Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance
• CSR

Environmental Achievements

• Achieved "all parts recycling" certification under the Automobile Recycling Act; reached 37,000 units processed by March 2010.
• Established a clean and employee-friendly recycling facility.

Social Achievements

• Developed a unique business model in automotive distribution, creating a value chain business.
• Established the Suzuka Auto Mall, the first of its kind in Japan, combining new and used car sales, and auto parts.
• Annual visits of approximately 2000 people to the showroom for environmental education.

Governance Achievements

• Strengthened audit functions with regular reports from veteran staff on various aspects of operations, compliance, and employee training.
• Implemented a company-wide management quality improvement program focusing on organizational values, customer understanding, competition awareness, human resource development, and transformation.

Climate Goals & Targets

Environmental Challenges

• Competition in the automotive industry.
• Youth's distancing from cars.
• Environmental concerns.

Mitigation Strategies

• Adapting to changes in the automotive industry environment.
• Understanding the essence of drivability to reassure customers.
• Recognizing the social infrastructure role of cars.
• Focusing on the potential needs of young people.
• Implementing advanced recycling technologies and practices.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Women's empowerment in the automotive industry
• Environmental sustainability (recycling, resource recovery)
• Community investment (sports sponsorships)

Environmental Achievements

• Received the "Rare Metal Recycling Award" from the Japan Industrial Environmental Management Association for the Suzuka Auto Recycling Center's efforts in rare earth and rare metal recovery.

Social Achievements

• Increased the number of women in service front roles to 11 stores in 2019.
• Sponsored the Barth Racing Project in Super Taikyu, providing employee training opportunities.
• Supported the Mie Violet Iris women's handball team, which reached the playoffs for three consecutive years (2017-2019).

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Continued impact of some manufacturers' fraudulent activities on the used car market.
• Declining trend in the number of cars owned.
• Fluctuations in resource prices (iron, aluminum).

Mitigation Strategies

• Strengthening sales by offering a full lineup of vehicles (light, small, minivan, hybrid, sedan).
• Improving profitability per vehicle through increased parts sales.
• Developing alternative sourcing strategies for used cars.
• Promoting residual value-based loans to prepare for the recession after the consumption tax increase.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Rare Metal Recycling Award from the Japan Industrial Environmental Management Association

Environmental Metrics

ESG Focus Areas

• Women's empowerment in the automotive industry
• Environmental sustainability through recycling and resource recovery
• Community engagement and social contribution

Environmental Achievements

• Received the "Rare Metal Recycling Award" from the Japan Industrial Environmental Management Association for the Suzuka Auto Recycling Center's efforts in rare earth and rare metal recovery.

Social Achievements

• Utilized women's strengths in sales, maintenance, and service, increasing the number of female service front staff.
• Sponsored the Bar's Racing Project in Super Taikyu, providing employee training opportunities.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Decreasing number of cars owned per household
• Long-term car ownership trends
• Changes in mobility (advanced safety equipment, next-generation eco-cars, autonomous vehicles, car sharing, connected cars)
• Economic downturn due to the COVID-19 pandemic

Mitigation Strategies

• Continued support for existing customers during the COVID-19 pandemic, leading to increased sales in used car and service departments.
• Strengthened reuse sales and benefited from rising resource prices in the automotive recycling business.
• Expansion plans in Mie prefecture and neighboring areas through M&A.
• Development of a new brand, VERSUS PLUS, offering high-quality used cars and an advanced online sales system.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Rare Metal Recycling Award

Environmental Metrics

ESG Focus Areas

• Women's empowerment
• Environmental sustainability
• Community engagement

Environmental Achievements

• Received the "Rare Metal Recycling Award" from the Japan Industrial Environmental Management Association for its next-generation business at Mark Corporation.
• Successful implementation of NEDO project "Development of technology for recovering neodymium magnets and non-ferrous metals from end-of-life vehicles" in collaboration with Mitsubishi Materials and Honda Trading.

Social Achievements

• Utilization of women's strengths in automotive sales, mechanics, and service front.
• Sponsorship of the Mie Violet Iris women's handball team.
• Sponsorship of Barth Racing Project in Super Taikyu series, providing service staff training.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Gradual decrease in the number of vehicles owned.
• Long-term vehicle ownership.
• Changes in mobility (advanced safety equipment, next-generation eco-cars, autonomous vehicles, car sharing, connected cars).
• Shortage of semiconductors causing delays in vehicle and parts supply.
• Economic downturn due to the spread of the new coronavirus.

Mitigation Strategies

• Promoting multi-type stores in Mie Prefecture where there is room for expansion (Ise Automall).
• Medium-term expansion of the service area to the three prefectures of Tokai and neighboring areas of Kansai through M&A.
• Aggressive expansion of the original brand POINT⑤ for used car sales and purchases.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Rare Metal Recycling Award

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Installation of solar panels at some stores to reduce electricity usage.
• Implementation of a rare earth and rare metal recovery project at Suzuka Auto Recycling Center, winning the "Rare Metal Recycling Award".

Social Achievements

• Launched a women's empowerment project to correct gender disparities within the group.
• Concluded a disaster relief agreement with Suzuka City to provide vehicles in emergencies.
• Supported the Mie Violet Iris (women's handball team).

Governance Achievements

• Adopted an audit committee system to enhance the supervisory functions of the board of directors.
• Implemented "Next-Generation Business Leader Candidate Training" to develop executives and managers.
• Disclosed a skills matrix to show management's capabilities.

Climate Goals & Targets

Environmental Challenges

• Changes in consumer preferences and lifestyles leading to a decline in car ownership.
• Longer vehicle ownership periods.
• Increased use of car sharing.
• Declining population due to low birthrate and aging population.
• Shortage of semiconductors causing delays in vehicle and parts supply.
• Accelerated shift to EVs.

Mitigation Strategies

• Strengthening internal controls and corporate governance.
• Securing and developing human resources.
• Promoting value chain cross-mix business.
• Improving after-sales service for existing customers.
• Developing environmentally friendly stores with solar power generation and energy storage facilities.
• Aggressive public relations and technological development strategies for the recycling business.
• Promoting total resource recycling in automobile recycling (partial mechanization).

Supply Chain Management

Climate-Related Risks & Opportunities

Awards & Recognition

• Rare Metal Recycling Award