Climate Change Data

Daihatsu Diesel Mfg. Co., Ltd.

Climate Impact & Sustainability Data (2020-04 to 2020-09, 2022-04 to 2023-03)

Reporting Period: 2020-04 to 2020-09

Environmental Metrics

ESG Focus Areas

  • GHG emissions reduction
  • Production efficiency
  • ESG fund growth investment

Environmental Achievements

  • Launching ceremony of an ocean surveillance ship “Aki” for the Ministry of Defense (using MTU engines)
  • Completion of a large-scale pure car and truck carrier “SAKURA LEADER” allowing for switching between liquid fuel and LNG

Climate Goals & Targets

Long-term Goals:
  • 50% reduction in total emissions
  • Phase out GHG emissions from international shipping as soon as possible in this century
Medium-term Goals:
  • 40% improvement in efficiency (emissions per transport work)

Environmental Challenges

  • Deferment of delivery dates of engine sales and maintenance-related movement restrictions due to the COVID-19 crisis
  • Struggling sales of overseas marine-use engines and land-use engines
  • Profitability deterioration for sales of diesel engine units
  • Decline in maintenance-related sales
  • Uncertainty in the future outlook due to the COVID-19 crisis
Mitigation Strategies
  • Creation of sales teams specializing in parts
  • Launch of strategic sales targeting ship-owners and ship-managers in the after-sales-service market
  • Strategic deployment of CMAXS system
  • Licensing (in China) to expand market share of DAIHATSU brand
  • 2020 Mid-Term Management Plan targets (Net sales ¥75.0 billion, Operating margin 10%, Equity ratio 50%, ROE 10%, Payout ratio 30%)

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Period: 2022-04 to 2023-03

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • GHG (greenhouse gas) reduction
  • Economic value enhancement
  • Providing new customer value
  • Decarbonization

Environmental Achievements

  • Developed dual fuel engines with many fuel options and low environmental impact

Social Achievements

  • Not disclosed

Governance Achievements

  • Not disclosed

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Balancing GHG reduction and economic value enhancement by 2030
  • Providing new customer value by 2030
Short-term Goals:
  • Not disclosed

Environmental Challenges

  • Uncertainty in the speed of transition to next-generation fuels for marine-use engines
  • Price competition for dual fuel engines
  • Longer lead time for shipment of dual fuel engines
Mitigation Strategies
  • Developing engines compatible with next-generation fuels
  • Building a servitization-based business model using AI and IoT
  • Improving profitability of after-sales maintenance
  • Strengthening management structure and organizational capacity
  • Thorough cost reduction efforts

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Not disclosed
Transition Risks
  • Not disclosed
Opportunities
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: Japanese GAAP

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Dual fuel engines

Awards & Recognition

  • Not disclosed