12Transportation
SystemsSegment

Contributing to Local Communities with On-board IC Ticket Checking Machines

Information
Equipment
SystemsSegment

Special Report

Special Report

Full-scale Overseas Expansion into China and ASEAN

Opening of Jakarta MRT

Industrial
Systems
Segment

Establishment of a joint venture Chalco-Toyo Permanent Magnet Motor Co., Ltd. in China
We established a joint venture company to engage primarily
in the manufacture of industrial permanent-magnet synchronous motors in Changshu, Jiangsu Province in thePeople’s Republic of China (hereinafter China) in a joint investment with companies including Chinalco Rare Earth &Metals Co., Ltd., a supplier of rare earth metal resources
affiliated with Aluminum Corporation of China (CHINALCO).
The Company has been primarily engaged in the manufacture of railway electrical equipment in China since the latter
half of the 1990s. With the establishment of this joint venture company which has the first manufacturing site for theIndustrial Systems segment, we will actively capture needs
for energy conservation in the Chinese and ASEAN markets.
The joint venture company will engage in the manufactureof permanent-magnet synchronous motors mainly for production and processing facilities.

ジャカルタ都市高速鉄道（Jakarta Mass Rapid Transit：MRTJ）車両

Signing ceremony of the joint venture with three investing companies

Special Report

Jingche Shuangyang

Overview of the new joint venture
Company
nameChalco-Toyo Permanent Magnet Motor Co., Ltd.

Toyo Denki (Beijing)

60 million Chinese yuanBusiness
activities

Manufacture and sale of permanent-magnet synchronous
motors for industrial use

Equityratio

Toyo Denki Seizo K.K. 35%
Chinalco Rare Earth & Metals Co., Ltd. 35%
Beijing Ling Yang Trading Co., Ltd. 30%

Beijing

North Korea
Japan
South Korea

People’s Republic of China

Chalco-Toyo (Changshu)

Established June 10, 2019
Capital3Jakarta Mass Rapid Transit (MRTJ), Indonesia’s first subway, opened in the spring of
2019, with 16 six-car trainsets installed. The project, financed by a yen loan provided
by the Japanese government, became the first full turn-key railway construction project that was successfully launched, where Japanese companies oversaw all aspects
ranging from ground facilities to vehicles and signals.
The vehicles used for the project were delivered by NIPPON SHARYO, LTD., and we
provided propulsion systems (VVVF inverters and related equipment, main motors,driving gear units, pantographs, and master controllers), train information system(TIS), and data recorders for operation status.
We will continue to contribute to the development of railway infrastructure in Asia
by leveraging our technology for rail vehicle electrical equipment accumulated over
100 years.

ChengduYonggui Toyo

Changzhou Ruiyang
Yangdian Zhanyun

TokyoOsaka

NagoyaChangzhou
Shanghai

Changsha

Subsidiaries and affiliates for Transportation Systems

Xiangyang ElectricSubsidiaries and affiliates for Industrial Systems
Subsidiaries and affiliates for all segments

Establishment of SIAM TOYO DENKI Co., Ltd.,an overseas affiliate in Thailand

We supplied on-board IC ticket checking machines developed jointly with West Japan Railway Techsia Co., Ltd. to West Japan Railway Company. They started being used on the Sakai Line (betweenYonago Station and Sakaiminato Station) in the spring of 2019. ICOCA, a rechargeable contactlesscard system, was introduced in the neighboring Yonago area at the end of 2016, and the on-board
IC ticket checking machines installed for the Sakai Line enhanced convenience.
The on-board IC ticket checking machine can reliably identify stops by performing station identification based on (1) position data obtained from GPS (two systems) and (2) data obtained from thetacho-generator that measures travel distance by the number of wheel rotations and collates it withscheduled stops. Ticket checking machines that had to be installed at each station can now beplaced on train vehicles, making it possible to introduce an IC system in any station environment. It
is also hoped that the machine will be rolled out to railway operators nationwide as it can respond to
the trend of cashless payments.

With a view to expanding and strengthening business opportunities in theASEAN region, we opened a representative office in Bangkok in September
2 0 1 4. A new overseas affiliate was established in June 2 0 1 9 against thebackdrop of ongoing favorable conditions in the ASEAN macro environment.
With this initiative, we will expand our business by reinforcing our operating
structure and actively bolstering our sales activities.

Touch whenboarding
GPS 1GPS 2

IC

Overview of the new overseas affiliates
Companyname

SIAM TOYO DENKI Co., Ltd.

Stationidentification

Opening ceremony of SIAM TOYO DENKI Co., Ltd.

XX Station

Established June 4, 20197

Capital4 million Thai baht

Businessactivities

Sale and service of general industrial electrical products inthe ASEAN region

Equityratio

Toyo Denki Seizo K.K. 49%, Bangkok MUFG Limited 48%,
SBCS Co., Limited 3%

Touch whenalighting

ICBlue device for boarding
Yellow device for alighting

Tacho-generator

Toyo Denki Seizo Report 20198