neutrality (CN) throughout the entire vehicle life cycle including
materials/parts manufacturing, vehicle manufacturing, logistics, energy
production, disposal and recycling.
Init ia t ive■ Offer optimal products to minimize GHG emissions throughout the vehicle

life cycle by taking into consideration the energy situations and composition
ratios of power generation sources of each country/region.
■ Accelerate measures for the development of technologies that contribute to
GHG emissions reduction and create eco-friendly designs as we pursue “everbetter cars”.
■ Step up efforts to reduce GHG emissions throughout the entire vehicle life
cycle while engaging in even closer communication with various stakeholders
in each stage of the value chain, including suppliers and dealers.
■ Aim to achieve clean vehicle manufacturing throughout the entire life cycle
and promote environmental management to achieve reduction targets using
the Eco-VAS (Eco Vehicle Assessment System) incorporating LCA*1.
*1 Life Cycle Assessment:• A comprehensive assessment technique to quantify a vehicle’s impact on the environment (including global
warming, acidification and resource depletion) in each stage from resource extraction to disposal and recycling• Toyota has acquired a certification based on the ISO 14040/14044 from TÜV Rheinland, a third-party
certification organization.

Life Cycle Zero CO2 Emissions Challenge

Consideration in Each Stage of the Vehicle Life Cycle

Aim to achieve CN throughout the entire life cycle■ CN in LCA means to achieve CN for not only greenhouse gas (GHG)

Mid- to long-term targets■ 2050: Achieve CN for GHG emissions throughout the life cycle*2■ 2030: Reduce GHG emission by 30% throughout the life cycle*2 (compared

to 2019 levels)
FY2023 Progress• 5% reduction of GHG emissions compared to 2019*2 Applies to GHG emissions from energy consumption in Toyota Motor Corporation and financially consolidated
subsidiary corporate activities, and GHG emissions from suppliers and customers in relation to vehicles under
Toyota Motor Corporation and financially consolidated subsidiary brands. (Per vehicle, Scope1,2,3) (Applies
to Toyota Motor Corporation alone in 2050)

emissions during driving but all GHG generated throughout the entire vehicle
life cycle including materials, parts and vehicle manufacturing, logistics,
energy production, disposal and recycling.
■ Toyota has been working, in cooperation with its stakeholders, to achieve
CN by 2050 by employing the LCA methods to measure CO2 emissions.
Each Stage of the Vehicle Life Cycle
Well to Wheel

Materials

Products
manufacturing

Vehiclemanufacturing

vehicle driving

Disposal/
recycling

Tank to Wheel

EnergyRenewable energy power
generation

Fuel
manufacturing

Thermal power generation

Well to Tank●●

■ CO2 emissions from driving are considered in two stages: during manufacturingand (WtT*3) during driving (TtW)*4■ While gasoline vehicles emit CO2 during fuel production (WtT) and driving(TtW), battery electric vehicles (BEVs) do not emit CO2 during driving (TtW)
but if fossil fuel is used, CO2 is generated during production of electricity (WtT)
and production of batteries.
■ To reduce CO2 emissions of BEVs, conversion to renewable energy is crucial.
But the progress in conversion varies among countries and regions, making
it difficult to achieve complete conversion. Therefore, it is also important topromote the reduction of CO2 emissions from existing powertrains, such as
gasoline vehicles and hybrid vehicles (many of which are present in market)
by utilizing low carbon synthetic fuels, such as biofuel and e-fuel.
*3 Well to Tank (WtT): From fuel extraction/production to a tank, or from power generation to filling a battery*4 Tank to Wheel (TtW): From start of an engine or motor to driving wheels

P.22 Aiming at Carbon Neutrality through Product Development

Sustainability Data Book

18

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Considering from Energy Production Stage

Carbon Neutral Fuels■ Fuels that emit practically zero CO2 into the atmosphere during all processes

from manufacturing to use (in some cases, this is currently limited to lowcarbon fuels that reduce CO2 emissions)• Synthetic fuels:
Fuels produced by combining CO2 and hydrogen (also known as synthetic
crude oil)
• e-fuels:
Fuels produced by synthesizing carbon contained in plant waste and air
with hydrogen generated from electrolyzing water** Using electricity derived from renewable energy• Bio-fuels:

Fuels produced from biomass, including bio-ethanol and bio-diesel.

Activities for the Early Adoption of Carbon Neutral Fuel

Consideration to energy policies■ Deepening collaboration with fuel manufacturers, including oil companies,■ In working toward achieving CN, Toyota considers that various elements

and cooperating with efforts to raise awareness of carbon neutral fuels andactual implementation in society.
■ Oil companies are working on research to develop synthetic fuels, andToyota has held events with the following oil companies to raise awareness:
ExxonMobil (promotional video) and Chevron (on-road driving) in April 2023
in the United States, and ENEOS (driving demonstration) in May 2023 in
Japan.
• Driving demonstrations using carbon neutral fuel in commercially available
cars without any modifications
US: RAV 4 (PHEV), Japan: Prius

Synthetic Fuels: A Promising Option for Decarbonizing Engines

for their energy situations, which vary among countries/regions dependingon their degree of development of social infrastructure and industry andthe presence of resources.
• Meanwhile, recent tight power supply and soaring energy prices areaffecting energy policies of countries.

Consideration to characteristics of each power generation method■ In working toward achieving CN, Toyota considers distinctive characteristics

of each power generation method as indicated below:• Renewable power generation• No CO2 emissions during power generation.
• Lower cost and policy support led to an increase in the introduction ofConsideration of Carbon Neutral Fuel Usage■ Adaptation for vehicles currently in use• To realize life cycle carbon neutrality (CN) as soon as possible, it isnecessary to address not only new cars but also cars currently in use, andis important to reduce the carbon footprint of the fuels used.
■ Responses for adapting to regional needs• Natural factors, such as the number of daylight hours and wind strength,
as well as equipment installation costs can vary according to region.
Therefore, the circumstances surrounding the adoption of electricity fromrenewable sources will be different for each region.
• It will be possible to manufacture synthetic fuel in regions where electricity
from renewable sources is cheap. This fuel can then be utilized in manyother regions to promote the shift to CN.

affect energy policies of individual countries/regions as indicated below:• Individual countries/regions are promoting various initiatives appropriate

renewable power generation.

• Although there are some factors that are making stable supply difficult,Photo of the driving demonstration

ExxonMobil and Toyota Team Up to Test Fuels with a Lower Carbon Footprint (event with
(ExxonMobil)
Chevron demonstrates renewable gasoline blend (event with Chevron)
Driving demonstration using synthetic fuel (event with ENEOS)

such as differences in the amount of power generated depending on
the weather, solutions such as reinforcement of power systems andcombined use of stationary batteries are being considered.
• Backup with other power generation methods is an issue.
• Thermal power generation• Being used in many countries and regions as a stable power source.
• To reduce CO2 emissions, technologies for co-firing of hydrogen orammonia is being considered.
• Combined application of CCS (CO2 capture and storage), a processof separating and recovering CO2 in exhaust gas from plants or power
stations, is expected, though there are challenges in the selection ofproper locations, cost reduction and the development of laws.

Sustainability Data Book

19

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Cases of Initiatives in Energy Production and Usage
Construction and Social Implementation of an Energy Management
System (Japan)■ Commercial

Japan Partnership Technologies Corporation started theconstruction and social implementation of an energy management systemfor electric vehicle in Fukushima Prefecture and Tokyo in January 2023 tocontribute to achieving carbon neutral society and solving issues at logistics
sites.
■ In addition to the introduction of commercial electric vehicles on the market,
this social implementation will lead to the reduction of CO2 emissions andoverall burden on society such as the need for recharging and hydrogen
filling, through an energy management system integrated with the operation
management of commercial vehicles.
CJPT to Begin Construction and Social Implementation of an Energy Management System inFukushima and Tokyo to Promote Electrified Vehicles

Stepping up to the challenge of generating renewable hydrogenand carbon-neutral operations (US)Case 1: Reduction of land transport distances

Case 2: Improving transport efficiency (reducing workload)

More effective use of resources for transporting completed vehicles
through cooperation between brands■ Engaging in collaboration and improvement activities with group company
Daihatsu Motor Co., Ltd. for the transport of completed vehicles to respond tosocial issues including the shift toward CN and driver shortages.
■ Toyota outsources part of its vehicle production process to Daihatsu. Despite thefact that vehicles may be delivered to the same location (region), Daihatsu andToyota use separate transportation systems. A review was conducted to improve
the inefficient aspects of this process and reduce GHG emissions, as follow.
• Shared use of ships, car carriers, and car yards owned by both companies.
• Improved transport efficiency through modal shifts and reviews of landtransport routes throughout Japan.

Optimized overall logistics across suppliers through in-house logistics
arrangements■ For logistics of production parts in Japan, based on the concept of retrieval
system, a principle of Toyota Production System (TPS), gradually changing
the conventional delivery system, which is arranged by suppliers, to theretrieval system, which is arranged by Toyota.
■ By managing logistics from the perspective of the overall optimization,
improving loading efficiency by combining the load of all suppliers andhelps improve transport efficiency at supplier sites, thereby contributing to
reduction of GHG emissions.
■ Approximately 90 percent implemented the retrieval system in Kyushu andTohoku regions. Implementation is approximately 40 percent of the total in
the Tokai region (as of July 2023).

GHG reduction examples of 200 tons annually for transport to the Hokuriku region
Modal shift *1
Toyota : Vehicles manufactured in Oita
Beforeimprovements
are transported by land from Nagoya Port
Daihatsu : Vehicles manufactured in Oita
are transported by land
Hokuriku dealers
from Amagasaki Port

FuelCell Energy and Toyota Announce Completion of World’s First “Tri-gen” Production System

Daihatsu : Shorter land transport distance
Hokuriku
dealers
北陸販売店
Toyota : Effective use of empty space on transport

Shiga
Amagasaki Port

Supplier

Relay point

Pant

After kaizen (pickup system)
Supplier

Nagoya Port

Oita

Aichi

Aichi

Pant
Relay point

Pant

High load capacity

Milk run*2
across suppliers

Supplier
Nagoya Port

Oita

Supplier

Pant
Relay point

Frequent delivery

Supplier

Supplier

Stopping by multiple relay points

Concentration/
reorganizationof relay points*1 Convert freight transportation by automobile to rail, ship, and other less environmentally hazardous transportation
Supplier

Review of land transport routes

Supplier
Pant

Toyota : Vehicles manufactured in Kansai are
Beforeimprovements
transported via Motomachi Plant
Daihatsu : Vehicles manufactured in Kansai aretransported directly

Direct milk run(no relay points)

Transporting Toyota vehicles via Shiga
After
improvements
Supplier

Initiatives in Logistics

Low load capacity

Pant

Supplier

Loading of a truck image
Before kaizen: transport by one supplier■ To achieve carbon neutrality (CN) throughout the entire vehicle life cycle,

working to improve transport efficiency (reduce workload) and makeuse of low-carbon technologies (reduce CO2 emissions intensity) intransport of production parts, completed vehicles, and supply parts coveredby in-house logistics arrangements.
2022 Results• CO2 emissions in logistics in Japan: Down 9 percent from 2018
• CO2 emissions in logistics overseas: CO2 reduction activities tailored to
local characteristics are being promoted

Before kaizen (delivery system)Long lead time

■ Toyota Motor North America (US) has completed construction on “Tri-Gen”, a system capable of producing renewable hydrogen on-site at Toyota
Logistics Services, the company’s logistics hub located at the Port of Long
Beach in California.
■ Tri-Gen aims to achieve carbon-neutral port operations powered by 100%
renewable energy sources, reduce CO2 and NOx (nitrogen oxide) emissions,and serve the local community through the supply of surplus electricity.

Integrated into Toyota routes, vehicles are transported
After
improvements by land from Nagoya Port

Hokuriku dealers

Company A

北陸販売店
Hokuriku
dealers

Transport
distance reducedby 140 km

Ikeda

Kyoto

Motomachi
Plant

Ikeda

Kyoto

Company A Company B Company C

Low load capacity

High load capacity*2 A delivery system in which one truck makes an efficient circular route to pick up and deliver loads from/to
multiple suppliers

Shiga

Shiga

After kaizen: Milk run

Motomachi
Plant

Sustainability Data Book

20

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

GovernanceContent Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Product
A im■ Toward achieving the carbon neutrality (CN), providing optimal products

according to the situation of each country/region.
■ Providing products that inspire customers to think, “easy to use” and “wantto drive” based on a sustainable and practical approach.
Init ia t ive■ Based on the idea that eco-friendly vehicles contribute to the environment

Promoting widespread use of electrified vehicles*5 SASB TR-AU-410a.2■ 2050: Achieve CN for average GHG emissions*3 from new vehicles*4■ Cumulative sales: 23.15 million units■ 2035: R educe average GHG emissions*3 by more than 50% from newvehicles*4 (compared to 2019 levels)■ 2030: Reduce average GHG emissions*3 from new vehicles*4• Passenger light duty vehicles and light commercial vehicles: 33.3%
reduction (compared to 2019 levels)• Medium and heavy freight trucks: 11.6% reduction (compared to 2019
levels)P.48 See Environmental Data [G] for actual figures*3 Per vehicle, gCO2e/km, Well to Wheel: Includes GHG emissions from the production of fuel and electricity, as
well as GHG emissions during vehicle operation*4 Applies to finished vehicles under Toyota Motor Corporation and financially consolidated subsidiary brands.
(Scope3 Category11) (Applies to Toyota Motor Corporation alone in 2035 and 2050)

Third-party Verification 2022 data(as of March 31, 2023)■ Cumulative CO 2 emissions reduction effect from the widespread use ofelectrified vehicles: 176 million tons
*5 Applicable to Toyota brands electric vehicles

Cumulative CO2 Emissions Reduction Effects from Electrified Vehicles(million units)(million units)

AnnualCumulative

20

4(Cumulative) 23.15 million

3
2.5

15

Annual sales*1 Hybrid electric vehicles (HEVs), plug-in hybrid vehicles (PHEVs), battery EVs (BEVs) and fuel cell vehicles(FCEVs)*2 V ehicles that run on fuel mixed with plant-derived bioethanol

Mid- to long-term targets

Cumulative sales

only when they come into widespread use, enhance the lineups ofelectrified vehicles*1 and flex-fuel vehicles (FFV*2) and promote their spread.
■ Strive to reduce average GHG emissions per vehicle when driving with theaim of achieving CN by 2050.

New Vehicle Zero CO2 Emissions Challenge SASB TR-AU-410a.3.
Aim to achieve CN by reducing average GHG emissions from new vehicles

2
1.5

10

1

5

0.5

0

0
1997

2002

2007

2012

2017

2022

0
5

50

10
100
15
150
200

20
AnnualCumulative(million t-CO2)(Cumulative) 176 million t-CO2

Annual CO2 emissions
reduction effectCumulative CO2 emissions
reduction effect0(Year)

25(million t-CO2)

P.48 Environmental Data [F]Sustainability Data Book

21

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Harmony with Nature

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Aiming at Carbon Neutrality (CN) through Product Development
Diverse solutions for diverse situations

BEV strategies

Expansion of PHEV use■ A wide range of vehicles, from passenger cars to commercial vehicles■ Expand the options for achieving CN by offering a full lineup of BEVs.

■ As the company moves forward with its full lineup of electric vehicles, it will

and from cars for people’s daily lives to luxury cars, are used in diverse
situations, including not only urban areas but also countries and regions with
underdeveloped infrastructure, especially in a severe environment, such as
deserts and coal mines.
■ Toyota has a variety of powertrain lineups of electrified vehicles, vehicles
that convert electricity into power to move, such as HEVs, PHEVs, BEVs and
FCEVs.
■ In diversified markets of different countries and regions, there is no one-sizefits-all solution. Toyota therefore endeavors to propose various solutions andprepare as many options as possible for our customers.

■ March 2023: Lexus RZ450e pure Battery EV (BEV) model launched■ April 2023: Announcement of additional launch of 10 new models in thelead-up to 2026 and set the sales pace at 1.5 million unit per year as ourbase volume. In the same month, the bZ series 2 models, scheduled to belaunched in China in 2024, were exhibited at Auto Shanghai.
■ May 2023: Announcement of the establishment of BEV Factory, a neworganization dedicated to BEV development. The organization will implement
a full overhaul of vehicle chassis, electronic platforms, and software
platforms to accelerate the achievement of new forms of mobility in new
vehicle packages using the modular structure unique to BEVs.
Financial results announcement, March 2023

continue selling PHEVs as one important option for achieving CN.
■ New PHEV Prius model launched in March 2023

⇒ Improved battery performance gives EVs expanded range andperformance to cover almost all daily driving requirements with electric
power only. (The range for models equipped with 17 inch tires hasreached 105 km*2, a 75 percent improvement on previous models.*1*1 Compared to previous Prius PHV models*2 Driving range in WLTC mode while using rechargeable electric power (assessment figures from the Ministry ofLand, Infrastructure, Transport and Tourism)
In some cases, the vehicle will disable EV driving and the engine will start irrespective of the remaining
battery level, depending on engine conditions, driving battery, air conditioner use, and driving technique (i.e.,
exceeding prescribed speeds).

CN

BEV

FCEV

PHEV

HEV

H2

CN fuels

Multi-pathway

All-new Prius Plug-in Hybrid (PHEV) models

Sustainability Data Book

22

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Environment

Resource Recycling

Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Technology development for hydrogen engines running on liquidhydrogen fuel■ Hydrogen-engine vehicles directly burn hydrogen as fuel in a modified

conventional gasoline engine setup.
■ Using 100-percent pure hydrogen, they emit nearly no CO2 except for the

combustion of minute amounts of engine oil during driving.
■ Since 2021, agile development has been implemented by utilizing hydrogenengines running on hydrogen gas fuel in the motorsports arena. At the sametime, development is also carried out with the aim of boosting the energy
density of liquid hydrogen fuel.
■ In May 2023, a Toyota vehicle running on liquid hydrogen raced in Round 2of the Fuji SUPER TEC 24 Hours Race. The vehicle completed the race withplanned stops along the way.

■ The liquid hydrogen used for the first time in this race contained lignite-derived hydrogen produced and transported from Australia in February
2022 by the Suiso Frontier liquid hydrogen carrier built by Kawasaki Heavy
Industries, Ltd. (KHI). The mobile liquid hydrogen station used at the circuit
was developed by Iwatani Corporation.
■ As part of continuing efforts, Toyota has gathered together partners whoshare the common aim of achieving carbon neutrality. The number ofmembers has increased to 39 companies and local governments which
involved in producing, transporting, and using hydrogen and carbon neutral
fuel (figure as of 18 March 2023).
■ New partners joined to reduce CO2 emissions during parts manufacturing• Since Round 2 of the Fuji SUPER TEC 24 Hours Race in 2022, Toyota’s
vehicle has been equipped with a suspension member made fromsteel manufactured using a low-CO 2 blast furnace developed andcommercialized by Kobe Steel, Ltd.
• In Round 6 in Okayama, the vehicle was equipped with a recycled steel
lower arm for the suspension made from scrap iron produced by Tokyo
Steel Corporation.

GR Corolla fueled by liquid hydrogen
Suspension member made with Kobe Steel’s Kobenable
Premier steel which achieves a 100% reduction in CO2emissions during manufacturing (calculated using themass balance methodology)

A suspension lower arm made by Tokyo Steel fromrecycled steel using 100% domestic scrap iron. CO2
emissions per ton of this product are reduced to 1/5th
compared to conventional products made from natural
resources.

Sustainability Data Book

23

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Harmony with Nature

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Items to reduce GHGs
Off-cycle technology development and global
Third-party Verification 2022 data
expansion of implementation

Using connected data to gather information about
GHG emission reduction effects Third-party Verification 2022 data

■ TMC will be increasing the number of electric vehicle models as well

■ Toyota is accumulating driving data obtained from the Data Communication

as promoting off-cycle technology development (reducing energy forheating and cooling, reducing energy consumption, etc.) to effectively
reduce GHG emissions under real-world driving conditions – informationthat is not usually reflected in catalog fuel efficiency figures.
■ To achieve carbon neutrality, we expand off-cycle technologies globally.

Module (DCM) as big data, which is used to design better vehicles and forappropriate maintenance.
Service provider
Insurance company Ride sharing

Factors reducing fuel efficiency when real-world driving

Actual fuel efficiency
when real-world driving

Catalog fuel efficiency

Approx. 30%

Auxiliary power• Heating/cooling, lamps, etc.
Driving style• Rapid acceleration or braking• Driving distance, etc.

Approx. 50%

Car rental

Taxis

Logistics

RetailFY2022△ 4.43

GHG emission reductions△ 6.05

FY2023△ 5.29Technology example: Predictive Efficient Drive• Uses GPS data to estimate the long-term parking location (destination)• When the vehicle comes near the destination, it switches automatically to
EV mode to discharge electricity• This allows more efficient control of the hybrid system by charging bothengine heater and the motor battery when the engine is started again,
thereby reducing heating time.
Destination
Starting point

Chargevehicle weight, speed, and other factors in addition to traffic information.

• Consideration of future expansion to other regions.
• GHG emission reduction effect: 16,583 t-CO2e

API

ToyotaFinancial
Services
Finance/settlement
centerTelematics
insurance

Flexible leasing

OTA updates ofvehicle software

Individual/
device authentication

DCM

DCM

Smart Key Box/
Transl.og

Fleet vehicle
management

Traffic data/
vehicle data utilization

Fuel-saving route

Toyota Smart Center (TSC)
Telematics services(Map updates, agents, etc.)

Big data utilization

DealerBig data(CRM/quality management)(TBDC)

Global communications platform
DCM

DCM

Recommended(standard) route

DCM

High-frequency
maintenance■ The analysis of big data confirms the effect of GHG emission reduction in

the real-world.
Technology example: Air-conditioning air recirculation control usage survey■ By aggregating the usage of air conditioners in terms of ambient

temperature and driving time, the real-world GHG emission reduction
effect in the recirculation mode was obtained.
FY2023 Results (Japan)
120• 308 thousand t-CO2e
Air recirculation control
and frequency of use
Fresh air intake

Discharge

Air recirculation

Driving time (minutes)

FY2021(million t-CO2e)

genuine in-car navigation systems (from 2017 models onwards) in Japan.

• Navigation suggests energy-saving routes based on road gradient,
FY2023 Results

Public agencies,
Accommodation,
food and drink Olympics/Paralympics, etc.

Technologies to improve these issues ⇒ Off-cycle technologies

GHG emission reductions due to off-cycle technologies(United States, Saudi Arabia)■ In July 2022, added suggestion function of energy-saving routes to Toyota

Mobility Service Platform (MSPF)

Environment• Temperature difference, daylight• Road conditions, etc.

Approx. 20%

Car sharing

Energy-saving route guide Third-party Verification 2022 data

90
60
30
0

10

20

30

40

Ambient temperature (°C)

Frequency(%)■ Data utilization will be extended to efforts to create environmentallyfriendly towns and alleviate traffic congestion.
Home or other long-term parking location

Workplace or other long-term parking location

Sustainability Data Book

24

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Corporate Activities and Production
A im

Corporate activities■ Achieve carbon neutrality (CN) for GHG emissions from corporate activities
including not only from vehicle production, but also logistics, administration,and research facilities, etc.
Production■ Achieve CN for CO2 emissions at all global production plants by 2035.

Corporate activites

Production (Plant Zero CO2 Challenge)

Aim to achieve CN for GHG emissions from corporate activities

Aim to achieve zero CO2 emissions from all global plants

Mid- to long-term targets

Mid- to long-term targets■ 2050: Achieve CN for GHG emissions from corporate activities*

1

P.47 See Environmental Data [B] for actual figures■ 2035: Reduce GHG emissions from corporate activities*1 by 68% (compared

Init ia t ive

to 2019 levels)■ Promote the energy reduction initiatives such as daily kaizen and theintroduction of innovative technologies, as well as the introductionof renewable energy and utilization of hydrogen at TMC, all locations
operated by financially consolidated subsidiaries, and all Toyota brands
production locations.
• Daily kaizen and the introduction of innovative technologies:
While the number of parts with much CO2 emissions during manufacturing
is increasing due to the popularization of electrified vehicles, optimizing
production equipment and improving energy reduction programs to
reduce the amount of energy used per vehicle by an annual rate of one
percent or more.
• Introduction of renewable energy and utilization of hydrogen:
Working hand in hand widely with stakeholders both inside and outside
the company to build the necessary social infrastructure to support thewidespread use of these energy sources.

P.48 See Environmental Data [G] for actual figures*1 Applies to GHG emissions from energy consumption in Toyota Motor Corporation and financially consolidated
subsidiary corporate activities, and GHG emissions related to the production of Toyota brands other than byfinancially consolidated subsidiaries (Scope 1, 2 + voluntary actions).

■ 2050: Achieve zero CO2 emissions from production at plants*2■ 2035: Achieve CN for CO2 emissions from production at plants*22022 Progress• 25% reduction in CO2 emissions compared to 2013 (calculation period:
January to December)*2 Applies to CO 2 emissions from energy consumption in Toyota Motor Corporation andﬁnancially consolidated subsidiary plants, and CO2 emissions from the production of Toyota
brands other than by ﬁnancially consolidate subsidiaries (Scope 1, 2 + voluntary actions).

Challenging carbon neutrality at plants by 2035

Business-as-usual CO2 emissions

CO2

CO2 emissions

Introduction of dailykaizen and innovativetechnologies

Plants will challenge
early achievement ofcarbon neutrality

Zero CO2 emissions
Utilization of renewable energy/hydrogen (including carbon offset)
2035

2050
Sustainability Data Book

25

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Daily Kaizen and the Introduction of Innovative Technologies
Reducing CO2 emissions in production activities

Giga casting*2

Shift away from high-pressure air supplies■ Plant manufacturing divisions worked with production engineering divisions■ The BEV body structure is divided into three new modules and the adoption■ Initiative to shift away from high-pressure air for body processes at theand facility administration divisions to conduct energy diagnoses at
production sites, propose improvements and implement measures.
• Continued energy-saving activities (internal ESCO*1 activities) and sharingof best practices internally.
• Expanded the introduction of innovative technologies with a focus on
painting processes and promoted energy-saving by adopting steamlessand airless processes and shifting to LED lighting.
2022 Results• Global CO2 emissions: Down 25 percent compared to 2013 levels■ Conducted study sessions with Toyota Group companies and suppliers toshare know-how on energy-saving measures so that information can bereflected in kaizen implemented by those companies. Also observed otherindustries to continuously discover new ideas for kaizen.

of giga casting contributes to the reduction of vehicle development costs
and reduce plant investment costs by achieving significantly more efficientparts integration. In addition, Toyota’s self-propelling production technology
aims to cut production processes and plant investment in half and help
achieve carbon neutrality.

Takaoka Plant• Challenge:
Supplying air from the driving force to the plant using both high-pressure
air and low-pressure air systems results in a large energy loss.
• Solution:
By adding a pressure boosting valve to equipment designed to handle
high air pressure makes it possible to supply air from the driving force tothe plant using just one low-pressure air system.
2022 Results• CO2 emission reduction effect: 210 tons

*2 New production technology to form multiple aluminum parts as one large part in a large casting facility tocreate very large chassis parts.

Toyota Unveils New Technology That Will Change the Future of Cars

Shortening lead times from inspection to issue resolution byshifting to DX■ When an abnormality such as air leaks are detected during plant inspections,*1 Energy reduction Support & Cooperation

accurate information is shared in real time between mobile terminals and thecloud to reduce the lead time between when an abnormality is found andcorrective action can be taken.

Concept of internal ESCO activities (Trinity of energy-saving improvements)
Trinity of energy-saving
improvements

Manufacturing
site
Kaizen implement
Maintain operations

Equipment
development
Qualitysharing of best practices

Cut waste in energy

Infrastructure

Giga castingthat does not create added value

Energy survey
Kaizen proposal

Reduce costs and CO2 emissions

Sustainability Data Book

26

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Life Cycle ｜ Product ｜ Corporate Activities and Production ｜Adoption of renewable energy and utilization of hydrogen

Other non-production-related initiatives to reduce GHG
emissions and achieve CN

Expansion of renewable energy adoption

Utilization of hydrogen at plants■ Promoting■ Expanded

adoption of renewable energy while considering thecharacteristics of each region.
■ Proactive promotion of installation of power generation equipment using
renewable energy sources on company plant sites.
• Tahara Plant: Wind power generation installed (22MW, currently
coordinating trial operation)• Toyota Motor Manufacturing Indonesia (TMMIN) (Indonesia):
Installation of solar panels (2.2 MW, scheduled to begin operation in 2023)
2022 results• Renewable electricity introduction rate (global): 20%

Tahara wind power generation

Solar panels installed at TMMIN

Achieved goal of powering all data centers (in Japan) withrenewable electricity■ CO2 reductions are being promoted at both plants and other locations. From

January 2023, all data centers in Japan were 100% powered by electricity
derived from renewable energy.

trial operation of hydrogen-powered electricity generationequipment (Toyota HQ plant).
■ Commenced production of hydrogen using the alkaline water electrolysis
method (Motomachi plant).
• Low-carbon hydrogen is being produced at the Motomachi plant using
electricity from a solar power generation system to carry out waterelectrolysis. This hydrogen is used to fuel a hydrogen burner which is used
to dry sealer that is part of the vehicle battery assembly process.
(Acquired Type 7 certification under the Chubu Area Low-Carbon
Hydrogen Certification System: June 2023)
Renewable energy

Hydrogen production

Battery pack process

On-site solar power generation

Alkaline water electrolysis equipment

Hydrogen burner■ Promote electrification for Toyota’s company cars through the adoption of

BEVs.

• The step-by-step introduction of BEVs (C+pod, 270 in total) as company
cars began in October 2021 and was completed in 2022.

• TMC has successfully replaced all company cars used for business trips
to electric vehicles*2.

*2 HEV, PHEV, BEV, FCEV

C+pod

Tahara Carbon neutrality (CN) model plant■ Promoting company-wide CN activities through human resource training

with the aim of achieving CN in Tahara CN model plant by FY2026.

• Integration of QC circle activities*1 in relation to CN-related themes, andimplementation in all circles• Create in-house opportunities to experience CN efforts, and establish CNawareness seminars for all employees.

■ Promotion of comprehensive energy-saving activities through technologicalinnovation and daily kaizen activities.

• Implement kaizen through collaboration between drive force workplaces
which supply energy and manufacturing workplaces that use energy.

■ Utilize geographical characteristics to promote in-house production ofrenewable energy from wind and solar sources.
use of hydrogen and promote the integration of hydrogentechnologies into manufacturing equipment as part of efforts to achieve zeroCO2 emissions in the future.
■ Aim to achieve a CN society in collaboration with local communities andlocal government authorities.
■ Expand*1 Teams will be established for each workplace, mainly at production workplaces. Team members will
identify issues at their workplace and implement independent kaizen activities to achieve human resource
development and improve workplace environments.

Sustainability Data Book

27

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Resource Recycling

SocialEnvironment
Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Fundamental Approach ｜ Activities to Achieve Resource Recycling ｜Fundamental Approach
Updated in October 2023

Resource
RecyclingAim■ Building a sustainable global environment and society

by increasing the reuse rate of precious, limited
resources.
In i t i a t i v e■ As an initiative to tackle resource-recycling issues under

the Toyota Environmental Challenge 2050, formulated“Challenge of Establishing a Recycling-based Society
and Systems”, and started actions in 2015.

Activities to Achieve Resource Recycling
Ai m

in the Challenge of Establishing a Recycling-based
Society and Systems.
• Toyota Global 100 Dismantlers Project: To establish
social systems for appropriate treatment and recyclingof end-of-life vehicles with reduced environmental
impact.
• Toyota Global Car-to-Car Recycle Project: A
resource recycling initiative throughout the entire
vehicle life cycle.

■ Aiming

to realize a recycling-based society byaddressing such issues as the depletion of natural
resources and increasing waste due to population
growth and the accelerating pace of resource
consumption, throughout the entire vehicle life cycle.

Initiative■ Placing particular importance on the two projects below

Challenge of Establishing a Recycling-based Society and Systems
Promote Global Deployment of End-of-life Vehicle Treatment and Resource Recycling
Technologies and Systems Developed in Japan
In-house recycling

New materials

Toward zero waste

Supplier
Resource input

Development& Design
DisposalReuse as energy

Development site
In-process recycling

Production

Production plant

Resource input

SDGs
Contributions

Recycled
materials

ASR recycling
company
Iron

GRI 203-1, 301-3, 306-2

Automobile shredder
residue (ASR)

Drive motors
Non-ferrous metals

28
28

Fundamental Approach
Activities to Achieve Resource Recycling

Shredding company

CFC/
HFC
collection

Resource input

New vehicles

Battery
Magnets materials

Recycled
plastic
pellets

Resource recycling

Resource
recycling

Sales &
Service

Bumpers replaced
during repair

HEV batteries
Recycler plant

Remanufactured parts

Dealer/repair shop

Press
FCs

Waste oil and fluid

Dismantler

End-of-life vehicles

Air bag collection and recycling

Sustainability Data Book28

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Activities to Achieve Resource Recycling ｜Toyota Global 100 Dismantlers Project
Establishment of Social Systems for Appropriate
Treatment and Recycling of End-of-life Vehicles■ Inappropriate disposal and dismantlement of end-of-life vehicles may affectlocal environments and cause risks to the health and safety of local residents.
■ Toyota Motor Corporation promotes the establishment of social systems
for appropriate treatment and recycling of end-of-life vehicles without
environmental impact by using its long-established technologies and knowhow.

Establishment of Model Facilities for Appropriate Treatment andRecycling of End-of-life Vehicles■ For

the end-of-life vehicle process of FCEVs, we raise awareness todismantlers by providing proper methods to fully release any hydrogen gas
remaining in the fuel tank from the viewpoint of safety.
■ Confirm maintenance of proper processing methods and operation status atmodel facilities established up to FY2022.
FY2023 Results• Developed hydrogen gas release jig that can be used for both 1st and 2nd
generation MIRAI models• Held a training session about hydrogen gas release for dismantlers ofpotential model facilities for appropriate FCEV treatment in Japan.
• Carried out on-site inspection of a model facility established in Malaysia,
confirmed facility maintenance, and held an opinion exchange session.

Achieving Industry-leading Levels in Easy-to-dismantle Design for
Effective Resource Recycling SASB TR-AU-440b.3■ Toyota continues to use easy-to-recycle materials to promote resource

recycling of end-of-life vehicles.
visited and surveyed dismantlers around the world since thelaunch of the Raum passenger car in 2003, Toyota actively adopts vehicle
structures for new vehicles that make it easy to dismantle and separate
parts to ensure safe and speedy dismantling operations.
■ Vehicle models launched in FY2023 with an easy-to-dismantle design:
Sienta, Prius, Crown, bZ4X, Lexus RX,■ Toyota’s recyclability rate based on vehicle design values is 85% or more,
and the recoverability rate including energy recovery is 95% or more.
■ Having

Examples of Easy-to-dismantle Design

Instructions showing hoist positioning
for large batteries for BEVs
(Marking to improve dismantling processes)
Marking to improve dismantling processes has been added to indicate
the hoisting points that allow large, heavy batteries to be lifted while
maintaining the correct balance.
(bZ4X, Lexus RZ450e)
Assembled condition

During disassembling
Pull-off direction

FCEV hydrogen gas release training session

Inspection of Car Medic Sdb Bhd., a model facility in
Malaysia
Separation fromthe thin-walled section

Wiring Harness: Use of Pull-tab
Type Ground Terminal

Wiring Harness Layout Innovation

It is designed to be easily dismantled bysimply pulling it like the lid of a can.

Wiring harness can be separated with minimal
interference to other parts.

Sustainability Data Book

29

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Activities to Achieve Resource Recycling ｜Toyota Global Car-to-Car Recycle Project
A Resource Recycling Initiative that Considers the Entire
Vehicle Life Cycle■ Toyota Motor Corporation works on reusing waste and recycling end-of-life

vehicles to improve resource efficiency while reducing the generation of waste
in each of the four stages of the vehicle life cycle: development & design,
production, sales & services, and disposal.

Recycling of End-of-life Vehicles
Recycled materials*1 Content based on vehicle weight■ In the lead up to 2050, Toyota aims to build a society that maximizes plastic■ Eliminate or replace different materials that hinder recycling.

recycling on a global scale.

■ Optimize materials standards to facilitate the use of recycled materials.

Maximization of Utilization of Recycled Plastics in Toyota Motor Corporation Vehicles

Cases

New materials
minimize

Reuse withinprocesses

Vehicleproduction

Utilization ofused parts

Vehicle use

maximize

Scrap materials, etc.

Replaced bumpers, etc.

Disposed parts
Vehicle disposal

End-of-life
vehiclesShredding company

minimize
Automobile shredder
residue (ASR)
Use as heatmaximize

Recycled plastics

Aim to use 30% or more*1 recycled materials to facilitate the creation ofa society that maximizes resource recycling by 2050. (Applies to vehicles
manufactured in Japan and Europe)

Consideration of recyclability improvements

Disposed plastics

2030 Target

Usage of recycled plastic

Product application of PET bottles collected in-house■ PET bottles disposed within the company are separated, washed, andcollected as clean bottles. The bottles are then recycled into high-quality
materials in cooperation with related companies. The material is scheduled
to be used for the outer layer of seat coverings in the Land Cruiser 250 and
selected Japan-made models to be launched in the future.
Self-sufficient PET Bottle, used PET bottles collected in-house

Compressed
Converted
into pellets

Other industries■ We collect and recycle bumpers replaced during repairs at dealers.
■ To reuse automobile shredder residue (ASR) from end-of-life vehicles also as

a material, which until now has been reused as heat, we are planning to use
recycled plastic materials from ASR in new vehicles by utilizing crushing andsorting technologies of Toyota Metal Co., Ltd.
■ We adopt recycled plastics, in stages, into new models that will go on sale in
2022 and afterward, aiming to more than triple the use of recycled plastics
by 2030.
2022 Results• Gradual expansion of recycled plastic use, starting from the Prius in
December 2022 (vehicles produced in Japan)• Index for recycled plastic use in vehicle produced in Japan*2 remained at
0.7 times, and will further expand the range of vehicles and parts using
recycled plastics in the future.
Index
for recycled plastic use in vehicles produced in Europe*2 increased•by 1.4 times.

Consistently separated
and collected as clean bottles

Bottles disposed
within Toyota are used
for Toyota products

Recycled
fiber

Recycled
seat material
Material isused oncar seats*2 Applies to Toyota and Lexus branded cars

Sustainability Data Book

30

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Activities to Achieve Resource Recycling ｜Rare Metals and Rare Earth Elements

Battery 3R*1

Battery reuse■ With a view to curbing the use of natural resources and increasing resource■ In Japan, the Lexus Battery 3R Program has begun for Lexus BEVs.

■ Toyota is working together with JERA Co., Inc. to build the world’s first large-

input efficiency, we promote the collection of rare resources used in electrified
vehicles, such as hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles(PHEVs) and fuel cell electric vehicles (FCEVs), and the reuse of recycledmaterials, aiming to achieve a resource recycling society.
■ We are collaborating with partner companies to continue operating the systemfor collecting and recycling HEV batteries, HEV motor magnets, and FC stacks,along with tungsten carbide tools and other materials used in production.
■ We are pressing ahead with mobility development that takes recycling into
consideration, by feeding back results of these activities into the development
and design stages.

• Customers who purchase a new Lexus BEV or CPO*2 will receive a partial

refund as a contribution to the 3R battery program when they trade in,buy back, or return the vehicle on a hire-purchase agreement at a Lexus
dealership.
• Batteries installed in vehicles can be utilized in new vehicles (rebuild),used as storage batteries for electricity storage, etc. (reuse), or recycled
to create new batteries (recycle). Together with our customers, these
initiatives contribute the environment and society by eliminating the
production of unnecessary batteries.
*1 Rebuilt, Reuse, Recycle*2 Certified Pre-Owned vehicles

Image of Battery 3R

capacity Sweep Energy Storage System utilizing batteries reclaimed fromelectric vehicles (HEV, PHEV, BEV, FCEV). Operation has begun, including
connection to electricity networks.
■ Large-capacity Sweep Energy Storage System features• By installing sweep function, which allows recycled vehicle batteries withsignificant differences in performance and capacity, enables to be used totheir full capacity regardless of their level of deterioration and even with the
mixture of different types of batteries.
• The application of the sweep function also makes direct AC output
possible from the batteries. Vehicle inverters are reused to eliminate theneed for a power conditioner (PCS), contributing to reduced costs. Thissystem also helps avoid power loss when converting from AC to DC usinga PCS, resulting in more efficient energy use.
*3 A device that can freely control energy discharge by switching electricity flow on and off (bypassing) throughseries-connected batteries in microseconds

RecycleRecovered end-of-life HEV motors

Rebuilt

Recovered end-of-life FC stacks

Reuse
Construction and Launch of a Large-capacity Sweep Energy Storage System from Reused
Electrified Vehicle Batteries Connected to the Electrical Power Grid

Sustainability Data Book

31

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Activities to Achieve Resource Recycling ｜Efforts toward Compliance with the New EU Battery Regulation

Battery 3R awareness-raising activities■ At the end of 2020, the European Commission published the draft of a new EU■ Toyota’s website explains the company’s aim “closed-loop system” in an

battery regulation. This regulation is scheduled to be promulgated in 2023.
• This regulation embodies part of the circular economy envisaged in theEuropean Green Deal.
• The scope of the regulation embraces all types of batteries and their entire
life cycle, including the mining of raw materials, product design, production
processes, reuse, and recycling.
• While strengthening both internal and external partnerships, Toyota has
started the following study in terms of major regulatory requirements.

easy-to-understand way to facilitate better understanding of battery life cycle
initiatives among regular users.
Toyota Battery Warranty

Carbon footprint measurement and information gathering• Study on building a system for measuring the carbon footprint of battery packs• Consultation with battery manufacturers regarding how they can provide carbon
footprint information

Study on the use and required amount of recycled materials
Due diligence required for specific materials(Li (lithium), Ni (nickel), Co (cobalt), and natural graphite)• Study on developing a battery supply chain management process• Study on examining risks of human rights infringements and environmental
destruction dating back to the mining of raw materials• Study on third-party certification

Verification of compliance under a battery passport system using digital technology• Study on building a battery traceability system

Sustainability Data Book

32

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Resource Recycling

SocialEnvironment
Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Biodiversity ｜ Water Environment ｜Fundamental Approach

Toyota Policy on Harmony with Nature■ We renewed the Biodiversity Guidelines formulated in 2008 as the Toyota Policy on

Harmony with Nature in January 2021.
Updated in October 2023

Harmony
with Nature

Aim■ Aim to create a society in harmony with nature by promoting biodiversity conservation

activities through collaboration with a wide range of stakeholders.

■ As an initiative to tackle biodiversity and water issues under the Toyota Environmental

Challenge 2050, formulated “Challenge of Establishing a Future Society in Harmony
with Nature” and “Challenge of Minimizing and Optimizing Water Usage,” and started
actions in 2015.

Aim■ Promote biodiversity conservation activities and contribute to the prevention andreversal of biodiversity loss based on the Toyota Policy on Harmony with Nature and
the Policy for Sustainable Natural Rubber Procurement toward the building of asustainable society in harmony with nature.

GRI 303-1, 303-2

33

Fundamental Approach

33

Biodiversity

36

Water Environment

future activities.
■ We will expand the reach of activities promoting harmony with nature, including theconservation of biodiversity, from communities to the world in collaboration with various
people throughout society.

In i t i a t i v e

Biodiversity

SDGs
Contributions■ This policy is a guideline for promoting harmony with nature and will serve as the basis for

In i t i a t i v e

Challenge of Establishing a Future Society in Harmony with Nature
Connect the Reach of Nature Conservation Activities Among
Communities, with the World, to the Future■ Toyota Green Wave Project

Toyota Policy on Harmony with Nature
Humans enjoy prosperous and fulfilling lives by harmonizing various elements ofnature such as water and air as well as conserving biodiversity. However, as environmental issues such as climate change and water shortages interact and become
more severe, this harmony of natural elements is disrupted, and biodiversity is being
lost. To improve the current situation, Toyota seeks to realize a sustainable society inharmony with nature by fully utilizing the technology and know-how it has developed
through various businesses.
1. Recognizing that nature underlies our life and economy through resource supply
and climate stabilization, we will promote activities that harmonize various elements of nature and conserve biodiversity.
2. We will expand the reach of activities among communities and connect them withthe world by not only acting spontaneously, but also collaborating strongly withsociety.
3. We will promote environmental education to change the awareness of employees
and generations based on the recognition that the biodiversity that forms thefoundation of our prosperous life is facing a critical situation. At the same time,
we will offer related information to society through both in-house and outside
activities.

Toyota Policy on Harmony with Nature

Plant in Harmony with Nature ⇒ “Connecting Communities” activities■ Toyota ESD* Project

Environmental education for the next generation ⇒ “Connecting to the Future” activities* Education for Sustainable Development

Sustainability Data Book

33

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Biodiversity ｜ Water Environment ｜－Toyota Green Wave Project－
Plant in Harmony with Nature ⇒ “Connecting Communities” activities
2025 Target■ Realize “Plant in Harmony with Nature”—6 inJapan and 4 in other regions.
■ Promote activities to connect with local
communities in collaboration with affiliatedcompanies.
■ Start activities promoting harmony with naturein collaboration with local communities andcompanies toward biodiversity conservation.
2022 Results■ Realized 4 plants in Japan and 4 plants
overseas.
■ Promoted activities in collaboration with 22
Toyota Group companies and global affiliates.
(Number of activities: 1,038).

－ Toyota ESD Project －Environmental education for the next generation ⇒“Connecting to the Future” activities

Overview of the Plant in Harmony with Nature
Quantitative assessment of ecosystems
by surveying indicator species

Advancement of thetrinity of activities

Apex species

Local experts

Small animals• Select indicator species• Assess ecosystem status(birds, etc.)

Continuous
monitoring(butterflies, frogs, etc.)

Local residents

Wildlife habitat maintenanceand improvement

Case: Activities bringing communities together
All-Toyota activities: Eradication of lanceleaf tickseed* (Japan)■ Activities to learn about initiatives to promote co-existence with nature
through on-site experiences.
■ Activities are organized in collaboration with group companies andimplemented at each location. Common themes are selected so thatparticipants can contribute to their own communities without being in thesame location.
2022 Results• Participating companies: 7 group companies• Number of participants: 418, Amount of plants removed: 1,201 kg plus
299 garbage bags.

Employees• Develop biodiversity • Develop human skills in
education
harmony with nature• Promote local• Enhance communications
interaction
among employees* Lanceleaf tickweed, listed as an invasive alien species in Japan

Case: Creating plants that co-exist with nature
Kamigo Plant: Tree planting in the east side of the plant’s grounds (Japan)■ A collaborative activity held on the plant grounds with Toyota Yahagi River
Institute, Toyota High School of Technology and Engineering, and local
residents.
■ The activity aims to create a space where people and nature can interact byplanting trees and creating walking paths.
■ Tree species were selected with guidance from experts.
2022 Results• Number of trees planted: 702• Tree species: species native to the area including konara oak, wild cherry tree,
Japanese maple, as well Japanese hackberry, the indicator species of the
Kamigo Plant which is known to attract Hestina japonica, a type of siren butterfly.

Removal of lanceleaf tickweed

Results of the tree planting activity

2025 Target■ Implement globally unified initiatives to foster environmentally conscious
persons responsible for the future.
• Offer environmental education opportunities by utilizing biotopes and othersin collaboration with the Plant in Harmony with Nature.
• Foster environmentally conscious persons at both in-house and outsidesites, including plants and the Forest of Toyota, by utilizing educational tools
in harmony with nature for the next generation.
2022 Results■ Conducted environmental education programs around the world.
• Examples of Toyota Motor Corporation (Japan).
• Implemented environmental study sessions.
• Plant in Harmony with Nature (19 sessions, including online sessions)• The Forest of Toyota (249 sessions).

Sustainability Data Book

34

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Climate-related Financial Disclosures
Based on TCFD Recommendations

Harmony with Nature

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Fundamental Approach ｜ Biodiversity ｜ Water Environment ｜Global Implementation of Environmental Education for the Next
Generation■ Building good relationships with local communities through environmental
education has a positive impact on Toyota’s business over the medium tolong term.
■ We implement the Toyota ESD Project in each region and hold manyenvironmental study sessions and events in which local residents andemployees learn and work together.
Case: E nvironmental education program for the next generation – Toyota
Environment Program for Kids
Toyota Motor Corporation (Japan)■ The Toyota Environment Program for Kids (Dragonfly Theme) was held, which
is a program designed to educate the next generation about the environment.
• Purpose
The program aims to encourage children, who are the future leaders of oursociety, to understand environmental issues as something that affects them
personally and link them to their daily actions to conserve the environment.
• Program details• Participants are mainly elementary school students, and children andtheir families can participate either in person or online.
• The dragonfly was selected as the theme of the program as it is a familiar
insect that exists in the center of the ecosystem and indicates the healthof the ecosystem. Participants are encouraged to think about changes
to the dragonfly’s environment and the impact that human lifestyles haveon the environment.
• The program consists of lectures and workshops as well as fun activities,
such as quizzes and 3 panel comics, to encourage action.
• The program promotes the discovery of a wide range of environmental
issues starting with observation of the natural environment.
2021-2022 Results• Held 7 times (320 participants)

Registration of Shizen Kyosei Sites■ As part of efforts to achieve “30 by 30”*1 target of the Kunming-Montreal
Global Biodiversity Framework (2022), the Japanese Ministry of theEnvironment has begun certification of Shizen Kyosei Sites*2.
■ Toyota has joined the 30 by 30 Alliance for Biodiversity led by the Ministryof the Environment in Japan. Certification applications were made for thefollowing four sites, and certification was granted in October 2023.
■ These sites are also registered in the OECM* 3 global database and are
expected to contribute to the achievement of the 30 by 30 target.
*1 30 by 30: A target that aims to protect and conserve at least 30% of land and sea areas in each country by2030*2 Shizen Kyosei Sites: Sites certified by the Japanese government as areas where conservation of biodiversity
is being promoted through private sector initiatives, etc.
*3 O ECM (Other Effective area-based Conservation Measures): Areas other than protected areas which
contribute to the conservation of biodiversity

Toyota Technical Center Shimoyama: A view of the forest and paddy fields

Biotope Tsutsumi: Panoramic view of the biotope

Site Name

Location

Area

Overview of the site

ToyotaTechnical
Center
Shimoyama

Toyota City,
OkazakiCity, Aichi
Prefecture

385 haConduct forest thinning, paddy field
cultivation, and grass mowing to maintainthe Satoyama environment adjacent to
the R&D center.

Biotope
Tsutsumi

ToyotaCity, Aichi
Prefecture

0.74 haEstablish a biotope within the production
site to contribute to the conservation of
the local native ecosystem.

Forest of
ToyotaToyotaCity, Aichi
Prefecture

45 haConserve the Satoyama*4 environment
and utilize it as a place for maintenance,
research, and community-oriented
education.

Toyota Mie
Miyagawa
ForestTaki County,
Mie Prefecture1689.53 ha

Promote sound forest management
based on forest resource information andestablish a healthy forest that can fulfill
public functions.

Forest of Toyota: A rare species of star magnolia identified on the site (Ministry of the Environment Red List
2020: Near Threatened)*4 Satoyama: A Japanese term referring to hills and forests located near communities that are deeply linked tohuman life

Teaching materials (slides, pamphlets)

The program was held at the Nibancho Children’sClub, an after-school childcare facillity

Toyota Mie Miyagawa Forest: A view of the forest after thinning

Sustainability Data Book

35

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

Environment

Resource Recycling

Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Fundamental Approach ｜ Biodiversity ｜ Water Environment ｜Water Environment
A im

Cases of Water Usage Reduction■ Minimize the impact on water environments globally under different environments in each region.
■ Strive to become the No. 1 regional plant leading to prosperity throughout the entire society through effective use of water

resources.

Minimize water usage and implement water discharge management
according to individual local conditions■ Water quantity (IN): Activities to reduce water use.

Init ia t ive■ Water quality (OUT): Comprehensive management of wastewater, and activities to clean water before it is returned to theenvironment.

Toyota Water Environment Policy■ Strive to become the No. 1 regional plant leading to prosperity throughout the entire society.
■ Assess our impact on water environments and work to minimize those impacts from two perspectives: the input side,

where we thoroughly reduce the amount of water usage, and the output side, where we purify wastewater
thoroughly and return.

Toyota Water Environment Policy
Striving to consider the importance of water sustainability, Toyota will aim forrealizing prosperous societies that will share a sound water environment to the future.
Become No. 1 regional plant leading to prosperity throughout the entire society

IN

OUT

Thoroughly reduce the amount of water usage

Purify wastewater thoroughly and return

Minimize the impact on local water resources byminimizing water withdrawal and utilizing rainwater

Have a net positive impact on the environment by
returning clean water in the local water environment

Case of water use reduction
Case: Reduction of water use through the effective use of evaporated water

Toyota Motor Manufacturing Poland SP.zo.o (Poland)■ Efforts currently being implemented to reduce energy use as well as water use.
■ Focused on evaporated water created when reducing the volume of liquid waste (coolant, water containing oil,wastewater from cleaning, etc.) from each process.
⇒ Evaporated water is stored in a tank and reused as makeup water for coolant.
■ Employees within the company are implementing kaizen activities.
2022 Results• Water use: reduced by 720 m3 per year
• Water used in the engine process: reduced by 9% (compared to 2021)■ A series of efforts, including the above, was acknowledged by the company, and the initiatives won the Gold Global Eco
Award, one of a range of awards given to environmental activities within Toyota.

Water reduction kaizen team members

Liquid waste evaporation system

P.49 Environmental Data [ I ]Sustainability Data Book

36

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Resource Recycling

Environment
Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

GovernanceContent Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜Reporting period: FY2023

Period covered in this chapter:
April 1, 2022 to March 31, 2023
Note that any important information after this period will also be included in this chapter.
Updated in June 2023

Climate-related
Financial
Disclosures
Based on TCFD*
Recommendations* TCFD (Task Force on Climate-related Financial Disclosures)

GRI 2-13, 2-16, 2-22, 201-2

Governancea) Board’s Oversight of Climate-related Risks and Opportunities■ At Toyota, to ensure effective strategy formulation and implementation in line with latest

societal trends, important climate-related issues, if arise, are reported to the Board of
Directors.
■ The Board of Directors conducts the following duties:• Deliberate and supervise strategies, major action plans, and business plans.
• Monitor the progress toward qualitative and quantitative targets addressing climate
issues.
■ Monitoring is performed in consideration of the financial impact of the following risks/
opportunities, which may turn into climate-related issues:• Risks/opportunities related to products, such as fuel efficiency/emission regulations.
• Risks/opportunities related to low-carbon technology development.
■ These governance mechanisms are used in formulating long-term strategy, including the
Toyota Environmental Challenge 2050, and in formulating and reviewing the medium- tolong-term targets and action plans.
■ Cases of decisions made at the Board of Directors Meeting in 2022
• Reported on and approved the identification of carbon neutrality (CN) as a key matter in
relation to climate change and the development of a plan to transition to CN by 2050.
• The Board of Directors decided by resolution the level of battery-related investment inorder to secure the number of batteries which serve as a pacemaker to expand its line of
BEVs.
Toyota to invest up to 730 billion yen in Japan/U.S battery production

37

Governance38

Strategy

43

Risk Management

44

Metrics and Targetsb) Management’s Role in Assessing and Managing Climate-related
Risks and Opportunities■ The Board of Directors Meeting is the ultimate decision-making and oversight body ofToyota in addressing climate-related issues.
■ The committees below are the major bodies in assessing and managing the climate-

related risks and opportunities.

Frequency ofreporting on
climate-related
issues to theBoard of Directors
Roles

Sustainability
Meeting(Advisory function)

Sustainability
Subcommittee(Execute function)

Environmental
Product Design
Assessment
Committee

Consolidated
Environment
Committee―

When an importantmatter arises

When an importantmatter arises

When an importantmatter arises• To implement• To assess• Assesses risks• To help increase
corporate value
by reflecting
opinions andexternal advice
about keysustainabilityrelated issues
in management
practicesto achievesustainablegrowthoperations related
to the promotionof sustainability• To consult with
the Sustainability
Meeting about
key issues andsubmit reports
to the Board of
Directors

product-relatedrisks andopportunities,
formulates/
implements
strategies andplans, conducts
monitoring, etc.

and opportunities
related to
production
activities, logistics
activities, andother nonproduction
activities,
determines
countermeasures,conductsmonitoring, etc.

Sustainability Data Book

37

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜TR-AU-410a.3.

List of Toyota’s Climate Change Related Risks (Risks (1), (3) and (7) are significant)Transition
Risks

Regulation■ Toyota strives to identify the various risks and opportunities that will arise from*1 CDP: An international NGO that encourages and assesses corporate disclosures on environmental actions
based on calls from global institutional investors with high levels of interest in environmental issues

P.43 Details of risks*2 Zero Emission Vehicles: Vehicles that have the potential not to emit any CO2 and NOx (nitrogen oxide) during driving such asbattery electric vehicles (BEVs) and fuel cell electric vehicles (FCEVs)

Market(4) Increase in costs to reduce plant CO2 emissions (due to expanded use of low-carbon and renewableenergy, and introduction of energy-saving technologies)

Reputation(5) Tightening of ESG*3 assessment criteria and expansion of disclosure requirement fields(6) Differences between catalog fuel efficiency and actual fuel efficiency*3 E Environment, S Social·Economy, G GovernancePhysical
Risks

Acute

(7) Increase in frequency and severity of natural disasters

Chronic(8) Increase in threat to water security
Significant Risks and Opportunities and Toyota’s Measures

P.40 Details of scenario analysis

Scenario Analysis
Risks

Opportunities(1)
Tightening of
regulations for fuelefficiency and ZEVs
(acceleration ofelectrification)• Fines for failure in achieving fuel(3)
Expansion of carbon
pricing• Increase in production and purchasing • Decrease in energy costs due
costs due to the introduction ofcarbon taxes, etc.

to promoting the introduction ofenergy-saving technology• Improvement of energy security by
diversifying energy supply sources(7)
Increase in frequency
and severity of natural
disasters• Production suspension due to• Increase in demand for electrified

efficiency regulations• Decrease in total vehicle sales due
to delays in complying with ZEV
regulations• Impairment of internal combustion
engine manufacturing facilities

damage to production sites andsupply chain disruptions caused bynatural disasters• Increase in sales of electrified

vehicles• Increase in profits from externalsales of electrification systems

vehicles due to increased need forsupply of power from automobiles
during emergency situations

Toyota’s Measures

Stated Policies
Future Storyline

1.5˚C or lessFuture Storyline

Impacts will be
an extension ofcurrent status

Impacts will
increase• Promotion of research and development
to improve fuel and battery efficiency• Increase in investment in batteries andshift of resources• Start of external sales of electrification
systems• Expansion of electrified vehicle lineup• Reduction of CO2 emissions from vehicles
currently in use• Comprehensive reduction of energy use

and promotion of renewable energy andhydrogen use• Promotion of emission reductions incollaboration with suppliers• Implementation of continuous adaptive

improvements to our BCP in light ofdisaster experiences• Reinforcement of information gatheringin collaboration with suppliers to avoid
purchasing delays➡

➡

environmental issues, takes action while continuously confirming the validityof strategies such as the Toyota Environmental Challenge 2050 and works toenhance its competitiveness.
■ Take measures to respond to changes associated with climate change that
may have various impacts on Toyota's business fields.
• Measures need to be taken in various areas, including response to tighter
regulations by the government and the adoption of new technology.
• Take measures against the increasing severity of natural disasters such as
storms and flooding, due to higher temperatures and rising sea levels.
■ The acceleration of climate change may pose risks to Toyota’s business, but if
we can respond appropriately, this will lead to enhanced competitiveness andthe acquisition of new business opportunities.
• In accordance with the above understanding, we have organized the risks
relating to climate change and identified particularly significant risks inline with risk management processes based on the degree of impact andstakeholders' interest.
• To respond to risks, we are implementing the following measures:• Promote electrification and the introduction of renewable energy inproduction processes.
• Take adaption measures for natural disasters.
• Support and sign the recommendations of the Task Force on Climaterelated Financial Disclosures (TCFD).
• Disclose information appropriately concerning risks and opportunities
related to climate change and their analyses.
• Conduct disclosure through responses to CDP*1 in accordance with the
TCFD.

(1) Tightening of regulations for fuel efficiency and ZEVs*2 (acceleration of electrification)(2) Tightening of regulations for life cycle CO2 emissions(3) Expansion of carbon pricing

Impacts will be
an extension ofcurrent status➡

Impacts will
increase➡

a) Short-, Medium- and Long-term Climate-related Risks
and Opportunities the Organization Has Identified

Impacts will
increase➡

Strategy SASB

Impacts will be
an extension ofcurrent status➡

Sustainability Data Book

38

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜b) Impact of Climate-related Risks and Opportunities on
the Organization's Businesses, Strategy, and Financial
Planning• Under the recognition that climate-related issues may have a significant

impact on its businesses, strategy, and financial planning, Toyota reviews
its strategy based on the risks and opportunities associated with climaterelated issues whenever necessary.
• The table on the right describes the specific impact on our businesses,
strategy, and financial planning.
• Toyota identifies risks, determines their degree of significance, andsets priorities, in accordance with the Toyota Global Risk Management
Standard (TGRS).
• Details of the TGRS are provided in the next chapter “Risk Management.”

Impact on Strategy

Significant
climate relatedrisks

Products and services

Supply chains/value chains

Investments in R&D*1• Regulatory risks for decarbonization• Regulatory risks for decarbonization• Regulatory risks for decarbonizationin different countries(fuel efficiency regulations, GHG
emission regulations, etc.)

in different countries(fuel efficiency regulations, GHG
emission regulations, etc.)

in different countries• Market risks, such as changes in
consumer needs*1 R&D: Research & Development

Impact on
strategies

Adaptation activities and mitigation
activities• Regulatory risks, such as theintroduction of carbon pricing anddecarbonization• Market risks, such as increased cost
reductions, including sudden pricejumps low-carbon and renewableenergy prices, etc.

The following strategies were influenced:• Long-term strategy (2050 Target): Toyota Environmental Challenge 2050 announced in 2015
• Medium-term strategy (2030 Target): 2030 Milestone announced in 2018, SBTi*2 validation and approval in 2022
• Short-term strategy (2025 Target): 7th Toyota Environmental Action Plan announced in 2020
*2 Science Based Targets initiative: Initiative established by CDP, United Nations Global Compact, World Resources Institute (WRI), and the World Wide Fund for Nature (WWF).

P.44 Validation and approval of Toyota's emissions reduction targets by the Science Based Targets initiative (SBTi)History of
impacts• The numerical target for CO2 emissions • The numerical target for CO2 emissions • The sales target for electrified vehicles
reduction was set as the New Vehicle
Zero CO2 Emissions Challenge.
• Targets for Scope 3 Category 11 wereapproved by SBTi in 2022.
• In 2021, Toyota announced its aim tosell 3.5 million BEVs in 2030.
• In April 2023, Toyota announced a newaverage GHG emissions target for new
vehicles and set a pace of selling 1.5
million BEV units by 2026 as our base
volume.

reduction in the entire value chain
was set as the Life Cycle Zero CO2Emissions Challenge.
• The medium-term strategy takes into
account of the following:• Manufacturing and disposal ofbatteries for the manufacture ofelectrified vehicles• Collaboration with suppliers• Risks and opportunities related torecycling

was set as the New Vehicle Zero CO2Emissions Challenge.
• Increase of R&D expenses was
assumed in promotion of R&D ofelectrified vehicles• In 2021, Toyota announced the aim tosell 3.5 million BEVs in 2030.
• In April 2023, Toyota announced a newaverage GHG emissions target for new
vehicles and set a pace of selling 1.5
million BEV units by 2026 as our base
volume.

• The target for CO2 emissions reduction
related to plant operations was set
as the Plant Zero CO2 Emissions
Challenge.
• In 2021, the decision to aim at carbon
neutrality at plants by 2035 wasannounced.
• Targets for Scope 1 and 2 werevalidated by SBTi in 2022.

Sustainability Data Book

39

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Environment

Resource Recycling

Harmony with Nature

SocialClimate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜c) Resilience of the Organization’s Strategy, Taking into Consideration Different Climate-related Scenarios, including a 2°C or Lower Scenario
STEP 1

STEP 2

STEP 3

Set Future Storylines Assuming Climate Change Effects

Consider the Impacts on Toyota

Toyota’s Strategies■ Substantial changes brought by climate change and associated policies of■ We■ Fundamental approachvarious countries to the automobile industry and the entire mobility society will
present both risks and opportunities to Toyota.
■ Based on risk and opportunity analysis, using scenarios*1 such as those of the
IEA*2, we envisioned: the stated policies future storyline, and 1.5°C or lessfuture storyline in around 2030 for external environment.
*1 S et using scenarios such as the Intergovernmental Panel on Climate Change(IPCC)’s Representative
Concentration Pathways (RCP) 4.5 equivalent, IEA’s Stated Policies Scenario (STEPS), and Net Zero
Emissions by 2050 Scenario (NZE) as reference*2 International Energy Agency

considered impacts on Toyota in each future storyline of society
envisioned in STEP1.
■ In the case of a society of the stated policies future storyline, if adequate
climate change measures are not implemented throughout society, thefollowing events are likely to increase:• Production suspensions due to increased frequency and severity of natural
disasters such as flooding.
• Decreased production and production suspensions due to supply chain
disruptions.
■ In a society of the 1.5°C or less future storyline, the role of electrified vehicles(ZEVs in particular) will increase.
• The percentage of ZEVs among new vehicle sales will increase greatly andthe use of carbon neutral fuels*3 will also expand.
• With regard to effects on production and purchasing, since theintroduction of carbon taxes and increased tax rates may lead to higher
costs, expanding the use of energy-saving technology, renewable energy
and hydrogen will mitigate the risks.
*3. Carbon neutral fuels: Biofuels, synthetic fuels, etc.

• In April 2021, Toyota proclaimed that it would address global-scalechallenges to achieve carbon neutrality by 2050.

• We will develop diverse technologies that will encourage customers in different

regions to choose eco-friendly vehicles, with the belief that they can only
contribute to reducing GHG emissions if they are widely used (multi-pathway).
• We will accelerate environmental technology development for electrified
vehicles, such as hybrid electric vehicles (HEVs), plug-in hybrid vehicles(PHEVs), battery electric vehicles (BEVs) and fuel cell vehicles (FCEVs).
• We will promote the development of electric vehicles, as well as hydrogenfuel and hydrogen engine-powered vehicles, carbon neutral fuels, etc.

■ Electrification strategy• Toyota sells vehicles in around 200 countries and regions.
• It is important to offer options of a variety of electrified vehicles to satisfy

the different needs of the countries and regions with diverse economic
conditions, energy and industrial policies, and customer needs.
• Toyota has sold a cumulative total of 23.15 million electrified vehicles
worldwide (as of March 2023), and is one of the first companies to
respond to climate change risks.
■ Future actions• With regards to BEVs, successively introduce models with dedicatedplatforms and promote practical vehicle supply through battery
development and production strategies.
• Launch 10 new models by 2026 and set the pace of selling 1.5 million
BEV units by 2026 as our base volume to reach a target of 3.5 million
vehicles sold globally each year by 2030.
• Advance the sales of electrified vehicles to fit different regional conditions
and customer preferences.
• In addition to BEVs, promote electrification strategy from all directions, andflexibly and strategically change total vehicle sales and other conditions in
response to changes in the market while leveraging the strengths that wehave gained through our experience so far, thereby encouraging customers
in each region to choose us and accelerating the increased use of electrified
vehicles.
Sustainability Data Book

40

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

Resource Recycling

SocialEnvironment
Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜■ Achieving carbon neutrality in the 1.5°C or less future storyline• Even if battery demand increases in accordance with altered customer

needs, flexibly respond by enhancing collaboration with existing/new
partners, and swiftly establishing production structures at suppliers thathave capital ties with Toyota.

■ Challenges toward new technologies• In addition to increasing the number of electrified vehicles, promote theintroduction of CO2-reducing off-cycle technology* (although not reflectedin mode fuel efficiency).
As
CN fuels are technological option for CN realization along with•hydrogen fuel and hydrogen engine vehicles, and are also expected tocontribute to reducing CO2 emissions that is effective for vehicles alreadyin use, we will put effort into expanding such technological options.
Cases of efforts in the development of new technologies to achieve thecreation of a CN society• Announce the launch of the new RZ450e, a dedicated BEV model.
• Establish the “Research Association of Biomass Innovation for Next
Generation Automobile Fuels” with 5 other companies to study how
to improve efficiency in the process of producing fuels, and promoteresearch on technologies related to the use of biomass and the efficient
production of bioethanol fuels for vehicles.
• Toyota has joined the Hydrogen Utilization Study Group in Chubu.
• The Study Group participates in the Chubu Conference for Promoting theUse of Hydrogen and Ammonia in Society which is held in corporation
with the government, economic organizations and companies, andformulates the “Chubu Hydrogen and Ammonia Supply Chain Vision”,
which sets out the direction of initiatives aiming at the practical
introduction and use of hydrogen and ammonia in the Chubu region.
* Off-cycle technology: Technologies such as high-efficiency lighting, waste heat recovery, active aerodynamic
improvements and solar radiation/temperature control that can improve actual fuel consumption.

Establishment of the “Research Association of Biomass Innovation for Next Generation
Automobile Fuels”■ Achieving carbon neutrality• In order for the automobile industry to achieve carbon neutrality, it is vitalto operate energy policies (renewable energy, charging infrastructure,etc.) and industrial policies (purchasing grants, supplier support, battery
recycling systems, etc.) in a unified manner.
• It is necessary to implement initiatives in coordination with various
stakeholders, such as national governments and industry organizations.
• When undertaking its business activities globally, Toyota will coordinate withnational governments to establish infrastructure for promoting electrification
while implementing electrification strategy that contribute to reducing CO2
emissions throughout the entire life cycle.
Cases of initiatives in the production field• In 2021, we announced our aim to achieve carbon neutrality at ourplants by 2035, and we also prepare to face risks such as carbon taxes.
• We are promoting the reduction of CO2 emissions through comprehensive
energy-saving technology and the introduction of low-carbon andrenewable energy at plants; Achieved 100 percent introduction rate forrenewable electricity at all plants in Europe.
■ Activities for strengthening strategic resilience• Implement measures to respond to natural disasters such as formulating abusiness continuity plan (BCP).
• Strengthen the supply chain by enhancing information gathering, andimprove communication.
■ Toyota will work together not only with the automobile industry but with allindustries while continuing to engage in challenges to respond to a society of
the 1.5°C or less future storyline through initiatives that are practical as wellas sustainable.
■ To ensure stable fund procurement and lasting corporate value enhancement,
we check the progress and validity of Toyota’s strategies by:• Conducting appropriate information disclosures regarding various ESG
assessment indicators.
• Enhancing information disclosure and dialogue with stakeholders including
institutional investors.
Media briefing on batteries and carbon neutrality
Media Briefing on Battery EV Strategies

Sustainability Data Book

41

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜Toyota’s Vision for the Future of Vehicles■ Explanation of Toyota’s new management vision and ideal future in April 2023
■ Strive to enrich the lives of people all over the world, change “negative” to zero, and “produce happiness for all” by going “beyond zero” to create and provide greater value, as we aim to transform ourselves into a mobility company.

Briefing on new management policy and direction

Multi-pathway

Expanding the value of mobility■ Evolving cars to create a mobility society where everyone is happy, comfortable and has freedom of movement.
■ Creating a company connected to society through three approaches: electrification, intelligence and diversification.

■ Continue to offer a variety of options based on multi-

pathway approach in consideration of energy’s future
and the current conditions in different regions.
■ Press ahead with the promotion of electric vehicles in lightof total sales of 23.15 million EVs since the first-generation
Prius was put on the market (as of March 2023).

Electrification

See “Multi-pathway Approaches” on the right.

Intelligence

Expand links between vehicles, support services, and society. BEVs play a part in energy security in society as anenergy grid and provide a range of services to support people's lifestyles.

Multi-pathway Approaches

Engage in initiatives to diversify energy sources, including hydrogen and carbon neutral (CN) fuels.

BEV

DiversificationCN
GHG reduction targets■ Recognize that carbon has no borders and that

reducing greenhouse gases (GHG) is a matterof great urgency.
■ Reduce average GHG emissions from newvehicles by 33% in 2030 and more than 50%
in 2035 (compared to 2019 levels), and achieve
CN for GHG emissions throughout the lifecycle
by 2050.
Reuse,
recycleReduction targets for average GHG emissions
from new vehicles (WtW*)(SBTi 2030 certified target)

Asia and otheremerging economies
FCEV
PHEV

2035

Reduction of 50% or more
Compared to 2019 levels

2050

Manufacture

2000

2010

2019

2030

2040

HEV

H2

CN fuels

Multi-pathway

2050* Well to Wheel: Includes GHG emissions from the production of fuel and electricity,
as well as GHG emissions while driving.

• Launched “bZ4X” and “bZ3”.
• Launch two BEV models developed locally in 2024 (more models to follow)• Start local production of BEV pickup trucks by the end of this year.
• Launch compact BEV model.

• Aim to mass produce medium- to heavy-duty trucks and other commercial vehicles that can take advantage of shorter• Aim to develop PHEV with an EV-mode driving range beyond 200 km or more through the development of increasing
battery efficiency.

HEV• Carbon-neutral electrified vehicles tailored to local energy conditions and customer usability that can be put on the

H2• Expand sales of HEVs, including in emerging economies.
• Develop water electrolysis systems that use renewable energy, hydrogen produced from excess food and livestock

market in the immediate future.

waste, and other technologies in cooperation with the energy industry.

CN
Transport

PHEV

filling times and lighter weights compared to BEVs.

Compared to 2019 levels

2050

Use

FCEV

• Aim to launch 10 new models by 2026 and reach sales of 1.5 million vehicles annually.
• Launch next-generation BEVs that use batteries as efficiently as possible and double the cruising range.
• Plan to launch BEVs in different regions.
Developed countries• Improve performance of bZ series and significantly expand product lineup.
• Ready new models for launch in 2026.
U.S.
• Start local production of 3-row SUVs in 2025
China

Reduction of 33% or more

Achieve carbon neutrality

BEV(Equipped with batteries produced in North Carolina)

Globally (including emerging markets)
New vehicle GHG/unit
2030

Procureraw materials

CN

CN fuels• Work on the development of hydrogen engines in collaboration with partners engaged in the application of hydrogen.
• Develop fuel and other technologies designed to enable the reduction of GHG emissions in vehicles already in use.
• Develop sustainable CN fuels produced from biomass and other materials in collaboration with the energy industry.

Sustainability Data Book

42

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Content Index
Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜Risk Managementa) Organization’s Processes for Identifying and Assessing
Climate-related Risks■ Toyota identifies, assesses and manages to all risks, including climatechange, based on a company-wide risk management system called the
Toyota Global Risk Management Standard (TGRS) that covers all risks
related to global corporate activities.
■ Risk assessment is based on the two perspectives of “magnitude of impact”
and “vulnerabilities” to clarify the substantive financial or strategic impact on
the business.
• Magnitude of impact• Assessed on each of “finance”, “reputation”, “violation of laws andregulations”, and “business continuation” elements on a scale of five (For“finance”, the ratio to sales is indexed).
• Vulnerabilities• Assessed on the two elements of the “current status of countermeasures”
and “probability of occurrence.”

Cases of Examination of Climate-related Risks Identified and Their Impacts
Risk typeTransition
Risk

Cases of possible impact

Policy andLegal• Risks of current regulations, including fuel efficiency

Technology• As a climate change policy, fuel efficiency regulations

and greenhouse gas (GHG) emissions regulations,in countries/regions have a significant impact ontechnology development and production/sales
planning• Future regulations have an impact on a wide scale on
our technology development, product planning, andproduction planning• In tightening or introducing regulations, there isa possibility that a lawsuit may be filed due to adifference in the interpretation between entities, suchas investors and companies

for automobiles are being tightened globally, andcustomers’ need for low-carbon vehicles is also
increasing.
• Development and cost reduction of low-carbon
technology focusing on electrification are importantmanagement issues.
Market• Changes in the market lead to a decrease in sales,affecting financial conditions

Reputation• A concern that a decline in social image of thecorporation will affect Toyota’s sales and stock prices

Physical
Risks

Acute

• A concern that extensive storms and floods caused byclimate change will damage Toyota’s 50 major plants
worldwide

Chronic• A concern that the expansion of drought associatedwith climate change will have a significant impact
on production plans and rising water costs at someToyota plantsb) O rganization’s Processes for Managing Climate-related Risks■ After risks by region, function (manufacturing, sales, etc.), and product are extracted

by each division and assessed in view of magnitude of impact and vulnerability,each region and each division mutually cooperates and supports one another in theimplementation of a prompt response.
■ Chief Officers of each Group or Company Presidents of in-house companies
supervise the activities of the companies, and at the subordinate level, theGeneral Managers supervise the activities of divisions and implement and monitor
countermeasures.
■ Climate-related risks and opportunities are also identified and assessed by theEnvironmental Product Design Assessment Committee, Consolidated Environment
Committee, and Sustainability Subcommittee. The following matters are discussed,
and the response status is monitored and reviewed by the divisions in charge andrelevant officers at the respective committees.
• Environmental Product Design Assessment Committee: Fuel economy regulations
and procurement• Consolidated Environment Committee: Direct operations such as CO2 emission
regulations on plants, logistics, and other non-production locations as well aswater risks• Sustainability Subcommittee: Relevance of initiatives in consideration of issues
related to promoting sustainability and external stakeholders.
■ Meetings of the above committees are held about four times a year with theparticipation of Executive- or General Manager-level members of relevant divisions,such as technology, environment, finance, purchasing, and sales.
■ Through examinations by these committees, the risks are assessed multiple times a year.
■ Important risks and opportunities that require prompt response are reported to theBoard of Directors Meeting one by one for response measures to be determined.

c) H ow Processes for Identifying, Assessing, and Managing Climate-related
Risks are Integrated into the Organization’s Overall Risk Management■ As described above, the processes using the TGRS are a company-wide risk

management system that covers all risks and opportunities related to global
corporate activities, including climate change.
■ At the meetings of the Environmental Product Design Assessment Committee,
Consolidated Environment Committee, and Sustainability Subcommittee where
members from relevant divisions gather, climate-related risks and opportunities
are identified/ assessed/ managed, and countermeasures are examined.
Sustainability Data Book

43

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Harmony with Nature

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜Metrics and Targetsa) Metrics Used by the Organization to Assess Climaterelated Risks and Opportunities in Line with Its
Strategy and Risk Management Process■ Toyota believes that setting multiple metrics to comprehensively manage

climate-related risks and opportunities is important as a measure foradaptation to and mitigation of climate change.
■ The metrics include not only the amount of GHG emissions but also otherelements deeply related to climate change, such as energy, water, resource
recycling, and biodiversity.
■ The following targets have been set based on these indicators and aresystematically promoted as “6 challenges” through initiatives in six areas.
• Long-term strategy (2050 Target): Toyota Environmental Challenge 2050
• Medium-term strategy (2030 Target): 2030 Milestone, validation andapproval by SBTi
• Short-term strategy (2025 Target): 7th Toyota Environmental Action Plan
■ Aim to achieve Scope 1, 2 and 3 to become carbon neutral (CN) by 2050 bypromoting the following challenges from the list of “6 challenge”.
Initiatives

Life Cycle Zero CO2 Emissions
Challenge

Correlation between coverage andScope 1, 2 and 3

Scope 1, 2 and 3

New Vehicle Zero CO2Emissions Challenge

Average GHG emissions from new vehicles(Scope 3, category 11)*1

Corporate activities

Scope 1 and 2 + voluntary actions*2

Plant Zero CO2 Emissions
Challengeb) S cope 1, Scope 2, and, if Appropriate, Scope 3
greenhouse gas (GHG) Emissions, and the Related Risks■ Requests for the disclosure of non-financial information, such as for climatechange, are growing and increasingly being legislated in different parts of theworld.
■ Toyota has worked extensively over the years to disclose environmental
information and will continue to review conditions for disclosure, as needed,so that information is released in accordance with local systems.
Trends in CO2 Emissions Third-party Verification 2022 data 2020(million t-CO2)

2022

2021

Scope1

2.45

2.48

2.37

Scope2

3.15

3.39

2.87

2020

Emissions

Scope 1, 2
(million t-CO2)

2022

2021

Scope1

2.45

2.56

2.38

Scope2

3.42

3.69

2.92

Scope 1 and 2 at production sites + voluntaryactions*2*1 P
 er vehicle, gCO2e/km, Well to Wheel: Includes GHG emissions from the production of fuel and electricity, as
well as GHG emissions during vehicle operation.
*2 P
 roduction sites of Toyota Motor brands other than by financially consolidated subsidiaries■ Internally, certain carbon prices are used as indicators to examine capital

investment and other activities.
■ Structure of each target can be found in the table on the next page.

resource depletion, and loss of biodiversity are continuing to grow andincrease in seriousness every day.
■ We are pursuing the development of a sustainable society by working with
our global consolidated subsidiaries and business partners to develop
Toyota’s medium- and long-term vision and promote specific activities
determined through a process of back casting from this vision.
■ We formulated the Toyota Environmental Challenge 2050 in 2015 and the2030 Milestone in 2018 to continue to tackle challenges from a long-term
perspective of the world 20 and 30 years ahead.
■ In 2020, we set the 2025 Target as the most recent target of the Toyota
Environmental Action Plan, a five-year plan for achieving this.
■ We received validation and approval*3 from SBTi in September 2022 for
Scope 1 and 2, and Scope 3, category 11 reduction targets, and updated
our medium-term targets in line with this.
Validation and approval of Toyota’s emissions reduction targets
by the Science Based Targets initiative (SBTi)• Organizational boundary: Financially consolidated• Emissions factors: See P48 “Environmental Data G”• Period covered
Reviewed as follows:
Conventional: Calendar year (January 1 to December 31)
New: Financial reporting period (April 1 to March 31)
CO2 emissions calculated for the calendar year are listed below for reference.
(Reference) The amount of emissions during the past target period (each calendar year)

■ Global environmental issues such as climate change, water shortages,c) Targets Used by the Organization to Manage Climate-related
Risks and Opportunities and Performance Against Targets
Structure of Environmental Strategies■ Toyota is continuously monitoring trends as well as customer’s opinion,

which enables it to consider what issues should be focused on and workon environmental issues with new ideas and technologies by quickly
anticipating future issues.

Scope 3,category 11(emission
intensity)

Target year

Base year

2035
Passenger
light duty
vehiclesand light
commercial
vehiclesMedium andheavy freighttrucksReduction
rate

Validation /Approval class

68%

1.5°C

33.3%
2019

Well Below

2030

2°C
11.6%

*3 SBTi validates the Scope 1 and 2 emissions reduction target of a company as in line with the science-based
criteria established by SBTi to limit the global average temperature increase to 1.5°C above pre-industrial
levels. With regard to automobile companies, SBTi also approves Scope 3 Category 11 emissions (gCO2e/km) reduction targets as in line with the science-based criteria to hold the increase in the global averagetemperature to well below 2°C above pre-industrial levels, in conjunction with the above-mentioned validation.
■ In April 2023, Toyota announced its intention to reduce average GHG

emissions from vehicles sold worldwide by 33% by 2030 and over 50% by
2035 (compared to 2019 levels).
Sustainability Data Book

44

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜Long-term Targets and Medium-term Targets
Challenge

Life Cycle Zero CO2Emissions Challenge

Challenge

Challenge

New Vehicle Zero CO2Emissions Challenge

Corporate
Activities

Challenge

Plant Zero
CO2 Emissions
Challenge

Challenge of Minimizing
and Optimizing Water
Usage

Challenge

Challenge of Establishinga Recycling-based
Society and Systems

Challenge

Challenge of Establishinga Future Society inHarmony with Nature

Contribution to SDGs

Toyota Environmental Challenge 2050
Long-term

Achieve CN for GHG
emissions throughout
the life cycle*1 by 2050

Achieve CN for average
GHG emissions*2from new vehicles*3 by 2050

Achieve CN for GHG
emissions from corporate
activities*4 by 2050

Achieve zero CO2emissions from production
at plants*5 by 2050

Reduce average GHG
emissions*2 by more than 50%
from new vehicles*3 by 2035
(compared to 2019 levels)

Reduce GHG
emissions from
corporate activities*4by 68% by 2035
(compared to 2019 levels)

Achieve CN*6
for CO2 emissions
from production
at plants*5 by 2035

Minimize water usage and implement
water discharge management according
to individual local conditions

Promote global deployment of End-of-life
vehicle treatment and recycling technologies
and systems developed in Japan

Connect the reach of nature conservation
activities among communities, with theworld, to the future

SBT

2030 Milestone● Reduce GHG emissions by 30%

Medium-term

throughout the life cycle*1 by 2030
(compared to 2019 levels)● Reduce average GHG emissions*2from new vehicles*3 by 2030
• Passenger light duty vehicles and lightcommercial vehicles: 33.3% reduction(compared to 2019 levels)• Medium and heavy freight trucks:
11.6% reduction (compared to 2019
levels)SBT● Implement measures, on a priority basis, inthe regions where the water environment is
considered to have a large impact
Water quantity: Complete measures at the 4
Challenge-focused plants in North
America, Asia, and South Africa
Water quality: Complete impact assessments andmeasures at all of the 22 plants
where used water is discharged
directly to river in North America,
Asia, and Europe● Disclose information appropriately andcommunicate actively with local
communities and suppliers

Short-term● Complete establishment of battery● Realize “Plant in Harmony with Nature”—

collection to recycling systems globally● Complete setup of 30 model facilities forappropriate treatment and recycling of
end-of-life vehicles

12 in Japan and 7 in other regions—aswell as implement activities promoting
harmony with nature in all regions incollaboration with local communities andcompanies● Contribute to biodiversity conservation
activities in collaboration with NGOs andothers● Expand initiatives both in-house and outside
to foster environmentally conscious persons
responsible for the future

7th Toyota Environmental Action Plan (2025 Target)*1 Applies to GHG emissions from energy consumption in Toyota Motor Corporation and financially consolidated subsidiary corporate activities, and GHG emissions from suppliers and customers in relation to vehicles under Toyota Motor Corporation and financially consolidated subsidiary brands. (Per vehicle, Scope1,2,3) (Applies to Toyota Motor Corporation alone in 2050)*2 Per vehicle, gCO2e/km, Well to Wheel: Includes GHG emissions from the production of fuel and electricity, as well as GHG emissions during vehicle operation.
*3 Applies to finished vehicles under Toyota Motor Corporation and financially consolidated subsidiary brands. (Scope3 Category11) (Applies to Toyota Motor Corporation alone in 2035 and 2050)*4 Applies to GHG emissions from energy consumption in Toyota Motor Corporation and financially consolidated subsidiary corporate activities, and GHG emissions related to the production of Toyota brands other than by financially consolidated subsidiaries (Scope 1, 2 + voluntary actions).
*5 Applies to CO2 emissions from energy consumption in Toyota Motor Corporation and financially consolidated subsidiary plants, and CO2 emissions from the production of Toyota brands other than by financially consolidate subsidiaries (Scope 1, 2 + voluntary actions).
*6 For the fundamental approach to achieving carbon neutrality, refer to “Challenging carbon neutrality at plants by 2035” in page 25.

Sustainability Data Book

45

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Governance ｜ Strategy ｜ Risk Management ｜ Metrics and Targets ｜Short-term Target－Seventh Toyota Environmental Action Plan (2025 Target)
Life cycle CO2
emissions• Reduce CO2 emissions by 18 percent or more throughout the life

Logistics• Japan:

Reduce CO2 emissions by 7 percent by improving
transport efficiency compared to 2018 levels (average of 1 percent
reduction per year)• Japan ⇔ Other regions:
Reduce CO2 emissions by vessels for export (introduce 2 LNGpowered pure car carriers)

Life Cycle Zero
CO2 Emissions
Challenge

New Vehicle
Zero CO2
Emissions
Challenge

Suppliers• Promote CO2 emissions reduction activities among major suppliers

Dealers anddistributors• Achieve 100 percent introduction rate for CO2 emissions reduction

Average CO2
emissions from newvehicles• Reduce global*1 average CO2 emissions*1 (TtW, g/km) from new

Electrified vehicles

Water quantity

cycle compared to 2013 levels

compared to 2001 levels)

Challenge of
Minimizing
and Optimizing
Water Usage• Complete measures at 2 Challenge-focused plants where the water environment is considered to have a large
impactWater quality• Thoroughly manage water discharge quality under internal standards that are stricter than regulatory standards• Continuously assess the impact of wastewater at all plants where it is dischared directly into the river

Toyota Global 100
Dismantlers Project• Complete setup of 15 model facilities for appropriate treatment and recycling of end-of-life vehicles• Continuously accelerate easy-to-dismantle designs• Integrate easy-to-dismantle designs to respond to appropriate treatment and recycling of End-of-life vehicles
and resource issues, and provide appropriate information (large batteries, fuel cell (FC), hydrogen tank)items at newly constructed and remodeled dealers

vehicles by 30 percent or more compared to 2010 levels*1 Countries and regions: Japan, U.S., Europe, China, Canada, Brazil, Saudi Arabia,
India, Australia, Taiwan, Thailand, and Indonesia*2 Per vehicle, gCO2/km, Tank to Wheel: CO2 emissions while vehicle is in operation• Make cumulative sales of 30 million electrified vehicles or more

Challenge of
Establishinga Recyclingbased Society
and Systems

Toyota Global
Car-to-Car Recycle
Project

Plant Zero
CO2 Emissions
Challenge

electrified vehicles• Aim to maximize collection and detoxification of End-of-life batteries globally• Start operating battery 3R throughout 5 regions—Japan, U.S., Europe, China, and Asia
region• Promote utilization by technological development to optimally exploit recycled materials in Europe and to increase
the supply of recycled materials in Japan• Realize “Plant in Harmony with Nature”—6 in Japan and 4 in other regions• Promote activities to connect with local communities in collaboration with affiliated companies• Start activities promoting harmony with nature in collaboration with local communities and companies towardbiodiversity conservation• Reduce CO2 emissions by implementing innovative technologies
and daily kaizen and introducing renewable energy• Reduce CO2 emissions from global plants by 30 percent

compared to 2013 levels• Achieve a 25 percent introduction rate for renewable electricity• Promote proactive technological development to utilize hydrogen• Establish a safe and efficient system for battery 3R (Rebuild, Reuse, and Recycle), eyeing the widespread use of• Develop technologies to utilize recycled materials (especially plastics) in accordance with the conditions in eachToyota Green Wave
Project
CO2 emissions fromplants• Reduce water usage taking the water environment in each country and region into consideration• Promote wastewater recycling, rainwater use, and various activities including daily kaizen• Reduce global water usage by 3 percent per vehicle produced compared to 2013 levels (reduce by 34 percent

Challenge of
Establishing a
Future Society
in Harmony with
NatureToyota Today
for Tomorrow Project• Globally strengthen conservation of endangered species, which symbolize biodiversity in collaboration with NGOs

Toyota ESD* Project• Implement globally unified initiatives to foster environmentally conscious persons responsible for the future• Offer environmental education opportunities by utilizing biotopes and others in collaboration with the Plant in3and others

Harmony with Nature• Foster environmentally conscious persons at both in-house and outside sites, including plants and the Forest of
Toyota, by utilizing educational tools in harmony with nature for the next generation*3 Education for Sustainable Development

Environmental
Management

Chemical substances• Implement thorough management by carefully considering legal trends in each country and region

Air quality• Product: Steadily introduce low-emission vehicles and boost further improvement by introducing and increasing ZEVs
• Production: Continue volatile organic compound (VOC) emissions reduction activities and maintain industry-leading level

Waste• Promote activities to thoroughly reduce waste globally and aim to minimize the volume of resource input and waste, with the environment and economy in balance

Logistics packaging• Implement initiatives to reduce and recycle plastics used in packaging and recycle them

Risk management• Thoroughly comply with environmental laws and regulations and strengthen proactive prevention activities for environmental risks in each country and region
Sustainability Data Book

46

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification｜ Greenhouse Gases (GHG) ｜ Energy ｜ Water ｜ Recycling ｜ Waste ｜ VOC, NOx, SOx ｜ Reference factors ｜Data collection period in this chapter

Fiscal year: April 1 – March 31 (Data G and other selected data not included)

Greenhouse Gases (GHG)
Updated in October 2023

Environmental
Data

A

CO2 Emissions
Scope 1 (Direct Emissions), Scope 2 (Energyrelated Indirect Emissions) , Scope 3 (Other
Indirect Emissions): Global

B

GRI 305-1, 305-2, 305-4(million t-CO2)

Scope1,2,3 Total

2020

2021

2022

(346.01*1 )*2(395.72)*2

575.73*3*1 The production was low in 2020 due to the influence of the COVID-19 pandemic.
*2 In Scope3 Category11, the data of Toyota Motor Corporation and Daihatsu
Motor Co., Ltd. are provided.
*3 From 2022, calculation standards for Scope3 Category11 have been changed
based on SBTi standards

P.48 See data Environmental Data [D] for detail

CO2 Emissions & CO2 Emissions Intensity
Scope 1 (Direct Emissions) & Scope 2(Energy-related Indirect Emissions): Global
Third-party Verification 2022 data

2020

2021

2.45

2.48

2.37

By type

2020

2021

2022

Toyota Motor Corporation

0.39

0.33

0.30

Non-energy-related CO2

0.007

0.007

0.007

Japan (excluding Toyota
Motor Corporation)

0.98

0.92

0.87

CH4

0.015

0.012

0.013

North America

0.38

0.46

0.46

N2O

0.008

0.008

0.008

Europe

0.10

0.12

0.11

PFCs

0.008

0.039

0.041

Asia

0.17

0.22

0.21

HFCs

0

0

0

Others (South America,
Oceania, Africa, Middle East)

0.002

0.43

0.43

0.43
2.87

Toyota Motor Corporation

0.72

0.60

0.43

Japan (excluding Toyota
Motor Corporation)

1.00

1.10

0.79

North America

0.68

0.75

0.71

Europe

0.01

0.01

0.01

Greenhouse Gases (GHG)

Asia

0.64

0.83

0.82

49

EnergyOthers (South America,
Oceania, Africa, Middle East)

0.11

0.11

0.11

49

Water

5.60

5.87

5.24

50

Recycling

51

VOC, NOx, SOx

51

Reference factors(million t-CO2e)

Scope 1 (Direct Emissions)

3.39

Waste

GRI 305-1

2022

3.15

51

Greenhouse Gases Emissions from
Sources Other Than Energy-related
CO2
Scope 1 (Direct Emissions) : Global(million t-CO2)

Scope 2 (Energy-related Indirect
Emissions)

47

C

Total

SF6

0.005

0.002

NF3

0

0

0

Total

0.042

0.069

0.071

Calculated in accordance with the Japanese Act on Promotion of Global WarmingCountermeasures<Organizational Boundary>• Toyota Motor Corporation and 100% of consolidated subsidiaries

P.51 Environmental Data (Reference Factors)(t-CO2/unit)

2020
Per vehicle produced

0.78

2021
0.76

2022
0.62

Calculated in accordance with the GHG Protocol<Organizational Boundary>• Toyota Motor Corporation and 100% of consolidated subsidiaries

P.51 Environmental Data (Reference Factors)

In principle, fractions are rounded down to the nearest unit. For this reason, the total and the breakdown totals do not always match.

Sustainability Data Book

47

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

GovernanceContent Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Greenhouse Gases (GHG) ｜ Energy ｜ Water ｜ Recycling ｜ Waste ｜ VOC, NOx, SOx ｜ Reference factors ｜D

CO2 Emissions
Scope 3 (Other Indirect Emissions): Global
GRI 305-3

E

Third-party Verification 2022 dataAverage CO2 Emissions from New
Vehicles: Global
SASB TR-AU-410a.1(million t-CO2)

2020

2021

2022

1 Purchased goods and services

91.97

102.56110.492 Capital goods

3.93

4.17

3 Fuel- and energy-related activities(not included in Scope 1 or 2)

1.00

4 Upstream transportationand distribution

F

Electrified Vehicles Sales: Global
SASB TR-AU-410a.2

G

Third-party Verification 2022 data
(thousand vehicles)

GRI 302-5, 305-5

By type

2020

2021

2022

(gCO2/km)

Hybrid electric vehicles (HEVs)

1,905

2,565

2,720

48

116

88

Third-party Verification 2022 data

By country & region

2020

2021

2022

5.05

U.S.

150.2

146.0

141.4

Plug-in hybrid electric vehicles(PHEVs)

1.08

1.20

Canada

142.6

134.9

131.7

Battery electric vehicles (BEVs)

3

16

38

Brazil

100.4

101.5

100.1

3.79

4.21

4.33

5

3

96.1

113.2

109.9

Fuel cell electric vehicles(FCEVs)1Europe5 Waste generated inoperations

187.3

193.6

2,849

0.10

188.0

2,703

0.10

Russia

1,957

0.11

Japan

131.2

125.0

120.3

6 Business travel

0.05

0.04

0.06

China

127.9

136.1

133.4

2020

2021

2022

7 Employee commuting

0.74

0.63

0.61

―

―

―

Taiwan

147.7

144.2

140.9

9 Downstream transportation anddistribution

0.02

0.03

0.06

10 Processing of sold products

0.09

8 Upstream leased assets*1

11 Use of sold products
12 End-of-life treatment of soldproducts

0.12

0.12

2

(234.35* ) (267.39* )439.45*3

4.80

4.82

2

4.29

13 Downstream leased assets*

―

―

―

14 Franchises

―

4.65

4.07

15 Investments

0.07

0.07

0.13

(340.41)(389.85)

570.491

Total<Organizational Boundary>•	M ainly covers automotive business of Toyota Motor Corporation andconsolidated subsidiaries

India

148.5

152.3

137.6

Thailand

165.4

163.1

155.8

Indonesia

161.5

158.4

150.3

Saudi Arabia

162.8

159.4

149.7

Australia

177.1

172.8

170.2

South Africa

194.0

179.6

180.9

<Organizational Boundary>• Toyota Motor Corporation (excluding consolidated subsidiaries)• Tank to Wheel (TtW) figure in fuel efficiency/CO2/GHG regulation test mode ineach country and region(NEDC mode used for Russia, Thailand, Indonesia, and South Africa)• Excludes the cargo category in regulations for fuel efficiency/CO2/GHG in eachcountry and region as well as trucks and buses.

Total

(%)

Ratio of electrified vehicles sold<Organizational Boundary>• Toyota Motor Company branded EVs

22.5

24.6

CO2 Emissions*4
Scope 1 (Direct Emissions), Scope 2 (Energyrelated Indirect Emissions) , Scope 3 (Other
Indirect Emissions): Global

1) Emissions reduction targets
SBTi validated Toyota’s emissions reduction target for Scope
1 and 2 as in line with its 1.5°C criteria in September 2022. In
conjunction with this validation, SBTi also approved Toyota’s
emission intensity targets for Scope 3 Category 11 as in line with
its well below 2°C criteria.
*4 SBTi: An initiative established by the CDP, the United Nations Global Compact,
World Resources Institute (WRI) and the World Wide Fund for Nature (WWF)(calculation period is the calendar year from January to December).

2) Scope 1 & 2 emissions
reductions



2019

29.6

2022

2021

(a) Toyota Motor
Corporation andconsolidated
subsidiaries

6.84

5.87

6.24

5.36

(b) T
 oyota vehicle
production plantsof unconsolidated
subsidiaries(production
processes)

0.54

0.81

0.77

0.80

Total (a) + (b)

7.38

6.69

7.01

6.16

Organizational Boundary: • Total (a) + (b), as mentioned above
Reduction Target: • 68% reduction by 2035, compared to 2019 levels
Progress: • Refer to total CO2 emissions of (a) and (b) in each year as mentionedabove3) Scope 3 Category 11 emissions reduction progress

P.51 Environmental Data (Reference Factors)*1 C alculated in Scope 1 & 2 and Scope 3 Category 11*2 • In Category 11, the data of Toyota Motor Corporation and Daihatsu MotorCo., Ltd. are provided.
• F or Toyota Motor Corporation, Category 11 is calculated from the average fuelefficiency of vehicles (excluding the freight category in the regulations for fuel efficiency,
as well as trucks and buses) in each country and region−Japan, U.S., Europe, China,
Canada, Brazil, Saudi Arabia, India, Australia, Taiwan, Thailand and Indonesia*3 S
 ince 2022, calculation standards have been changed based on SBTi standards• F uel efficiency figures for each vehicle have been standardized based on WLTP to add+10% to reflect actual fuel efficiency• The SBTi guidance was used for annual driving distance, and the IEA Mobility Model
was used for the number of years of use over the vehicle’s lifetime• F igures cover global sales and include the cargo category in fuel efficiency regulations
as well as trucks and buses

2020(million t-CO2)

2022
Results

Average GHG
emissions fromnew vehicles(compared to
2019)

Passenger
light duty
vehiclesand light
commercial
vehiclesMedium andheavy freighttrucksIn principle, fractions are rounded down to the nearest unit. For this reason, the total and the breakdown totals do not always match.

2030
Targets

5.8%

Reduction of

reduction

33.3% or more

3.8%

Reduction of

reduction

11.6% or more

Sustainability Data Book

48

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Greenhouse Gases (GHG) ｜ Energy ｜ Water ｜ Recycling ｜ Waste ｜ VOC, NOx, SOx ｜ Reference factors ｜EnergyH

Water

Energy Used & Energy Intensity: Global
GRI 302-1, 302-3, 302-4

Third-party Verification 2022 data

(PJ*1)

By region

2020

2021

2020

Toyota Motor Corporation

10.1

10.2

Japan (excluding Toyota Motor
Corporation)

17.8

19.4

23.2

North America

11.2

13.3

15.4

Europe

2.9

3.2

3.7

Asia

6.2

7.7

9.1

Others (South America,
Oceania, Africa, Middle East)

1.6

1.8

7.3

Total

49.9

55.6

70.1

(PJ )
*1

2020

2021

(GJ*2/unit)

2022
11.3

By typeI

2022

Electricity

20.2

22.7

23.5

City gas

14.1

14.7

12.8

Natural gas

9.5

12.1

12.9

LPG

1.2

1.3

1.7

LNG

0.3

0.1

0.03

Coke

0.3

0.3

0.3

Coal

0.001

0.001

0.0004Heavy oil A

0.5

0.4

0.5

Diesel oil

0.2

0.2

2.2

Kerosene

0.1

0.1

0.3

Steam

0.02

0.01

0.003

Hot water

0.00

0.01

0.1

Renewable energy

3.0

3.5

8.0

Others

0.5

0.1

7.8

Total

49.9

55.6

70.1

Per vehicle produced

6.69

2021
6.84

2022
8.36

<Organizational Boundary>• 2020/2021 (CY): Production locations of Toyota Motor Corporation andconsolidated companies• 2022 (FY): Toyota Motor Corporation and 100% of consolidated subsidiaries

P.51 Environmental Data (Reference Factors)*1 Peta joule: Peta represents 1015 and a joule is a unit of energy*2 Giga joule: Giga represents 109 and a joule is a unit of energy

Water Withdrawal: Global
GRI 303-3

J

Third-party Verification 2022 data



2020

By region
Toyota Motor Corporation

6.1

2021
5.7



2022

By water discharge destination

5.7

13.4

12.5

12.0

North America

5.7

6.5

6.5

Europe

1.3

1.5

1.3

Asia

4.9

6.2

6.2

Others (South America,
Oceania, Africa, Middle East)

1.1

1.3

1.3

Total

32.5

33.7

33.0
(million m3)

By water source*

3

2020

2021

2022

Surface water

0.2

0.2

0.2

Groundwater

6.6

6.7

6.9

Seawater

0.0

0.0

0.0

Produced water

0.0

0.0

0.0

Third-party water

25.7

26.8

25.8

Total

32.5

33.7

33.0

*3 Classification items have been revised in accordance with GRI definitions, anddata by water source is exempt from third-party verification
(m3/unit)

2020
Per vehicle produced

4.50

2021
4.34

<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries

GRI 303-4(million m3)

Japan (excluding Toyota Motor
Corporation)

Water Discharge: Global

2022(million m3)

2020

2021

2022

Surface water

26.9

27.1

26.5

Groundwater

0.0

0.0

0.0

Seawater

2.0

2.0

1.9

Third-party water

1.5

2.8

3.4

Total

30.4

31.9

31.7

<Quality Management of Water Discharge>• Indicators* specified in the regulations of each country (BOD, COD, nitrogen,phosphorous, pH, etc.) are strictly managed by each plant by setting its own
control standards that are stricter than the standard values specified by theregulations of each country.
* Biological oxygen demand (BOD), chemical oxygen demand (COD), nitrogen,phosphorus, pH, etc.
<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries

K

Water Consumption: Global
GRI 303-5

(million m3)

2020
Water Consumption

2021

2.1

1.8

2022
1.2

<Calculation Method>• Calculated using the formula below in accordance with GRI 303• Water consumption = water withdrawal – water discharge<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries

3.93

L

Recycled Water: Global(million m3)

2020
Recycled Water

0.9

2021
1.3

2022
1.9

<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries
In principle, fractions are rounded down to the nearest unit. For this reason, the total and the breakdown totals do not always match.

Sustainability Data Book

49

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

GovernanceContent Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Greenhouse Gases (GHG) ｜ Energy ｜ Water ｜ Recycling ｜ Waste ｜ VOC, NOx, SOx ｜ Reference factors ｜RecyclingM

Raw Materials Used and Recycled
Materials Use Rate: Global

N

GRI 301-1, 301-2, 306-4
SASB TR-AU-440b.3(million tons)

Amount of raw materials used*1

2020

2021

12.32

13.66

14.53

Iron

7.97

8.83

9.39

Aluminum

1.12

1.25

1.32

Others

3.24

3.58

3.81

Amount of appropriate End-of-life vehicle
treatment and recycling processed2020

Ratio of recycled materials
used in raw materials

24

2021
25

623

Drive battery

2022

2021

2020

Vehicle recovery rate*2(converted into a per-vehicle value)

2022

585

503

99

96

96



*1 Estimate of raw materials used calculated using major models and recycledmaterials use rate when scope is expanded to global vehicle production

2022

2021

99

ASR*3 recycling rate*4

25

GRI 301-3

(units)

2020

2021

143

136

FC stack

40,69441,36645,547

(%)

2020

2021
48.8

2022
58.3

26

2022

2021

41

39

*7 A system of directly filling tanks at dealers or supplying oil using tanker trucks
rather than oil cans and so on to reduce container usage*8 Percentage of oil (by bulk supply system) in volume sold by parts distributors

(tons)2020
Magnet*97

5

Lead wheel balance weight*6

2022

2021

10.0

7.5

6.5

59.7

58.4

62.9



(million units)

118

*2 C
 alculated by combining the percentage recycled through the dismantling andshredding processes, approximately 83% (quoted from the report by the councilof the End-of-Life Vehicle Recycling Law), with the remaining ASR rate of 17%
and the ASR recycling rate of 96%

2022

2020

99

2022

2021

GRI 306-2

63.7(thousand tons)

ASR processing volume

2020

Q

Bulk Supply System*7 Oil Supply
Rate*8: Toyota Motor Corporation

(units)(%)

Recycling rate
Ratio of recycled materials used*1

P(thousand vehicles)

2020

(%)

Parts Recycled: Toyota Motor Corporation

GRI 301-3

2022

All materials

Vehicles Recycled in Accordancewith the End-of-life Vehicle Recycling
Law: Toyota Motor Corporation

2020
Bumper

53.5

2021
54.4

2022
53.2

*5 Magnets used in drive motors*6 Weights used to adjust rotation balance when joining a wheel and tire

*3 Automobile Shredder Residue: Residue after End-of-life vehicles are shredded*4 Amount recycled/amount collectedO

Remanufactured and Used Parts Supplied (for Repair and Replacement): Toyota Motor
Corporation GRI 301-1, 301-2, 301-3, 306-4

(units)

2020
Remanufactured/
used parts

Remanufactured
parts
Used parts

Automatic transmission
Power steering gear
Torque converter

2022

2021
Reference:

Replacement withnew parts

Remanufactured/
used parts

Reference:
Replacement withnew parts

Remanufactured/
used parts

Reference:
Replacement withnew parts

714

49

655

65

640

107

3,102

1,654

3,429

1,782

3,867

2,128

750

2,230

645

2,265

613

2,655

24,100ー

21,008ー

18,195ーIn principle, fractions are rounded down to the nearest unit. For this reason, the total and the breakdown totals do not always match.

Sustainability Data Book

50

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Environmental Data

Third-party Verification｜ Greenhouse Gases (GHG) ｜ Energy ｜ Water ｜ Recycling ｜ Waste ｜ VOC, NOx, SOx ｜ Reference factors ｜

Waste
R

VOC , NOx & SOx*4

Waste: Global
SASB TR-AU-440b.1

S

GRI 306-3

Third-party Verification 2022 data

Packaging Materials Used: Toyota
Motor Corporation

(thousand tons)(thousand tons)

2020

By region
Toyota Motor Corporation
Japan (excluding Toyota Motor
Corporation)

2022

2021

25
109

24
115

111

28

35

47

Europe

13

14

11

Asia

20

26

30

Others (Oceania, SouthAmerica, Africa, Middle East)

6

10

10

201

223

233



(thousand tons)

By disposal operations

*1

2020

2022

2021

Recycling for a fee*2

155

152

162

Incineration

28

50

51

Landfilling

17

21

20

Total

201

223

233



2020
Packaging Materials Used

2020

2021

182

192

199

Hazardous waste

18

31

34

Total

201

223

233

(kg/unit)

2020
27.8

2021
28.8

<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries*1 Data by disposal operations is exempt from third-party verification*2 Items recycled by paying a fee*3 Data by type is exempt from third-party verification

47.0

U

GRI 305-7

2022

2020

44.3

2022
27.8

NOx & SOx Emissions: Global
GRI 305-7(tons)(thousand tons)

VOC

19.8

2021
25.6

2022
22.7

<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries*4 Volatile organic compound*5 Nitrogen oxides*6 Sulfur oxides

2020

2021

2022

NOx

184

167

1,508

SOx

406

347

408

<Organizational Boundary>• All plants of Toyota Motor Corporation and consolidated subsidiaries<Calculation Method>•	NOx emissions volume = ∑ (Fuel consumption × Emissions factor for each fuel)SOx emissions volume = ∑ (Fuel consumption × Density × Sulfur content)

P.51 Environmental Data (Reference Factors)

Reference factors
A

CO2 Emissions
Scope 1 (Direct Emissions), Scope 2 (Energyrelated Indirect Emissions) ,Scope 3 (Other Indirect Emissions): Global
Electricity:•	Emission factor method by electric company (partially used 2020 actual
figures from the “IEA Emissions Factors 2022”)
Other Than Electricity:• “Explanation of the Standard Calorific Value by Energy Source andCarbon Emissions Factors” (FY2018 revision) by the Ministry of Economy,
Trade and Industry• “Greenhouse Gas Emissions Accounting and Reporting Manual” by the
Ministry of the Environment2022

Non-hazardous waste

Per vehicle produced

2021

VOC Emissions: Global<Organizational Boundary>• Toyota Motor Corporation(thousand tons)

By type

38.1

*6

23

North America

Total

T

*5

B

CO2 Emissions & CO2 Emissions Intensity
Scope 1 (Direct Emissions) & Scope 2 (Energy-related Indirect Emissions):
GlobalElectricity:•	Emission factor method by electric company (partially used 2020 actual
figures from the “IEA Emissions Factors 2022”)
Other Than Electricity:• “Explanation of the Standard Calorific Value by Energy Source andCarbon Emissions Factors” (FY2018 revision) by the Ministry of Economy,
Trade and Industry• “Greenhouse Gas Emissions Accounting and Reporting Manual” by the
Ministry of the Environment

D

CO2 Emissions
Scope 3 (Other Indirect Emissions): Global
Categories
1, 2, 3, 5, 7, 14“Database on Emissions Unit Values for Accounting of Greenhouse Gas
Emissions, etc., by Organizations Throughout the Supply Chain” by the
Ministry of the Environment of Japan

Categories
1,3,6,7,11,14

LCI Database IDEA version 2.3

Categories
1,10,12Calculated based on the 2020 actual figures of IEA’s “Emissions Factors
2022,” “World Energy Outlook 2022,” “Data & Statistics,” and GaBi Databases

Categories
3, 14

Mizuho Information & Research Institute, Inc. (Factors related to hydrogen)Categories
7, 14Japanese Act on Promotion of Global Warming Countermeasures
Ministry of the Environment “Greenhouse Gas Emissions Accounting andReporting Manual”
IEA Emissions Factors 2022

Category 11
Categories
10, 12, 14
Categories
3, 14Japanese Ministry of Land, Infrastructure, Transport and Tourism, automobile
fuel efficiency list

H

CO2 Emissions
Scope 1 (Direct Emissions), Scope 2 (Energyrelated
Indirect Emissions) , Scope 3 (Other Indirect Emissions): Global
Electricity:•	3.6 GJ/MWhOther Than Electricity:•	“Explanation of the Standard Calorific Value by Energy Source
and Carbon Emissions Factors” (FY2018 revision) by the
Ministry of Economy, Trade and Industry•	“Greenhouse Gas Emissions Accounting and Reporting
Manual” by the Ministry of the EnvironmentU

NOx & SOx Emissions: Global• “Environmental Activity Evaluation Program” by the Ministry of
the Environment of Japan

Explanation of the Standard Calorific Value by Energy Source and Carbon
Emissions Factors (2018 revision) from the Japanese Ministry of Economy,
Trade and Industry
Calculated based on 2020 results figures from the IEA Emissions Factors
2022, World Energy Outlook 2022, and Data & Statistics as well as GaBi data

In principle, fractions are rounded down to the nearest unit. For this reason, the total and the breakdown totals do not always match.

Sustainability Data Book

51

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)■ Toyota is promoting the 7th Toyota Environmental Action Plan (2025 Target), a five-year action plan to achieve the Toyota Environmental Challenge 2050
■ We promoted initiatives in all 23 items, making steady progress in general in FY2023.

Updated in October 2023

FY2023 Reviewof the 7th Toyota
Environmental
Action Plan (2025
Target)Evaluation Legend: Progressed smoothly: Target expected to be achieved by FY2026 although
there are some issues－: Target not achieved

Six Challenges

No.

Action Items

New Vehicle Zero
CO2 Emissions
Challenge

1

Average CO2
emissions from newvehicles• Reduce global*1 average CO2 emissions (TtW*2, g/km) from newvehicles by 30 percent or more compared to 2010 levels

Electrified vehicles• Make cumulative sales of 30 million electrified vehicles or more

• Achieved cumulative sales of 23.15 million vehicles (FY2023 sales• Reduce CO2 emissions by implementing innovative technologies and• Accelerated CO2 emissions reduction activities by developing and• Achieve a 25 percent introduction rate for renewable electricity• Purchased renewable energy, taking into consideration the2
Plant Zero
CO2 Emissions
Challenge

3

CO2 emissions fromplantsSpecific Actions and Targets

Third-party Verification

Progress Results in FY2023

Evaluation• Reduced by 27 percent compared to 2010 levels*1. Countries and regions: Japan, U.S., Europe, China, Canada, Brazil, Saudi Arabia, India,
Australia, Taiwan, Thailand and Indonesia*2. TtW (Tank to Wheel): CO2 emissions during driving (CO2 emissions during the production
stage of the fuel and electricity are not included; TtW emissions are zero in the case ofbattery electric vehicles and fuel cell electric vehicles)

daily kaizen and introducing renewable energy• Reduce CO2 emissions from global plants by 30 percent compared to2013 levels

were 2.84 million vehicles)

introducing low-CO2 production technologies and globally sharing ofdaily kaizen practices through shop-oriented environmental activities• Reduced CO2 emissions from global plants by 25 percent compared
to 2013 levels
characteristics of each country and region• Achieved a 20 percent global introduction rate for renewable energy• Continued to maintain 100% renewable electricity introduction rate
at all plants in Europe and South America

Life Cycle Zero
CO2 Emissions
Challenge

45• Promote proactive technological development to utilize hydrogen• Implementing various trial projects to support the utilization ofLife cycle CO2
emissions• Reduce CO2 emissions by 18 percent or more throughout the entire• Reduce CO2 emissions by 17 percent over the vehicle life cycle

Logistics• Japan• Reduce CO2 emissions by 7 percent by improving transport efficiency• Japan• Reduced CO2 emissions by 9 percent compared to 2018 levels• Implemented transport efficiency improvements including loading

vehicle life cycle compared to 2013 levels

compared to 2018 levels (average of 1 percent reduction per year)hydrogen at the Honsha Plant and the Motomachi Plant
compared to 2013 levels

efficiency improvements, joint transport, modal shifts*3 and use oftandem trailers• Japan ⇔ Other regions• Reduce CO2 emissions by ocean-going vessels (Switch two car
carriers to liquid natural gas (LNG) powered pure car carriers)6
GRI 413-1

7

Suppliers
Dealers anddistributors*3 Switching from cargo transport by land to transportation means with less environmental
impact, such as railway and ships• Japan ⇔ Other regions• Used Chinese railways for transport destined for Central Asia

• Promote CO2 emissions reduction activities among major suppliers• Engaged in communication with suppliers in each region and• Achieve 100 percent introduction rate for CO2 emissions reduction• Achieved 100 percent introduction rate for CO2 emissions reduction

items at newly constructed and remodeled dealers

promoted activities in accordance with local conditions

items at newly constructed and remodeled dealers: 67 majorcountries and regions including Japan, North America, Europe, Asia,
South America, Oceania, Africa

Sustainability Data Book52

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification

Evaluation Legend: Progressed smoothly:	Target expected to be achieved by FY2026 although
there are some issues－: Target not achieved

Six Challenges

No.

Challenge of
Minimizing andOptimizing Water
Usage

8

Challenge of
Establishing a
Recycling-based
Society and
Systems

Action Items

Water quantity

Specific Actions and Targets

Progress Results in FY2023• Reduce water usage taking the water environment in each country and region into consideration• Promote wastewater recycling, rainwater use, and various activities including daily kaizen• Reduce global water usage by 3 percent per vehicle produced compared to 2013 levels (reduce by 34• Promoted the adoption of kaizen items in accordance with local conditions in each country and region,

Evaluationand implemented efforts to reduce water usage• Complete measures at 2 Challenge-focused plants where the water environment is considered to have a large impact• Promoted daily kaizen, wastewater recycling, and rainwater use, etc. as part of efforts to achieve the target• Reduced by 13 percent compared to 2013 levels• Promoted measures at Challenge-focused plants

percent compared to 2001 levels)

9

Water quality• Thoroughly manage water discharge quality under internal standards that are stricter than regulatory standards• Continuously assess the impact of wastewater at all plants where it is discharged directly into the river• Continued to manage water discharge quality under internal standards that are stricter than regulatory standards• Conducted assessment at all plants where it is discharged directly into the river10

Toyota Global 100
Dismantlers Project• Complete setup of 15 model facilities for appropriate treatment and recycling of End-of-life vehicles• Confirmed the maintenance of appropriate processing methods and management status for 9 fully• Continuously accelerate easy-to-dismantle designs• Integrate easy-to-dismantle designs to respond to appropriate treatment and recycling of End-of-life vehicles• Continued to integrate easy-to-dismantle designs in new vehicles• Establish a safe and efficient system for battery 3R*1 , eyeing the widespread use of electrified vehicles• Aim to maximize collection and detoxification of End-of-life batteries globally• Start operating battery 3R throughout 5 regions—Japan, U.S., Europe, China, and Asia

• Japan• Collaborated with JERA Co., Inc. to build the world’s first large-capacity sweep energy storage• Develop technologies to utilize recycled materials (especially plastics) in accordance with the conditions in each region• Promote utilization by technological development to optimally exploit recycled materials in Europe and• Began concrete studies to expand the utilization of recycled materials in response to the circular economy• Step-by-step expansion of the use of recycled plastics starting with the Prius in December 2022 with the• Realize “Plant in Harmony with Nature”—6 in Japan and 4 in other regions• Promote activities to connect with local communities in collaboration with affiliated companies• Start activities promoting harmony with nature in collaboration with local communities and companies• Established 4 model plants in Japan and 4 model plants overseas and continued to promote initiatives by sharing

Toyota Today for
Tomorrow Project• Globally strengthen conservation of endangered species, which symbolize biodiversity, in collaboration• In FY2021, completed a support agreement with the IUCN for the assessment of endangered species

Toyota ESD*2 Project• Implement globally unified initiatives to foster environmentally conscious persons responsible for the future• Offer environmental education opportunities by utilizing biotopes and others in collaboration with the Plant in Harmony with Nature• Foster environmentally conscious persons at both in-house and outside sites, including plants and• Conducted environmental education programs around the world

established model facilities. Currently working on establishing the remaining 6 facilities while responding
to individual issues.

and resource issues, and provide appropriate information (large batteries, fuel cell (FC), hydrogen tank)11

Toyota Global Car to
Car Recycle Project*1 Rebuild, Reuse, and Recycle

to increase the supply of recycled materials in Japan

Challenge of
Establishing a
Future Society
in Harmony with
Nature12

Toyota Green Wave
Project

toward biodiversity conservation

13
14

with NGOs and others

the Forest of Toyota, by utilizing educational tools in harmony with nature for the next generation

system from reused EV batteries. Operations have already commenced including connection to thepower distribution system of the Yokkaichi Thermal Power Station.
• Collaborated with Tokyo Electric Power Company Holdings to develop a stationary storage battery
system using multiple electric vehicle storage batteries linked together. This system will be establishedat the Eurus Tashirotai Wind Farm operated by Toyota Tsusho Corporation and Eurus Energy Holdings
Corporation, and trial operation is scheduled to begin in FY2023.
• Overseas• Collaborated with Redwood Materials in North America on a verification project focusing on thecollection, evaluation, and recycling of lithium-ion and nickel-metal hydride batteries.

aim of achieving the target to expand use of recycled plastics by 2030 (see p. 30 for details of the initiative)

know-how with other plants (One plant in Japan has been certified as a Nature Coexistence Site by the Japanese
Ministry of the Environment and is scheduled to be added to the OECM database.)• Promoted activities in collaboration with 22 Toyota Group companies and global affiliates (Number of activities: 1,038)
and the selection of projects to be supported by the Toyota Environmental Activities Grant Program─[Cases in Japan]• Environmental study session: Plant in Harmony with Nature (19 sessions, including online sessions);
The Forest of Toyota (249 sessions)*2 Education for Sustainable Development

Sustainability Data Book

53

Overview

Promoting Sustainability

Policy and Environmental
Management

Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Governance

Climate-related Financial Disclosures
Based on TCFD Recommendations

Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification

Evaluation Legend: Progressed smoothly:	Target expected to be achieved by FY2026 although
there are some issues－: Target not achieved

Six Challenges
Environmental
Management

No.

15

Action Items

Chemical substances

Specific Actions and Targets• Implement thorough management by carefully considering legal trends in each country and region

Progress Results in FY2023

Evaluation• Steadily introduced vehicles that comply with the latest regulations and restricted substances• Promoted continued evaluation and improvements to the chemical substance management system
together with affiliates and suppliers in each country and region.

16

Air quality• Product

Steadily introduce low-emission vehicles and boost further improvement by introducing and increasing
ZEVs*• Product• In response to stricter emissions regulations in various countries and regions, steadily introduced
vehicles that satisfy those regulations*Z ero Emission Vehicles: Vehicles that have the potential not to emit any CO2 and NOx (nitrogen oxide) during driving such as battery
electric vehicles (BEVs) and fuel cell electric vehicles (FCEVs)• Production

Continue volatile organic compound (VOC) emissions reduction activities and maintain industry-leadinglevel• Production• Production: Promoted a switch to water-based paint in the bumper painting process• Implemented initiatives to completely eliminate the use of ozone-depleting substances (ODS) with nosignificant emissions of these substances

17

Waste

• Promote activities to thoroughly reduce waste globally and aim to minimize the volume of resource• Promoted activities to reduce waste through development and deployment of waste reduction-oriented• Implement initiatives to reduce and recycle plastics used in packaging and recycle them

• Continued to promote the reduction of plastics used in packaging by reviewing packaging• Thoroughly comply with environmental laws and regulations and strengthen proactive prevention• There were 3 environmental non-compliance issues in the production area (0 in Japan and 3 in other

input and waste, with the environment and economy in balance

18
19

Logistics packaging
Risk Management

activities for environmental risks in each country and region

production technologies and daily kaizen activities

specifications and active use of recycled materials

regions) and 2 complaints in the non-production area (1 in Japan and 1 in other regions), for whichmeasures were completed
There were no significant violations of environmental laws and regulations and environmental
noncompliance issues

Sustainability Data Book

54

Overview
Policy and Environmental
Management

Promoting Sustainability
Climate Change

SocialEnvironment

Resource Recycling

Harmony with Nature

Climate-related Financial Disclosures
Based on TCFD Recommendations

Governance
Environmental Data

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification

Verification Opinion

Updated in October 2023

Third-party
Verification

10 October 2023
Opinion No：SGS23/004

Attached file

Mr. Koji Sato
President,
Member of the Board of Directors
Toyota Motor Corporation
1 Toyota-Cho, Toyota City, Aichi Prefecture Japan

10 October 2023
Opinion No：SGS23/044

The details of the scope of verification

Objective

SGS Japan Inc. (hereinafter referred to as "SGS") was commissioned by Toyota Motor Corporation (hereinafterreferred to as "the Organization") to conduct independent verification based on Criteria of Verification (ISO140643: 2019 and the SGS verification protocol) regarding the data prepared by the Organization on the scope ofverification (hereinafter referred to as “the Statement”). The objective of this verification is to confirm that theStatement in the Organization's applicable scope has been correctly calculated and reported in the Statement inconformance with the criteria, and to express our views as a third party. The Organization is responsible for the
preparation and fair presentation of the Statement.

The Scope
1
Average CO2 Emissions
from New Vehicles: Global(by region)

The Boundary
Toyota and Lexus brand passenger carsin 14 countries and regions (excluding
trucks, buses, and commercial vehicles
subject to fuel efficiency regulations):
Japan, United States, Europe, China,
Canada, Brazil, Saudi Arabia, India,
Australia, Taiwan, Thailand, Indonesia,
Russia, South Africa

Scope

The scope of verification is Scope1 and Scope 2, energy consumption, Scope3 emissions, water usage, waste
volume and automobile-related environmental performances (disclosed in the Toyota Sustainability Data Book).
The period subject to report is from 30 April 2022 to 31 March 2023.
Refer to the attached sheet for the detailed scope of verification.
2

Procedure of Verification

The Statement was verified in accordance with Criteria of Verification, and the following processes were
implemented at a limited level of assurance:
Verification of the calculation system: Interviews on the measurement, tabulation, calculation, and reporting
methods employed by the Organization as well as review of related documents and records
Verification of the Statement: On-site verification and voucher review conducted at Myochi Plant and TOYOTAAUTO BODY CO.,LTD. Inabe Plant, and analytical procedures and interviews for the other sites in the scope ofverification carried out at the head office
The criteria for this review are based on the Emission Factors 2022, the Greenhouse Gas Emissions
Accounting and Reporting Manual Ver.4.8, the Basic Guidelines for Accounting of Greenhouse Gas Emissions
Throughout the Supply Chain Ver. 2.4, Emission Factor Database on the same Accounting Ver. 3.3, the Basic
Database of the Carbon Footprint Communication Program Ver. 1.01, IDEA Ver. 2.3, SBTi Transport Guidance ,the Toyota LCA System and the protocol specified by the Organization.

Conclusion

Within the scope of the verification activities employing the methodologies mentioned above, nothing has cometo our attention that caused us to believe that the Organization's Statement was not calculated and reported inconformance with the criteria.
SGS Japan Inc. affirms our independence from the Organization, being free from bias and conflicts of interest
with the Organization.

3
4

Reduction rate of average
CO2 Emissions from New
Vehicles: Global (Compared
to 2010 levels)

Toyota and Lexus brand passenger carsin 12 countries and regions (excluding
trucks, buses, and commercial vehicles
subject to fuel efficiency regulations):
Japan, United States, Europe, China,
Canada, Brazil, Saudi Arabia, India,
Australia, Taiwan, Thailand, Indonesia
Sales of Electrified Vehicles: Toyota and Lexus brand electrified
Globalvehicles (passenger cars andcommercial vehicles) globally
CO2 Emission Reduction
Cumulative CO2 reduction effect from
Effects from Electrified
Toyota and Lexus brand electrified
Vehicles: Global
vehicles (passenger cars andcommercial vehicles) sold in the pastglobally

The Statement
Japan：120.3 g-CO2/km
United States：141.4 g-CO2/km
Europe：109.9 g-CO2/km
China：133.4 g-CO2/km/km
Canada：131.7 g-CO2/km
Brazil：100.1 g-CO2/km
Saudi Arabia：149.7 g-CO2/km
India：137.6 g-CO2/km
Australia：170.2 g-CO2/km
Taiwan：140.9 g-CO2/km
Thailand：155.8 g-CO2/km
Indonesia：150.3 g-CO2/km
Russia：193.6 g-CO2/km
South Africa：180.9 g-CO2/km-27%

2,849 thousand units
176 million t-CO2

For and on behalf of SGS Japan Inc.

Yokohama business Park North Square Ⅰ
134, Godo-cho, Hodogaya-ku, Yokohama
Knowledge
Management Committee Member
Head of Certification/Accreditation

GRI 2-5

Yuji Takeuchi

1/5This document is issued by the Company under its General Conditions of Service accessible at www.sgs.com/terms_and_conditions.htm.
Attention is drawn to the limitation of liability, indemnification and jurisdiction issues defined therein. Any holder of this document is advised that information contained hereon
reflects the Company's findings as the time of its intervention only and within the limits of Client's instruction, if any. The Company's sole responsibility is to Client and thisdocument does not exonerate parties to transaction from exercising all their rights and obligations under the transaction documents. Any unauthorized alteration, forgery or
falsification of the content or appearance of this document is unlawful and offenders may be prosecuted to the fullest extent of the law.

2/5This document is issued by the Company under its General Conditions of Service accessible at www.sgs.com/terms_and_conditions.htm.
Attention is drawn to the limitation of liability, indemnification and jurisdiction issues defined therein. Any holder of this document is advised that information contained hereon
reflects the Company's findings as the time of its intervention only and within the limits of Client's instruction, if any. The Company's sole responsibility is to Client and thisdocument does not exonerate parties to transaction from exercising all their rights and obligations under the transaction documents. Any unauthorized alteration, forgery or
falsification of the content or appearance of this document is unlawful and offenders may be prosecuted to the fullest extent of the law.

Sustainability Data Book

55

Overview

Promoting Sustainability

Policy and Environmental
Management

5

6

Market Fuel Economy
Effect of Air
Conditioning (Utilizationof Big Data)

CO2 Emission
Reduction by Off-cycle
Technologies

Climate Change

CO2 Emission Reduction Effect of Using
Air Conditioners with Internal Air
Circulation
・Target country: Japan・Target vehicle models: Toyota/Lexus
brand passenger cars in vehicle
segments C and D (vehicles equippedwith in-vehicle communication devicesof 2017 and later versions)・Outside temperature at the time of dataacquisition: 26°C or higher and lessthan 41°C
・Calculation method: Based on Scope 3
Cat. 11 calculation method
Driving CO2 reduction effect of vehicles
equipped with the following EPA-approved
off-cycle technologies
・Off-cycle technology: High-efficiency air
conditioner (10 items), off-cycle (11items), independently approved (4items)
・Target countries: United States andSaudi Arabia
・Target vehicle models: Toyota andLexus brand vehicles equipped with offcycle technology, equivalent to LDV and
LDT in the United States
・Calculation method: Based on Scope 3
Cat. 11 calculation method

Resource Recycling

308 thousand t-CO2e

9

11

12

13
14
15

16
17

18
19

20
8

CO2 Emissions:
Scope3, Global

Category 1: Tangible purchases related tothe automobile business of Toyota, Lexus
and its consolidated subsidiaries brands

3/5

Climate-related Financial Disclosures
Based on TCFD Recommendations

Harmony with Nature

10

United States：
2022: 5.00 million t-CO2e
2021: 5.81 million t-CO2e
2020: 4.23 million t-CO2e
2019: 4.96 million t-CO2e
2018: 4.58 million t-CO2e
2017: 4.59 million t-CO2e
2016: 2.75 million t-CO2e
2015: 2.98 million t-CO2e
Saudi Arabia
2022: 0.29 million t-CO2e
2021: 0.24 million t-CO2e
2020: 0.20 million t-CO2e
2019: 0.11million t-CO2e
2018: 0.03 million t-CO2e

SocialEnvironment

Category 2: The automobile business of
Toyota Motor Corporation and its
consolidated subsidiaries
Category 3: Toyota Motor Corporation andits consolidated subsidiaries
Category 4: Transportation of materials,
parts and products related to theautomobile business of Toyota Motor
Corporation and its consolidated
subsidiaries
Category 5: Production sites of Toyota
Motor Corporation and consolidated
subsidiaries(The boundary is the same as the scope
No. 28 Waste)
Category 6: The automobile business of
Toyota Motor Corporation and its
consolidated subsidiaries
Category 7: The automobile business of
Toyota Motor Corporation and its
consolidated subsidiaries
Category 9: Transportation of materials,
parts, and products related to theautomobile business of Toyota Motor
Corporation and its consolidated
subsidiaries (excluding Hino Motors, Ltd.
and Daihatsu Motor Co., Ltd.)
Category 10: Automobile businessproducts of Hino brandCategory 11: Finished vehicles under thebrand name of the consolidated
subsidiaries and finished vehicles sold by
the consolidated subsidiaries
Category 12: Automobile businessproducts of Toyota, Lexus and its
consolidated subsidiaries brands
Category 14: Stores and service bases of
non-consolidated sales companies ofToyota Motor Corporation, Daihatsu MotorCo., Ltd. and Hino Motors, Ltd
Category 15: Toyota Motor Corporation

Category 2: 5.05 million t-CO2
Category 3: 1.20 million t-CO2
Category 4: 4.33 million t-CO2

Environmental Data

21

22

23
Category 5: 0.1 million t-CO2
24
Category 6: 0.06 million t-CO2

Content Index

FY2022 Review of the 7th Toyota
Environmental Action Plan (2025 Target)

Third-party Verification

CO2 Emissions: Scope 1 & 2 Toyota Motor Corporation and(energy-related CO2)
consolidated subsidiaries(494 domestic and overseas companies,
998 aggregation units)
CO2 Emissions Intensity:
Toyota Motor Corporation and
Scope 1&2 (Energy-related consolidated subsidiaries
CO2 emissions), Global (per (494 domestic and overseas companies,
vehicle produced)
998 aggregation units)
Energy Consumption: Global Toyota Motor Corporation and(by region, by type)consolidated subsidiaries(494 domestic and overseas companies,
998 aggregation units)
Toyota Motor Corporation andconsolidated subsidiaries(494 domestic and overseas companies,
998 aggregation units)

Category 7: 0.61million t-CO2
Category 9: 0.06 million t-CO2

25

26
Category 10: 0.12 million t-CO2
Category 11: 439.45
million t-CO2e
Category 12: 4.82 million t-CO2

27

28

Category 14: 4.07 million t-CO2

Category 15: 0.13 million t-CO2

Category 1: 110.49 million t-CO2

This document is issued by the Company under its General Conditions of Service accessible at www.sgs.com/terms_and_conditions.htm.
Attention is drawn to the limitation of liability, indemnification and jurisdiction issues defined therein. Any holder of this document is advised that information contained hereon
reflects the Company's findings as the time of its intervention only and within the limits of Client's instruction, if any. The Company's sole responsibility is to Client and thisdocument does not exonerate parties to transaction from exercising all their rights and obligations under the transaction documents. Any unauthorized alteration, forgery or
falsification of the content or appearance of this document is unlawful and offenders may be prosecuted to the fullest extent of the law.

Governance

29

Energy Intensity: Global (per Toyota Motor Corporation andvehicle produced)
consolidated subsidiaries(494 domestic and overseas companies,
998 aggregation units)
Water Usage: Global (byProduction sites of Toyota Motorregion)Corporation and consolidated
subsidiaries (126 domestic andoverseas companies, 216 aggregation
units)
Water Intensity: Global (per Production sites of Toyota Motorvehicle produced)
Corporation and consolidated
subsidiaries (126 domestic andoverseas companies, 216 aggregation
units)
Waste volume: Global (byProduction sites of Toyota Motorregion)Corporation and consolidated
subsidiaries (126 domestic andoverseas companies, 216 aggregation
units)
Waste Intensity: Global (per Production sites of Toyota Motorvehicle produced)
Corporation and consolidated
subsidiaries (126 domestic andoverseas companies, 216 aggregation
units)

Scope 1: 2.37 million t-CO2
Scope 2: 2.87 million t-CO2
0.62 t-CO2/vehicle

Japan: 34.5 PJ,
North America: 15.4 PJ,
Europe: 3.7 PJ, Asia: 9.1 PJ,
Others: 7.3 PJ
Electricity: 23.5 PJ, City gas: 12.8
PJ, Natural gas: 12.9 PJ, LPG:
1.7 PJ, LNG: 0.03 PJ, Coke: 0.3
PJ, Coal: 0.0004 PJ, Heavy oil A:
0.5 PJ, Light oil: 2.2 PJ,
Kerosene: 0.3 PJ, Steam: 0.003
PJ, Hot water: 0.1 PJ, Others: 7.8
PJ, Renewable energy: 8.0 PJ
8.36 GJ/vehicle

Japan: 18 million m3,
North America: 7 million m3,
Europe: 1 million m3,
Asia: 6 million m3,
Others: 1 million m3
3.9 m3/vehicle

Japan: 135 thousand tons,
North America: 47 thousand tons,
Europe: 11 thousand tons,
Asia: 30 thousand tons,
Others: 10 thousand tons
27.8 kg/vehicle

Note: Since the fiscal year covered (FY2022) depends on the fiscal year of each country, the periods from January 1, 2022 to
December 31, 2022, April 1, 2022 to March 31, 2023, and September 1, 2021 to August 31, 2022 are included.
(Note that Scope No. 6 includes calculations for past years (2021-2015) that were reorganized in 2022.)

4/5

This document is issued by the Company under its General Conditions of Service accessible at www.sgs.com/terms_and_conditions.htm.
Attention is drawn to the limitation of liability, indemnification and jurisdiction issues defined therein. Any holder of this document is advised that information contained hereon
reflects the Company's findings as the time of its intervention only and within the limits of Client's instruction, if any. The Company's sole responsibility is to Client and thisdocument does not exonerate parties to transaction from exercising all their rights and obligations under the transaction documents. Any unauthorized alteration, forgery or
falsification of the content or appearance of this document is unlawful and offenders may be prosecuted to the fullest extent of the law.

5/5This document is issued by the Company under its General Conditions of Service accessible at www.sgs.com/terms_and_conditions.htm.
Attention is drawn to the limitation of liability, indemnification and jurisdiction issues defined therein. Any holder of this document is advised that information contained hereon
reflects the Company's findings as the time of its intervention only and within the limits of Client's instruction, if any. The Company's sole responsibility is to Client and thisdocument does not exonerate parties to transaction from exercising all their rights and obligations under the transaction documents. Any unauthorized alteration, forgery or
falsification of the content or appearance of this document is unlawful and offenders may be prosecuted to the fullest extent of the law.

Sustainability Data Book

56

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

Social58 Respect for Human Rights
64 Diversity, Equity, and Inclusion (DE&I)
72 Value Chain Collaboration
76 Vehicle Safety
80 Quality and Service
85 Information Security
88 Privacy
90 Intellectual Property
91 Human Resource Development
96 Health and Safety
102 Social Contribution
103 Social Data

Sustainability Data Book57

Overview
Respect for
Human Rights

Fundamental
ApproachPromoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Organizational
Structure

Value Chain
Collaboration

Policy Development
and Dissemination

Vehicle Safety

Human Rights
Due Diligence

Environment
Information
Security

Quality and Service

Initiatives for MigrantLabor (Forced Labor)

Initiatives
for Wage

Privacy

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Initiatives for
Anti-harassment

Aim■ Toyota aims to be the best company in town, both loved and trusted by the people.

Respect for
Human Rights
SDGs
Contributions
GRI 2-25, 26, 30, 3-3, 409-1, 414-2

58

Fundamental Approach

58

Organizational Structure

58

Policy Development and Dissemination

59

Human Rights Due Diligence

60

Initiatives for Migrant Labor (Forced Labor)

61

Initiatives for Wage

61

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

62

Initiatives for Anti-harassment

62

Initiatives for Inclusion of Diverse Culture

62

Initiatives for Child Labor

63

Initiatives for Freedom of Association

63

Initiatives for Precarious Work

63

Education related to Human Rights

Human Resource
Development

Intellectual Property

Fundamental Approach
Updated in June 2023

GovernanceSocial■ We respect and honor the Human Rights of our employees, customers, and all people

related to our business activities.
■ Each employee contributes to creating a decent work environment that promotes safety & health,respects each employee’s dignity, and is free from any human rights abuse, including discrimination,harassment, child labor, and forced labor.
In i t i a t i v e■ Toyota refers to and respects the “United Nations Guiding Principles on Business and Human

Rights” (UNGP), and promotes activities related to Human Rights based on these guidelines.
■ Individuals working at Toyota respect Toyota’s Human Rights policy and align suppliers with the
Sustainability Supplier Guidelines, and implement Human Rights due diligence and educational
activities.
Toyota’s Human Rights Policy
Toyota’s action taken for Forced Labor of Migrant Workers (Statement on the Modern Slavery Acts)
Toyota’s Responsible Mineral Sourcing Policy

Organizational Structure
Aim■ To ensure that the company fulfills its corporate responsibility to respect Human Rights byembedding, implementing and conducting the necessary processes and actions.
In i t i a t i v e■ The direction and challenges of the initiatives are reported to and discussed by the Sustainability

Subcommittee. Key issues are consulted at the Sustainability Meeting and brought to the Board of
Directors meeting for oversight and decision-making.
• Toyota’s Chief Human Resources Officer oversees the responsibility for Human Rights
within the organization• The Human Resources Division is centered in Human Rights management, collaboratingwith the Purchasing Group, Sustainability Management Department, and otherorganizations.

Initiatives for Inclusionof Diverse Culture

Initiatives forChild Labor

Health and Safety

Content Index
Social Contribution

Initiatives for Freedomof Association

Initiatives forPrecarious WorkSocial Data
Education Related
to Human Rights

Policy Development and Dissemination
Ai m■ Toyota’s Human Rights Policy applies to all executives and employees at Toyota andits subsidiaries. We also expect our business partners, including our suppliers, tounderstand and support this policy, and to work with us to ensure that their business
operations respect this policy. This policy includes:• Respect for internationally recognized Human Rights in line with the international norms
including the UNGP and the Universal Declaration of Human Rights.
• Compliance with international Human Rights obligations together with the laws andregulations of the countries in which we operate.
Initiative

Development of Human Rights policies• The Human Rights policy was developed with advice from third-party specialist Human
Rights organizations.

• The policy was supported by the top management, and was further developed
incorporating feedback from internal divisions, the supply chain, and regional affiliates.

• The policy was approved by the Board of Directors.
Dissemination within the company• In August 2022, Human Rights training content was developed, and all current Toyota

Motor Corporation employees completed the human rights training. To continuously
educate the workforce and eliminate any gaps, the training content has been
incorporated into the induction material for recruits in the organization.
• The human rights policy was further rolled out to other regional Toyota affiliates.
• Through the Supplier Sustainability Guideline cascaded to 1st Tier Suppliers, we expect
the suppliers to embed the policy in their own operation and disseminate it to their
supply chain.
• Incorporate specific Human Rights statements to the Dealer Basic Contracts, and the
new business planning guidelines.
P.63 Education Related to Human Rights

P.6 Promoting Sustainability

Sustainability Data Book

58

Overview
Respect for
Human Rights

Fundamental
ApproachPromoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Organizational
Structure

Value Chain
Collaboration

Policy Development
and Dissemination

Human Rights
Due Diligence

Vehicle Safety

Environment
Information
Security

Quality and Service

Initiatives for MigrantLabor (Forced Labor)

Initiatives
for Wage

GovernanceSocialPrivacy

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Intellectual Property
Initiatives for
Anti-harassment

Human Resource
Development

Initiatives for Inclusionof Diverse Culture

Initiatives forChild Labor

Content Index

Health and Safety

Social Contribution

Initiatives for Freedomof Association

Social Data

Initiatives forPrecarious Work

Education Related
to Human Rights

Human Rights Due Diligence
A im

Engagement with stakeholders■ Continuously identify and assess risks related to Human Rights impacts on stakeholders, while ensuring mitigationand preventative measures are implemented.
Init ia t ive

Identification andAssessment■ Toyota partners with external stakeholders to fully understand and align with societal expectations, while maintaining legal

compliance in all operations including the supply chain.
Stakeholders• Consult to identify human rights risks related to the automotive industry• Participate in the Human Rights Working Group (2 sessions per year) and the seminars (4• The methodology, process, and actions are developed in line with various international standards and norms.
• For issues related to the automotive industry, Toyota consults Human Rights experts and other relevant

sessions per year)

stakeholders to classify and analyze the risks from two viewpoints: the impact on stakeholders and relevance toToyota’s business.*• Grasp human rights legislation trends and current affairs• Network with other participating organizations• Share human rights practices among the participating companies* For raw materials, we consider the sourcing region, quantity, and type of material.

• Reporting and risk assessment are conducted within the framework of the organization for sustainability
management (Sustainability Subcommittee).

Prevention• Proactively participating by responding to surveys on human rights• Benchmark best practices from top leading companies• Engage in dialogue with each organization to confirm assessment details• Continuous Risk Monitoring operations include:

Business partner collaboration, interaction with Human Rights associations, affected stakeholder consultations, andHuman Rights risk research.

Mitigation• For each of the prioritized risks, Toyota develops a risk mitigation plan through an agreement with the affected• Participate in seminars and conferences• Network with other participating companies• Share human rights practices among the participating companies• Acquire the latest ILO insights

stakeholders while also being guided by specialist external bodies.
• These plans are tracked and reviewed annually by the human-rights-related functions to evaluate their progress andeffectiveness, while the need for improvement is also determined.
RemedyContent• Development and implementation of a Grievance Mechanism• Internal: Speak Up Hotline• Consolidated subsidiaries: Toyota Helpline for Subsidiaries• Migrant workers: JP MIRAI Speak Up for Migrant Workers• Toyota Dealers: Helpline for Dealers• Consult to mitigate forced labor/migrant labor risks (Support on issuing the Modern Slavery
Report)• Collaborate with multi-stakeholders for a framework that enables a grievance mechanism forP.116 Speak-up

migrant workers• Participate in seminars on issues related to migrant labor• Exchange opinions with participating companies and participate in subcommittee meetings

P.61 Collaboration with JP-MIRAIEngagement with Business Partners (Supply Chain Due Diligence)■ Supplier Sustainability Guidelines include requirements for suppliers to ensure compliance with laws andregulations, and to respect Human Rights.
■ Toyota works together with suppliers on risk monitoring, tracking, and remediation, which also provides guidance andsupport for potentially affected stakeholders.
■ Methods for working with suppliers include:• Directly collaborating with Tier 1 suppliers and group companies.
• Collaborating with Tier 1 suppliers and other stakeholders to work with Tier 2 suppliers and beyond.
• In December 2022, Toyota's approach to promote human rights due diligence and initiatives was featured at the
Human Rights Risk Management Committee of Kyohokai, a voluntary organization consisting of suppliers to Toyota.

2023 Priority Salient Risks■ As a result of identifying and assessing our salient risks, Toyota maintains due diligence with high priorities on the following

risks for 2023: supply chain due diligence, forced labor, child labor, harassment, and discrimination (gender).
■ If any other sudden or unforeseen salient risks emerge in our business, we may review our priorities and conduct ad hoc due

diligence activities.

Sustainability Data Book

59

Overview
Respect for
Human Rights

Fundamental
ApproachPromoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Organizational
Structure

Value Chain
Collaboration

Policy Development
and Dissemination

Human Rights
Due Diligence

Vehicle Safety

Environment
Information
Security

Quality and Service

Initiatives for MigrantLabor (Forced Labor)

Initiatives
for Wage

GovernanceSocialPrivacy

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Intellectual Property
Initiatives for
Anti-harassment

Human Resource
Development

Initiatives for Inclusionof Diverse Culture

Initiatives forChild Labor

Content Index

Health and Safety

Social Contribution

Initiatives for Freedomof Association

Social Data

Initiatives forPrecarious Work

Education Related
to Human Rights

Initiatives for Migrant Labor (Forced Labor)
A im■ Ensure decent and acceptable working conditions, which include

freedom of movement, fair treatment, and proper employment contracts
for migrant workers in our business operations and supply chain.

[Survey 1]
Survey scope• Toyota’s domestic and overseas subsidiaries

Survey description• The number of migrant workers*2• The countries the workers migrated from• The percentage of indirect recruitment• Possible issues in the recruitment and/or repatriation process

Init ia t iv e

Example ● Charging high recruitment fees, withholding■ Recognize that migrant workers are vulnerable to exploitation andforced labor. We are also aware that potential risks of forced labor
involving migrant workers may exist within our business, supply chain,and value chain due to the nature of our business.
• Migrant labor has been identified as one of the salient issues since 2019.
• As part of our due diligence activities, we have been working with nongovernmental organizations to ensure fair working conditions for migrant
workers within our affiliates and suppliers, both inside and outside Japan.

Guidelines and declaration development

passports or identification documents, prohibiting
the return to the home country, etc.
Survey results*1 S
 et of 13 declarations created to enhance and respect the rights of migrant workers from the moment of
recruitment, during overseas employment, and until their safe return to their home countries. The “ASSC Tokyo
Declaration 2020” was developed with reference to the “Dhaka Principles,” regarded as the international norm
advocated by the International Organization for Migration and the International Labor Organization

ASSC Tokyo Declaration 2020

Risk Assessment■ In light of the issues surrounding migrant labor, a task force was assembled

to conduct surveys on matters that are considered particularly crucial. The
following surveys were carried out from 2022 to 2023 at Toyota subsidiaries
both in Japan and overseas.

Conducted the survey focused on foreign technical internship trainees,*3 whoare generally at high risk of being subjected to forced labor with debt.
*3 Foreign Technical Internship Trainees are foreign workers sent to Japan for the purpose of technical skills
training. There are 158 operations in 86 job categories, and trainees are dispatched to various industries in
the hopes of acquiring much needed technical skills to be used in operations in their home countries upon
their return.

Survey scope• No infringements for migrant workers were found at local*2 In these surveys, “migrant workers” refer to non-regular (contingent, contract, non-permanent, temporary,etc.) foreign national workers with a status of residence (non-permanent) for the purpose of employment(excluding expatriates from other companies/countries).

RegionJapan• The number of foreign technical internship trainees and theirdispatching countries• Vietnam, China, and Indonesia account for 80% of the technicalinternship trainees.

• Based on the survey results, detailed fee information was

Number of Migrant Workers

obtained from supervisory organizations and dispatchingorganizations, for technical intern trainees from Vietnam, China,
and Indonesia.
• Fee details should be inquired when prices were significantly
high.

1,021

North America

100

Latin America

108

EuropeSurvey description
Survey results

Migrant workers at Toyota Subsidiaries by region• Group companies in Japan and their major Tier 1 suppliers• Toyota’s major Tier 1 suppliers.
(The top 280 suppliers accounting for 90% of the total
procurement value.)• Toyota Dealers (248 companies)

operations and at our subsidiaries■ Guidelines have been developed to help eliminate possible exploitation

by unscrupulous employment agencies charging high recruitment fees,and ensure freedom of movement, fair treatment, and proper employment
contracts for migrant workers.
■ Participation in the working group on the formulation of the ASSCTokyo Declaration 2020.*1[Survey 2]

3,089

Southern Africa

14

Asia

234

Oceania

9

China

2

Foreign Technical Internship Trainees Utilization (Japan)
Number ofCompanies
Surveyed

Number of Companies
Number ofThat Utilize Foreign
Foreign TechnicalTechnical Internship
InternshipTrainees
Trainees

Toyota Group Companies
and their major Tier 1
Suppliers

295

121

3,951

Tier 1 Suppliers

280

75

2,654

Toyota Dealers

248

20

73

Total

823

216

6,678

Sustainability Data Book60

Overview
Respect for
Human Rights

Fundamental
ApproachPromoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Organizational
Structure

Value Chain
Collaboration

Policy Development
and Dissemination

Human Rights
Due Diligence

Vehicle Safety

Environment
Quality and Service

Initiatives for MigrantLabor (Forced Labor)

Collaboration with JP-MIRAI■ In 2020, Toyota became part of the initial body to establish the “Japan

Platform for Migrant Workers toward a Responsible and Inclusive
Society (JP-MIRAI),”* which has now grown to be a multi-stakeholder
framework for resolving issues faced by migrant workers in Japan.
■ In May 2023, JP-MIRAI officially started operating a grievance mechanism
for migrant workers after a one-year pilot program.
• Toyota supports and cooperates with this mechanism that aims to resolve
issues in an appropriate and timely manner.
■ Contents of the activities:• A multilingual web portal and application that provides relevant information
on living and working in Japan• A grievance mechanism for making complaints• Follow-up support for cases that are likely to develop into serious problems• An Alternative Dispute Resolution (ADR) mechanism* Over 600 members, consisting of various stakeholders such as private companies, local governments, NPOs,
academics, and lawyer

Information Disclosure■ From 2021 “Toyota’s action taken for Forced Labor of Migrant Workers(Statement on the Modern Slavery Acts)” has been disclosed
Toyota’s action taken for Forced Labor of Migrant Workers (Statement on the Modern Slavery
Acts)

Initiatives
for Wage

GovernanceSocialInformation
Security

Privacy

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Intellectual Property
Initiatives for
Anti-harassment

Human Resource
Development

Initiatives for Inclusionof Diverse Culture

Initiatives for Wage

Initiatives forChild Labor

Health and Safety
Initiatives for Freedomof Association

Content Index
Social Contribution
Initiatives forPrecarious WorkSocial Data
Education Related
to Human Rights

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Aim■ To pay an appropriate level of wages that ensures compliance withapplicable laws and regulations and competitiveness in order to securenecessary human resources and build a sense of security among
employees.
In i t i a t i v e■ If the minimum wage increases, revise employee compensation as necessary.

To improve the situation of temporary workers, Toyota provides family
allowance, subsidizes meal costs, grants special leave, and utilizes channels
established to allow dialogue between temporary workforce employees
and permanent employees, making their conditions equivalent to those ofpermanent employees.

Ai m■ Comply with laws and regulations related to working hours, breaks, andleave.
■ Through thorough communication between labor and management, secure

employee health and safety.
■ Promote flexible workstyles without restrictions of time and location,

to improve productivity and support employees in balancing work withchildcare/family care.
Initiative■ Track and manage arrival/departure times and computer login/log-out times

through the time management system, and have the supervisor check andapprove the record.
■ Visualize workload and statuses of annual paid leave spent throughthorough communication between supervisors and members to reduce long
working hours and ensure the utilization of annual paid leave.
■ Offer various systems such as the FTL (Free Time & Location) system, whichenables teleworking and reduced working hours, to support a flexible
workstyle and balancing work with childcare/family care.
■ If an employee requests permission to conduct a side business, decide
whether or not it is acceptable according to criteria including safety
considerations, confidentiality, non-competition, duty of good faith, etc.

Sustainability Data Book

61

Overview
Respect for
Human Rights

Fundamental
ApproachPromoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Organizational
Structure

Value Chain
Collaboration

Policy Development
and Dissemination

Human Rights
Due Diligence

Vehicle Safety

A im■ Toyota

does not tolerate any form of harassment, such as sexual
harassment, power harassment, or any act that harms the dignity of
any individual.
■ Aim to create a workplace where all employees can work happily.
Init ia t ive

rules clearly specify the prohibition of harassment anddisciplinary provisions for harassment.
■ The Toyota Code of Conduct clearly states that Toyota will not tolerate any
form of harassment.
■ Annual online training programs are deployed to all employees, from executives
and managers to regular employees, to ensure comprehensive awareness• Training for executives and managers (approx. 8,800 employees)
Details: U nderstanding the importance of eradicating harassment, examples
of inappropriate speech and behavior, how to respond to common
forms of workplace harassment (including consultations withspecialists)
Past results: Approx. 7,500 employees have participated in this type oftraining.
• Training for regular employees (approx. 33,000 employees)
Details: U nderstanding the importance of eradicating harassment, examples
of inappropriate speech and behavior, responses to common formsof workplace harassment, power harassment toward managers
by team members, and consultation methods were discussed tounderstand the importance of eradicating harassment.
■ Toyota integrated the external and internal hotlines into the “Speak up”
Hotline system, enabling early detection and resolving workplace issues anddifficulties that employees are facing.
■ Conduct training with psychology experts to look deeply into the mental
health of individuals, aiming not only to prevent harassment but also to help
create workplaces where members can work happily.
P.116 Speak-up

Initiatives
for Wage

GovernanceSocialInformation
Security

Quality and Service

Initiatives for MigrantLabor (Forced Labor)

Initiatives for Anti-harassment■ Employment

Environment
Privacy

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Intellectual Property
Initiatives for
Anti-harassment

Human Resource
Development

Initiatives for Inclusionof Diverse Culture

Initiatives for Inclusion of Diverse Culture
Aim

Initiatives forChild Labor

Health and Safety

Content Index
Social Contribution

Initiatives for Freedomof Association

Initiatives forPrecarious WorkSocial Data
Education Related
to Human Rights

Initiatives for Child Labor
Ai m■ Respect various cultures and customs while supporting members to live andwork under safe and secure conditions.
In i t i a t i v e■ Choice of meals

Canteen: T he canteen labels and displays a wide array of daily meals
provided for improved inclusivity and visibility, considering thevarying dietary requirements in our business.
Dormitory: Accommodate self-catering facilities, arrange rooms considering
dietary habit, such as vegetarian meals, etc.
■ Worship facilities
Prayer rooms, equipment available for rent and foot-washing facilities■ Daily life support
Language assistance (interpretation, language learning, lending translation
tools, etc.), liability insurance, 24-hour medical assistance services, support
for obtaining a driver’s license■ Toyota does not accept any forms of child labor, which deprives childrenof educational opportunities, hindering their growth and development.

• In line with international norms, we adhere to the following conditions:• The minimum age for employment shall be 15 years of age, the legal
minimum age for employment, or the age of completing compulsory
education, whichever is the highest under the local applicable laws andregulations.
• Do not allocate employees below 18 years of age to hazardous work.
• Vocational training or apprenticeship programs permitted underapplicable local laws and regulations.

Initiative■ Enhance due diligence activity in the high-risk sector of child labor in ourbusiness operations and supply chain.

P.64 Diversity, Equity, and Inclusion (DE&I)

Label at canteen

Foot-washing facility

P.94 Initiative to Promote Psychological Well-being

Sustainability Data Book

62

Overview
Respect for
Human Rights

Fundamental
ApproachPromoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Organizational
Structure

Value Chain
Collaboration

Policy Development
and Dissemination

Vehicle Safety

Human Rights
Due Diligence

Environment
Quality and Service

Initiatives for MigrantLabor (Forced Labor)

Initiatives for Freedom of Association
A im

Initiatives
for Wage

GovernanceSocialInformation
Security

Privacy

Initiatives for Appropriate Working Hour
Management and Flexible Work Styles

Intellectual Property
Initiatives for
Anti-harassment

Human Resource
Development

Initiatives for Inclusionof Diverse Culture

Initiatives for Precarious Work
Aim

Content Index

Health and Safety

Initiatives forChild Labor

Initiatives for Freedomof Association

Social Contribution

Social Data

Initiatives forPrecarious Work

Education Related
to Human Rights

Education Related to Human Rights
Ai m■ Under Toyota’s “Respect for People” philosophy, we aim to respect and fully■ Our businesses require personnel equipped with both advanced skills and■ Promote understanding and encourage actions for Human Rights issues,harness individual capabilities, ways of thinking.
■ Based on the Universal Declaration of Human Rights, we respect ouremployees’ right to freely associate while respecting their right not tobe compelled to belong to an association in compliance with the laws of
the countries in which we operate.
■ We take every opportunity to engage with employees through thoroughdialogue and build healthy labor relations regardless of the presence of aunion.

with a deep understanding of Toyota’s values. In order to achieve this, along period of time is required to cultivate such personnel. Therefore, Toyota
strives to provide stable employment even when the external environmentis harsh.
■ To facilitate the fluctuating demand in the automotive industry, Toyota hires
temporary personnel for fixed periods, based on the customs and laborlaws of each region, while ensuring fair working conditions.

open and honest communication, and non-discrimination, Human Rights
training is aimed at among our executives, employees and business partners.

In i t i a t i v e
Init ia t ive■ Along with the collective agreements in place with our unionized affiliatecompanies both in Japan and overseas, we also have Labor-Management
Joint Declarations established in Japan (1962), Thailand (1993), Indonesia(2004) and Brazil (2015) as a global framework, in order to agree on auniversal philosophy of labor relations.
■ Cooperation with subsidiaries:• In order to determine the level of communication with employees andother issues related to freedom of association, we periodically sendout and collect questionnaires from our subsidiaries and request that
improvements be made to policies and activities based on the responses.
• For subsidiaries requiring concentrated initiatives, associates from Toyota
Motor Corporation are dispatched to review policies and activities, andwork with the subsidiary in question to enhance communication with andtraining for employees regarding Toyota’s policies concerning freedom of
association and legal compliance.
■ Cooperation with suppliers:• As a part of its global due diligence activities, Toyota investigates possible
infringement on Freedom of Association within the supply chain, andrecommends corrective actions. (2020–2022: 3 cases)■ Union organization ratio:
Countries with Unionized Operations (only countries/regions with
manufacturing base): 90% (19/21 countries)■ The following actions are taken in accordance with the local labor laws andcustoms:• Confirms the composition of employees at overseas entities, and for
non-permanent employment relationships, we identify affiliates requiring
prioritized examination.
• Dispatches associates to identified affiliate sites, where they implement
improvements such as reallocations and reviews of employment rules
related to contract terms where necessary. (In 2019: 3 cases, 2020-2022: 0
cases)

Initiative

Human Rights in general
Training for:

Main initiatives

Executives(Toyota Motor Corporation)• Explain international Human Rights guidelines and their

All employees(Toyota Motor Corporation)• Learn about the expected corporate and individual

Top management and HR
employees to be transferredto overseas affiliates(including the main suppliers)• Share positive labor-management communications,Purchasing function
employees to be transferredto overseas affiliates(Toyota Motor Corporation)• To support their daily purchasing responsibilities at their

expectations, the responsibilities required by companies,
and key Human Rights issues
responsibility and its scope in line with international
norms, and human rights infringement examples, helping
compliance with Human Rights in daily operations

information on past labor disputes, labor-management
negotiations, the latest trends in Human Rights, international
norms, and regulations
overseas posting, the training will accommodate building
healthy labor-management relationships with local
suppliers, including lectures related to Human Rights

Anti-harassment
Training for:

Main initiatives

Employees, including
executives, supervisors,
management, expatriates
and new hires(Toyota Motor Corporation)• Raise awareness to prevent harassment in various

Supervisors(Toyota Motor Corporation)• Online training by specialists in mental sciencesituations
Fiscal 2023 Results.
• All senior professionals/senior management and all
professionals/management: Approx. 7,500 employees,
total of 2,500 hours.
• All assistant managers and all those in lower ranks:
Approx. 24,000 employees, total of 6,000 hours.
• All shop floor employees: Approx. 41,500 employees,
total of 15,000 hours.
Fiscal 2023 Results• Supervisors: Approx. 12,000 employees
Sustainability Data Book

63

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Information
Security

Quality and Service

GovernanceSocialPrivacy

Human Resource
Development

Intellectual Property

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Fundamental Approach
Updated in January 2024

Diversity,
Equity, andInclusion(DE&I)

Organizational Structure

Aim

Ai m

■ Toward the transformation from a car company into a mobility company and continuous

innovations in existing areas, create an attractive workplace where employees withwide-ranging skills and values can demonstrate their abilities to the fullest.

■ Formulation, consensus building, and implementation of policies for initiatives related tothe promotion of diversity, equity, and inclusion.
Initiative

In i t i a t i v e■ Approaches, issues, and other matters are reported to and discussed at the Sustainability■ Nurture opportunities where all employees can demonstrate their full potential.
■ No tolerance of any form of discrimination at the workplace such as discrimination

based on gender, age, nationality, race, ethnicity, creed, religion, sexual orientation,
gender identity, disability, marital status, or the presence of children, etc.
■ Create a work environment with no harassment.

Subcommittee. Key issues are consulted to the Sustainability Meeting and brought up to
the Board of Directors meeting for oversight and decision-making.
P.6 Promoting Sustainability■ The Human Resources Department plays a central role in developing global Toyota-widemeasures tailored to each region.

Details

Time of theaward

PRIDE Indicators

Appropriate management and protection of personal
information based on the Toyota Code of Conduct and basic
policies on the protection of personal information formulated
by each country and region (Toyota Motor Corporation).

Nov. 2023

Top 50 Companies
For Diversity 2023

Toyota Motor North America won 4th place in the generaldivision of the Top 50 Companies for Diversity 2023 ranking
announced by U.S. Diversity Inc.

May. 2023

SDGs
Contributions• We have set up dedicated diversity and inclusion promotion organizations in Toyota

Motor Corporation (Japan), Toyota Motor North America (U.S.), Toyota South Africa,
Motors (Pty) Ltd. (South Africa).
• In many regions we have established diversity and inclusion promotion organizations
consisting mainly of concurrent appointments within the area of human resources.

GRI 3-364

Fundamental Approach

64

Organizational Structure

65

Women’s Activity

68

Childcare / Nursing Care Support

69

Inclusion of Persons with Disabilities

70

Inclusion of LGBTQ+ Employees

70

Initiatives Related to Race and Nationality

71

Employment for Over 60s

Sustainability Data Book64

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Women’s Activity
A im

The Promotion of Female Employee Participation and Advancement in the Workplace Action Plan

■ The promotion of gender diversity is a particularly important issue for Toyota Motor Corporation in Japan, and we are implementing

initiatives involving both women and workplaces to create an environment where diversity is leveraged to boost competitiveness.

Toyota’s plan to build an environment to promote women’s participation in the workplace
1. Implementation period

Init ia t iv e

2. Provision of work-life opportunities for female employees

History of Initiatives■ 2002: Launched “Initiatives centered on expansion and establishment of measures to support work-life balance”

Our Challenge■ From 2012: Enhancement and active support of environment that can support women to gain motivation and support their

participation (especially development of female managers)

Target■ From 2021: Unconscious bias training for all management and supervisors in the company■ From 2022: Strengthen diversity training (basic courses and management courses)

Our Course of Action

Changes

Overall Image of Initiatives to Promote Women’s Participation in the Workplace(Administrative and Engineering Employees)
Phase 1 Expansion of Programs

Phase 2 Focus on Retention

Phase 3 Retention + Increased Opportunity

2002
Established programs on
retention of andopportunities for women2007
Expanded programs
to promote retention

2012
Shifted focus on supportingchildcare to generating
motivation

Measures▼Reduced working
hours and expanded
childcare leave

Expanded (up untilchildren reach fourth
grade of elementary
school)▼Established onsite daycare centers(70 children accepted)

Revised (overtime work
allowed)▼Introduced seminars
on supporting a goodwork-childcarebalance(140 children accepted)

2014
Expanded
initiatives topromoteopportunities(Toyota Motor Corporation)

2016
Work styleinnovation▼Introduced a system▼Support for early
combining shorter▼Introduced daycare
return to work fromworking hours andfor sick children/maternity leave
flextime
overnight daycare▼Introduced family▼Introduced a▼Introduced
pickupallowances
service for childcare facilities mentorship system(460 children accepted)▼Introduced teleworking▼ Prepared individualized career development plansat home▼Introduced Re-employment Program(Toyota Motor Corporation)

Changes

Phase 1 Expansion of Programs

Phase 2 Focus on Retention

Phase 3 Retention + Increased Opportunity

2002
Established programs on retention of andopportunities for women2011
Expanded programs to promote retention

2013
Generate motivation and create environments forgood performance▼Introduced reduced working hours
and exemption from late-night work
▼Expanded childcare leave▼Established onsite daycare centers▼Priority placement of new employees(other than on assembly lines)

The number of females in managerial positions in 2014 to be increased fourfold by 2025,
and fivefold by 2030
Hiring: To maintain certain hiring rates for female graduates (40% or above for administrative positions
and 10% or above for engineering positions) and active hiring of women throughout the year(continuation from before 2020)
System Development: The creation of a system that reports on the progress of female training in eachdepartment to our board members (from 2020)
Employee Training: The development and implementation of a plan for individual employee training(continuation from before 2020) The utilization of a mentoring system (from 2020)
Networking: Host a global women's conference and symposium that the managerial class and female
promotion candidates can participate in (from 2019)

Target

The teleworking system is not utilized enough yet.
To increase users of the teleworking system to more than 50 percent of all employees(except for production workers and managers)
by 2025, irrespective of whether teleworking for childcare or nursing purposes
The creation of an environment that supports the use of teleworking, and informing our
employees: Expansion of use of IT tools so that there is no big difference between working in theoffice and teleworking (from 2020)
Cultural Transformation: Transformation to a work culture that does not make teleworking an
inconvenience or a hindrance (from 2020)▼Introduced permanent day shift work system*▼Started consultations on work-life balance

Shift-work support (acceptance up to a maximum of 2:30 a.m.)* A system that allows employees engaging in childcare to be exempted from shift work at plants

Our Challenge

Our Course of Action

The ratio of females in managerial positions is low(continuation of our activity from 2016-2020 is necessary).

3. Creation of a supportive environment to balance work and family life

▼Expanded teleworking at home

Overall Image of Initiatives to Promote Women’s Participation in the Workplace (Shop Floor Employees)

Measures

April 1, 2020 to March 31, 2025

▼Introduced daycare forsick children/overnight▼Introduced permanent daycare
night shift work system

Sustainability Data Book

65

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Toyota Motor Corporation’s Action Plan Based on the Act on
Advancement of Measures to Support Raising Next-generation Children

Support for Keidanren’s “Challenge to 30% by 2030*1”■ Toyota Motor Corporation expresses its support for the initiative andhas been working toward the target in accordance with Toyota Motor
Corporation Action Plan for the promotion of female employee participation
and advancement in the workplace.

1. Period
April 1, 2023 – March 31, 2025

2. Details
Aim 1[Actions]

Promote active participation by all members, focusing on
diversity, growth, and contribution as three main pillars■ Further enhancing labor-management communications to encourage growthand full participation of diverse human resources, including those who arebalancing work and childcare■ Implementing measures to further promote “honest dialogue” between
managers and their subordinates■ Introducing an evaluation system that places emphasis not on length of service
or academic background but on current capabilities and challenges■ Reinforcing resources to ensure diversity and reserve the capacity for taking onchallenges
Aim 2[Actions]

Create an environment where employees can balance workand life, childcare, and nursing care regardless of gender■ Easing the applicable conditions for shorter working hours for childcare (school
year limit, etc.)■ Creating an environment in which partner childcare leave is available to all those
who desire• Conducting seminars to encourage employees to take childcare leave
regardless of gender• Providing data on results and trends of male employees' participation inchildcare• Providing experience reports of employees who have taken childcare leave■ Enhancing diversity training for all employees
Aim 3[Actions]

Creating an environment that enables balancing ofwork and fertility treatment■ Familiarizing employees with the system to support balancing work and fertility
treatment (including leaves of absence) and establishing a consultation service■ Providing information to promote workplace understanding of fertility treatment
Aim 4[Actions]

Expand usership of support facilities andinfrastructure to external staff■ Promoting mutual use of intra-company day-care centers among Group
companies■ Promoting use of day-care facilities for sick children by informing local residents(in Toyota City) other than employees

Careerdevelopment
support• Round-table meetings with in-house and external role models:Promotion to
managerial
positions• Achieve 2025 target (the number of females in managerial positions in*1 The Keidanren’s NEW Growth Strategy is intended to accelerate initiatives to encourage the utilization ofdiverse human resources and sets a specific target of 30% or more executive positions being filled by womenby 2030 as one way of driving these changes

Initiatives at All Ranks■ Initiatives are promoted in all ranks, from development and expansion of

next-generation human resources to securing diversity in top management.
	(Toyota Motor Corporation)
Major items

Nextgeneration
development
andexpansion• Together with 9 group companies, Toyota established the Toyota

Female Engineer Development Foundation in 2014 to contributeto the promotion of women’s participation in manufacturingbusinesses in Japan.
• Attract and expand the number of girls studying in scientific fields
and foster female engineers in monozukuri (manufacturing).
• The Foundation provides a development program for female
engineering university students to support career-building as well asa scholarship program that provides financial support.

Recruitment• Target for % of female new graduates: 40% for administrative
positions and 10% in engineering positions (the percentages ofwomen in the relevant labor market).
• The percentage of women hired as shop floor employees has also
been steadily increasing.

Careerdevelopment
support• Career Return System

Designed for female managerial candidates and young employees inmanagement roles.
Participants meet and talk with more experienced employees andexecutives to learn about the diverse range of choices available tothem, providing a glimpse of their future career path.
• Participation in Japan Institute for Women’s Empowerment &Diversity Management programs:
Participation in 21st century seminars for women’s empowerment andtraining seminars for women in management.
2014 to be increased fourfold by 2025). To accelerate company-wide
initiatives, plans and measures of each division are gathered by the
personnel function and reported to the Sustainability Meeting.
• The Human Resources Division works closely with each workplace
to confirm the progress of candidates for promotion each year.
Candidates are given challenging roles equivalent to a higher rank.
FY2023 Result• Ratio of female managers*2: 3.4% (Toyota Motor Corporation)*2 Industry average: 2.0% (FY 2023)

Developing
candidates
for upper
management
Diversity
among
Members of
the Boardof Directors
and the
Audit &
Supervisory
Board• Development of candidates through succession plans.
Results as of June 2023

• Percentage of women in executive positions: 12.5%*3*3 Directors, Audit and Supervisor Board Members, Operating Officers and Fellows: 3 outof 24• Directors are appointed with comprehensive consideration and basedon their past achievements and experience, including their gender,
nationality and other factors relevant to corporate effectiveness, withthe aim of placing the right person in the right position.
Results as of June 2023
• Percentage of Female Directors and Audit & Supervisory Board
Members: 12.5% (2 out of 16)

Providing reemployment opportunities to employees who are forced
to leave Toyota because of the job-related relocation of their spouse(regardless of the spouse’s gender or whether the spouse is a Toyota
employee) or the need to provide nursing care.
• Career continuation support system for Toyota employees who are
moving with a spouse who is relocated overseas.
• Mentoring system:
Designed for female managerial candidates and young employees inmanagement roles.
Mentors provide employees with someone to talk to about theirworries and their hopes, offering new perspectives and assisting themwith network building.

Sustainability Data Book

66

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Initiatives at Major Global Operations
ToyotaMotor Europe NV/SA (Belgium)
TME（ベルギー）

Toyota Motor (China)
Investment Co., Ltd. (China)■Held company-wide events during the week of International Women’s Day(Video message by top management, workshops, etc.)■Working couple support: Home-working system,
part-time working regimes, support in finding
employment for spouses of employees sent to TME■Female career development: Mentorship system,
sponsorship system■Networking to promote gender
diversity■Active hiring of promising candidates into career positions■Conducted unconscious bias awareness training for all managers.
■Set targets in employment and management positions.

●Breastfeeding break of up to one
hour each day for lactating female
employees

Toyota Motor North America (U.S.)■Annual North American Women’s Conference, to which all executive level
women and many high-potential junior level women, as well as maledirectors and executives are invited to attend for networking andencouraging women’s participation and advancement in the workplace■Unconscious bias awarenesstraining for managers■Executive D&I scorecards have KPIs on managers making improvementsin their areas to promote initiatives.
■Established the Outside Advisory Committee Focusing on Diversity, whichis responsible for monitoring and reporting on the progress of diversity,
including career development for women.
■Set childcare facilities at multiple operation sites to allow flexible workstyles
for employees taking care of their children.

Toyota South Africa Motors (Pty) Ltd. (South Africa)■Leadership management workshops
to ensure acceptance of women andpromote their participation andadvancement in the workplace■Set employment targets.

■Events sponsored by the Business Partnering Group (which provides networking and educational opportunities to
employees as an organization representing the interests of minority groups)

Toyota do Brasil Ltda. (Brazil) + Toyota Argentina S.A. (Argentina)
KPIs Related to Promotion of Women’s Participation in the Workplace
We are continuing initiatives that promote women’s participation and advancement in theworkplace so that the percentage of positions held by women, from initial hiring to executive
positions, will consistently increase at many affiliates.

Toyota Daihatsu Engineering &Manufacturing Co., Ltd. (Thailand)

Percentage of Women Hired at Affiliates in Each Country/Region (FY2023)
Percentage of women [%]■Designated Women’s Day, which
promotes an open conversation
about the challenges women facein balancing their professional andpersonal lives.

Average period of employment (years)

Peoplehired

Full-time
employees

Managerial
positionsGlobal*

25.5

14.2

14.8

5.5

12.0

9.3

Japan

27.8

13.4

3.4

12.5

16.6

13.7

North America

25.0

24.0

34.0

—

11.3

9.9

Europe

36.0

19.0

15.0

0

13.3

8.6

China*

4.6

11.8

23.7

0

11

15

Asia-Pacific

19.0

7.0

16.0

4.0

12.9

9.9

Latin America

32.0

9.0

9.0

9.0

9.2

5.0

■Female prayer room

Africa

63.0

26.0

28.0

13.0

—

—

■Reserved parking area for
pregnant employees.

12

Directorpositions*1 Figures cover 44 overseas locations, including Japan (excluding China) *2 Data for FY2022

Male

Female■Set up nursing rooms.

■Allowed working from home.

■Healthy pregnancy program for pregnant
employees: Guidance and advice related
to health conditions, as well as orientationon breastfeeding and baby care
■Conducted unconscious bias awarenesstraining for all managers.
■Set employment targets.
■Held dialogue between human resources
division and management to promote
diversity within the company.
■Introduced the mentor system to support
female leaders.
■Introduced Soft-Landing Program insupport of employees returning to work
after childbirth.
■Support for nursing care costs for
employees who return to work early■Provide all employees with children withequipment necessary for school.

Sustainability Data Book

67

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Childcare / Nursing Care Support
A im■ Support each individual to feel secure and realize a working style matching

the needs based on his/her life stage. (e.g. breaking bias by promoting
housework for male employees, reducing the concerns and burdens of
employees with childcare, caregiving)■ Reflect male employees’ childcare leave schedule in the personnel planningfor business continuity.

Support forbalancingwork andchildcare

Init ia t iv eChildcare Support

• Onsite Childcare Facility (3 locations)• For workers at plants and nurses who work the night shift, childcare
in the early morning hours as well as overnight stays, shuttle service
from nearby plants for children transport are offered.
• The facility also accepts new enrollments throughout the year toaccommodate the needs of employees (including those who intend
to return to work early after childbirth, mid-career employees andemployees returning to Japan from overseas assignments.)• Installation of “PIPOLAND” (available to Toyota City residents andallows Toyota Motor Corporation to build stronger ties with the local
community in support of promoting work-life balance and childcare)(Toyota Motor Corporation)

Nursing Care SupportContents

Support fora Work-lifeBalance• Infertility treatment system• Available holidays: 20 days/year• Leave system: Up to 2 years per child• Promote awareness-raising activities through training, etc., andcreate a workplace culture.

• Pre-Maternity Leave Seminar, Superivisor Career Interviews for

employees who take maternity leave• Target: Employees taking maternity leave (regardless of gender)• Purpose:• Ease employee concerns about balancing work and childcare• Stimulate employees’ desire to continue to develop their careers
after returning to work.
• Content:• Employees examine their career plans and how best to achievethem.
• Sharing examples from employees who successfully balanced
work with family commitments and participation in roundtablediscussions.
• Teleworking system• Removing time and location restrictions, to allow employees tocontinue working while taking care of their children (except for
employees at production sites).
• Expanding flexible workstyle at production sites where working fromhome is difficult.

Male Child
Care
Participation• At the 2023 labor-management meeting, Toyota declared its targetof ensuring that 100% of eligible employees take partner childcare
leave (if they choose to do so). This information will be disseminatedthroughout the company to promote the creation of a supportive
workplace environment.
• Strengthening Diversity Training.
• Deploying system to flexibly support the absence of employees onchildcare leave both inside and outside the workplace.
• Confirm intention to take childcare leave and career life plans during
career interviews with supervisors. (from 2022)• Efforts to resolve problems are also promoted through holding
management discussion sessions to learn about problems at work.
FY2023 Results• Ratio of male employees taking childcare leave: 38.0%• Nursing care leave and shortened working hours.
• Increase flexibility in working hour system.
• Change the units of time for shortened working hours, etc.
• Enhance the system for teleworking at home.
• Expand applicable periods for various work-life balance support.
• Apply the career return system. (Re-employment of employees who
are forced to leave the company because of nursing care)

ProvidingInformation• Create a consultation hotline.
• Hold nursing care lectures.
• Publish a nursing care guidebook.
• Hold hands-on nursing care seminars.

Nursing
CareServices• Introduce a nursing care savings program.
• Expand nursing care service providers.
• Introduce home care worker services.

Financial
Support• Introduce nursing care insurance.
• Introduce a nursing care financing program.
• Create parent nursing care insurance.

Contents

Support forbalancingwork andchildcare(Toyota Motor Corporation)

Sustainability Data Book

68

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Information
Security

Quality and Service

GovernanceSocialPrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Inclusion of Persons with Disabilities
A im■ Realization of a “symbiotic society” in which people work together andlive together regardless of the presence or absence of disabilities.
■ Promote the development of a working environment in which anyone canmake the most of their characteristics in various workplaces and have asense of job satisfaction through demonstrating their abilities.

Toyota Loops (special-purpose subsidiary)■ Started business in 2009

As of June 2023:• 394 people with disabilities employed
Main tasks at
the office

Init ia t ive

employees throughout the workplace, various activities are implemented• Mental Barrier-Free Training (Wheelchair Experience Sessions, Mental
and Developmental Disabilities Sessions, etc.)• Sign language courses• Implementation of study sessions for assigned workplaces■ Support for assuring full skill application at work
• Setting up a privacy-preserving consultation service• Introduction of special vacation system that can be used for outpatient visits, etc.
• Dispatch of sign language interpreters• Distribution of various support tools■ Development of facilities• Installation of a parking lot exclusively for people with disabilities• Installation of universally accessible toilets• Confirmation of working conditions and the workplace environment iscarried out with an industrial physician to place personnel in roles suited tothe characteristics of their disability.
■ Employment rate of people with disabilities (results)• 2.49%* (as of June 2023)* Including Special-purpose Subsidiaries• Printing• Massage

environments and sanitizing facilities

On themanufacturingsite• Support for automotive manufacturing• Implemented at the Shimoyama, Kamigo, Head Office, Kinuura, and Miyoshi factories• Assembly of engine parts and picking of automotive parts

Development
co-operationtasks• Evaluation of welfare vehicles• Employees with disabilities participate in evaluations of the usability of Toyota’s assisted-mobility

Activities
outside ofwork• Participation in the Abilympics (Skills Competition for the Disabled) as a representative of Aichi• Planned training and management to deepen understanding of
disabilities• Collaboration in developing welfare vehicles and equipment

vehicles from the users’ viewpoint.
Example ● Evaluation of ease of getting in and out of the vehicle for wheelchair users, providing
opinions on aspects of the development of automated driving vehicles• Based on this evaluation, the opinions of real users, including the small details that only users can
notice, can be incorporated in the quality of the vehicles.

Prefecture• In 2020: g old award in the Photography division, silver in the Word Processor division and bronze
in both the Office Assistant and Database divisions• In 2021: g old award in the Database division, silver in Word Processor division and bronze inToyota South Africa Motors (Pty) Ltd. (TSAM, South Africa)

Product Packing Category

 hotography – outdoor division, English Word Processor division• In 2022: P• In 2023: T wo employees were chosen to be on the Japan national team at the International■ Setting KPIs related to employment of people with disabilities allows TSAM

to promote initiatives to improve the working environment for them in termsof facilities and culture.
■ Setting up a special program to provide additional financial support to persons
with disabilities for vehicle costs (to cover the increased cost associated withowning a special vehicle).

• Shredding documents• Laundry and cleaning• Assisting with nursing care in medical

annotation, and other computer-based tasks

Toyota Motor Corporation (Japan)■ To foster a corporate culture of understanding and empathy among• Assisting vehicle manufacturing• Assisting the distribution of service parts• Converting documents to PDF format,

Abilympics

Supportsystem• Creating a support system built upon partnerships between specialist staff (physicians, psychologists, psychiatric social workers, etc.)• Establishing a consultation service• Active information exchange with governmental bodies, local communities, and social welfare organizations
Sustainability Data Book

69

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Inclusion of LGBTQ+ Employees

Initiatives Related to Race and Nationality

A im

Ai m

■ Promoting an appropriate understanding, recognition, and acceptance with respect for personal identity and orientation.

Init ia t ive

Toyota Motor Corporation (Japan)■ Recruiting and hiring process• Graduates are not required to fill in their gender on their job application
sheets.

■ Introducing measures at facilities• Establishing an internal harassment consultation hotline.
• Set up gender-neutral restrooms. (To be set up at 66 locations within thecompany by 2028)■ Internal system• From July 2020 employees in same-sex marriages or common-law

marriages have been eligible for the same internal benefit systems as thosein legal marriages (holidays, employee benefits, etc.)■ In-house training• Basic training of LGBTQ+ for all employees and executives. (mandatory)• Training by outside instructors (LGBTQ+). (voluntary)■ ALLY* registration system• Approximately 21,000 employees, as of June 2023, have registered as
ALLYs.
• Rainbow MatchH eld an event in our official female softball match in conjunction with Toyota
City (Exhibition of Toyota City and Toyota’s LGBTQ+ Initiatives)

Toyota Motor North America (TMNA, US)■ Recruiting and hiring process• We have a nondiscrimination statement that the company does notdiscriminate based on gender, ethnicity and many other categories,
including LGBTQ+.
• No photo or gender identification required on resumes■ Installation of facilities• Set up gender-neutral restrooms at key locations■ Education and Awareness• One of our business partner groups (organizations representing theinterests of minorities) is an LGBTQ+ group conducting education andenlightenment activities.
■ ALLY System• Implementation of activities focused on increasing the number of ALLY
members■ Promoting racial and nationality diversity according to local conditions.

Initiative

Toyota Motor North America (TMNA, US)■ Implementing education and enlightenment programs as means ofpromotingunderstanding and diversity.
■ Promote diverse top management.

* An ALLY is a person who aligns with those facing problems or difficulties and addresses these challenges on theirown initiative while thinking of these issues as a personal matter. This term is derived from the word “alliance”
that means a union or an association.

Sustainability Data Book70

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Women’s Activity ｜ Childcare / Nursing Care Support ｜ Inclusion of Persons with Disabilities ｜ Inclusion of LGBTQ+ Employees ｜ Initiatives Related to Race and Nationality ｜ Employment for Over 60s ｜Toyota South Africa Motors (Pty) Ltd.
(TSAM, South Africa)

Employment for Over 60s■ TSAM promotes activities in line with the Broad-Based Black Economic

Empowerment (B-BBEE*) policy aimed at economic development andcreation of employment in South Africa.
• TSAM has acquired Level 7 as of January 2021.

Aim■ Support

employees to have diverse lifestyles and assure them that they are
respected for their willingness and ability to work in a rewarding manneralso after the age of 60.

* B-BBEE (Broad-Based Black Economic Empowerment): Rating of the efforts for and contributions to B-BBEE
by companies and organizations with scores (from the highest Level 1 to Level 8 and the lowest Noncompliant)

In i t i a t i v e
Management composition (TMNA, FY2023)

(Toyota Motor Corporation)
Year

Other

18％

1991

Latin America (Hispanic) 6％
Black

6％

Asian

11％

2001

White

19％

Indian29％• Optional Re-employment Application System was launched tooutplace applicants to external affiliates and other sites.

White 59％

• Based on the revisions to the Law on Stabilization of Employment

of Elderly Persons, the support was revised to expand reemployment by taking surveys and interviews based on the needsof the employees.

Management composition (TSAM, FY2023)

9％• Introduction of an internal re-employment system for skilled
retirees

2006 ∙ 2013

Other

Major items

2016
African (Black) 43％• Advanced Skilled Partner System was set up for shop floor

employees to encourage and motivate employees to keep
working after 60 by maintaining their job rank and salary at thetime of their statutory retirement at 60

Sustainability Data Book71

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Environment

Vehicle Safety

Information
Security

Quality and Service

GovernanceSocialPrivacy

Human Resource
Development

Intellectual Property

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Initiative with Suppliers ｜ Responsible Material Sourcing ｜ Initiative with Dealers ｜Fundamental Approach
Updated in January 2024

Value Chain
Collaboration

Initiative with Suppliers

Aim

Ai m

■ Enhancing further the Customer First policy by promoting collaborative activities with our■ Achieve mutual benefits based on mutual trust.
■ Pursue manufacturing in close partnership with our suppliers.

business partners including suppliers and dealers.
In i t i a t i v e

Initiative■ Toyota promotes open and fair business practices and is making constant progress withinitiatives to promote sustainability. We are also working closely with suppliers anddealers to improve quality, as well as providing safety and peace-of-mind to our customers,to achieve a high level of customer satisfaction.
Safety and Peace-of-Mind

Enriching Lives of People
Customer

Initiatives Related to Our Basic Purchasing Policies■ Implementation of our Basic Purchasing Policies worldwide• Before any transactions are made with a new business partner, an agreement is signed
stipulating the requirements for legal compliance, respect for human rights, andconsideration of both the regional and global environmental issues.

Toyota’s Basic Purchasing Policies

Providing good products at lower prices in a timely manner

1. Fair Competition Based on an Open-door Policy
Toyota is open and fair to any and all suppliers, regardless of nationality, size, or whether they have done
business with us before. We evaluate suppliers by quality, technological capabilities, and reliability in

ToyotaDealers/
Distributors

Suppliers

delivering the required quantities on time, and their efforts in addressing social responsibilities, such asenvironmental issues.
2. Mutual Benefit Based on Mutual TrustWe develop mutual benefit in long-term relationships. To foster trust, we engage in close communication

SDGs
Contributions
GRI 2-26, 3-3, 205-2, 414-1, 2

Production

Sales

After-sales Service

Mutual trust and a mutually beneficial relationshipwith suppliers.
3. Localization with Good Corporate Citizenship
We actively procure from local suppliers, including parts, materials, tools, equipment and other materials.
In this way, we aim to contribute to the local society and be a good corporate citizen.

72

Fundamental Approach

72

Initiative with Suppliers

74

Responsible Material Sourcing

75

Initiative with Dealers

Sustainability Data Book72

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Initiative with Suppliers ｜ Responsible Material Sourcing ｜ Initiative with Dealers ｜Organizational Structure

Compliance and Implementation of the Guidelines

Awareness-Raising Activities■ Approaches, issues, and other matters are reported to and discussed at the■ Checks using self-inspection sheets■ Within Toyota Motor Corporation: Activities to educate and raise awareness

implementation using a self-inspection sheet.
• Major Tier-1 suppliers (approx. 350 companies as of October 2020), which
account for over 90% of our purchasing volume in Japan, are asked tosubmit the results of their self-inspections so that Toyota can confirm theprogress of their initiatives.
• Self-inspections based on the latest Guidelines (revised in November 2021)
are scheduled for implementation in the near future.
■ Responses when problems are identified• The facts related to the issue are investigated and, if an issue is identified,we will communicate with the suppliers concerned and ask them to make
improvements.
⇒ If no improvements are made, business relationship may be reconsidered.
• To prevent issue reoccurrence at other suppliers, notices explaining theissue are sent and suppliers are asked to implement preventative measures.
• In 2020, our company asked suppliers to provide better assistance toforeign technical internship trainees who were unable to return to theirhome countries during the COVID-19 pandemic.

■ For suppliers: Promoting initiatives that involve voluntary activities at suppliers.

Sharing Toyota Supplier Sustainability Guidelines■ Importance of sustainability initiatives is communicated towards

suppliers with a request that suppliers carry out their business activities inline with the Sustainability Guidelines (established in 2009, last revision in
November 2021).
• Revisions in 2021: Sections related to the environment and human rights
were expanded to reflect the increasing importance of environmental andhuman rights issues.
• Over 90% of Toyota’s suppliers in Japan have added their legal
representative sign to the list of suppliers that support the purpose of
the Guidelines (as of March 2023).
• The Guidelines clearly indicate that suppliers in Tier-1 must expand theimplementation of the Guidelines to suppliers in Tier-2 and beyond in order
to disseminate these principles throughout the supply chain.
• The Guidelines have also been implemented globally to suppliers throughregional purchasing divisions.
Toyota Supplier Sustainability Guidelines

Preventing Bribery■ In order to eliminate all forms of bribery, Anti-Bribery Guidelines have been

adopted and shared with suppliers.
Anti-Bribery Guidelines

Supplier Hotline■ An anonymous hotline has been established for suppliers to report any actions

that could potentially violate laws, regulations, and/or business norms.
P.116 Speak-up

among all employees, including buyers in purchasing division.

Major Initiatives Led by Toyota
Target Audience

Details

All purchasing
division staff

Training
after joining
purchasing
division• Training related to sustainability

Regularseminars• Regular seminars related to human rights, theEmployees
dispatchedoverseas fromToyota Motor
Corporation
purchasing
divisions

Predeparture
training• Labor relations training provided by the humanSuppliers

P.6 Promoting Sustainability• All Toyota suppliers are requested to periodically check the status of their

Toyota Motor Corporation employees

Sustainability Subcommittee. Key issues are consulted to the Sustainability
Meeting and brought up to the Board of Directors meeting for oversight anddecision-making.
• Supervisor: Chief Officer and Deputy Chief Officer of the Purchasing Group• The Purchasing Group takes a lead in promoting initiatives in cooperation
with divisions related to the environment, human resources, andcompliance as well as the Sustainability Management Department.

Suppliers inJapan

Variousbriefings

Recent seminars• Seminar on Foreign technical internshiptrainees (2023)• A survey related to foreign technical internshiptrainees was carried out from March to June
2023. A briefing was held to explain about
Toyota’s initiatives in response to social trends
and environmental changes related to humanrights to improve awareness of human rights
issues throughout the entire supply chain• Briefing on achieving carbon neutrality (2021
and 2022)• Dissemination of specific emission reduction
calculation methods and tools to achieve CO2
reduction targets• Presentation about items to reduce CO2
emissions• Implementation of a matching service to linkcompanies providing emission reduction
solutions with suppliers that are having trouble
reducing their emissions• Suppliers in Tier-1 encourage suppliers in Tier-2
and beyond to participate in the initiatives abovein an effort to disseminate this information
throughout the supply chain

environment, and other sustainability topics
resources division

Sustainability Data Book73

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Initiative with Suppliers ｜ Responsible Material Sourcing ｜ Initiative with Dealers ｜■ Voluntary activities by suppliers*1• Round-table conference for corporate executives• A regular event intended to encourage corporate executives to take aleading role in promoting activities.
• Participants from Toyota Motor Corporation also attended discussions
about carbon neutrality (2021) and digital transformation (DX) (2022)
which included information sharing, issue identification, and discussionof responses.
• Kyohokai Environmental Research Group and Eihokai SDGs Study Group• Suppliers share information with each other to boost mutual awareness.
Participants can deepen their understanding of topics including
examples of energy-saving initiatives and the adoption of renewableenergy. This know-how is compiled into a document which is thendistributed and shared with all participants.
• Volunteer activities*1 Carried out by Toyota’s supplier associations Kyohokai and Eihokai

Responsible Material Sourcing
Aim■ Toyota carefully appraises the negative impacts of its business activities on human rights and the environment, and strives to identify, prevent, and mitigate risks.

In i t i a t i v e

Organizational Structure■ Cross-functional task force established to promote close cooperation between related divisions.

• Leader: Deputy Chief Officer, General Affairs & Human Resources Group (Sustainability).
• Related divisions: Sustainability, Purchasing, Human Resources, Environment and major regional affiliates.
• The task force monitors external trends, assesses risks , discusses action policies, and implements measures.

■ Reports on progress of initiatives to the Sustainability Subcommittee

P.6 Promoting Sustainability

Other initiatives with suppliers
P.60 Initiatives for Migrant labor (forced labor)
P.81 Quality Risk Management – Initiatives with Suppliers
P.86 Information Security – Initiatives for Supply Chains

Policy■ Toyota established “Policies and Approaches to Responsible Mineral Sourcing” based on the “OECD Due Diligence Guidance for Responsible Supply Chains ofMinerals from Conflict-Affected and High-Risk Areas” aimed to prevent human rights violations, such as child labor and forced labor.
■ The “Supplier Sustainability Guidelines” clarify Toyota’s expectations of suppliers in terms of “Responsible Material Sourcing”.

Policies and Approaches to Responsible Mineral Sourcing
Supplier Sustainability Guidelines (global.toyota)

Risk Awareness■ Toyota analyzes risks associated with automotive parts and materials and takes actions based on external surveys, regulatory trends, and the results of dialogues withexternal stakeholders. (Risk awareness is updated accordingly.)● : High risk 〇 : Some risk

Major potential material risks*2
Major potential risks

CobaltLithium

NickelNaturalgraphite

Tin

Tantalum

TungstenGold

NaturalrubberChild labor

⃝

⃝

⃝

⃝

⃝

Forced labor

⃝

⃝

⃝

⃝

⃝

Impacts on indigenous people /local communities

⃝

⃝

⃝

⃝

⃝

⃝

⃝

⃝

Environmental impacts(e.g., GHG emissions/pollutants)

⃝

⃝

⃝

⃝

⃝

⃝

⃝

⃝

⃝

*2 Table created based on information from "Material Change" (Drive Sustainability, Responsible Minerals Initiatives, Dragonfly Initiative" and other sources

Sustainability Data Book74

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Initiative with Suppliers ｜ Responsible Material Sourcing ｜ Initiative with Dealers ｜Implementation of measures
Materials

Cobalt, lithium,nickel, naturalgraphiteTin, tantalum,
tungsten, gold
(3TG / conflictminerals)
Conflict Minerals
ReportNatural rubber
Policy for
Sustainable
Natural Rubber
Procurement

Initiatives• Start of dialogue and surveys with major battery manufacturers(since 2023)• Conduct of a survey on cobalt in 2020
• Identification of several smelters in the battery supply chain,a major component that uses cobalt, using the CRT (Cobalt
Reporting Template) provided by the Responsible Minerals
Initiative (RMI)• Conduct of an annual survey on supply chains in accordancewith the “OECD Due Diligence Guidance for Responsible Supply
Chains of Minerals from Conflict-Affected and High-Risk Areas”(since 2013)• Implementation of effective activities with requests to suppliers
to resubmit surveys if they are incomplete• Toyota Motor North America (U.S.) has been involved in theactivities of the Conflict-free Sourcing Working Group and theAutomotive Industry Action Group (AIAG) working group on
conflict minerals originating from the Democratic Republic of theCongo in cooperation with the Responsible Minerals Initiative(RMI).

Example ● Backgroundsurveys of smelters/refiners, encouraging
smelters/refiners to participate in the Responsible
Minerals Assurance Process (RMAP)

Initiative with Dealers
Aim■ As the most trusted dealers in town, we are committed to ensuring the continued

support of our customers by building up local communities and contributing to
the happiness and wellbeing of our customers and employees who live there.
■ Based on the “Customer First, Dealer Second, Manufacturer Third” concept,
we will work with dealers to meet customer expectations and increasecustomer satisfaction.
In i t i a t i v e

Support for Toyota Dealers*1 to Enhance Compliance
TNDAC
initiatives• Participation in the Global Platform for Sustainable Natural Rubber(GPSNR) to establish policies for the sustainable procurement of
natural rubber and promote initiatives in cooperation with suppliers

P.59 Human Rights Due Diligence

SupportfromToyota• Toyota dealers promote initiatives by utilizing various inspection

tools and “The Legal Compliance Manual”*2 in accordance with the
TNDAC annual compliance schedule”• Details: Provision of a checklist of the following laws and various
inspection tools, etc.
• Laws related to dealers’ duties including sales talks and responses tocustomers (Act on the Protection of Personal Information, Act Against
Unjustifiable Premiums, Misleading Representations, Copyright Act, Consumer
Contract Act, Insurance Business Act, Installment Sales Act, Act on Specified
Commercial Transactions, Garage Act, civil law, and criminal law)
• Laws related to safety and the environment(Road Transport Vehicle Act, End-of-life Vehicle Recycling Law)
• Laws related to labor and employment of employees(Labor Standards Law, Industrial Health and Safety Act, Act on
Securing, etc. of Equal Opportunity and Treatment Between Men and
Women, laws and ordinances related to harassment)• Laws related to transactions (Antimonopoly Law, Subcontracting Law)
• TNDAC Helpline• Repeated notices to dealers and employees to prevent and quickly
detect any legal or regulatory violations

Support to improve CS*3 and ES*4 to ensure“good management” at Toyota dealers in Japan
SupportfromToyota• CS: Provision of a CS Questionnaire system to dealers andimplementation of support activities in accordance with the status ofinitiatives at each dealer• Collection and dissemination of useful information about successful
initiatives to improve CS at dealers, and provision of opportunities fordealers to share information with each other• ES: Provision of a Workplace Environment Questionnaire to dealers alongwith a recommendation to have dealers conduct the questionnaire survey
on a regular basis• Holding regular “Better Workplace Seminars” to promote utilization of
the results of Workplace Environment Questionnaires by dealers• Introduction and trial of an information website and a consultation
service (JP-MIRAI) for foreign workers living in Japan*3 C
 ustomer Satisfaction*4 Employee Satisfaction

P.61 Collaboration with JP-MIRAI• Implemented the following initiatives in response to designated vehicle

maintenance violations and improper handling of personal information by
dealers. (From FY2022 onward)• Compliance seminars for dealer representatives and other personnel• Supporting improvement activities at dealers by disseminating TPS(Toyota Production System) know-how and holding training sessions• Supporting dealers’ initiatives through the distribution of a Privacy
Governance Guidebook reflecting amendments of the Act on theProtection of Personal Information made in April 2022
• Disseminating Toyota Motor Corporation’s Human Rights Policy to dealers• The policy has a particular focus on appropriate management of foreigntechnical internship trainees and creating harassment-free workplaces*1 T
 he Toyota National Dealers’ Advisory Council (TNDAC) is an organization comprised of Toyota dealers in Japan*2 Tools to support voluntary legal compliance activities by dealers

Sustainability Data Book75

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

Privacy

Human Resource
Development

Intellectual Property

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Integrated Safety Management Concept ｜ Active Safety ｜ Passive Safety ｜ External Safety Evaluations (2022) ｜ Emergency Response ｜ Automated Driving Technology ｜ Initiatives to Improve Traffic Safety Awareness ｜Fundamental Approach
Updated in October 2023

VehicleSafetyIntegrated Safety Management Concept

Aim

Ai m
■ Toyota’s approach to pursue high levels of safety by reinforcing links between vehicle■ Toyota’s ultimate goal – Zero Casualties from Traffic Accidents.

safety systems rather than thinking about each system as a separate component system.
- Integrated Safety Management Concept

In i t i a t i v e■ Promotion of our integrated three-part initiative for people, vehicles, and the traffic

environment.
■ Pursuing real-world safety by learning from actual accidents and incorporating thatknowledge into vehicle development.
• Moving forward with the development of technologies for accident prevention, collisions,and emergency rescue based on our integrated safety management concept.

Initiative■ Toyota provides optimum driver support for reasonable safety in each stage of driving,from parking to normal operation, the moment before a collision, during a collision,and post-collision emergency response.
Integration of Individual Technologies and Systems

PeopleRaising awareness of traffic safety
through education

SDGs
Contributions
GRI 3-3, 203-2, 416-1

76

Fundamental Approach76

Integrated Safety Management Concept

77

Active Safety

78

Passive Safety

78

External Safety Evaluations (2022)

78

Emergency Response

79

Automated Driving Technology

79

Initiatives to Improve Traffic Safety
Awareness

Integrated
Three Part
Initiative

Accident
investigation
and analysis

Optimal support in each stage of driving

Investigation andanalysis of actual
accidents

Parking

Pursuing
Real-world
SafetyCollision

Advanced
Park

Advanced
Drive

Emergency
Driving Stop
SystemDevelopment of technologies
for accident avoidance anddriver/passenger protection
in collisions

Traffic Environment
Information on traffic jams,
and maintenance andmanagement of traffic lights
and roads

Development and assessment
Evaluation of actual vehicles
to work toward safe vehicles
and incorporate preventive
technologies into our vehicles

Simulations

Accident simulations todevelop preventive
measures

Adaptive High Beam
SystemAutomaticHigh Beam

Panoramic View
MonitorParking Support
Brake

Pre-collision System

Active Safety

Intelligent
AFS

Back Monitor

VehiclesLinked safety systems

Radar Cruise
Control

Proactive Driving
AssistVehicle Dynamics
Control

Passive Safety

Pre-Collision
System (PCS)
Pre-Collision
Braking for
Collision
Avoidance andImpact Mitigation

GOA

Seatbelts

Emergency
Steer Assist
Intersection
AssistSeats

Lane Tracing
AssistLane Departure
Alert

Big Data Utilization
Software Updates

Low Speed
Acceleration
Suppression

Drive-start
Control

Lane Change
AssistBlind Spot
MonitorCooperative ITS(ITS Connect)

Front Cross
Traffic Alert

Safe Exit Assist

Intelligent
Speed Assist

Road Sign
AssistNavigation & Map
Cooperative
SystemHELPNET®*1

Body
Structure

Preceding Vehicle,
Pedestrian,Bicycle,Motorcycle

Rapid
Acceleration
Suppression

Emergency Response

D-Call Net®*2
Airbags

Pop-up Hood

Secondary
Collision Brake*1 Registered trademark of Japan Mayday Service Co., Ltd.
*2 Registered trademark of the Emergency Medical Network of Helicopter and Hospital (HEM-NET)

Sustainability Data Book76

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Integrated Safety Management Concept ｜ Active Safety ｜ Passive Safety ｜ External Safety Evaluations (2022) ｜ Emergency Response ｜ Automated Driving Technology ｜ Initiatives to Improve Traffic Safety Awareness ｜Active Safety• Equipped with Proactive Driving Assist (PDA) which anticipates risks in front of the vehicle, just like a veteran driver, andA im■ Contributing to a reduction in serious traffic accidents causing death or injury by utilizing safety functions focusing on

prevents risk escalation by intuitively supporting the driver.

Speed reduction assist (vehicle)

Obstacle prediction assist

assistance to avoid collisions with cars and reduce damage, assistance to prevent accidents caused by leaving the lane, andensuring optimal visibility during nighttime driving.
Init ia t iv e
■ Toyota Safety Sense (Active Safety Package)• A package of multiple active safety functions that help reduce serious traffic accidents causing death or injury.

Pre-Collision Safety (PCS)

Designed to assist in avoiding and mitigating damage from collisions with cars ahead orpedestrians

Lane Departure Alert (LDA)

Contributes to preventing accidents caused by the vehicle leaving the lane

Automatic High Beam (AHB)

Helps to ensure optimal forward visibility during nighttime driving

Radar Cruise Control (RCC)

Detects the vehicle in front to support adjusting distance and speed

Early gentle deceleration toward a pedestrian
Comfortable distance to pedestrian/bicycle/vehicle

Assist deceleration to maintain comfortable headway■ Toyota Teammate (Advanced driver support)• Toyota Teammate is an advanced driver support system developed based on Mobility Teammate Concept*. It is now
available on models in the popular price range to further contribute to a safe society.

P.79 Automated driving Technology

Lane Tracing Assist (LTA)

Helps to keep the vehicle in the middle of the lane when using RCC

Road Sign Assist (RSA)

Detects road signs to help keeping the driver updated with the latest information

Proactive Driving Assist (PDA)

Predicting risks to support safe driving

Advanced Drive (support during traffic congestion)

Provides support to reduce driver fatigue caused by driving on congested highways

Advanced Park

Assists smooth and easy parking in a range of situations• Toyota Safety Sense (TSS) has been installed in more than 40.5 million vehicles globally since it was launched on to
the market in 2015 (figure as of July 2023).

• TSS is now available on nearly all passenger car models (as standard or option) in the Japanese, United States, andEuropean Markets. It has also been introduced in a total of 144 countries and regions in major markets including China
and other selected Asian countries, the Near and Middle East, and Australia.
Advanced Drive (support during traffic congestion)

Advanced Park

Sustainability Data Book

77

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Integrated Safety Management Concept ｜ Active Safety ｜ Passive Safety ｜ External Safety Evaluations (2022) ｜ Emergency Response ｜ Automated Driving Technology ｜ Initiatives to Improve Traffic Safety Awareness ｜Passive Safety
A im■ Minimizing collision damage by combining vehicle bodies that absorb

the energy of collision with devices that provide support to protect drivers,
passengers, and pedestrians.
Init ia t ive

External Safety Evaluations* (2022)
Figures in brackets: (Number of vehicles receiving the highest ranking/Number of vehicles evaluatedFive Star Award (the highest
ranking) in the JNCAP*2

bZ4X, Corolla Cross, Sienta, Voxy/Noah

TSP+*3 (the highest ranking) in the
Car Assessment Program of the
Insurance Institute for Highway
Safety (IIHS)*4 in the U.S.

Avalon, Camry, C-HR, Corolla Cross,Corolla HB, Corolla SD, GR86,
Highlander, RAV4, RAV4 Prime,
Sienna, Tundra, Venza,
Lexus ES, IS ,NX, RX, UX(18/24)

Five Star Award (the highest
ranking) in the NCAP*2 in the U.S.

Avalon, Camry, Corolla HB,
Corolla SD, Highlander,Prius,
Prius Prime, RAV4, Sienna,
Tundra, Venza,
Lexus ES, IS, UX(14/18)

Five Star Award (the highest
ranking) in the Euro NCAP*2 inEuropebZ4X, Corolla Cross, Lexus NX, RX(4/5)

Five Star Award (the highest
ranking) in the ANCAP*2 inAustralia

Corolla Cross, Lexus NX, RX(3/3)

Good (the highest ranking) in
occupant protection, pedestrian
protection, and prevention in the
C-IASI*5 in China

Crown Kluger, Ling Shang

Five Star Award (the highest
ranking) in the CNCAP*2 in China

Venza

Five Star Award (the highest
ranking) in the Taiwanese NCAP*2

Corolla Altis, Corolla Cross, RAV4■ GOA (Global Outstanding Assessment)• Toyota’s unique, stringent internal targets related to passive safety

performance.
⇒ Toyota has continued to advance GOA, continuously pursuing the realworld safety performance of its vehicles in a wide variety of accidents.
■ THUMS (Total HUman Model for Safety)• A virtual model of the human body jointly developed by Toyota and Toyota
Central R&D Labs, Inc. to analyze injuries to the human body caused by
vehicle accidents.
• The model is used to research and develop various safety technologies
including safety devices such as seatbelts and airbags, and vehicle
structures that mitigate injuries in accidents involving pedestrians.
⇒ In January 2021, Toyota made the THUMS software available on its
website free of charge in the hope that as many users as possible will
benefit from it.
THUMS

Emergency Response

1

(4/5)

Ai m
■ Contributing to a reduction in traffic accident fatalities by facilitating the rapid

response and the rapid rescue of people involved in traffic accidents.
Initiative■ HELPNET® service – Toyota’s emergency reporting system (Japan)*6• In the event of an accident or sudden illness, a dedicated operator

contacts police, fi re, or ambulance services to ensure the rapid dispatch of
emergency vehicles.
■ D-Call Net®*7 compatible (compatible models only)• The system assesses the probability of death or severe injury of thedriver and/or passengers based on vehicle data that is automaticallysent when the airbags deploy. This system sends data to hospitals or fire
departments to facilitate rapid decisions to dispatch air ambulances orother support.
HELPNET®*6 (Airbag-linked Type) Alert Process
Automatically notifies when airbags are deployed
Sends vehicle data such as position

Emergency

or

(2/2)

Notifies with a touch in an
accident or sudden illness

D-Call Net® Server(1/1)

HELPNET®
Police(3/3)*1 Evaluation Period: Japan - April 2022 to March 2023; US IIHS – December 2021 to November 2022 (2022
TSP+/TSP winners), US NCAP – 2022 model year, Other – January to December 2022
*2 NCAP (New Car Assessment Program): New car assessment programs carried out by different countries andregions*3 TSP+: A ranking given to the most outstanding TSP-ranked vehicles*4 IIHS: Insurance Institute for Highway Safety*5 C-IASI: China Insurance Automotive Safety Index
SASB TR-AU-250a.1

Emergency services
dispatched
Dispatches air
ambulance*7 if needed
Dispatches doctor to
site

Fire
Department
Coordination
EMS helicopter
base hospital

Estimates theprobability ofdeath or severe
injury based on
vehicle data

Sends data about
the probabilityof death or severe injury

HELPNET® Service
D-Call Net® System*6 Air ambulances may not be available due to location, time of day, weather, etc. D-Call Net® will not respondwhen the HELPNET® button is pressed*7 HELPNET® is a registered trademark of Japan Mayday Service Co., Ltd. D-Call Net® is a registeredtrademark of HEM-Net (Emergency Medical Network of Helicopter and Hospital)

Sustainability Data Book78

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Integrated Safety Management Concept ｜ Active Safety ｜ Passive Safety ｜ External Safety Evaluations (2022) ｜ Emergency Response ｜ Automated Driving Technology ｜ Initiatives to Improve Traffic Safety Awareness ｜Automated Driving Technology
A im■ Achieving a society where everyone, including elderly people and people

with disabilities, can enjoy mobility safely, smoothly, and freely using
automated driving technology that aims to reduce traffic accident injuries
and deaths to zero.
Init ia t ive

Development of Automated Driving Technology

Initiatives to Improve Traffic Safety Awareness■ Implementing educational initiatives to raise awareness among drivers

and pedestrians and prevent traffic accidents.

■ Lexus LS and Mirai models launched in April 2021 are equipped with the

new Advanced Drive function integrated into the Lexus Teammate or Toyota
Teammate advanced driver support technologies.
Technology Details

Advanced Drive for Driving
Support on Highways■ Began implementing research and development into automated driving

technology in the 1990s.
■ Toyota’s unique approach to automated driving, known as the “Mobility

Teammate Concept”, seeks to create a friendly relationship between people
and vehicles that allows them to communicate and assist each other.
• Automated driving technology is not intended to take driving away fromhumans or replace human drivers. Instead, it is designed to achieve true
safety, peace-of-mind, and freedom of mobility by establishing people andcars as trusted partners that can share the joy of driving, and take overdriving duties as necessary.
■ Toyota is advancing R&D into automated driving technologies not only
for personally owned vehicles (POVs), but also in the field of mobility as aservice (MaaS) which involves the movement of people and things.
• One of the first companies to launch advanced automated driving
technology into the market for vehicles sold to corporate customers.
• Data from these vehicles will be collected, analyzed, and fed back intodevelopment to further enhance automated driving technologies.

Ai mModels Equipped with Advanced Driver Support
Technology• The on-board system will appropriately detects

the vehicle’s surrounding, make decisions, andassist driving under the driver’s supervisionaccording to actual traffic conditions. It can keep
the vehicle in its lane, maintain the distance fromother vehicles, navigate a lane split, change lanes,and overtake other vehicles until leaving theroadway for the destination• The system achieves high levels of safety andpeace-of-mind, reducing driver fatigue andproviding a pleasant journey to the driver’s
destination

Deep Learning-Focused AI
Technologies• Supports driving by predicting and responding toSoftware Updates• Software can be updated to the latest version(Toyota Motor Corporation)
TargetAudience

Drivers

Activities• Toyota Driver Communication (safe driving technique seminar):• Regular seminars at the Toyota Safety Education Center Mobilitas
at the Fuji Speedway• Happy Driving Seminar and Nerve Stimulation Exercises – atraffic safety program for elderly drivers and pedestrians:
Held in collaboration with local governments and dealers to improve
safe driving skills, boost safety awareness, and improve the brain
function of elderly drivers• Sapo-Car (Safety Support Car) Program:Toyota implements activities in collaboration with dealers nationwide
to ensure safely and assurance for all road users in conjunction withthe roll-out of the Safety Support Car program endorsed by theJapanese governmenta wide variety of situations that could occur whendrivingusing wireless communications or a wired
connection

Woven by Toyota, Inc.

Initiative

Pedestrians• Since 1969, Toyota has provided traffic safety teaching materials

to children at kindergartens and daycare centers all over Japan incollaboration with Toyota dealers nationwide• Providing information to children and their parents/guardians using
digital content on the Toyota Traffic Safety for Kids website• Elderly attendees at events can receive pamphlets to raise theirtraffic safety awareness as well as a variety of reflective items forsafety at night

Sustainability Data Book79

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Product Safety Initiatives ｜ Quality Risk Management ｜ Fostering Quality-oriented Awareness and Culture ｜ Coping with Quality Problems ｜ After-sales Service ｜ Customer Feedback System ｜Fundamental Approach
Updated in October 2023

Quality andServiceAim■ Initiatives Based on the Quality Policy■ The quality of the work performed by each employee provides the foundation for thequality of our products and the quality of our sales and service. The combination ofthese three elements allows Toyota to provide products and services that our customers
can use with confidence.
In i t i a t i v e■ Individual employees involved in each process including development, purchasing,production, sales, and after-sales service, integrate quality into their work. Each process
is linked with other processes to maintain the momentum of the quality assurance cycle.
Quality Assurance Cycle
Audit and improvement

Sales and after-sales service

Product planning● Gathering quality information fromthe market● Dealer training and guidance
Serviceparts warranties, etc.
●

● Product plan formulation● Development target setting● Quality target setting, etc.

• Toyota formulates the code of conduct for globally common quality to maintain andenhance the confidence of the customers and discusses a proper response globallyand in each region, with the aim of promoting solutions to quality issues and ensuring
quality for new businesses and technologies.
• The policy is also shared with affiliated group companies and suppliers to promotecollaborative actions for ensuring quality.
• Information about initiatives implemented under the policy is reported to senior
management, including board of directors.
■ Quality Assurance Based on Toyota Quality Control Standards• Toyota establishes the rules, methods, and criteria necessary for controlling its
manufacturing and business processes to enable Toyota to continuously provide theproduct performance and functions, as well as services, that Toyota aims to achieve.
• Based on the global regulations, Toyota establishes its quality control standards at eachproduction base that are suitable for the customers and environment of each region,and periodically checks and reviews the standards.

GRI 3-3, 416-1, 2, 417-1
Logistics

80

Fundamental Approach81

Organizational Structure

81

Product Safety Initiatives

81

Quality Risk Management

82

Fostering Quality-oriented Awarenessand Culture

82

Coping with Quality Problems

83

After-sales Service

84

Customer Feedback System● Establishment and instruction oftransportation standards● Quality Deterioration prevention, etc.

Quality Assurance

Development● Product basic plan formulation● Design quality assurance● Prototype evaluation, etc.

Purchasing
Inspection● Inspection planning andimplementation● Checking and maintenance ofinspection facilities, equipment, etc.

● Verification of supplier capabilities● Conclusion of business contracts, etc.

Production● Manufacturing quality assurance● Process maintenance and control, etc.

Production preparation● Process and equipment planning● Process capability allocation● Establishing inspection methods andmeasuring initial products, etc.

Sustainability Data Book80

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Product Safety Initiatives ｜ Quality Risk Management ｜ Fostering Quality-oriented Awareness and Culture ｜ Coping with Quality Problems ｜ After-sales Service ｜ Customer Feedback System ｜Organizational Structure

Product Safety Initiatives

A im

Aim

Quality Risk Management
Ai m■ Promote regionally-led quality improvement activities so that decisions and taking■ Engaging in car manufacturing while giving due consideration to safety■ Sharing information about quality risks worldwide, implementing proper

actions are made as close as possible to local customers.
■ Be attentive to the increasingly diversified mobility needs of our customers andguarantee the quality of customers’ experiences obtained through mobility services.

and security throughout the entire process from design to production.
In addition to achieving regulatory conformity in each country, we listen to
the voices of customers around the world and utilize their opinions to makeever-better cars.

actions from the standpoint of local customers, and ensuring streamlined
responses to emergencies on a global scale.

Init ia t iv e
■ Appointment of a Global Chief Quality Officer (G-CQO) in charge of global quality

assurance and Chief Quality Officers (CQO) in charge of quality in each region of the world.
■ Audit and Improvement Meeting: Discussion and decision-making on qualityrelated policies and important issues• Participants: Company presidents, chief officers, regional CQOs, and full-time
Audit & Supervisory Board members• Several times a year, CQOs from all regions gather together to discuss responses
to global issues, evaluate the results of the responses, and further discuss andmake decisions on new policies and targets based on these evaluations.
• Each region has a variety of quality-related conferences. Meetings chaired byregional CQOs are attended by the Global CQO or a member of the administration
at Toyota Motor Corporation to facilitate further communication and collaboration.
Global Policy Implementation Structure and the Quality Conference
Chief: G-CQO(Customer First Promotion Group Chief Officer)

Chief: CQO

GlobalRegionQuality Policy

PolicyQuality
Conference

Globally common Code of
conduct for quality

Collaboration
Coordinationof actions

Regional Quality Policy

Initiatives on regional issues

Discussion on responses
to global issues

Discussion on responses
to regional issues

Audit and Improvement Meeting

Collaboration

Regional Quality Meeting

Reciprocal
participation, sharing
progress information

Participants: Representatives of individual affiliates and functions

Chairperson: Customer First Promotion Group Chief Officer
Participants: Company presidents, Chief officers, regional CQOs,
full-time Audit & Supervisory Board members, etc.

Chairperson: Regional CQO■ Our company will guarantee: (1) the quality and security of our telecommunications thatallow vehicles to connect to people, things, and cities; and (2) the quality of the information
telecommunications platforms and servers that are used to operate our services.
• A review of our quality assurance regulations is being implemented and making
company-wide efforts to strengthen the quality assurance process.

In i t i a t i v e■ Development phase:• Maintaining our constant pursuit of world-class reliability and durability.
• Compiling the quality-related targets and priority items in the form of awritten quality plan during the product development phase, and sharing
the plan with all parties involved in the development• Setting targets geared to vehicle longevity through, for example,
surveying the environments where our vehicles are used and analyzing
recovered parts.
• Carrying out durability tests based on Toyota standards.
• Incorporating fail-safes to ensure that customers can stop and evacuatefrom a vehicle safely in the event of a failure. Development to ensure
customer peace-of-mind by defining quantitative indices of vehicle
behavior that might make our customers feel uneasy.
■ Production phase• With regard to equipment, operations and inspections at plants associatedwith product safety, including our supply chain, we visualize how theequipment is managed and how the operations and inspections are
conducted. Through particularly focused management, we make sure toprevent problems.

Initiative

Organizational Enhancement■ Appointment of a Regional-Product Safety Executive (RPSE).
■ Develop quality risk management

customers.

structure that represent the voices of local

Auditing■ Conducting internal audits at each plant at least once a year to further

enhance proper quality assurance activities in accordance with the laws andregulations of each country as well as our internal rules.
• Our auditing teams are comprised of internal auditors with comprehensive
knowledge of ISO 9001, Toyota’s quality assurance rules and systems, andvarious auditing methods. These teams conduct audits focusing on audit
points that have been determined based on internal and external changes
to the business environment, quality indicators, and other factors.
• Audit results are shared with relevant parties so that improvement measures
can be implemented promptly.
• Toyota listens sincerely to the opinions of third parties, including thecertification organizations of each country, and reflects them in theenhancement of our quality assurance activities.

Initiatives with Suppliers■ Working in close cooperation with suppliers to ensure the level of quality that

Toyota aims to achieve.

• New suppliers:• Before doing business with a new supplier, we confirm the technicalcapabilities of the supplier (including their design development and quality
management capabilities) to create a firm foundation for ensuring quality.
• Existing suppliers:• Toyota provides suppliers with manuals compiling the necessary actions to betaken by the suppliers and Toyota as well as checklists for self-inspection of
the quality management structure and production processes, for every stage
from production preparation to mass production, specifying the actions thatneed to be carried out by both Toyota and the supplier.
• Inspection results and improvement plans are also confirmed by Toyota
on a regular basis.
Sustainability Data Book

81

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Product Safety Initiatives ｜ Quality Risk Management ｜ Fostering Quality-oriented Awareness and Culture ｜ Coping with Quality Problems ｜ After-sales Service ｜ Customer Feedback System ｜Fostering Quality-oriented Awareness and Culture
A im

Coping with Quality Problems
Aim■ Developing human resources and improving work quality■ Ensuring constant legal compliance and making recall decisions from the■ Annual initiatives to boost quality awareness among all employees, and quality-

related training designed for employees at each job level.
Toyota Restart Day• February 24 was designated as Toyota Restart Day after Akio

Toyoda (President at the time) attended a US Congressional
hearing on that date in relation to a series of recalls in 2010.
Toyota is committed to creating better mechanisms and carryingout awareness-raising activities to ensure that the lessons
learned from this experience are never allowed to fade away.

Customer Quality
Learning Centers• Established in 2014, the Customer Quality Learning Centers

All-Toyota TQM
Convention• Toyota holds online exchange meetings with suppliers and dealers,

are educational facilities for conveying the experiences andlessons Toyota learned from the series of recall issues to future
generations of employees.
• The Center is updated every year to reflect recent issues toensure that the lessons learned are not forgotten.
• Customer Quality Learning Centers unique to individual plants
and overseas sites have also been established, and they are
working to ensure employees in each region and each plant
thoroughly understand the importance of quality.
• As of FY2023, 14,900 employees have participated in activities
at our Centers (within Toyota Motor Corporation)and exhibits kaizen practices on its website• Participants (FY2023): approx. 700 people for the online exchange
meetings; approx. 15,000 people for the website exhibition• These events provide opportunities for people to accessinformation to be able to work together beyond their companies
and organizations for further quality improvement• Akio Toyoda’s Roundtable on Quality (held in 2021) to communicate
Akio Toyoda’s (President at the time) commitment to quality andthe values he promotes
Akio Toyoda on Quality: Communication and Priorities Are Key

Akio Toyoda’s Roundtable on Quality

Country/Region

Number of Recalls

Number of Units

Japan

16

810,000

North America

17970,000

Europe26

820,000

Other

27

430,000

Global47*1

3,030,000*2■ Early detection and rapid resolution of quality-related issues to ensurethat our customers can use our vehicles safety.
Init ia t ive

FY2023 Recalls SASB TR-AU-250a.3

customer’s perspective, putting safety and assurance first and making it possible
to implement rapid responses and minimize inconvenience to the customer.
In i t i a t i v e■ Recall decision-making process• Clarifying response procedures and persons in charge based on the
Toyota Quality Control Standards.

• A study meeting participated by the heads of relevant departments and*1 The figures above include recalls that cover multiple countries and regions, therefore totals for recalls andunits in each country/region may differ from global figures.
*2 Scope of recalls listed above: Toyota or Lexus branded vehicles for which Toyota Motor Corporation has
issued a recall notice (including OEM by Toyota Motor Corporation)

the Regional Product Safety Executives (RPSEs) is held to discuss basedon the quality information, and a recall is made by mutual consent andsubject to G-CQO’s approval.
• Feedback from customers in the region is always reflected in responses,
and regional representatives located closest to the customer are also
involved.
■ Responses when a recall has been made• The customer’s safety and security will be our the highest priority andthe following steps will be taken to ensure rapid repairs and encouragecustomers to bring their vehicles in for repairs:• Notification will be sent in a prompt and fair manner by postal mail tocustomers who own vehicles covered by the recall. Dealers will also
contact customers, if necessary.
• Recall information will be posted on the company’s website on the same
day as the recall notification.
• We also make the required reports, including notifications to the authorities
in accordance with the laws and regulations of each country, and report theratio of the number of repaired vehicles to the number of recalled vehicles.

Sustainability Data Book82

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Product Safety Initiatives ｜ Quality Risk Management ｜ Fostering Quality-oriented Awareness and Culture ｜ Coping with Quality Problems ｜ After-sales Service ｜ Customer Feedback System ｜After-sales Service
A im■ Providing continuous safety, peace of mind, and comfort to customers

through regular servicing, legally mandated vehicle inspections, and repairs
following breakdowns or accidents, enabling customers use their vehicles formany more years than they did before.

Cars(serviceability)
Parts supply• Incorporating ease of maintenance and repair into our vehicle

Serviceengineers• Training facilities have been established in each region and theTools andequipment• The speed of repairs has been accelerated by expanding

Repairtechniques(information)• Servicing, technical, and sales divisions work in close cooperation

Init ia t iv e
■ Providing more precise, more rapid, and more reasonably priced services

through Toyota’s 3S Spirit (Seikaku + Shinsetsu = Shinrai: precise andcourteous service creates trust).
Better Service and Supporting Factors
Better Service (Maintenance and Repairs)
Accuracy

Cars (serviceability)
Parts sharing

Promptness

Service engineers

Tools and equipment

Affordable

Repair techniques(information)

development based on market feedback and past repairs to ensurethat our customers can use our vehicles safely for many years tocome• Based on the Toyota Production System concepts, we haveestablished a system to deliver vehicle parts when and where they
are needed worldwide to ensure more efficient parts inventory
management and distribution
Tajimi Service Center in Gifu Prefecture, Japan also plays acentral role in enhancing the knowledge and technical skills of ourapproximately 180,000 service staff worldwide.
the number of diagnostic codes used by on-board computer
diagnostics to detect faults and identify the parts and causes
responsible
on initiatives to create vehicles that are easier to repair and establish
a system to ensure that accurate information is available whenneeded to make repairs quick and easy.

■ Helping Customers Use Their Vehicles Safely• User manuals and information about the latest models are available on our
website.

• Promote utilization of the product information provision tools for distributors
and dealers as well as the company website to accurately communicate
the risks resulting from operational errors.

Sustainability Data Book83

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Product Safety Initiatives ｜ Quality Risk Management ｜ Fostering Quality-oriented Awareness and Culture ｜ Coping with Quality Problems ｜ After-sales Service ｜ Customer Feedback System ｜Customer Feedback System
Number of inquiries received by the Toyota Customer Assistance Center in FY2023

A im■ Prompt, accurate, and courteous responses are provided based on our Customer First principle. Customer feedback

and information from dealers are reflected in creating Ever-Better Cars, Sales, and Service.

Number of inquiries received: 299,000
Content of Consultations
Other

Init ia t iv e

Sales - related■ Dealers in many global markets set up their Customer Access Centers to respond to customer enquiries.

28%

Vehicle-related

38%

7%

Navigation/audio-related

16%

Connected service - related 9%■ Toyota Customer Assistance Center (Japan)• The Toyota Customer Assistance Center, the Lexus Information Desk, and the Lexus Owners Desk are available torespond to customer inquiries. (The Center’s sign language interpreter service began in February 2022)■ Inquiry Line for Dealers (Japan)• The Salesperson Support Desk, an inquiry line especially for sales staff at Toyota dealers, has been established within
Toyota Motor Corporation and provides support for staff to implement Customer First responses.

■ Customer feedback received through our Customer Assistance Center and Salesperson Support Desk is used in activities

to create Ever-Better Cars, Sales, and Service.

FY2023 Customer Satisfaction Survey: Customer Feedbacks to our Customer Assistance Center
Number of questionnaires sent: 6,550;
Number of replies: 766 (Japan)
Rate of customer recommendation(Customer Assistance Center)
Recommendable

54.4%

Neutral22.8%

Customer First
Promotion Group

Design and
Manufacturing

QualityandProducts

Internal Awareness-Raising Activities

Initiatives related to
Customer’s Month

22.7%

Japan Sales
BusinessGroup(Toyota Motor Corporation)• A range of activities are carried out within the company to establish the Customer First approach
Initiatives in FY2023• Training materials focusing on how to provide sincere and considerate customer service are compiled basedon the experience and know-how of employees working at the Customer Assistance Center and otherrelated staff. These materials were distributed throughout the company.
• Employees at each workplace discuss the importance of maintaining constant awareness of caring about
customers, as well as the importance of engaging with customers

Customer AssistanceCenterCustomer

Not recommendable* Percentages are rounded to the nearest whole number and thus totals may not add toexactly 100%.

Customer Feedback Flowchart (Japan)
DealerSafety devices/Driving support-related 2%

DealerSales

Experience andlearn from customer
feedback• Employees visit our Customer Assistance Center to learn about how it functions• A Customer Feedback Board has been made available on the company’s intranet to inform employees about

Consumer Affairs
Advisor qualification• Our company actively encourages employees to obtain the Consumer Affairs Advisor qualification, which isrecent feedback from customers

certified by the Japanese Prime Minister and the Minister of Economy, Trade and Industry.

• The Toyota Consumer Affairs Advisor Group made up of the qualified employees carries out evaluations offacilities and vehicles from the customer’s perspective, examines catalogs, and conducts mystery calls toenhance the response ability of our Customer Assistance Center.

Sustainability Data Book84

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

Privacy

Human Resource
Development

Intellectual Property

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Information Security Measures ｜ Preparing for Information Leaks and External Attacks ｜ Security for Automobiles ｜Fundamental Approach
Updated in June 2023

Information
Security

Aim■ Protect information assets and ensure the safety and security of our customers

from the threats and risks of cyber attacks, which target confidential corporate informationand information systems, the networks of systems that control plant facilities and vehicles(such as on-board device systems), and even supply chains.
In i t i a t i v e■ Based on the Information Security Policy, Toyota Motor Corporation and its consolidated

subsidiaries work together to prevent information leaks.
Information Security Policy

Organizational Structure
Ai m■ Share and discuss details of activities in each security field and overall common issues.
■ Assure readiness for potential cases of serious incidents.

Initiative■ Hold Information Security Management Meetings under the Chief Information &Security Officer (CISO) and security officers are assigned to individual security fields.
■ If a serious incident occurs:

Promptly confirm the facts of the incident → Report to management, including Board of
Directors → Analyze the causes and take countermeasures
Board of Directors
Information Security Management Meeting
Chairperson: CISO

Security Area
(Set up according to the risk to information security)

Confidential
information
management

GRI 416-1, 418-1

Information
systems

Application of measures

Internal departments

85

Fundamental Approach

85

Organizational Structure

86

Information Security Measures

86

Preparing for Information Leaks andExternal Attacks

87

Security for Automobiles

Connected
vehiclesFacilities control
systems

Financialservices

Supply chain

Operation and support

Subsidiaries, suppliers, dealers

Sustainability Data Book85

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Information Security Measures ｜ Preparing for Information Leaks and External Attacks ｜ Security for Automobiles ｜Information Security Measures
A im■ Preventing leaks of confidential information and protecting information assets

from cyber attacks.

Initiatives in Toyota Motor Corporation■ Level up activities based on All Toyota Security Guidelines (ATSG)• ISO 27001/27002• US National Institute of Standards and Technology (NIST)
Cybersecurity Framework• Cyber/Physical Security Framework by the Ministry of
Economy, Trade and Industry• JAMA/JAPIA Cybersecurity Guidelines, etc.

Contents* Revised periodically to copewith environmental changes

Self-inspection basedon ATSGInitiatives at Consolidated Subsidiaries, Dealers, and Car
Rental Companies■ Promoting level-up activities based on the ATSG like at Toyota Motor

Init ia t iv e

Complied/reference
guidelines

Preparing for Information Leaks andExternal Attacks• Organizational management measures• Human resource management measures• Technical management measures• Physical management measures• Establishment of incident/accident response

Corporation.
■ Toyota Motor Corporation’s specialized team carries out on-site audits ofconsolidated subsidiaries, dealers (Japan), and car rental companies (Japan)(to check responses to ATSG and the status of implementation of physicalsecurity measures).

Toyota Motor Corporation

3. Report of inspection results

Consolidated subsidiaries,
dealers in Japan, carrental companies
2. Self-inspection
5. Improvement initiatives

4. Improvement advice and support
6. On-site inspection of subsidiaries• Once a year

■ Major Activities for Information Security Education

Examples ● Training for all employees (including secondees and dispatchedemployees)• Carrying out activities, which all employees are required
to take part in, to raise awareness in Information Security
Reinforcement Month (twice a year).
• Displaying educational or warning information at startup of
personal PCs.
• Providing information security training for new employees
and special training when a new law is enforced to ensure
information is distributed in a timely manner (e-learning).
• Sending targeted-attack-type emails without notice to all
employees, including executives. (once or twice each year).

■ Preparing

for potential cyber-attacks to company information asset,
information system, networks of systems that control plant facilities andtaking proper and prompt action in case of a serious issue.

Initiative■ Information gathering and monitoring by a specialized team• Share information on security threats with each regional headquarters.

Process of ATSG inspection and audit
1. Request for ATSG
introduction/inspection

Ai m

Initiatives for Supply Chains■ In recent years, cyber-attacks targeting supply chains have been increasing.

(Hacking and ransomware attacks actually happened to suppliers.)■ Establish a structure for security measures of supply chains and implement

Regional headquarters ensure that the information is shared within theregion and promptly take necessary measures.
■ Conduct training• Assuming increasingly complex and sophisticated cyber-attacks, thespecialized team conducts training at least once a year and prepares
scenarios for early recovery to be prepared for a large-scale issue.
■ Third-party evaluations• Regarding the status of security measures for management and technicalaspects of internal security systems, receive third-party evaluations basedon NIST SP800-82/53, ISO 27001/2, IEC 62443, etc. For the problems
pointed out, implement necessary measures to raise the security level.
■ Response to serious incidents• Formed a response team including members in management positions(TMC-SIRT*) to settle the situation properly and promptly.
* Toyota Motor Corporation-Security Incident Response Team

initiatives to reinforce security of the entire automotive industry.
⇒ Promote initiatives using JAMA/JAPIA Cybersecurity Guidelines, thestandards of the industry, for suppliers

Sustainability Data Book86

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Information Security Measures ｜ Preparing for Information Leaks and External Attacks ｜ Security for Automobiles ｜Security for Automobiles
A im■ Ensure safety of customers with the world’s top-level countermeasures.

Init ia t ive■ Compliance with international regulations and standards

In addition to compliance with the international rules and standards below,
implement initiatives for the entire vehicle life cycle, such as development inconsideration of security by design*1 and layered defense*2 and gathering andmonitoring of information on threats and vulnerabilities.
• United Nations regulations concerning automobile cyber security (UNR155*3).
• International standards concerning cyber security of electrical/electronicsystems of automobiles (ISO/SAE 21434).
■ Be a member of the Automotive Information Sharing & Analysis Center(Auto-ISAC) in Japan and the U.S.
• Learn promptly about cases that occur within the industry and put them touse in responding to serious incidents.
• Implement measures to enhance capabilities of the entire industry to tackle
security issues.
■ Collaboration with external specialists• By proactively collaborating with external specialists, utilize external knowhow to enhance cyber security of automobiles.
• Introduce a vulnerability reporting system (clarification of the contact point
for reporting security problems from outside).
*1 S ecurity by design: Design approach that defines the security requirements needed for safe system operations,beginning from the planning and design phases of an information system, and which aims to reliably incorporate
these requirements into the information system through the development processes, moving away from theapproach of implementing security countermeasures only after a problem has been discovered.
*2 L ayered defense: Security practice of combining multiple defense “layers” to enhance security so that an attack
is not successful even if one layer is penetrated.
*3 U
 N R155: Regulations concerning cybersecurity, which were adopted at the World Forum for the Harmonizationof Vehicle Regulations (WP29) in June 2020

Sustainability Data Book87

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

Privacy

Human Resource
Development

Intellectual Property

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Respect for Privacy and Protection of Personal Information ｜Fundamental Approach
Updated in October 2023

Privacy

Aim■ In line with Toyota’s Customer First philosophy, respect privacy as a member of theinternational community, through compliance with the laws and regulations of eachcountry and region.
■ Assure appropriate management and correct utilization of information to contribute tocreating Ever-Better Cars and enriching the lives of communities.
In i t i a t i v e■ Establishment and Operation of a Privacy Governance System• Appropriate management and protection of personal information based on the

Toyota Code of Conduct and basic policies on the protection of personal information
formulated by Toyota Group companies in each country and region.
■ Compliance with the Act on the Protection of Personal Information and other related
laws and ordinances.
■ Utilization of information to solve social issues and provide ever-better products andservices.

Organizational Structure
Ai m■ Building a privacy governance structure applied throughout the company while integrating

the perspectives of those outside the company.
Initiative■ Decision-making regarding important matters, policies, and specific measures at Privacy

Governance Management Meetings under the supervision of the Chief Privacy Officer(CPO).
■ Establishment of an Advisory Board• Reflecting advice based on the perspectives of external third parties, such as experts
outside the company, into in-house initiatives.
■ If a serious incident occurs, the nature of the incident will be promptly identified andreported to the CPO and members in management positions. The incident will then be
analyzed to facilitate the implementation of responses.
Board of Directors

Toyota Code of Conduct (Personal Information)

Privacy Governance Management
Meeting

Data utilizing initiatives(Chairperson: CPO)

PrivacyMembers in management positions ・CPO
Advisory Board• Advice on various
initiatives

GRI 416-1, 418-1• Decisions on important matters and policies• Reporting on initiatives and issues• Decisions on specific measures

AdvicePrivacy and governance • Legal review • In-house training • Developing a healthy corporate culture• Providing support in major fields • Formulation of rules
promotion depts.
• Implementation of governance・Privacy protection is handled within each field

Major fields(To be set in accordance with privacy risk levels in Toyota)

88

Fundamental Approach88

Organizational Structure

89

Respect for Privacy and Protection of
Personal Information

Qualityassurance

Distributors

Connected
vehiclesInternal departments

Human
resources

Finance

R&D

Systemsecurity

Subsidiaries

Sustainability Data Book88

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Respect for Privacy and Protection of Personal Information ｜Respect for Privacy and Protection of Personal Information
A im

Training■ Aim to serve our customers as a company that abides by social norms with the establishment of flexible, innovative, andsustainable information management systems to handle personal information and confidential information.
■ Carry out duties and develop human resources with an awareness of the need to respect privacy and protect personal information.
Init ia t ive

Compliance with Laws, Ordinances, and Internal Regulations■ The Toyota Code of Conduct clarifies Toyota’s aims for the handling of information that includes personal information, as well as

the direction that should be taken by the company and each employee.
■ Necessary procedures including the gathering, utilization, and management of personal information are stipulated andoperated in accordance with company regulations, while also complying with the laws and regulations of each country
and region such as GDPR*1 (Europe) and CPRA*2 (California, USA).
■ Information that requires more secure handling will undergo a risk assessment in advance to facilitate the implementation of
appropriate measures.

Examples: Toyota Motor Corporation (Japan)■ Training for all employees (including secondees and dispatched employees)• Training to suit each job type and job description.
• In-house awareness-raising activities for all company employees during Privacy Month (once a year).
• Special training sessions will be carried out when a new law comes into force or existing law is revised to ensure that
relevant information is disseminated throughout the company in a timely manner.

■ Training for targeted employees• Training for new employees and on-demand training.

Examples: Toyota Motor Europe NV/SA (Belgium)■ Training for all employees (including secondees and dispatched employees)• e-learning training about privacy and data protection (every two years).
• Activities involving all employees such as awareness-raising using the company intranet (once a year).

■ Training for targeted employees• e-learning training about privacy and data protection after joining the company.
• Training sessions, including privacy by design, for members of specific departments (once or twice a year).
• Special training sessions for members of specific departments when a new law comes into force or existing law is*1 GDPR: The EU General Data Protection Regulation*2 CPRA: California Privacy Rights Act

Code of Conduct

revised.

Customer first

Carefully and sincerely listen to and consider consumer feedback on privacy issues.

Quality first

Toyota practices Privacy by Design, by taking privacy considerations into account early in the development
and operation of products and services.

Product and Experience

Use consumer personal information responsibly to develop products and services tailored to the consumer
with a goal of achieving consumer happiness and satisfaction.

Examples: Toyota Motor North America (U.S.)■ Training for targeted employees• General privacy training for employees who are in an administrative function (once a year) .
• Training sessions about privacy-related laws (once a year).
• Providing specialized training to members of specific departments.
P.75 TNDAC and Dealer Compliance Activity Support (Initiatives to ensure appropriate management of customers’ personal information by dealers)Compliance

Ensure that personal information is managed and processed throughout the enterprise in a mannerthat complies with applicable laws and regulations.

Stakeholder

By cooperating and coordinating on privacy issues across all business functions throughout the enterprise,
Toyota works to create and sustain an appropriate personal information management system.

Human resource development
Toyota promotes a corporate culture that respects privacy via continuous training and education.

Toyota Code of Conduct (Personal Information)

Sustainability Data Book89

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

Privacy

Human Resource
Development

Intellectual Property

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Intellectual Property Activities ｜Fundamental Approach
Updated in June 2023

Intellectual
Property

Aim

Organizational Structure
Ai m■ Protect and utilize intellectual property such as invention, know-how and brands, which

are Toyota’s important management resources, in an appropriate manner. Endeavor to
conduct research and development that is one step ahead, thereby enhancing productappeal and technological prowess, which are the source of Toyota’s competitiveness.

■ Promote activities that incorporate management, R&D, and intellectual property in one.

Initiative■ Support technology development globally by securing organic, systematic coordination

between R&D activities and intellectual property activities.

In i t i a t i v e■ Carry out intellectual property activities in line with Toyota’s focus areas, toward therealization of a future mobility society.
■ Distribute resources mainly to such areas as carbon neutrality, including the developmentof electrified vehicles and batteries, and Software & Connected Initiatives. Enhance theobtainment and use of intellectual property rights.
2012 Percentage of Registered Patents by Technological Field
Electrified vehicles

14%

Batteries

7%

Automated driving

3%

Connected

1%

Other vehicle technologies 75%(Engine, body, chassis, etc.)• Established intellectual property functions at the R&D centers in Japan, the UnitedStates, Europe, and China.

■ Discuss and make decisions at the Intellectual Property Management Committee on

policies for obtaining and utilizing important intellectual property conducive to management
and for responding to management risks related to intellectual property.
■ Work in collaboration with approximately 110 law firms around the world to collectintellectual property information and take measures suitable for each country/region.

Intellectual Property Activities
Ai m■ Protect and utilize Toyota’s intellectual property, including invention, know-how, and2022 Percentage of Patents* by Technological Field

90

Fundamental Approach

90

Organizational Structure

90Intellectual Property Activities

Batteries

19%

Electrified vehicles

18%

Connected

9%Automated driving

5%

Other vehicle technologies 49%(Engine, body, chassis, etc.)*Total of patents under application and registered patents in Japan and overseas

brands, in an appropriate manner.
Initiative■ Number of patent applications and number of registered patents

2022 Results• Number of patent applications : approx. 14,000; Number of registered patents: approx.
11,000. (In Japan and outside of Japan)• Japan: Toyota was the overall leader in patent applications and registered patents.
• United States: Toyota ranked in tenth place for the number of registered patents in allindustries and ranked in first place for the most patents registered by a
car manufacturer.

Toyota Promotes Global Vehicle Electrification by Providing Nearly 24,000 Licenses Royalty-Free

Sustainability Data Book90

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Recruitment ｜ Education and Career Development ｜ Evaluation of and Feedback to Employees ｜ Employee Engagement Survey ｜ Initiative to Promote Psychological Well-being ｜Fundamental Approach
Updated in June 2023

Human
Resource
Development■ Diversity: living the life you choose

Aim■ Develop human resources based on the belief that “monozukuri (manufacturing) depends

on human resource development.”• Develop human resources with the ability to continuously think and act for the benefit ofothers and to win supporters.
• Focus on allowing Toyota’s most important asset – its employees – to work in a stylethat suits them so they can take on new challenges. We aim to become a company
where anyone can take on new challenges at any time, as many times as possible,
without fear of mistakes. These efforts will facilitate our transformation into a mobility
company and fulfill our corporate mission of “Producing Happiness for All” as we face
this once-in-a-century period of change.
In i t i a t i v e■ Develop companywide human resources with compassion* and expertise that have apositive impact on others and are capable of winning trust and confidence along with the“ability to act” to move things forward.
■ Implementing initiatives based upon three main pillars designed to transform the company
into a place where anyone can take on new challenges at any time, as many times
as possible, without fear of mistakes.
GRI 3-3, 404-2, 3

A company where anyone can take on new challenges
at any time, as many times as possible, without fear of mistakes.
Three main pillars of our initiatives

91

Fundamental Approach

92

Recruitment

92

Education and Career Development

94

Evaluation of and Feedback to Employees

94

Employee Engagement Survey

94

Initiative to Promote Psychological Well-being

Diversity
GrowthContributions: living the life you choose: seeing challenges and mistakes as fuel for growth: for the future of the industry• Enhancing the system to support employees balancing work and family commitments

and creating a work environment where 100% of eligible employees can take partnerchildcare leave without hesitation (if they choose to do so). The system will be in place
before the end of 2023.

P.68 Childcare / Nursing Care Support• Full implementation of in-house recruitment (newly established in-house free-agent

system), career consultations, and other support for employees to build their ideal
career.
■ Growth: seeing challenges and mistakes as fuel for growth• Ensuring the best personnel are chosen for each position by taking a close lookat individual roles and skills, regardless of nationality, sex, years of service, initial
employment type, academic background, or job type while promoting skill development
for all employees.
• Initiatives to change processes and the evaluation system to see challenges and failures
as valuable experiences.
■ Contributions: for the future of the industry• Matching human resources and assets, and utilizing both effectively for the benefit of
the 5.5 million people working in the automotive industry .
■ Enhance resources and management support to add capacity to promote diversity andto take on new challenges – the foundation of the three main pillars stated above.
■ Initiatives to create workplace environments where each individual can achieve growthin their own way to reach their full potential. Boosting recruitment of diverse humanresources needed to transform Toyota into a mobility company (mid-career recruitment
will be expanded to 50%).
• Review of management duties and implementation of management support andtraining by specialists to assist subordinates in achieving their diverse career goals.

Strengthening the foundation of the three main pillars

Enhancing resources

Management support* Ability to make the best efforts for others, such as customers and colleagues, and to improve oneself from respectfully learningfrom others

Sustainability Data Book91

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Recruitment ｜ Education and Career Development ｜ Evaluation of and Feedback to Employees ｜ Employee Engagement Survey ｜ Initiative to Promote Psychological Well-being ｜Recruitment
A im

Education and Career Development
Aim

TMC Human Resource Development■ Recruitment of diverse human resources with a greater emphasis on■ Develop human resources who can act in line with the Toyota Philosophy

compassion and enthusiasm for realizing dreams at Toyota.
• Reinforcement of recruitment of personnel who are attractive for others towork with.
• Review of work processes and workstyles, incorporating external
knowledge.

with the aim of transforming into a mobility company while inheriting theprecept of the Toyoda Principles.
Global Executive Human Resource Development“Global 21” Program

Init ia t iv e

Global human resources

Enhancing mid-career recruitment■ Before: 90% new graduates and 10% mid-career hires• Increase mid-career hiring to 47% (FY2023: Toyota Motor Corporation,

Toyota Motor Corporation (TMC) human resources

Overseas affiliate human resources

administrative and engineering positions)• Continue to expand mid-career hiring to target 50%.

■ Introduced recruitment methods such as referrals.

Hiring new graduates with diverse backgrounds■ Promote recruitment of diverse people from universities from which no

graduates have been hired by Toyota, technical colleges, vocational schools
and high schools.

Course specific recruitment of new graduates■ Hire students who have a concrete vision of what they want to do at Toyota(termination of school recommendation program).
the recruitment of diverse human resources suited to thecharacteristics of specific workplaces, such as with IT related personnel.

■ Promoting

In i t i a t i v e

Global Executive Human Resource Development:“GLOBAL 21” Program■ The program enables talented global employees to acquire the skills andinsights necessary for global Toyota executives and enables them to leverage
their strengths in their respective area of responsibility.

Management-level development■ Toyota’s values and management approach are based on philosophy, skills,

and behavior*. We utilize these values to create leaders who can navigate
the company through this transition with passion and empathy and canprovide a vision to follow in a world full of uncertainty where there are noright answers.
• Newly appointed division general managers participate in group training
sessions, seminars looking back on the history of the company, andfieldwork throughout the year. This allows general managers to clearly
identify their ideals, boosting their empathy with others and creating amindset to reach their full potential both inside and outside the company,
and to lead specific behavioral changes in the workplace.
• Employees who are promoted to senior professional/senior management
and professional/management have group training sessions and smallgroup seminar activities throughout the year to instill the awarenessneeded for their role and help them clearly identify their ideals.
• Seminar activity instructors are appointed as advisors for participants intraining sessions for newly appointed division general managers. This
allows instructors and participants to learn from each other and enhancetheir skills and knowledge.
* Philosophy: Toyota Philosophy; Skills: TPS (Toyota Production System); Behavior: Toyota Way 2020

1. Teaching of management philosophy and what is expected of
executives• Disseminating Toyota Philosophy and incorporating it into global humanresource system and training.
2. Human resource management• Applying appropriate personnel evaluation standards and processes ineach region based on Toyota’s common values.
3. Training deployment and training programs• Global assignments and executive training.
• Holding regional succession committees to accelerate identification andtraining of next-generation leaders.

■ Our company aims to create a workplace where everyone can work happily

among a diverse range of values and working styles to reach their fullpotential under the goal of “active participation by all members.” To achievethis, we have enhanced training for employees in management positions(the key to workplace management) to boost their understanding and skills
regarding open and fair evaluation (assessment) practices and feedback
methods that are acceptable and effective.
• Performance reviewer training (division general managers/department
general managers) and evaluator training (group managers) are carriedout to improve workplace assessment and feedback skills (including
mandatory training and some optional training)

Sustainability Data Book92

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Recruitment ｜ Education and Career Development ｜ Evaluation of and Feedback to Employees ｜ Employee Engagement Survey ｜ Initiative to Promote Psychological Well-being ｜■ Individual support for management is provided through opportunities

and venues that help resolve concerns and issues related to workplace
operations (optional)• Group managers roundtable discussions:
A place where group managers can discuss their concerns and issues
with other group managers to find a clue how to resolve them throughsharing information and best practice. Group managers can get to knoweach other and build mutual relationships where they can help each otherwhen needed.
■ Toyota encourages the promotion of young employees to important
positions.
• This creates opportunities for top management to directly observe
personnel in these positions and to foster executive minds in thecandidates.

Administrative, Engineering, “Gyomushoku” Human Resource
Development■ Instilling the Toyota way – philosophy, skills, and behavior■ OJT with a focus on genchi genbutsu (going to the source to get thefacts), along with OFF-JT** OFF-JT (Off the-job training): training conducted outside the workplace

TimingAfter entry

Major items• Acquire basic knowledge of various areas required after assignment(OFF-JT)

After
assignment• OJT human resource development programs based on genchi-

2nd year• Thoroughly learn the basics skills required as Toyota employees in

genbutsu

training at dealers and plants (administrative and engineering personnel)

3rd year• Group OFF-JT training (administrative and engineering personnel)

4th yearandbeyond• Training Dispatch Program:• Increase the number of employees dispatched abroad to quickly
develop and further enhance their capabilities• Dispatch for one to two years training to overseas subsidiaries,

overseas graduate schools (including MBA), domestic affiliates, etc.

• Providing deeper understanding of practices and culture as well as
improving language skills

6th to 8thyear

Shop Floor Employee Human Resource Development■ OJT is conducted by supervisors and experienced employees at the worksite

through daily operations in the field. Deployment cycle: formulation ofdevelopment plans, assignment for development, and evaluation/feedback.
• While focusing on OJT, human resource development is accelerated byconducting OFF-JT at career milestones.
• OFF-JT gives participants an opportunity to enhance awareness of theirroles and acquire the knowledge and skills they need. Newly-appointed
EX, SX, and CX* undergo pre-promotion training in the form of practicaltraining at other workplaces and training at other companies to broaden
their perspectives and boost their compassion.
* EX (Expert), SX (Senior Expert), CX (Chief Expert)• Employees are becoming more diverse with employees rehired after

retirement age (60 years old), female shop floor workers, and people withdisabilities. Training now includes a diversity-related curriculum to promote
understanding among employees. Training materials have also beenchanged to include the perspectives of people with disabilities as part ofefforts to actively maintain and improve the workplace environment.
■ Specialized technical training is provided in accordance with job type toenhance technical skills toward a workplace culture with focus on technicalskills.
• Start-up seminars are held as part of career support for employees to betransferred to another plant.
■ Supporting aspiring employees through, for example, practical training atworksites and improving web learning programs for those wishing to growthrough self-learning.

Overseas Affiliate Human Resource Development■ Temporarily transfer employees from overseas affiliates to Toyota Motor

Corporation for OJT to promote self-sufficiency in overseas affiliates• Learn skills, know-how and Toyota’s way of thinking and work processes
for 6 months to 3 years• General Manager-level:
Also, learn decision-making processes and form networks with other
employees as general managers or department managers at Toyota Motor
Corporation• Specialized group OFF-JT training (administrative and engineering
personnel)

Sustainability Data Book

93

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Recruitment ｜ Education and Career Development ｜ Evaluation of and Feedback to Employees ｜ Employee Engagement Survey ｜ Initiative to Promote Psychological Well-being ｜Evaluation of and Feedback to Employees
A imworkplace where everyone can reach their full potential. Employees in each
workplace are placed and trained in accordance with their motivation and abilities.
■ The abilities of each employee are also carefully assessed. Effectively
delivered assessment and feedback are encouraged between managers
and employees to give employees balanced workplace treatment andprovide them with duties that will help to further develop their abilities.
Init ia t ive■ Determine roles and themes at the beginning of each fiscal year and consult

with supervisors periodically.

• Interviews and daily communication between managers and employees

are utilized as opportunities to have a fact-based review on their full-year
performance and half-year results.
• In particular, performance assessment is made with a focus on personalquality and ability of action required for qualification.
360-degree
feedback is used to gauge personal quality. Opinions are gathered•from colleagues about the employee’s strengths and points suggested
improvement. This information is then provided to the employee as feedback.
• Reflect half-year results into bonuses and full-year performance into salaryraises for the following year.
Year

Content• Revised human resource system to allow hard workers to be rewarded
regardless of age or rank

2020

Initiative to Promote Psychological Well-being

Aim■ Independent career building is encouraged for each employee to develop a diverse

2019

Employee Engagement Survey• Introduced a system capable of centrally managing employees’ individual
information, including employees’ evaluations, the resultsof consultations with their supervisors and questionnaire results regarding
workplace management⇒ This makes it possible to refer to previous evaluations, personal
information and employees’ career goals
Enhance the development and allocation of human resources withconsistency through job assignment based on a better understanding of
employees’ aptitude and career goals

2021• Started providing feedback to senior professional/senior management and2022• Started providing feedback to assistant managers and those in ranks below

Ai m■ Each employee can think and act to create a work environment where■ To feel the joy and happiness of being a key part of automotive industry.

they can work actively and reach their full potential.
Employee engagement
In i t i a t i v e

Well-being■ Use Employee Engagement Survey analysis for planning and implementing

measures for employees to work lively.
■ Share feedback results in the workplace to promote dialogue and improve
activities in each organization.
■ Promote changes to workplace culture from both a bottom-up perspective
through dialog and a top-down perspective focusing on company management.
[%]

Percentage of employees who feel satisfied with the company
FY2021

Toyota Motor Corporation

FY202278.7
FY2019Overseas

77.0

Shop floor
employees

70.0

78.2*177.2*270.0*372.1*367.9*473.5*4[%]

Percentage of employees who feel personal growth

Toyota Motor Corporation

FY2022

82.1

Employee Engagement Surveys

Anyone can take on new challenges at any time, as many times as possible, without fear of mistakes
Transformation into a mobility company to achieve the mission of “Producing Happiness for All”

FY2023

85.1

Initiative■ Staff with a high level of expertise promote measures for psychological well-

FY2023*1 Survey questions revised in FY2022*2 Administrative, engineering, “gyomushoku” employees (not including shop floor employees)*3 weighted averages of 18 companies*4 Weighted average of 20 companies for administrative and engineering employees and 17 companies for shop
floor employees

FY2021

Education and Career Development,
Evaluation of and Feedback to Employees,

FY2023

FY2022Administrativeand engineering
employees

Happiness in eachindividual’s life

Motivation and satisfaction at Toyota(in the workplace and in work performance)

82.3

being to all employees.
■ Dedicated full-time staff (hereinafter referred to as “dedicated staff”) with ahigh level of expertise assigned within the company plan and implement
measures to promote psychological well-being.
• Full-time psychiatrist: 1 (part-time*5: 16), full-time psychologists: 6.
• Full-time public health nurse: 1, full-time psychologists/public healthnurses: 2, full-time social worker: 1, full-time office staff: 3.
*5 Active in the field of community-based health care with a high level of expertise in sleep conditions, dementia,
developmental disorders, and other conditions.
■ Employees’ true feelings and actual situations obtained through activities

conducted by any of the above dedicated staff are directly sent up to the
management after ensuring anonymity, which then checks and improvescompany policies. Employees’ true feelings about company policies andactual situations are surveyed again after management performs checks
and makes improvements. This forms a cyclical system that creates asustainable, growing, and healthy company.

professional/management on the results of their evaluations(administrative, engineering, gyomushoku) on the results of their evaluations.
Sustainability Data Book

94

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Recruitment ｜ Education and Career Development ｜ Evaluation of and Feedback to Employees ｜ Employee Engagement Survey ｜ Initiative to Promote Psychological Well-being ｜Training to improve well-being
Management

Sustainable,
growing,and healthy company
Employees’
true feelings
and actual
situations

Fundamental
initiatives

Checks/improvements

Training to improvewell-being

Monitoring
well-being

Fundamental Initiatives

Targetaudience

OMOIYARIInterpersonal Skills andCommunication Training(live/online)Allsupervisors
and officers(mandatory)• Implement ongoing group

Well-being Dojo (live/
online)All
employees(optional)• Provide psychoeducation by dedicatedDialogue andadvice fromdedicated staff

All officers

Overview• Regularly provide information on mental

health care and employees' true feelings fromdedicated staff, leading to the development
and implementation of better company
measures

Distributionof e-mailnewsletters

All employees

Onlineconsultation
hotline• Occupational

Overview

psychoeducation in a constant andruminative manner with the aim ofpreventing harassment and promoting
well-being

Initiatives

Target audience

Well-being Survey(Conducted every
year)

All employees• Training on understanding cognitive

Communication skillup training• Provide training that utilizes cognitive

PERMA-V* Training• Training in which participants canbehavioral models for use in stressmanagement

Well-being check(Conducted every
month)

Employees inadministrative andtechnical positions
up to the third yearof employment

behavior models and can improve
relationships through listening, accepting
others, assertions, and comprehension,
expression, and relationship adjustment
skillsOverview• Conduct satisfaction surveys and otherquestionnaires on company measures thatcan serve as key drivers, in addition to thegoal of having a subjective feeling of wellbeing and events of happiness• Perform statistical correlation analysis
and select measures with a high degreeof contribution to and high expectations
for well-being to improve the efficiencyof implementing measures that can bringabout sustainable growthstaff to bring about mutually enhanced
changes in awareness and behavior that
help both individuals and others experiencea valued sense of well-being

Cognitive behavior
modification skill-up
training• Conduct surveys on PERMA-V• Provide opportunities to focus on wellbeing and self-monitoring• Conduct triage and case work with the

involvement of dedicated staff when areduced sense of well-being is observed

experience and learn about the elementsof PERMA-V to improve their own andothers’ well-being

for consultation services and a variety of trainings at any time.
Target audience■ The following new initiatives will be implemented from fiscal 2024.

Initiatives■ Create an environment in which all employees can freely access and apply

Initiatives

Monitoring well-being

Cognitive Behavior
Modification Approachand PERMA-V
Psychological Education(online)• Training from a neutral perspective bydedicated staff who are familiar withcircumstances inside the company(individual case work, etc.)* Positive Emotion, Engagement, Relationship, Meaning, Accomplishment, Vitality• Regular monthly distribution of information byemail that serves as a boost to mental healthand provides nourishment in daily life (like a
Psychological Vitamin)

health staff• Human resources• Supervisors• Set up a consultation hotline with part-time staff who are active in their fields andcan provide appropriate information on
medications and medical facilities, guidanceon medical cooperation, and other useful tips
Sustainability Data Book

95

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Information
Security

Quality and Service

GovernanceSocialPrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Health and Safety Education ｜ Initiative for Health ｜ Initiative for Safety ｜Fundamental Approach
Updated in June 2023

Health and
SafetyAimSocial Recognition■ Create workplaces that ensure the physical and mental well-being of everyone

working at every Toyota location, providing a safe environment where everyone canwork to their full potential.

Details

Years Awarded• Recognized and certified as a Health and Productivity

2021, 2023

Commitment and the Basic Philosophy for Safety and Health.
• Health and safety policy: Health through mutual awareness-raising and theestablishment and enhancement of a safety-focused work culture. This policy is
expanded globally.

• Certified as a White 500 Health & Productivity Management

2018 to 2023

Basic Philosophy for Safety and Health• Certified as a Safety and Health Outstanding Company for2015 to 2024

In i t i a t i v e■ Promoting health and safety initiatives for all on-site personnel including employees andcontractors based on the following philosophy and policy:• Philosophy for health and safety: Toyota Motor Corporation’s Declaration of Health

Safe work
Reliable work

Company for encouraging employees to improve theirhealth-related practices and promoting initiatives focusing
on “prevention” actions by promoting flexible workstyles
and providing support for a better work/life balance• Certified by the Ministry of Economy, Trade and Industry(METI) and the Tokyo Stock Exchange

Outstanding Organization• Certified by the Ministry of Economy, Trade and Industry(METI) and the Japan Health Council

maintaining and enhancing a high level of health and safety• Certified by the Ministry of Health, Labour and Welfare(MHLW) (renewed every 3 years)

Skilled work
Safe work is “the gate” to all work.
Let us pass through this gate.

GRI 403-1~10

Philosophy for health and safety

96 Fundamental Approach
97 Organizational Structure
97 Health and Safety Education
98 Initiative for Health100

Initiative for Safety

Sustainability Data Book

96

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Health and Safety Education ｜ Initiative for Health ｜ Initiative for Safety ｜Organizational Structure

Health and Safety Education

A im

Aim

■ Promoting better work environments through cooperating with business partners,

including business sites, labor unions, suppliers, and in-plant contractors.
■ Promote initiatives based on daily collaboration, sharing and resolving issues.
Init ia t iv e

(CPO: Chief Production Officer)• The Safety and Health Policy and KPI are formulated based on technologicalinnovations and changes to the business environment.
• The results of health and safety promotion initiatives are reported to
management together with figures related to diseases and accidents.
■ The Safety and Health Promotion Division takes a leading role in building
collaborative relationships with administrative divisions of business sites, labor
unions, health insurance societies, regional affiliated companies, and suppliers.
Organizational Structure

Global Healthand
Safety Policy

Management
Monthly Management Meeting,and conducting audits andguidance as needed
Company Health and Safety Supervisor(CPO),
Deputy Company Health and Safety Supervisor(Chief Officer of the Production Group)

Suppliers and Affiliated Companies
Group companies All Toyota Safety and Health
Cooperation Association(17 companies)
Parts andmaterials suppliers

Kyohokai Safety and HealthCommittee (228 companies)

Equipment,
installation, andlogistics suppliers

Eihokai safety and healthcommittee (128 companies)
Toyota Motor Corporation Safety
and Health Cooperating
Association (573 companies)

Biweekly discussion andinformation sharing sessions

Officefunctions

Office Policy

WorkplacesGroup Policy
General Manager
Policy■ Conducting yearly communication for all employees, from new recruits to

executives, to establish awareness of their individual roles in maintaining
health and safety.

Plant general managers, site
general managers, departmentsin charge of safety and health
Discussion, notification(Office Safety and HealthCommittee meetings, etc.
(monthly))*Members[Company]
Office safety and healthmanagers, general managers,
industrial physicians, healthmanagers, etc.
[Labor Union]
Branch chiefs, workplacecommittee chiefs• Lessons learned from serious incidents and accidents occurring

Review past
health andsafety activities• All company officers send out messages about safety and managers

General Manager
Monthly dialog and communication
at divisional liaison meetings

Employees

within the company are used to communicate the importance ofsafety to all employees. Managers speak about their commitment
to safety and meetings are held to encourage the prevention of
accidents in all workplaces.

express their commitment to safety, making an opportunity for all
workplace personnel to review their daily operations.

■ Discussing about workplace management tips and examples■ Reaffirming the importance of daily communication• Managers to identify any health problems of their subordinates at an earlystage and provide proposals to predict accidents.

Educational Programs to promote health and safety mind
(Toyota Motor Corporation)

2022 Results
Details

Rank-specific Education Programs(Staff starting in new positions)(Toyota Motor Corporation)

2022 Results
Trainees

Training Hours

Number of Participants

Division general managers

6 hours

50

Section general managers

6 hours

220

Chief Experts

4 hours120

Workplace leaders

12 hours

1,400

1 hour

3,800

General and new employees

Overseas affiliated companies
TME(Europe)

Educational Programs for Managers(Toyota Motor Corporation)

SafetyInheritance

In i t i a t i v e■ Director in charge: Company safety and health supervising manager

Companywide
functions

Enhancing health and safety mind

Trainees

On-site health Health and safety-related activities
education
are offered with the support ofexpert instructors. Seminars areheld to boost health literacy andprovide accident simulation training. All
Online health- Various online learning materials are employees
relatedprovided to raise awareness andlearning
knowledge about mental health andthe prevention of lifestyle-relateddiseases.

Seminars

228 seminars

Accessed
205,788 times

Toyota Motor Corporation (Japan)
TTCC (China)

TMNA (North America)

TDEM(Australia
and Asia)■ Skills training based on the requirements of the Industrial Safety and Health Act

Global Safety Meeting(6 times a year)
TSAM (South Africa)

Training to Enhance Hazardous Operation Skills

TDV(SouthAmerica)

TDB, TASA (South America)*TME（Toyota Motor Europe NV/SA）
TTCC（Toyota Motor Technical Center（China）
Co.,Ltd.）
TDEM（Toyota Daihatsu Engineering & Manufacturing Co., Ltd.）TSAM（Toyota South Africa Motors (Pty) Ltd.）TMNA（Toyota Motor North America）
TDV（Toyota de Venezuela Compania Anonima）
TDB（Toyota do Brasil Ltda.）
TASA（Toyota Argentina S.A.）■ Experienced instructors provide training with actual equipment in addition tolegally-required skills training(Toyota Motor Corporation)

2022 Results
Trainees

Production division members involved in hazardous operations

Number of Participants

3,284

Sustainability Data Book

97

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Health and Safety Education ｜ Initiative for Health ｜ Initiative for Safety ｜Initiative for Health
A im■ Focusing on prevention-centered activities based on the "health first" concept, we will help prevent lifestyle-related diseases, improve mental health, enhance job satisfaction, and create a more comfortable work environment. Through “healthmanagement” strategies, we aspire to boost productivity by encouraging the active participation of all employees while fostering the growth and development of the company and its workforce.
Init ia t iv e

Strategic initiatives for health-focused management
Main company initiatives

Promote a better and more fulfilling working environment toensure each employee can grow and feel content
and all member can actively participate●

Well-being enhancing measures from dedicated staff with a high level ofexpertise for psychological

Producing Happinessfor All

Health and Fitness Program●

Fulfilling work,
Support to grow

Improving work styles (work rules, etc.)
Promote better work-life balance by improving rules for shorter working
hours/working from home/allowing work in any location, the use of various types ofleave and diversity.

●●

Enhanced and more accessible employee benefits

Creating better
workplaces●

Reducing theabsence rate

Preventative
measures

Sending out company-related information

Healthpromotion

Healthy employees
and workplaces

Healthy Lifestyle Challenge 8 (Promoting better lifestyle habits and awarding outstanding workplaces)●

Promoting eight healthy lifestyle habits* to prevent mental and physical diseases. This initiative encourages employees to adopt
as many of these good habits as they can and prompts them to take a closer look at their current habits and lifestyles.

* Appropriate weight (BMI), 2. Eating breakfast, 3. Reducing alcohol, 4. Reducing snacking, 5. Exercise, 6. Quitting smoking, 7. Better sleep habits, 8. Stress management<Example of activity results> Percentage of all employees who exercise regularly 2019 : 60% → 2022 : 68%

Passive smoking prevention and smoking bans on company premises●

Expanding the smoke-free environment with an indoor smoking cessation, set non-smoking rules during working hours, and regular non-smoking days.
● Full smoking cessation on all company premises is scheduled to take effect in April 2025
(smoking cessation policy is already being implemented at some locations).
● Smoking rates: 23.7%(2020); 22.1%(2021); 20.9%(2022)

Mental health● Lifestyle-related disease prevention● Health advice and training● Health promotion● Infection disease prevention

Health check-ups/follow-ups
Appropriate job placement/work limits● Follow-ups when returning to the workplace
or in periods with heavy workloads●

Compliancewith laws
and regulations●●●

Provide healthy menu items (low salt/vegetable/well-balanced dishes) . Calories and nutritional information are also displayed.
Visualize food intake and nutritional value using an app on the employee’s smartphone.

Prevention measures for mental health issues, precaution measures for recurrence, and providing support when returning to work
P.99 Initiatives for Mental Health Care●

Early detection and treatment
in compliance with related laws

Providing opportunities for communication
Company-wide or workplace sports events and informal activities, supporting
Toyota Sports, volunteering, various consultation services.

Maintain and improve physical fitness from a young age and prevent age-related physical function decline.
● Annual health check-ups: body fat, bone and muscle mass, basal metabolic rate measurement (scope is to be expanded)● 36-years-old or older employees are subjected to measure grip strength, seated toe touch, foot grip strength, and shoulder/arm function every four years.

Food and dietary education through the company cafeteria

Enhance both internal and external facilities, systems and services, and enrichemployee asset-building programs.

Disclose management perspectives on labor-management meetings, and organize
external events/activities.

Helping employees maintain and improvetheir physical strength for healthy aging● Providing childcare/nursing care support● Improving workplace environments●

Promote training based on job type and level, interactive interviews with managers,
self-reporting system, performance evaluation feedback, sharing of work
improvements, specialized skill training, and promotion of DX/ICT.
●

Helping people improvetheir own healthHelping to build healthier andhappier workplaces

P.94 Initiative to Promote Psychological Well-being

Helping employees grow(Toyota Motor Corporation)

Utilize PDCA cycle to improve the process of health initiatives leading to better performanceWell-being

Offer advice, consultation, training, and monitoring to open up opportunities for amore fulfilling life with both achieving well-being and productivity.

●

Main health-related initiatives

Health support for employees stationed overseas
Before departure, the employee and their family members undergo health check-ups and receive health guidance related toeveryday life including vaccinations and the risk of malaria and HIV/AIDS.
● When posted overseas, the employee and their family receive local physical examinations and guidance as well as follow-ups forresults. Consultations about various problems are also available for the employee and their family members and information isprovided to help them feel at ease with local life environment.
● Industrial physicians and nurses are sent periodically to the local area to observe the standard of medical care and the local lifestyle in each region.
●

Health-check-ups and health guidance(applicable to the employee and some eligible dependents)

P.99 Physical Examination and Health GuidanceAppropriate job placement based on work restrictions, improving work environments/methods
Provide follow-ups for employees working long hours●

Health checks and interviews with industrial physicians are conducted at a more detailed level than legally required during busy
periods and when dealing with problems, allowing closer and more flexible work adjustments.

Stress checks

P.91 Human Resource Development
P.64 Diversity, Equity, and Inclusion (DE&I)

Sustainability Data Book98

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Health and Safety Education ｜ Initiative for Health ｜ Initiative for Safety ｜Health KPI2022 Results

2023 Targets

Manpower of 1,180
employees

Manpower of 801
employees

Physical(Lifestyle-related diseases)

5% down compared to2021

5% down compared to
2022

Mental (new cases)

13% down compared to2021

2% down compared to
2022

Mental (recurring cases)

15% increase compared
to 20215% down compared to
2022

6.3/8

6.4/8

Overall absence

Healthy Lifestyle Challenge 8(Average results from adopting 8
healthy lifestyle habits)

Absence rate*3

1.10

1.14

1.10

1.15

885

908

880

897

2019

(Toyota Motor Corporation)

Total prevention ofissues and/or firststage prevention

2020• Mindfulness and meditation training• Self-care• Encouraging better lifestyles and habits (Healthy Lifestyle
Challenge 8)• Providing Stress checks (2022 participation rate: 91.7%) toraise awareness• Line care
• Workplace management (receiving support from and

1.5

1,180
1.0

0.5

2018

in accordance with each employee’s age and risk factors. Encouraging
voluntary screening tests (neurological or gynecological tests) and providing
specific health guidance.
• From the age of 36 to 60 at retirement, employees and their (dependent)
spouses undergo a health screening equivalent to a thorough physicalexamination once every four years. They also receive an oral healthassessment, including a check for pyorrhea alveolaris, and attend healthbriefings about their individual health status (approximately 20,000 persons
undergo the screening per year at Toyota Motor Corporation).
• Individual guidance will be provided if the employee’s health does not
improve after follow-ups within the company and/or outpatient treatment
at a medical facility.

• Rank specific training for new recruits and young employees

1.51

500

0

■ Carrying out physical examinations provided by full-time medical staff

psychology experts, and staff in charge of personnel and labor affairs
respectively engage in various activities to prevent mental issues fromeither occurring or recurring.

• Workplace-specific and individual support provided by(Toyota Motor Corporation)

1,500

Target 801■ Employees, workplace managers, industrial healthcare staff, including

workplace counsellors• Rank-specific training for managers• Care by experts• Training by psychology expert staff

Infectious diseases, etc.
Mental or physical injury/illness ［％］
2.0

2,000

1,000

Physical Examination and Health Guidance

communicating with supervisors and co-workers)

Lost Workdays Due to Absences*1［Manpower*2］

Initiatives for Mental Health Care

2021

2022*4 ［Year］

Second-stage
prevention (rapid
identification
and response toissues)• Screening at physical examination• Setting up a permanent in-house health counselling service

Third-stage
prevention(preventing
reoccurrence andre-absence)• Follow-ups upon returning to work in accordance with the2022 Results(Toyota Motor Corporation)
Results

Rate of employees who have received physical examinations

100%

Specific health guidance implementation rate

37.2%

Responses to Infectious Diseases
P.114 Response to Infectious Diseases

guidelines• Care by experts• Advice for relevant employees and industrial health staff
at a counselling center where a psychiatric specialist ispermanently stationed*1 Conditions for calculation: Cumulative number of days of absence requiring a medical certificate of more than four working days, including paid leave*2 Cumulative number of days of absence / Number of working days in a year ≒ manpower(annual absent manpower)*3 Absent manpower / Number of employees x 100 ≒ Absence rate
*4 Figures increased compared to 2021 due to an increase in absences caused by COVID-19
infections

Sustainability Data Book

99

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Health and Safety Education ｜ Initiative for Health ｜ Initiative for Safety ｜Initiative for Safety
A im■ Promoting safety and health activities rooted in each worksite toward achieving

the target of “ultimately achieving zero accidents and the continuation ofzero accidents at all worksites”.
• Scope: employees, secondees, assistant secondees, dispatched employees,
employees of in-house contract companies, and employees of suppliers
related to plant construction work, under the Occupational Safety and Health
Rules.

Examples of Three Pillars Initiatives

Safety Risk Assessment■ Safe Work: Employee movement zones and industrial vehicle movement■ Globally Expanding Occupational Safety and Health Managementzones are separated to prevent collisions between workers and industrial
vehicles.

source to get the facts) inspections.

• Confirming whether measures are being implemented to avoid accidents

Init ia t iv e

Initiatives for The Three Pillars of Safety
The Three Pillars of Safety
Safe Peoplerisks, follow rules, and think and act for themselves.

a daily basis. Safety training focuses on the experiences
and past actions of former employees, and is designed toencourage current employees to review their awareness andbehavior on a daily basis to ensure that all employees are “safepeople”

Safe Work (RiskManagement)• Reducing and managing high-risk tasks to eliminate all serious

After improvement■ Safe Place/ Environments: Heat mitigation is carried out by creating cool air

flows throughout the worksite to improve the work environment.
Before improvement(Example)

WBGT*：28˚C
6m

Air-conditioner

Air-conditioner

Robot

Air-conditioner

Robot

Air-conditioner

Robot

accidents• Employees implement the 4S methodology: seiri (sorting),

seiton (straightening), seiso (cleaning), and seiketsu(cleanliness). They also evaluate safety risks in the workplaceand implement a standardization process based on theoperationality of each task.

Safe Place/
Environments

Before improvement• Implementing initiatives to develop people who can predict• Workplace leaders demonstrate a safety-first attitude on• Aiming to build positive and worker-friendly processes, findtroubles and take quick actions and make speedy decisions.

System (OSHMS)• Using OSHMS, weaknesses are identified by genchi genbutsu (going to the*WBGT (Wet Bulb Globe Temperature): Environmental assessment indicator to prevent heatstroke thatconsiders both temperature and humidity
After improvement(Example)

WBGT：25˚C
4m

Air-conditioner

Air-conditioner

Air-conditioner

Air-conditioner

that have occurred at other affiliates, and the status of the facilitatedsystem to implement countermeasures continuously.
■ Acquisition of ISO 45001*1 Certification• Eight global plants have acquired ISO 45001 certification (as of December
31, 2022). Further acquisition of certification by affiliates will be considereddepending on the needs of the region and the plant concerned.
■ Global Safety Meeting• Managers in charge of health and safety in each region attend a meeting(six times a year).
• Attendees discuss responses to common issues and share examples ofeffective responses.
■ When a new office is established, the company works together with suppliers
to advance safety measures in terms of premises, buildings, and equipment
installation while ensuring compliance with both legal requirements in therelevant country and construction work safety rules and equipment safety
standards, both of which are common to global Toyota.
*1 ISO 45001: The international standard for occupational safety and health management systems established by
the ISO (International Organization for Standardization)

All process take placein air-conditioned areas
Air-conditioner

Air-conditioner• The work environment is managed by statutory environmental
measurement.

• Since the working environment is significantly affected by the

Air flow

production equipment, season and other factors, measures
for facilities are implemented according to the predeterminedpriority order.

Sustainability Data Book

100

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Health and Safety Education ｜ Initiative for Health ｜ Initiative for Safety ｜Initiatives to Create a More Worker-friendly Workplace
Environment (Preventing Musculoskeletal Disorders)Work-related Accidents and Injuries
2022 Results■ Enhancing initiatives to create workplace environments that are morefriendly to workers in every region with consideration for all those
involved in production activities, regardless of age, gender, or physicalcharacteristics.
• Measures to prevent lower back and hand pain from repetitive tasks include
easy-to-assemble components and worker-friendly production equipment
and work methods. We also visualize the situation of employees by offering
physical care to employees on-site and a system to provide support when
pain occurs.

Work-related Injuries (Lost Time Incident Rate*5)

Scope

All accidents

2022 Target [cases]

Fatal accidents on company premises

Serious injuries (musculoskeletal
diseases that require employees totake a leave of absence for two weeks
or longer, or impose work limitations )

2021

0.24

0.23

Japan

0.08

0.04

0.10

0.03

North America

0.93

1.01

0.89

0.93

Europe

0.35

0.42

0.27

0.13

China

0.19

0.07

0.11

0.08

Asia-Pacific

0.02

0.05

0.02

0.07

Other

0.12

0.23

0.23

0.31

All industries (Japan)*7

1.83

1.80

1.95

2.09

588

Manufacturing industry(Japan)*7

1.20

1.20

1.21

1.31

0.09

0.09

0.09

0.07

2022 ［Year］

Japan Automobile
Manufacturers
Association, Inc (14companies)*8(down 50% compared to 2021)

24

46

Global*30

1

10Global*627

478

Global*3

2020

0.25

588

Toyota Motor
Corporation
Serious accidents (accidents that may
Global*3
result in death)

2019

0.23

254

Global*3

2018

Result[cases]852(down 20% compared to 2021)*3 Global: Toyota Motor Corporation and 53 overseas locations

Yearly accident cases (Global*4)［Cases］

1,000

800

665

Example of improvement: A power assist device to reduce arm fatigue (North America)
600

Safety KPI
Accident Type

Safety567

2023 Target

Fatal accidents on company premises

0

All accidents

Down 50% compared to 2021

400

2018

2019

543

2020

508

2021

*4 Global: Toyota Motor Corporation and 53 overseas locations■ In 2022, there was one fatal accident and the total number of accidents

increased.
■ Toyota takes this situation very seriously and is implementing the following toensure workplaces and employees can respond to changes.

FY2023*9(2022)
0.28(0.30)
0.07(0.07)
1.25(1.43)
0.05(0.05)
0.03(0.03)
0.06(0.05)
0.40(0.37)—(2.06)—(1.25)—(0.07)*5 Lost Time Incident Rate: Number of deaths and injuries per 1 million hours actually worked in total (No. of
deaths and injuries /Actual hours worked) × 1,000,000*6 Global: Toyota Motor Corporation 53 overseas locations*7 Source : Statistical tables from the Ministry of Health, Labour and Welfare*8 Source: Japan Automobile Manufacturers Association, Inc*9 Fiscal year results disclosed from FY2023• Focusing on each individual employee.
• Continuous activities related to the Three Pillars of Safety and further
awareness-raising.

• Continuous improvement of the health and safety management system.
P.100 The Three Pillars of Safety

Sustainability Data Book

101

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

Privacy

Human Resource
Development

Intellectual Property

Content Index

Health and Safety

Social Contribution

Social Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Social Contribution Activities ｜Fundamental Approach
Updated in June 2023

SocialContribution

Social Contribution Activities

Aim■ Contribute to achieving the SDGs by working together with stakeholders to achieve

our mission of Producing Happiness for All.
In i t i a t i v e■ Work on issues in each area with a sense of ownership and a genchi genbutsu (going to

the source to get the facts) approach. Actively working together with partners to resolve
an ever-wider range of issues faced by society.
Basic Principles and Policies of Social Contribution Activities
Toyota Social Contribution Activities

Ai m■ Toyota works together with members of the community to create a more prosperous

society and ensure its continued development in the future. We use the resources wehave effectively while promoting activities such as support the human capital developmentof the next generation of human resources.
Initiative■ 4 areas in which Toyota will focus its efforts• Contribution to a harmonious society• Human capital development• Community co-creation• Mobility for All (offer free and safe mobility for all people, through its business)
Example ● Social contribution programs (e.g. contribution to a harmonious society,human capital development, community co-creation)
Promotion of employee volunteer activities (Toyota Volunteer Center)● Support of activities by NPOs, NGOs, etc. (donations and sponsorship)● Activities to promote understanding of automobiles, mobility culture, andToyota’s corporate culture (Toyota Kaikan Museum, Toyota Automobile
Museum etc.)

Organizational Structure●

Aim■ Promote social contribution activities and discuss and report activity policies.

SDGs
Contributions

In i t i a t i v e■ Approaches, issues, and other matters are reported to and discussed at the Sustainability

Subcommittee. Key issues are consulted to the Sustainability Meeting and brought up to
the Board of Directors meeting for oversight and decision-making.
GRI 201-1, 203-2, 413-1

102

Fundamental Approach

102

Organizational Structure

102

Social Contribution Activities

P.6 Promoting Sustainability■ The Corporate Citizenship Division plays the lead role in promoting activities in cooperation

with regional headquarters in the United States, Europe, Asia and China.

Social Contribution Activities

Expenditure for Social Contribution Activities (FY2023)
Environment

7%

Traffic safety

4%

Human capital development

32%

Society and culture

16%

Other

41%

Approx.
19.9 billion yen*

*Toyota Motor Corporation and major subsidiaries (61 companies)
Major subsidiaries’ results have been converted to yen based on the average exchange rate for FY2023.

Sustainability Data Book

102

Overview
Respect for
Human Rights

Diversity, Equity, andInclusion (DE&I)

Promoting Sustainability
Value Chain
Collaboration

Vehicle Safety

Environment
Quality and Service

GovernanceSocialInformation
Security

PrivacyIntellectual Property

Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Employees ｜ Supply Chain ｜ Quality ｜ Social Contribution Activities ｜A

Employees

TMC: Toyota Motor Corporation
Updated in October 2023

Social Data

FY2021

FY2023366,283

372,817375,235

Employees (TMC)

71,37370,71070,05662,33561,57160,780

9,038

9,139

9,276

1,028

1,122

1,401

750

840

1,138

Male
FemalePersons

Newly-hired employees (TMC)
Male
FemaleAverage age (TMC)
MaleYears old

FemaleAverage period of employment (TMC)
Male

Years

FemaleTurnover rate (TMC, voluntary resignation due to personal reasons)Re-employed retirees (TMC)*1
Local management employees at overseas subsidiaries*2
Non-Japanese CEOs/COOs in major overseas subsidiaries*3
Number of managers (TMC)

Number of female assistant managers (TMC)
Percentage of female new recruits (TMC)

Average period of childcare leave (TMC)

41.4

41.2

35.1

36.4

36.8

16.2

16.4

16.2

16.6

16.8

16.6
13.7

1.0

1.0

Persons

1,000

1,288

1,465

72.0

78.4

76.7

58.0

60.7

63.1

10,504

10,534

10,41615.1

12.0

14.8*4

2.7

3.0

3.4

733

762

787

%

%

%

Administrative andEngineering employees
Shop floor employees

Number of employees using the childcare
and nursing care leave program (TMC)

39.8

13.4

Engineering employees
Female turnover rate (TMC, voluntary
resignation due to personal reasons)

263
40.6

1.0

Administrative employees
Shop floor employees

282
40.5

13.2

Persons

Number of female managers (TMC)

278
39.2

%

Persons

Percentage of managerial positions held by Global
women
TMC

GRI 2-7, 8, 204-1, 401-1, 3, 404-1, 405-1, 2

FY2022

Employees (Consolidated)

283

315

351

38.3

40.0

45.6

15.2

12.7

11.8

32.8

31.5

20.8

1.7

1.8

1.7

2.3

3.6

3.6

767

923

1,369

296

495

932

Female

471

428

437

Male

2.3

1.9

1.9

17.0

16.5

16.4

Male

Female*1 Number of re-employed administrative and engineering retirees*2 Scope of calculation: 32 overseas companies

Persons

Months*3 Scope of calculation: 112 overseas companies*4 TMC and 44 overseas companies (excluding China)

Sustainability Data Book

103

Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Environment

Vehicle Safety

SocialInformation
Security

Quality and Service

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Employees ｜ Supply Chain ｜ Quality ｜ Social Contribution Activities ｜FY2021Return rate after taking childcare leave (TMC)

FY2023

FY2022

99.0

98.7

99.0

100

100

100

98.1

98.1

97.8

Rate of male employees taking childcare leave (TMC)

10.6

19.4

38.0

Rate of male employees taking leave after the birth of their child (TMC)*5
Average number of days leave taken by male employees after the birthof their child (TMC)
All workers
Gender pay gap (TMC)*6

90.6

91.0

90.7

5.4

6.0

6.0

－ *7

－ *7

66.7

Male
FemalePermanent employees
Part-time/fixed-term
contract employees
Employment rate of people with disabilities (TMC, including specialpurpose subsidiaries)
Number of people with disabilities employed (TMC, including specialpurpose subsidiaries)
Number of employees using the flexible working hours system (TMC)*10

%

Days

%

%
Persons－ *7

66.5*8－ *7－ *7

57.8*9

2.46

2.50

2.49

1,405

1,431

1,437
36,392－ *7

30,98435,654

Percentage of annual paid leave taken (TMC)*11*12

%

98.5

93.4

101

Average monthly overtime per employee (TMC)*11

Hours/month

19.8

19.7

19.1

Total training hours (TMC)*13

Hours/year

453,103507,485

412,236

Number of training hours per employee (TMC)*13

Hours/year

6.3

7.2

5.9

Million yen/year

287

378

343

Employees who feel personal growth (TMC)

82.1

85.1*15

82.3

Employees who are satisfied with company life (TMC)
Administrative and engineering employees who are satisfied withcompany life (20 overseas companies)
Shop floor employees who are satisfied with company life (17 overseas
companies)
Rate of non-permanent employment (TMC)

78.7

78.2*1577.2*16－ *17

70.0*18

67.9

－ *17

72.1*18

73.5

12.9

14.9

17.5

91

91

90*19

1 (3,394)*20

0

1 (1,155)*21

0.24*24

0.23*24

0.28

0.10*

24

0.03*24

0.07

1.10

1.15

1.51

96.5

96.2

91.7

Total training cost (TMC)*14%

Ratio of employees covered by collective bargaining agreements
Number of work stoppages and total days idle
Lost-time injury frequency rate
Absence rate (TMC)*24
Stress check implementation rate (TMC)*24

Global*22
TMC

Cases
(persons · days)*23%*5	Percentage of male employees who took more than a half-day or full day of leave within two months of the birth of their child (including annual paid leave and childcare
leave.)*6	Average annual wage of female workers / Average annual wage of male workers x 100
Average annual wage is total wage (including bonuses and non-standard wages)/number of workers.
Permanent employees do not include employees dispatched from TMC to external companies or employees despatched from other companies to TMC.
Part-time/fixed-term contract employees include fixed-term employees, non-permanent employees, part-timers, post-retirement rehires, and temporary employees. (Thenumber of part-timers is not calculated in terms of equivalent hours worked.)
The wage framework and system does not allow pay gaps between male and female employees.
*7	Disclosure commenced in FY2023.
*8	The pay gap between male and female permanent employees is due to average age and affiliation according to job type. Pay gaps between male and female employeesof the same age in the same job type will be reduced.
The pay gaps between male and female permanent employees aged 30 years is as follows:
Administrative and engineering positions: 89.0%; Gyomushoku: no data (due to no male employees); Shop floor employees: 79.8%; and Medical staff: 89.1%*9	Pay gaps between part-time and fixed-term contract employees are due to employment type.
Particularly, remuneration for post-retirement rehires is calculated in accordance with their job description and qualifications, etc. resulting in pay gaps.
*10	Including use of the system other than for childcare or nursing care.
*11	Union member average.
*12	As a fraction of the number of days given each year. Including days of annual paid leave carried over from previous years (annual paid leave can be carried over for up to
two years.).
*13	Covers only company-wide training programs organized by HR (does not include training programs at each division, in-house companies, or departments)*14	Personnel costs (internal personal costs for setup and operation, outsourcing costs, Advisor labor costs), venue rental costs, equipment costs (rental/purchase), outside
speaker costs, fees for attending external training [Note: Does not include labor costs when attending training]*15	Survey questions revised in FY2022.
*16	Administrative, engineering, “gyomushoku” employees (not including shop floor employees)*17	Survey not conducted.
*18	Weighted average of 18 companies.
*19	Countries with unionized operations (only countries/regions with manufacturing: 19 out of 21) SASB TR-AU-310a.1*20	Period between November 9, 2020 and March 3, 2021, Toyota Kirloskar Motors in India experienced a semi lock out condition where a part of the workforce was affected.
During this period there was one work day where no production took place and for the remaining days production continued on a single shift basis. By utilizing the SASB
definitions for “Idle Days” the value was calculated as 3,394 idle days. (1-day shutdown x 3,394 affected employees) SASB TR-AU-310a.2*21	Period between April 6 and April 8, 2022: Plant operations suspended because of a strike at Toyota do Brasil LTDA (TBD, Brazil) due to the relocation of the Sao Bernardo
do Campo plant, resulting in 1,155 work days lost based on the definition by SASB (3-day shutdown x 385 affected employees)*22	TMC and 53 overseas sites.
*23	Number of deaths and injuries per 1 million hours actually worked in total (No. of deaths and injuries /Actual hours worked) × 1,000,000.
*24	Period covered: January to December.

Sustainability Data Book

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Overview
Respect for
Human Rights

Promoting Sustainability

Diversity, Equity, andInclusion (DE&I)

Value Chain
Collaboration

Environment

Vehicle Safety

Quality and Service

SocialInformation
Security

PrivacyIntellectual Property

Governance
Human Resource
Development

Health and Safety

Content Index
Social Contribution

Social Data

｜ Employees ｜ Supply Chain ｜ Quality ｜ Social Contribution Activities ｜B

Supply Chain

FY2021
Number of suppliers (Tier 1 suppliers)

FY2022

FY2023
11,167

8,519

9,762

Japan (parts)

457

471

477

Overseas (parts)

2,712

2,791

3,034

(1,486)*25(1,561)*26(1,734)

Japan (equipment, logistics, etc.)

896

1,265

1,267

Overseas (equipment, logistics, etc.)

4,454

5,235

6,389

Number of non-Japanesesuppliers

Companies*25 Revised in April 2023 1,226 → 1,486*26 Revised in April 2023 2,032 → 1,561

C

Quality
FY2021

Number of vehicles recalled

Million units

Number of safety-related defect complaints, percentage investigated%FY2022

FY2023

4.50

4.09

3.03

－ *27

100 (Investigations
conducted for
all investigation
requests from
authorities ineach county andresults reported to
relevant authorities)

100 (Investigations
conducted for
all investigation
requests from
authorities ineach county andresults reported to
relevant authorities)

FY2022

FY2023*27 Disclosure commenced in FY2022 SASB TR-AU-250a.2, 3

DSocial Contribution Activities

FY2021
Total expenditure for social contribution activities*

28

Billion yen

18.7

16.7

19.9

*28 TMC and major subsidiaries (61 companies)

Sustainability Data Book

105

Overview

Promoting Sustainability

Corporate Governance

Environment
Risk Management

SocialGovernanceComplianceContent Index
Governance Data

Governance
107 Corporate Governance
111 Risk Management
115 Compliance
118 Governance Data

Sustainability Data Book

106

Overview

Promoting Sustainability

Corporate Governance

Environment
Risk Management

SocialContent Index

GovernanceCompliance

Governance Data

｜ Fundamental Approach ｜ Corporate Governance Structure ｜ Board of Directors ｜ Audit & Supervisory Board ｜ Executive Compensation ｜ Internal Control ｜Fundamental Approach
Updated in June 2023

Corporate
GovernanceAim■ Establishment of a corporate governance structure that supports sustainable growth and the stable, long-term enhancement of corporate value.

In i t i a t i v e■ Establishment and improvement of corporate governance structure and proper operation of the Board of Directors and the Audit & Supervisory Board, etc. to enhance corporate governance.

Corporate Governance Structure
Aim

Corporate Governance Organizational Diagram■ Put in place a structure that enables customer opinions and on-site information to be swiftly

In i t i a t i v e
GRI 2-9~13, 2-17, 19, 20, 3-3■ Together with the business units (in-house companies and Business Planning & Operation

107
107

Fundamental Approach
Corporate Governance Structure

109

Board of Directors

110

Audit & Supervisory Board

110

Executive Compensation

110Internal Control

Units), the president, executive vice presidents and operating officers, to whom authority isdelegated by the Board of Directors, realize prompt decision-making and promote initiatives.
■ The Board of Directors, which includes Outside Directors, and the Audit & Supervisory Board,which includes outside Audit & Supervisory Board Members, supervise and audit the executionof business operations.

Shareholders’ Meeting
appoint/
dismiss

appoint/dismiss

appoint/dismiss

Audit &
Supervisory Board(Half of the members are
Outside Audit & Supervisory
Board Members)

Board of Directors(including Outside Directors)
auditSupervise

Executive
Compensation Meetingsuggest (Majority of the members are
Outside Directors)

Submit/report

Operating officers

Accounting Auditor

Operational execution

Audit of consolidated
financial statements
and internal control
over financial reporting

audit

Head Officeauditcooperate

Executive Appointment
Meeting(Majority of the members are
Outside Directors)
suggestDecision making and management oversightcooperatecooperate

communicated to management in order to realize timely and accurate management
decision-making, and to review whether such management decisions are accepted by thecustomers and society.

Submit/reportOpinions
and advice

Business Units
In-house Companies

Disclosure Committee
Sustainability Meeting(Directors and Audit &Supervisory Board Members[including Outside Directors])

Consultation

Labor-Management
Council/Joint
discussLabor-Management
Round Table Conference

reportInternal Auditing
Department

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Overview

Promoting Sustainability

Environment

Corporate GovernanceSocial

Risk Management

Content Index

GovernanceCompliance

Governance Data

｜ Fundamental Approach ｜ Corporate Governance Structure ｜ Board of Directors ｜ Audit & Supervisory Board ｜ Executive Compensation ｜ Internal Control ｜Changes in Governance Structure～2010
Number of Directors(total)27

Current (As of June 2023)
2011～20152016～2020

2021～

2011-2016: between 11 and 16 (temporarily increased due tothe introduction of Outside Directors)

2023: 102023: 4

Executives

Outside Directors
Executive vicepresidents
Senior managing/
Managing officers

2011-2020: between 4 and 7642022/4 Position newly
established with revised roles

2011-2018: between 42 and 49

2023/6: 5

Operating officers

Advisors/
Senior advisors
Audit & Supervisory
Board Members (total)
Outside Audit & Supervisory
Board Members
Executive
Appointment

Meetings

2023/4: 2

7

2014: 6

4

2014: 3

April 20112007-2014: CSR Committee

2014: Corporate Governance Meeting• Reduced the number of Members of theBoard of Directors from 27 to 11(currently 10
members)• Reduced decision making layers (discontinuing
the positions of executives responsible for theoperations involved and introduced the twotiered arrangement of Executive Vice President
and Chief Officer)• Made flexible assignment of Senior Managing
Officer or Managing Officer to Chief Officer
post (abolition of Senior Managing Director)• Established the role of Executive General
Manager• Stationing of, in principle, regional chief
officers in their respective regions
April 2013

April 2015

• Established business units• Reorganized region groups• Appointed Outside Board Members• Changed the roles of officers• Enhancement of diversity (appointing non-Japanese executives and female executives)

April 2016

• Established in-house companies, shift fromJanuary 2018

January 2019

October 2017

• Changed the advisor and senior advisor system

2018: Sustainability Meeting• Increased appointment of people with highexpertise from both within and outside of theCompany (the Toyota Group, people with technicalpositions, backgrounds, etc.)• Executive Vice President, in addition to supporting
the President, personally leads the field as an inhouse company president and organizational group
chief officers• Newly established a fellow system to secure people
with high level of specialist expertise and expand thebreadth of executive human resource development■ Being committed to team management, the new management team, under the theme of “inheritance and evolution,”

will work to further advance product-centered and region-centered management and accelerate the Company’stransformation into a mobility company, by building on the foundation laid by Chairman Toyoda.
• We will continue to create ever-better cars that are safe, reliable, and fun to drive.
• We will change the future of cars based on the two pillars of carbon neutrality and expanding the value of mobility.
⇒ Under the slogan “Let’s change the future of cars,” we will work to accelerate our initiatives for the future, in
cooperation with our 370,000 Toyota colleagues around the world, our suppliers, and our dealers, who share thispassion, as well as with our shareholders.

Process for Appointing the President■ To ensure a thorough selection process, Akio Toyoda, who was the President and Chief Executive Officer at the time, took it

upon himself to create opportunities to develop talent that can pass on the philosophy, skills, and behavior of Toyota Motor
Corporation. Outside members of the Board of Directors, who comprise a majority of the Executive Appointment Meeting, also
participated in the evaluation process, by creating opportunities to meet directly with potential candidates and other means.
■ Toyota Motor Corporation’s Board of Directors decided whom to appoint as President after several individual interviews
with candidates and extensive deliberation by the Executive Appointment Meeting.
Executives

senior management,” integration of Managing
Officer, Executive General Manager, (sub-executive
managerial level] Senior Grade 1 and Senior Grade
2 Manager, and Grand Master

April 2020

• Integrated the roles of Executive Vice President

Talentdevelopment

July 2020• Further clarified the roles of Operating Officers

April 2022

• Reorganized the roles of operating officers andApril 2023

• Shifted to a new management structure

Succession
planning

Appointed Company Presidents and regional CEOs to havethem gain experience in product-centered and region-centered
management● Clarified roles and responsibilities and flattened the executive
structure●

Development and assessment

●

●

●

Held weekly discussions with Akio Toyoda, shared updates on
management decision-making and perspectives, and executedbusiness in the frontline to demonstrate Toyota Motor
Corporation’s philosophy, skills and behavior

shifting to Senior General Manger and Fellow
and Operating Officer into Operating Officer

Deliberated on executive structure and assignment at the
Executive Appointment Meeting and made a resolution at theBoard of Directors

Promoted more direct reporting to outside members of theBoard of Directors by having Company Presidents and regional
CEOs, Chief Officers and other candidate-level talent explain
projects at the Board of Directors’ and individual meetings,
thereby monitoring their business execution● Interviewed operating officers and senior professional/senior
management (with 40 persons or more per year) to better
understand their personalities

Individual performance evaluation (once a year)
Evaluation andfeedback

newly established the position of executive vicepresident to create a position for focusing on
management perspectives with the president

whereby, under the theme of “inheritanceand evolution,” operating officers implement
product-centered (making ever-better cars)and region-centered (being the best carcompany in town) management

Outside Members of the Board of Directors

Changes in executive structure• Created a new classification: “senior professional/• Discontinued use of Field General Manager rank,• Further clarification of the responsibilities ofMembers of the Board of Directors as decision
making and management oversight and of
Operating Officers as operational execution• Reduced the number of Members of the Board of
Directors(including Outside Directors) to 9 (June)

2019: Outside
members accounting
for a majority

January 2020

functional to product-based focus

April 2017(excluding president andexecutive vice presidents)■ Koji Sato took office as the President of Toyota Motor Corporation in April 2023.

New Management Policy & Direction Announcement

2017: Outside
members
accounting for half

Compensation

Sustainability

2018: 9 due to organizationalchanges, July 2020: 0

2011-2017: between 55 and 68

Launch of the New Management Team (April 2023)

Determination●

Evaluated based on evaluations of multiple supervisors andrelated parties from a multifaceted perspective and 360-degree
feedback● Continued the successor development cycle to accumulate
evaluations over several years●

Deliberated on and determined the evaluation of individuals at
the Executive Appointment Meeting and Executive
Compensation Meeting

Considered and proposed final candidates
based on the successor development cycle●

After holding individual interviews with candidates, deliberated
at the Executive Appointment Meeting and made a resolution
at the Board of Directors

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Overview

Promoting Sustainability

Corporate Governance

Environment

Social

Risk Management

Content Index

GovernanceCompliance

Governance Data

｜ Fundamental Approach ｜ Corporate Governance Structure ｜ Board of Directors ｜ Audit & Supervisory Board ｜ Executive Compensation ｜ Internal Control ｜Board of Directors
A im

Meetings■ Carry out acceleration of decision-making and appropriate supervision to realize sustainable growth throughtransformation into a “mobility company”.

Name

Init ia t iv e
■ Internal executives who have been long engaged in and have deep knowledge of manufacturing and outside executives who arecapable of providing advice for the creation of new value from a broad perspective participate in well-balanced decision
making at the Board of Directors’ meetings.

Executive
Appointment
Meeting

Composition(as of June 2023)

Frequency/
Attendance Rate

Prior
Meeting*3

Chairperson: Vice Chairperson of
the Board of Directors, 6 members(Independent Outside Directors: 4,
Female: 1, Non-Japanese: 1)

8 times*1 / 100%

5 times

members are Outside Members of the Board of Directors, in order to enhance the governance system.

(As of June 2023)

Composition

10 members (Independent Outside Directors: 4, Female: 1, Non-Japanese: 2)

Chairperson

Chairman of Toyota Motor Corporation

Tenure as Director

Average tenure: 4.1 years (0-4 years: 6 persons, 5-9 years: 3 person, over 10 years: 1 person)

Appointment/dismissal of
Directors

The Executive Appointment Meeting discusses and makes recommendations to the Board of Directors

Independence of Outside
Directors

Considered in accordance with the requirements for Outside Members of the Board of Directors set out in the Companies Act
and the independence standards established by the relevant financial instruments exchanges

Diversity of the Board of Directors

The Board of Directors is to consist of members with abundant knowledge, deep insight and the highly professional expertiseneeded by Toyota, and members are appointed in consideration of Board diversity

Members’ career summary

Executives

Attendance rate at Board of
Directors’ meetings

Notice of Convocation “Attendance at the Board of Directors Meetings (No. of meetings attended)”

Skills matrix

Notice of Convocation “Skills Matrix of Members of the Board of Directors and Audit & Supervisory Board Members”

Measures to make full use of theinsight of Outside Members of theBoard of Directors and the Audit& Supervisory Board

Analysis/evaluation of theeffectiveness of the Board of
Directors• Recommendations regarding appointment/

dismissal of Members of the Board of
Directors and Audit & Supervisory Board
Members• Appointment/dismissal and changes in rolesof operating officers and senior professionals/
senior management above Senior General
Manager• Individual performance evaluation• Organizational structure■ Establishment of “Executive Appointment Meeting” and “Executive Compensation Meeting,” of which a majority of theMain Discussion Points

P.108 Process for Appointing the President

Executive
Compensation
Meeting

Chairperson: Vice Chairperson of
the Board of Directors, 6 members(Independent Outside Directors: 4,
Female: 1, Non-Japanese: 1)

2 times*2 / 100%

5 times• Remuneration level for each position and job
responsibility• Evaluation of indicators and actual results of
FY2023• Determination of the amount of remunerationfor each member• Review the criteria for submission of proposals to the Board of Directors as needed to reduce the number of proposals*1 Held in April, May, June, July, and November 2022, and January, February, and March 2023
*2 Held in April 2022 and March 2023
*3 Composed solely of outside directors

submitted, so that sufficient time can be secured to discuss each proposal• Provide an explanation of all proposals in advance to help ensure thorough understanding of the background of the proposals• Besides the Board of Directors meetings, set periodic opportunities for two-way communication between Outside Members of

the Board of Directors and the Audit & Supervisory Board and the operational execution side on important management issues
and medium-to long-term issues
Frequency
Once a year
Subject of evaluation
Matters to be evaluatedMethodSummary of the findings(in 2023)

Members of the Board of Directors and Audit & Supervisory Board Members
Matters including• composition and operation of the Board of Directors• management strategy and business strategy• corporate ethics and risk management• communication with stakeholders such as shareholders• Self-evaluation through surveys• Provision of information to outside executives, an issue identified last year, has been improved,
while it has been confirmed that further improvements need to be made regarding time
allocation, discussion on business strategies, and management with sustainability in mind.

• In the future, it is necessary to secure more opportunities to discuss important topics on management
strategy and enhance opportunities for interaction with the executive side

Integrated Report 2022 Dialogue with Institutional Investors on Corporate Governance (Held April 21, 2022)

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Overview

Promoting Sustainability

Corporate Governance

Environment

Social

Risk Management

GovernanceComplianceContent Index
Governance Data

｜ Fundamental Approach ｜ Corporate Governance Structure ｜ Board of Directors ｜ Audit & Supervisory Board ｜ Executive Compensation ｜ Internal Control ｜Audit & Supervisory Board

Executive Compensation

A im

Aim

■ Appropriately conduct audits of Toyota, which aims to achieve global

sustainable growth by transforming itself into a “mobility company”.
Init ia t iv e
■ The Audit & Supervisory Board is composed of full-time Audit & Supervisory

Board Members, who are well-informed of Toyota’s internal matters, andOutside Audit & Supervisory Board Members, who have a high level ofexpertise and knowledge.
■ Each Audit & Supervisory Board Member can exercise his/her audit &supervisory authority independently.
(As of June 2023)

Composition

6 members (Outside Audit & Supervisory Board Members: 3,
Female: 1, Non-Japanese: 2)

Appointment/
dismissal of Audit &Supervisory Board
Members

The Executive Appointment Meeting discusses and makes
recommendations to the Audit & Supervisory Board

Independence ofOutside Audit &Supervisory Board
Members

Considered in accordance with the requirements for Outside
Members of the Board of Directors set out in the Companies
Act and the independence standards established by therelevant financial instruments exchanges

Members’ careersummary

Executives

Attendance at Boardof Directors’ meetings

Notice of Convocation “Attendance at the Board of Directors
Meetings (No. of meetings attended)”

Skills matrix

Notice of Convocation “Skills Matrix of Members of the Board of
Directors and Audit & Supervisory Board Members”

Remuneration system

In i t i a t i v e■ Toyota’s executive compensation system is determinedbased on the following policy.
• It should be a system that encourages Members of theBoard of Directors to work to improve the medium- tolong-term corporate value of Toyota.
• It should be a system that can maintain compensationlevels that will allow Toyota to secure and retain talented
personnel.
• It should be a system that motivates Members of theBoard of Directors to promote management from thesame viewpoint as our shareholders with a stronger
sense of responsibility as corporate managers.

resolved by the Board of Directors.

• Remuneration is effectively linked to corporate performance while reflecting individual job■ Executive compensation system is an important means toencouraging executives to practice “product-centered andregion-centered management” and contribute to decisionmaking aimed at sustainable growth into the future, as wellas to play a significant role in transforming Toyota Motor
Corporation into a mobility company through responding
to electrification, intelligence, and diversification basedon partnerships, while working towards the resolution ofclimate change and other social challenges.

• Policies for determining remuneration for each member of the Board of Directors are
responsibilities and performance. Appropriate remuneration levels and payment methods are set.

• Remuneration for Outside Members of the Board of Directors and Audit & Supervisory
Board Members consists only of fixed payments. As a result, this remuneration is notreadily impacted by business performance, helping to ensure independence frommanagement.

Remuneration Maximum cashfor Members compensationof the Board
Maximum shareof Directors
compensation
Remuneration for Audit &Supervisory Board Members
Method ofdetermining
remuneration

3.0 billion yen per year (of which, the maximum amount payable to Outside Members of theBoard of Directors is 0.3 billion yen per year)
4.0 billion yen per year
30 million yen or less per month

Directors with Japanese
Citizenship (excluding
Outside Members of theBoard of Directors)• The total amount of remuneration (total amount of fixed remuneration and performance-

Directors with Foreign
Citizenship (excluding
Outside Members of theBoard of Directors)• Fixed remuneration and performance-based remuneration are set based on thebased remuneration*) received by each member of the board of directors in a year isdetermined based on consolidated operating income, the fluctuation of the market
capitalization of Toyota, and individual performance evaluation.

remuneration levels (application of remuneration standards in each member’s home country
is determined on a case-by-case basis) and structures that allow Toyota to secure andretain talented personnel.
• Performance-based remuneration is set based on consolidated operating income, thefluctuation of the market capitalization of Toyota, and individual performance evaluation*.
• There are cases where Toyota provides income tax compensation for certain members of the Boardof Directors in light of the difference in income tax rates with those of his or her home country.

* The evaluation takes into account various factors such as initiatives (including the ESG perspective) in keeping with the spirit of the Toyoda
Principles, which set forth our founding philosophy, trust from his or her peers, and contribution to the promotion of human resources development.

Form 20-F “COMPENSATION”

Internal Control
Aim■ Establish a system for ensuring the appropriateness of business operations as a corporate group and the proper implementation of that system inaccordance with the “Basic Policies on Establishing Internal Controls.”
In i t i a t i v e■ Integrate the principles of problem identification and continuous improvement into the business operation process and train employees who will put theseprinciples into practice.

• Inspect the establishment and implementation of internal controls, each business year.
• Confirm that the organizational units responsible for implementing internal controls are functioning autonomously and are enhancing internal controls as necessary.
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Overview

Promoting Sustainability

Corporate Governance

Environment

Social

Risk Management

Content Index

GovernanceCompliance

Governance Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Risk Management System ｜ Business Continuity Management (BCM) ｜Fundamental Approach
Updated in June 2023

Risk
Management

Aim

Organizational Structure
Ai m■ Reinforcing our risk management to handle the increasing uncertainty while■ Preventing, mitigating, and reducing risks that could arise in Toyota’s business activities

responding to expectations to take on new challenges amid a period of tremendous
change in the conditions and values of the automotive industry, including the push toward
carbon neutrality and CASE*.

from a global perspective through collaboration and mutual support among regions,functions, and in-house companies.

* CASE: Connected, Autonomous/Automated, Shared, and Electric

In i t i a t i v e■ Protecting the interests of our stakeholders, including customers and employees, even in

the event of a risk occurrence, through the improvement of the organizational structure andthe operation of the risk management system.

Initiative■ Persons responsible for risk management: Chief Risk Officer (CRO), Deputy CRO(DCRO)• Person supervising risk management in each region: Regional CRO• Person responsible/in charge of risk management by function: Chief officer/risk managerof each division within the head office• Person responsible/in charge of risk management by product: Company president/riskmanager of each division in each in-house company■ Significant risks requiring quick response are reported by CRO and DCRO and discussed

in the board meeting and/or other needed management meetings.
Organizational Structure

Shareholders’ Meeting
Board of Directors
CRO/DCROGRI 2-16, 3-3

111

Fundamental Approach

111

Organizational Structure

112

Risk Management System

112

Business Continuity Management (BCM)<Respective group headat the parent company>

Regional CRO
Regional Functions

Collaboration<Respective in-house Company>

Chief Officers
Risk Manager by division

Collaboration

Presidents
Risk Manager by division

Collaboration

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Overview

Promoting Sustainability

Corporate Governance

Environment

Social

Risk Management

Content Index

GovernanceCompliance

Governance Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Risk Management System ｜ Business Continuity Management (BCM) ｜Risk Management System
A imassessing, and handling significant risks through thedevelopment of Toyota’s globally common risk management policy, structure,and operating procedures.

■ Identifying,

Init ia t iv e
■ Estimating, identifying, and assessing risks in accordance with the Toyota

Global Risk Management Standard (TGRS), a company-wide risk
management framework based on the ISO and COSO (Committee ofSponsoring Organizations of the Treadway Commission).
⇒ Significant risks• Advancing company-wide initiatives in terms of the following matters:
climate change, natural disasters, and geopolitical conflicts to supply
chains, business continuity management (BCM) at the head office, Toyota
Group companies, and business partners to respond to a wide range ofrisks, cybersecurity risks, privacy protection, and internal control risks.

Business Continuity Management (BCM)Aim■ Toyota’s Basic Guidelines (priorities during a disaster)■ Assure quick recovery in business operations despite limitations on

resources in preparation for large-scale disasters such as earthquakes andfloods.

• In the event of a disaster, we support the recovery of local communities andthen steadily resume in-house production while making the protection of
employees’ safety the highest priority.

Toyota’s Basic Guidelines (priorities during a disaster)

In i t i a t i v e

Preparation for major disasters■ Strong focus on preparedness for a Nankai Trough earthquake by developing

the systems and processes needed from first responses to the resumptionof operations.
• Nankai Trough earthquake: A natural disaster predicted to cause extensive
damage to the Tokai region, an area where Toyota has its headquarters,
R&D and production facilities, as well as a high concentration of supply
chain factories. A comprehensive response will be required from global
Toyota.

Formulation of the Business Continuity Plan (BCP)

1

2

3

Humanitarian aid(lifesaving first, relief)

Early recovery of the affectedareas (communities)

Restoration of Toyota’s
operations and production■ Disaster risk reduction system and implementation of emergency drills• Establishment of an initial response system divided into three levels:
company-wide, office, and workplace levels.
⇒ Through company-wide emergency drills (once a year), in which thesethree levels are linked together, and emergency drills held by eachdisaster risk reduction block organized at the office level, we work
toward improving the accuracy and effectiveness of our initial responses.

Organizational Structure■ Developing risk-resilient organizations and workplaces• Improving the effectiveness of the BCP by implementing PDCA throughtraining and other means in coordination among employees and theirfamilies, Toyota Group companies and suppliers, and Toyota.
• Developing risk-resilient individuals.
Formulation andReview of BCP
Action Plan in
an Emergency
1. Organization
Chart
2. Operational
Flowchart
3. Operational
Procedure ManualP

D

Training,
etc.

Solve
issues

OfficeEmployees
and families

WorkplaceToyota Group companies
and suppliers

BCM

A

Companywide

C

Identify
issuesCompany-wide initial response headquarters
Overseeing the company-wide disaster risk reduction system, gathering internal andexternal information in the event of an emergency, and determining response polices
Disaster risk reduction block headquarters
Overseeing the block, gathering information about damage, supporting stranded
commuters, operating a first-aid station, etc.
Workplace disaster risk reduction teamControlling the evacuation of the members of the workplace, giving first aid to thesick and wounded, first-aid firefighting, etc.

ToyotaCoordinated Activities

Company-wide

OfficeCompany-wide initial response headquarters
Overseeing the company-wide disaster risk reduction system, gathering internal andexternal information in the event of an emergency, and determining response polices
Disaster risk reduction block headquarters

Sustainability Data Book

Overseeing the block, gathering information about damage, supporting stranded
commuters, operating a first-aid station, etc.

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Corporate Governance

Environment

Social

Risk Management

Content Index

GovernanceCompliance

Governance Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Risk Management System ｜ Business Continuity Management (BCM) ｜■ Utilization of the Safety Confirmation System• In case that a large-scale disaster or incident occurs in Japan, the systemenables employees working, living or staying in the affected area to reportto the company if they and their family members are safe using their
computers or smartphones.
• Conducting a safety confirmation drill for all employees every year in tandemwith the company-wide emergency drill.
FY2023 Results• Safety reporting rate at company-wide drill: 99% (Toyota Motor Corporation)■ Enhancing awareness of disasters

Distribution of theEmergency Handbook(Toyota Motor Corporation)• Main contents of the Emergency Handbook• Disaster prevention information explaining how tosafely evacuate in the event of disasters including
earthquakes, typhoons, heavy rains, and fires, first aid
for injured personnel, and methods to contact family
members, etc.
• How to use the Safety Confirmation System• The handbook can be viewed on a smartphone
Raising awareness by
displaying information on
computer screen

Discussions at each
workplace• Basic knowledge in consideration of recent years’

increased severity of extreme weather events• The “Information for Severe Weather Preparedness”
issued by the Japan Meteorological Agency, andevacuation information issued by the relevant local
government• How local residents should act and evacuate• Discussions on simulations for disasters

Initiatives to Mitigate the Impact of Disasters on
Buildings and Equipment■ We work to mitigate the impact of disasters on buildings and equipment

in order to reduce any human injury and property damage in the event of adisaster and resume production immediately after shifting to the business
restoration phase.
■ Buildings:
Our new buildings in Japan sufficiently meet the latest earthquake-resistancestandards. Furthermore, each of our buildings built according to former
earthquake-resistance standards has received earthquake-resistance testing
and been retrofitted as needed.
■ Production equipment:
We constantly identify hazards, such as collapse, fire and a loss of powerin the event of a disaster, and risks that may affect manufacturing quality
while taking work processes and the characteristics of the machinery
into consideration. To eliminate the identified hazards and risks, we makecontinuous efforts to incorporate reasonable measures into equipment
specifications and operational procedures.
■ The know-how regarding the mitigation of the impact of disasters on buildings
and equipment is being put to use in assessing risks and devising measuresat affiliates in each country and region.

Humanitarian Aid and Early Recovery for Disasteraffected Regions

Building a Disaster-resilient Supply Chain■ Enhancing prompt initial action and early recovery• Working with suppliers in each country and region to build a disaster-resilient supply chain and pushing forward the visualization of supply
chain information and the implementation of measures as precautions
against disasters even in normal times.
• Visualization of supply chain information: Building the RESCUE* system• Building a database based on highly confidential information fromsuppliers.
• Conducting training with suppliers on a regular basis to ensure effective
utilization of the system in the event of a disaster while strictly protecting
suppliers’ confidential information.
⇒ This system is shared with other companies through the Japan
Automobile Manufacturers Association, helping to build a disasterresilient supply chain.
• Advancing equivalent initiatives together with suppliers in each country andregion.

*RESCUE: REinforce Supply Chain Under Emergency

RESCUE System to Store Supply Chain Information
Toyota Motor Corporation

RESCUE

Suppliers
Tier 1
suppliers

Tier 2
suppliers

Tier 3
suppliers

TOYOTA■ Toyota has concluded comprehensive disaster support agreementswith local governments (Toyota City, Miyoshi City, Tahara City, Hekinan City,and Susono City).
• Humanitarian support and regional recovery assistance are to be provided
under mutual cooperation with local governments. Toyota is preparing
relevant structures by incorporating necessary provisions in its BCP and
conducting joint training with the local governments.
• Details of the major support items• Rescue and relief in a disaster• Provide temporary evacuation facilities to local residents• Provide food, drinking water, and daily necessities for distribution throughlocal governments (local residents)• Support cargo handling at municipal relief supply facilities• Provide space necessary for restoration of local infrastructure (watersupply and drainage, roads, etc.)• Employee participation in local recovery activities

Supply chain information database

Sharing of supply chain information

Registration of supply chain information

Sustainability Data Book

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Overview

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Corporate Governance

Environment
Risk Management

SocialGovernanceComplianceContent Index
Governance Data

｜ Fundamental Approach ｜ Organizational Structure ｜ Risk Management System ｜ Business Continuity Management (BCM) ｜Response to Infectious Diseases■ Infection prevention and support for frontline medical workers• We work to prevent infection and support frontline medical workers while

placing the highest priority on the safety and security of our employees andtheir families, customers, suppliers, and other stakeholders.
• The internal emergency headquarters takes various measures in line with
the instructions of national and local governments in Japan and othercountries/regions.
• In preparation for any employee or anyone working with us being infected,
a manual that indicates where to report the infection and the method of
disinfection is distributed to all workplaces.
• We examine and implement various measures that make effective use of
our manufacturing and logistics know-how and the global supply chains of
the automobile industry.
COVID-19 vaccination

Community
support• Use of our facilities as vaccination sites• Dispatch of our staff members to support doctors, other medical
workers, and vaccination site operators• The total number of vaccine doses administered: 122,400 (from theend of May to the end of October 2021)

Workplacevaccination• Administration of vaccines to our suppliers in the neighborhood andour employees• Use of 17 internal facilities as vaccination sites

1st and 2nd doses: 164,471 doses administered (June to October2021)
3rd doses: 53,372 doses administered (March to June 2022)

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Corporate Governance

Environment

Social

Risk Management

GovernanceComplianceContent Index
Governance Data

｜ Fundamental Approach ｜ Compliance Education ｜ Bribery / Corruption Prevention Measures ｜ Initiatives for Taxation ｜ Speak-up ｜ Checks to Enhance Compliance ｜Fundamental Approach
Updated in October 2023

ComplianceAim■ Implementing the Toyota Philosophy and Guiding Principles at Toyota* based on the Toyota

Code of Conduct to fulfill the corporate social responsibility expected of Toyota.
* Honor the language and spirit of the law of every country and region, and undertake open and fair business activities to be a strong
corporate citizen of the world.

Toyota Philosophy
Guiding Principles at Toyota

In i t i a t i v e■ Formulation of the Toyota Code of Conduct as a set of guidelines for appropriate behavior

GRI 2-15, 16, 25~17, 3-3, 205-1~3, 207-1~3

115

Fundamental Approach

115

Compliance Education

116

Bribery / Corruption Prevention Measures

116

Initiatives for Taxation

116

Speak-up

117

Checks to Enhance Complianceand actions for Toyota employees, both within the company and in daily life, for the
implementation of the Toyota Philosophy and the Guiding Principles at Toyota (formulated
in 1998, revised in 2006 and 2023)• The Toyota Code of Conduct was revised in 2023 being approved by the Board of
Directors. It includes updates for the key risks relevant to today’s business environment
and priorities, such as anti-bribery and anti-corruption and human rights.
• It has been distributed to all employees of Toyota, including consolidated subsidiaries,
with the aim of raising awareness and facilitating training.
■ Establishing a new Speak-up system for overseas and domestic subsidiaries■ Enhancing compliance through training and education, and strengthening compliancethrough activities to check compliance status.
■ Promotion of compliance activities to ensure that all employees of Toyota act responsibly
in compliance with the Toyota Code of Conduct under the leadership of Chief Compliance
Officer and Deputy Chief Compliance Officer.
Toyota Code of Conduct

Compliance Education
Ai m■ Ensure that awareness of compliance extends throughout the company from top

management to each employee.
Initiative■ For employees:• Familiarize employees with various laws and regulations that they must understand whencarrying out their tasks.
• The Business Compliance Seminar, in which lectures are given by the responsible
division (held every year).
• E-learning-based training.
• Individual training courses tailored to specific needs of in-house divisions andsubsidiaries in Japan.
• Training at career milestones, such as at the time of joining the company, promotion
and overseas assignment.
Major Training Themes• Contracts • Antimonopoly Law • Subcontracting Law• Act against Unjustifiable Premiums and Misleading Representations• Insider Trading Regulations • Act on the Protection of Personal Information• Intellectual Property (copyrights, trademarks) • Product Liability • Taxation• Confidentiality Management • Bribery/Corruption Prevention • Safety and Health• Labor • Security Export Control

etc.

■ For officers: Thoroughly inform

officers, including members of the Board of Directors, withbasic matters that they must abide by.
Legal Handbook for Corporate Officers• The Handbook explains the various laws, regulations and points that officers mustobserve while performing their duties. It provides a comprehensive explanation of how
to prevent corruption, including regulations with regard to bribery/corruption, insider
trading, conflict-of-interest transactions and competitive transactions.
• The Handbook is posted on the company intranet for officers, and relevant explanations
are provided for newly-appointed officers.
• The Handbook is revised annually to reflect amendments to the relevant laws.
Code of Ethics for Directors and Operating Officers• It is a code of ethics that defines the basic matters that officers must comply with while
performing their duties, together with internal regulations such as the Guiding Principles
at Toyota and the Toyota Code of Conduct.
• It has been formulated by the Board of Directors and is thoroughly informed to officers.
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Corporate Governance

Environment
Risk Management

SocialGovernanceComplianceContent Index
Governance Data

｜ Fundamental Approach ｜ Compliance Education ｜ Bribery / Corruption Prevention Measures ｜ Initiatives for Taxation ｜ Speak-up ｜ Checks to Enhance Compliance ｜Bribery / Corruption Prevention Measures
A im■ Promote Toyota’s strong commitment to doing business free from bribery

Initiatives for Taxation
Aim■ Maintain compliance on taxation and conduct high-quality tax accounting

and corruption.

operations.

Init ia t ive

In i t i a t i v e■ Formulation of Anti Bribery/Corruption policies• Toyota Global Anti-Bribery and Anti-Corruption Policy (2023).
• Formulation of Anti-bribery Guidelines (2012).
Toyota Global Anti-Bribery and Anti-Corruption Policy
Anti-bribery Guidelines (For Business Partners)■ Operations to enhance awareness• Continue to raise awareness through various training programs andactivities.

• Ensure an authorizer (manager) reviews actions and transactions for red

flags that may indicate bribery in the payment process.
• In connection with “checks to enhance compliance” activities, promote
Kaizen activities aimed at strengthening antibribery systems of Toyota andits subsidiaries in and outside Japan. (From 2013)■ Formulation of the Toyota Tax Policy• Communicate Toyota’s stance on tax payment and taxation policy in aneasily understandable manner and promote stakeholders’ understandingof it.
• Disseminate the Tax Policy to all subsidiaries.
Tax Policy

Speak-upAi m■ Quickly and appropriately respond to workplace- and duty-related

concerns, complaints or questions that employees and other relevant parties
may have.
Initiative

Speak-up Hotline (Toyota Motor Corporation)■ In the past: 
Several hotlines were used depending on the type of issue,

including a Compliance Hotline, which allowed employees toreport compliance-related issues, and hotlines for harassment.
At present: T hese hotlines have been integrated into the “Speak up”
Hotline (since April 2020).
Persons
eligible to use
the hotline• As long as the topics of the consultation are matters related to

employees or workplaces of Toyota Motor Corporation, the hotline
is open to not only its employees but also any other third parties,
including employees’ family members and business partners• The hotline can also be used anonymously

Methods fordisseminating
informationon the hotline• Through various media including the intranet

Handling• Applications for consultation can be made through a law firm, thewebsite and by email or telephone. (Applications through the website
and by email can be made on a 24-hour basis.)• The content of a consultation is passed to the division responsible
either anonymously or openly upon request and the details areinvestigated carefully to ensure that the person who voiced theconcern is not identified if they wish to remain anonymous• It is stipulated in relevant company regulations that unless the
purpose is malicious, seeking a consultation through the hotline andtaking other related actions will not disadvantage the person who
voiced the concern• For cases where an issue is actually identified, appropriate measures
will be taken in accordance with company regulations such as theWork Regulations
Number of
consultations
received(FY2023)• 707 (approx. down 3% compared to the previous year)
Breakdown• Potential rule/regulatory infractions: 90• Potential Harassment: 128• Financial matters: 4• Workplace environment/personnel matters: 203• Opinions/inquiries: 176 • Miscellaneous matters: 106

Sustainability Data Book

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Overview

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Corporate Governance

Environment

Social

Risk Management

GovernanceComplianceContent Index
Governance Data

｜ Fundamental Approach ｜ Compliance Education ｜ Bribery / Corruption Prevention Measures ｜ Initiatives for Taxation ｜ Speak-up ｜ Checks to Enhance Compliance ｜Report and response procedures
Holding of consultation and confirmation of the contents

Investigation into the details (taking of evidence, interviews with parties concerned, etc.)

Checks to Enhance Compliance
Aim■ Assess the compliance status of Toyota Motor Corporation and its

Judgment on whether or not the claimed violation of law, harassment or the like was the casesubsidiaries in and outside Japan, and make improvements.

An issue is identified.

In i t i a t i v e

No issue is identified.

Take appropriate measures to remediate
any concerns, including corrective actions

Provision of feedback to the person who voiced the concern(except in the case where the person who voiced the concern
is unknown or does not wish to receive feedback)Speak-up Lines for overseas and domestic subsidiaries• Establishment of various hotlines for subsidiaries, such as the Global
Speak Up Line and Toyota Consolidated Helpline, is run by Toyota Motor
Corporation.
• Applications for questions and concerns can be made through the website
and by email.
• Hotlines for overseas subsidiaries are available in multiple languages.
• These hotlines are staffed by third parties.
• These hotlines can be used anonymously, where permitted by local low.
• The Code of Conduct clearly prohibits retaliation against employees
making reports and those cooperating with investigations.
Toyota Code of Conduct (Speak Up)
Toyota Speak Up Policy■ Select fields to be checked by making assessments of risk levels andimportance for Toyota, and conduct checks. (Conducted every year)• For issues identified through checks and points that need to be improved,incorporate them into the next fiscal year’s Kaizen plans to ensure
continuous attention and improvement.
• Conduct interviews with subsidiaries to understand their complianceefforts and provide support when needed.
Checks carried out in FY2023
Checks in terms of compliance with the Antimonopoly Law, bribery/corruption prevention, etc.

Misconduct of Hino and Daihatsu
in Relation to Their Applications
for Certification■ In March 2022, Toyota Motor Corporation’s consolidated subsidiary

Hino Motors, Ltd. announced that it had identified past
misconduct in relation to its applications for certification
concerning emissions and the fuel economy performance of its
vehicle engines for the Japanese market.
■ In April 2023, Toyota Motor Corporation’s consolidated subsidiary,
Daihatsu Motor Co., Ltd., announced that it had committed
procedural irregularities in approval applications for side collision
tests for vehicles developed by Daihatsu destined for overseas
markets.
■ In the wake of the large-scale recalls that occurred in 2009,
Toyota promised its customers around the world that it would
not “run away, hide, or lie.” Given this, we take very seriously thefact that these problems nevertheless occurred in our Group.
• For these matters, as the chief executive officer, Toyota Motor
Corporation’s President will take responsibility for improving
the car manufacturing operations of Toyota and the groupcompanies.
• The Chairman of the Board of Toyota Motor Corporation willlead initiatives to strengthen governance and compliance.
• We will ensure that all the Group companies return once
again to the Toyota philosophy that has been cherished since
the company’s founding, and that each Group company’s
top management confront the problems at their respective
workplaces, uncover them, and make improvements one byone, and continue this steady effort.

Sustainability Data Book

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Corporate Governance

Environment

Social

Risk Management

A

GovernanceComplianceContent Index
Governance Data

Governance

TMC: Toyota Motor Corporation
Updated in June 2023

Governance Data

As of June
2021

As of June2022

As of June
2023

9

9

10

8

8

9

1

1

1

3

3

4

Number of Directors
Male
FemalePersons

Outside Directors (independent officers)

FY2021
Number of fines, penalties or settlements paidby Toyota Motor Corporation in relation tocorruption (excluding global affiliates)
Number of Toyota Motor Corporation staff(excluding global affiliates) disciplined or
dismissed due to non-compliance with anticorruption policies
Number of consultations to the Speak-up
Hotline (TMC)

Cases

FY2022

FY2023

0

0

0

0

0

0

624

727

707

Sustainability Data Book

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Overview

Promoting Sustainability

Environment

SASBContent Index

SocialGovernanceContent Index

GRIContent Index

SASB/GRI Content Index
120 SASB Content Index
121 GRI Content Index

Sustainability Data Book

119

Overview

Promoting Sustainability

Environment

SocialSASB Content Index

SASB Content Index
Topic

Product Safety

GovernanceContent Index

GRI Content Index

Updated in June 2023

Accounting Metric

Code

Percentage of vehicle models rated by NCAP programs with an overall 5-starsafety rating, by region

TR-AU-250a.1

Number of safety-related defect complaints, percentage investigated

TR-AU-250a.2

Response

Vehicle Safety > External Safety Evaluations
Quality and Service > Quality Risk Management
Quality and Service > Coping with Quality Problems
Social Data > Quality

Number of vehicles recalled

TR-AU-250a.3

Quality and Service > Coping with Quality Problems
Social Data > Quality

Labor Practices

Percentage of active workforce covered under collective bargaining
agreements

TR-AU-310a.1(1) Number of work stoppages and

TR-AU-310a.2(2) total days idle
Fuel Economy & Use-phase Emissions

Respect for Human Rights > Initiatives for Freedom of Association

Social Data > Employees

Sales-weighted average passenger fleet fuel economy, by region

TR-AU-410a.1

Environmental Data [E] Average CO 2 Emissions from New Vehicles: Global

Number of(1) zero emission vehicles (ZEV),(2) hybrid vehicles, and(3) plug-in hybrid vehicles soldTR-AU-410a.2

New Vehicle Zero CO 2 Emissions Challenge > Promoting widespread use of electrified vehicles

Discussion of strategy for managing fleet fuel economy and emissions risks
and opportunities

TR-AU-410a.3

Materials Sourcing

Description of the management of risks associated with the use of criticalmaterials

TR-AU-440a.1

Materials Sourcing

Total amount of waste from manufacturing, percentage recycled

TR-AU-440b.1

Environmental Data [R] Waste: Global

Weight of end-of-life material recovered, percentage recycled

TR-AU-440b.2

ー

Average recyclability of vehicles soldTR-AU-440b.3

Resource Recycling > Activities to Achieve Resource Recycling

Number of vehicles manufactured

TR-AU-000.A

Company Profile

Number of vehicles soldTR-AU-000.B

Company Profile

Environmental Data [F] Electrified Vehicles Sales: Global
Climate-related Financial Disclosures Based on TCFD Recommendations > Strategy
New Vehicle Zero CO 2 Emissions Challenge
Value Chain Collaboration > Responsible Material Sourcing

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Environment

SocialSASB Content Index

Code

Requirements

GRI Content Index

Publication Pages

Updated in June 2023

GovernanceContent Index

GRI Content Index

Code

Requirements

Publication Pages

TOYOTA MOTOR CORPORATION has reported the information cited in this GRI content index for the period from April 1, 2022 to March 31, 2023 with reference to the GRI Standards.

Universal Standards
CodeRequirements

Publication Pages

1. The organization and its repor ting practices

Code

2-13

Requirements

Delegation of responsibility for managing impacts

GRI 2 : General Disclosures 2021

Promoting Sustainability > Organizational Structure

2-1

Organizational details

Profile2-2

Entities included in the organization’s sustainability reporting

Editorial Policy

2-3Reporting period, frequency and contact point

Editorial Policy
Sustainability Management Div.

2-4

Restatements of information

Update History

2-5

External assurance

Third-party Verification

Climate-related Financial Disclosures Based on TCFD
Recommendations > Governance
2-14

Role of the highest governance body in sustainability
reporting

Promoting Sustainability > Organizational Structure

2-15

Conflicts of interest

Corporate Governance Reports
Compliance

2-16

Communication of critical concerns

Activities, value chain and other business relationships

Corporate Governance Reports

Facilities

Climate-related Financial Disclosures Based on TCFD
Recommendations > GovernanceForm 20-F “INFORMATION ON THE COMPANY”
2-7

Employees

Profile2-17

Collective knowledge of the highest governance bodyWorkers who are not employees

Social Data > Employees

3. Governance

Promoting Sustainability
Corporate Governance > Corporate Governance Structure

Social Data > Employees
2-8

Risk Management
Compliance2. Activities and workers
2-6

Publication Pages

Corporate Governance

2-18

Evaluation of the performance of the highest governancebody

Corporate Governance Reports

2-19

Remuneration policies

Corporate Governance > Executive Compensation

2-20

Process to determine remuneration

Corporate Governance > Executive Compensation

2-9

Governance structure and composition

Corporate Governance

2-10

Nomination and selection of the highest governance body

Corporate Governance > Board of Directors

2-11

Chair of the highest governance body

Corporate Governance > Board of Directors

2-21

2-12

Role of the highest governance body in overseeing themanagement of impacts

Corporate Governance

4. Strategy, policies and practices

Promoting Sustainability

2-22

Form 20-F “COMPENSATION”

Annual total compensation ratio

Statement on sustainable development strategy

Form 20-F “COMPENSATION”

New Management Policy & Direction Announcement

Sustainability Data Book

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Promoting Sustainability

Environment

SocialSASB Content Index

Code

Requirements

Publication Pages

GovernanceContent Index

GRI Content Index

Code

Requirements

Climate-related Financial Disclosures Based on TCFD
Recommendations > Strategy

Publication Pages

Human Resource Development
Corporate Governance

2-23

Policy commitments

Sustainability Related Policies and Guidelines

2-24

Embedding policy commitments

Promoting Sustainability

Risk Management

2-25

Processes to remediate negative impacts

Compliance

Compliance

Policy and Environmental Management > Environmental
Management > Risk Management and Compliance
Respect for Human Rights > Human Rights Due Diligence
2-26

2-27

Mechanisms for seeking advice and raising concerns

Compliance with laws and regulations

Compliance > Speak-up

Membership associations

Code

Requirements

Respect for Human Rights > Human Rights Due Diligence

GRI 201 : Economic Performance 2016

Value Chain Collaboration > Initiatives with Suppliers

201-1

Direct economic value generated and distributed

Compliance > Bribery / Corruption Prevention Measures
Policy and Environmental Management > Environmental
Management > Risk Management and Compliance

2-28

Topic Standards (Economic)
Publication Pages

Form 20-F “OPERATING AND FINANCIAL REVIEW AND PROSPECTS”
Social Contribution Activities

201-2

Financial implications and other risks and opportunities due
to climate change

Promoting Sustainability > Stakeholder Engagement“Climate-related Financial Disclosures Based on TCFD
Recommendations > Strategy”
New Vehicle Zero CO 2 Emissions Challenge

5. Stakeholder engagement

Corporate Activities and Production

2-29

Approach to stakeholder engagement

Promoting Sustainability > Stakeholder Engagement

2-30

Collective bargaining agreements

Respect for Human Rights > Initiatives for Freedom of Association

GRI 3 : Material Topics 2021
3-1

Process to determine material topics

Promoting Sustainability > Sustainability Issues and Initiatives(Materiality)

3-2

List of material topics

Promoting Sustainability > Sustainability Issues and Initiatives(Materiality)

3-3Management of material topics

Policy and Environmental Management
Respect for Human Rights
Diversity, Equity, and Inclusion (DE&I)
Value Chain Collaboration
Vehicle Safety
Quality and Service

Life Cycle Zero CO 2 Emissions Challenge
201-3

Defined benefit plan obligations and other retirement plans

Form 20-F “FINANCIAL INFORMATION”

201-4

Financial assistance received from governmentー

GRI 202 : Market Presence 2016
202-1

Ratios of standard entry level wage by gender compared to
local minimum wage

ー

202-2

Proportion of senior management hired from the local
communityー

GRI 203 : Indirect Economic Impacts 2016
203-1

Infrastructure investments and services supported

Challenge of Establishing a Recycling-based Society and
Systems > Toyota Global 100 Dismantlers Project to Establish Social
Systems for Appropriate Treatment of End-of-life Vehicles
Challenge of Establishing a Recycling-based Society and
Systems > Toyota Global Car-to-Car Recycle Project–A Resource
Recycling Initiative that Considers the Entire Vehicle Life Cycle
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Promoting Sustainability

Environment

SocialSASB Content Index

Code

203-2

Requirements

Significant indirect economic impacts

Publication Pages

GovernanceContent Index

GRI Content Index

Code

Requirements

Vehicle Safety

Publication Pages

Environmental Data [O] Remanufactured and Used Parts Supplied (forRepair and Replacement): Toyota Motor Corporation

Social Contribution
301-2

GRI 204 : Procurement Practices 2016
204-1

Proportion of spending on local suppliers

Social Data > Supply Chain

205-2

Operations assessed for risks related to corruption

Communication and training about anti-corruption policies
and procedures

301-3
Compliance

Confirmed incidents of corruption and actions taken

Legal actions for anti-competitive behavior, anti-trust, andmonopoly practices

Form 20-F “DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES”,“CORPORATE GOVERNANCE”

Environmental Data [N] Vehicles Recycled in Accordance with the Endof-life Vehicle Recycling Law: Toyota Motor Corporation

Value Chains Collaboration

Environmental Data [O] Remanufactured and Used Parts Supplied (forRepair and Replacement): Toyota Motor Corporation

Governance Data > Governanceー

GRI 207 : Tax 2019
207-1

Approach to tax

207-2

Tax governance, control and risk management

207-3

Stakeholder engagement and management concerns related
to tax207-4

Country-by-country reporting

Requirements

Compliance > Initiatives for Taxation

Materials used by weight or volume

302-1

Energy consumption within the organization

Environmental Data [H] Energy Used & Energy Intensity: Global

302-2

Energy consumption outside of the organization

ー

302-3

Energy intensity

Environmental Data [H] Energy Used & Energy Intensity: Global

302-4

Reduction of energy consumption

Environmental Data [H] Energy Used & Energy Intensity: Global

302-5

Reductions in energy requirements of products and services

New Vehicle Zero CO 2 Emissions Challenge > Promoting widespread useof electrified vehicles
Environmental Data [E] Average CO 2 Emissions from New Vehicles:
Globalー

Publication Pages

GRI 301 : Materials 2016
301-1

GRI 302 : Energy 2016

Plant Zero CO 2 Emissions Challenge

Topic Standards (Environmental)
Code

Challenge of Establishing a Recycling-based Society and
Systems > Toyota Global Car-to-Car Recycle Project–A Resource
Recycling Initiative that Considers the Entire Vehicle Life Cycle
Environmental Data [P] Parts Recycled: Toyota Motor Corporation

GRI 206 : Anti-competitive Behavior 2016
206-1

Reclaimed products and their packaging materials

Form 20-F “DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES”,“CORPORATE GOVERNANCE”

Compliance
205-3

Environmental Data [M] Raw Materials Used and Recycled Materials Use
Rate: Global
Environmental Data [O] Remanufactured and Used Parts Supplied (forRepair and Replacement): Toyota Motor Corporation

GRI 205 : Anti-corruption 2016
205-1

Recycled input materials used

Environmental Data [M] Raw Materials Used and Recycled Materials Use
Rate: Global

GRI 303 : Water and Effluents 2018
303-1

Interactions with water as a shared resource

Challenge of Minimizing and Optimizing Water Usage

303-2

Management of water discharge-related impacts

Challenge of Minimizing and Optimizing Water Usage

303-3

Water withdrawal

Environmental Data [I] Water Withdrawal: Global

303-4

Water discharge

Environmental Data [J] Water Discharge: Global

303-5

Water consumption

Environmental Data [K] Water Consumption: Global
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Environment

SocialSASB Content Index

Code

Requirements

Publication Pages

GRI 304 : Biodiversity 2016

GovernanceContent Index

GRI Content Index

Code

Requirements

Publication Pages

GRI 306 : Waste 2020
306-1

Waste generation and significant waste-related impacts

ー

306-2

Management of significant waste-related impacts

Challenge of Establishing a Recycling-based Society and Systems

Operational sites owned, leased, managed in, or adjacent to,protected areas and areas of high biodiversity value outside
protected areas

ー

304-2

Significant impacts of activities, products, and services on
biodiversityーEnvironmental Data [Q] Bulk Supply System Oil Supply Rate: Toyota
Motor Corporation

304-3

Habitats protected or restoredー

Policy and Environmental Management > Environmental
Management > Risk Management and Compliance

304-4

IUCN Red List species and national conservation list species
with habitats in areas affected by operations

ー

304-1

GRI 305 : Emissions 2016
305-1

Direct (Scope 1) GHG emissions

306-3

Waste generated

Environmental Data [R] Waste: Global

306-4

Waste diverted from disposal

Environmental Data [M] Raw Materials Used and Recycled Materials Use
Rate

Environmental Data [B] CO 2 Emissions & CO 2 Emissions Intensity Scope 1(Direct Emissions) & Scope 2 (Energy Indirect Emissions): Global
Environmental Data [C] Greenhouse Gases Emissions from Sources
Other Than Energy Source CO 2 Scope 1 (Direct Emissions) & Scope 2(Energy Indirect Emissions): Global

Environmental Data [O] Remanufactured and Used Parts Supplied (forRepair and Replacement): Toyota Motor Corporation
306-5

Waste directed to disposalー

GRI 308 : Supplier Environmental Assessment 2016
305-2

Energy indirect (Scope 2) GHG emissions

Environmental Data [B] CO2 Emissions & CO2 Emissions Intensity Scope 1(Direct Emissions) & Scope 2 (Energy Indirect Emissions): Global

305-3

Other indirect (Scope 3) GHG emissions

Life Cycle Zero CO 2 Emissions Challenge308-1

New suppliers that were screened using environmental
criteria

Policy and Environmental Management > Initiatives with Suppliers

308-2

Negative environmental impacts in the supply chain andactions taken

Policy and Environmental Management > Initiatives with Suppliers

Environmental Data [D] CO 2 Emissions: Scope 3 (Other indirect emissions);
Global
305-4

GHG emissions intensity

Environmental Data [B] CO 2 Emissions & CO 2 Emissions Intensity Scope 1(Direct Emissions) & Scope 2 (Energy Indirect Emissions): Global

305-5

Reduction of GHG emissions

New Vehicle Zero CO 2 Emissions Challenge > Promoting widespread useof electrified vehicles

305-6

305-7

Topic Standards (Social)
Code

Requirements

Publication Pages

GRI 401 : Employment 2016

Plant Zero CO 2 Emissions Challenge > Reducing CO 2 Emissions in
Production Activities

401-1

New employee hires and employee turnoverSocial Data > Employees

Environmental Data [E] Average CO2 Emissions from New Vehicles: Global

401-2

Benefits provided to full-time employees that are notprovided to temporary or part-time employees

ーEmissions of ozone-depleting substances (ODS)

FY2023 Review of the 7th Toyota Environmental Action Plan (2025
Target)401-3

Parental leave

Social Data > Employees

Nitrogen oxides (NOx), sulfur oxides (SOx), and othersignificant air emissions

Environmental Data [T] VOC Emissions: Global

GRI 402 : Labor/Management Relations 2016

Environmental Data [U] NOx & SOx Emissions: Global

402-1

Minimum notice periods regarding operational changes

ーSustainability Data Book

124

Overview

Promoting Sustainability

Environment

SocialSASB Content Index

Code

Requirements

Publication Pages

GRI 403 : Occupational Health and Safety 2018

Code

Requirements

407-1

403-2

Hazard identification, risk assessment, and incident
investigation

GRI 408 : Child Labor 2016403-3

Occupational health services

408-1

403-4

Worker participation, consultation, and communication on
occupational health and safety

409-1
Health and Safety

403-7

Prevention and mitigation of occupational health and safety
impacts directly linked by business relationships

Operations and suppliers in which the right to freedom of
association and collective bargaining may be at risk

Operations and suppliers at significant risk for incidents ofchild labor

Operations and suppliers at significant risk for incidents offorced or compulsory labor

2.3

Security personnel trained in human rights policies orprocedures

GRI 411 : Rights of Indigenous Peoples 2016

403-9

Work-related injuries

411-1

403-10Work-related ill health

GRI 413 : Local Communities 2016

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

413-1
Social Data > Employees

Percentage of employees receiving regular performance andcareer development reviews

405-2

Diversity of governance bodies and employees

Ratio of basic salary and remuneration of women to men

Incidents of discrimination and corrective actions taken

Value Chain Collaboration > Responsible Material Sourcing

Incidents of violations involving rights of indigenous peoples

Operations with local community engagement, impact
assessments, and development programsーーSocial Contribution Activities
FY2023 Review of the 7th Toyota Environmental Action Plan (2025
Target)413-2

Operations with significant actual and potential negative
impacts on local communitiesー

Corporate Governance Reports

414-1

New suppliers that were screened using social criteria

Value Chain Collaboration > Initiatives with Suppliers

Social Data > Employees

414-2

Negative social impacts in the supply chain and actions taken

Value Chain Collaboration > Initiatives with Suppliers
Respect for Human Rights

Social Data > Employees

GRI 415 : Public Policy 2016

GRI 406 : Non-discrimination 2016406-1

Respect for Human Rights

GRI 414 : Supplier Social Assessment 2016

GRI 405 : Diversity and Equal Opportunity 2016
405-1

Value Chain Collaboration > Responsible Material Sourcing

PolicyHuman Resource Development

404-3

Respect for Human Rights

GRI 410 : Security Practices 2016

Workers covered by an occupational health and safety
management system

403-8

ー

GRI 409 : Forced or Compulsory Labor 2016

Worker training on occupational health and safety
Promotion of worker healthPublication Pages

GRI 407 : Freedom of Association and Collective Bargaining 2016

Occupational health and safety management system

403-6

Content Index

GRI Content Index

403-1

403-5

Governance

ー

415-1

Political contributionsー
Sustainability Data Book

125

Overview

Promoting Sustainability

Environment

SASB Content Index

Code

Requirements

SocialGovernanceContent Index

GRI Content Index

Publication Pages

GRI 416 : Customer Health and Safety 2016
416-1

Assessment of the health and safety impacts of product andservice categories

Vehicle Safety
Quality and Service
Information Security
Privacy

416-2

Incidents of non-compliance concerning the health andsafety impacts of products and services

Quality and Service > Coping with Quality Problems

GRI 417 : Marketing and Labeling 2016
417-1

Requirements for product and service information andlabeling

Quality and Service > Helping Customers Use Their Vehicles Safely

417-2

Incidents of non-compliance concerning product and service
information and labeling

ー

417-3

Incidents of non-compliance concerning marketing
communicationsーGRI 418 : Customer Privacy 2016
418-1

Substantiated complaints concerning breaches of customer
privacy and losses of customer data

Information Security
Privacy

Sustainability Data Book

126

Published by Sustainability Management Div.
https://global.toyota/en/sustainability/
Published: February 2024
Next scheduled report: To be updated throughout the year as necessary