Climate Change Data

Toyota Motor Corporation

Climate Impact & Sustainability Data (2019, FY2023 (April 1, 2022 to March 31, 2023))

Reporting Period: 2019

Environmental Metrics

Total Carbon Emissions:7.65 million tons (Global CO2 emissions from energy consumption at stationary emission sources)
Water Consumption:33.7 million m3 (Global water usage)
Waste Generated:32.2 thousand tons (Total waste volume)

ESG Focus Areas

  • Environment
  • Society
  • Governance

Environmental Achievements

  • Reduced CO2 emissions per unit produced
  • Increased cumulative HEV sales
  • Reduced CO2 emissions per ton-kilometer from TMC logistics operations (Japan)

Social Achievements

  • Launched various initiatives to improve traffic safety, including the Toyota Safety Sense system
  • Implemented initiatives to promote women's participation in the workplace
  • Increased the number of employees using childcare and nursing care leave programs

Governance Achievements

  • Appointed a Chief Risk Officer (CRO) to oversee significant risks
  • Implemented internal checks to enhance compliance structure
  • Established a Compliance Hotline for employee consultations

Climate Goals & Targets

Medium-term Goals:
  • Increase the number of females in managerial positions fourfold by 2025, and fivefold by 2030
Short-term Goals:
  • Increase users of the teleworking system to more than 50 percent of all employees (except for production workers and managers) by 2025

Environmental Challenges

  • Low ratio of females in managerial positions
  • Insufficient utilization of the teleworking system
  • Risks related to cobalt sourcing from small-scale artisanal mining
Mitigation Strategies
  • Implemented initiatives to increase the number of females in managerial positions
  • Created an environment that supports the use of teleworking
  • Implemented measures to source only ethical cobalt

Supply Chain Management

Responsible Procurement
  • Toyota Supplier CSR Guidelines
  • Policies and Approaches to Responsible Mineral Sourcing

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Guidelines, ISO 26000 Guidelines, Task Force on Climate-related Financial Disclosures (TCFD), Environmental Reporting Guidelines (2018 version) by the Ministry of the Environment of Japan

Sustainable Products & Innovation

  • Hybrid Electric Vehicles (HEV)

Awards & Recognition

  • Good Design Award
  • J.D. Power (US) Initial Quality Study (IQS) ranking

Reporting Period: FY2023 (April 1, 2022 to March 31, 2023)

Environmental Metrics

Total Carbon Emissions:5.24 million tCO2e (2022)
Scope 1 Emissions:2.37 million tCO2e (2022)
Scope 2 Emissions:2.87 million tCO2e (2022)
Scope 3 Emissions:570.49 million tCO2e (2022)
Renewable Energy Share:20% (2022)
Total Energy Consumption:70.1 PJ (2022)
Water Consumption:33.0 million m3 (2022)
Waste Generated:233 thousand tons (2022)
Carbon Intensity:0.62 tCO2e/unit (2022)

ESG Focus Areas

  • Environment
  • Social
  • Governance

Environmental Achievements

  • 5% reduction of GHG emissions compared to 2019 (Life Cycle Zero CO2 Emissions Challenge)
  • 25% reduction in CO2 emissions compared to 2013 levels (Plant Zero CO2 Emissions Challenge)
  • 20% renewable electricity introduction rate globally (2022)
  • 100% renewable electricity introduction rate at all plants in Europe and South America (2022)
  • 9% reduction of CO2 emissions in logistics in Japan compared to 2018 (2022)
  • Reduced water usage by 13 percent compared to 2013 levels (2022)

Social Achievements

  • Launched the Lexus Battery 3R Program (Rebuild, Reuse, Recycle)
  • Established a grievance mechanism for migrant workers through JP-MIRAI
  • 38% of male employees took childcare leave (2023)
  • Improved workplace assessment and feedback skills through training (2022)

Governance Achievements

  • Board of Directors approved carbon neutrality (CN) as a key matter and the plan to transition to CN by 2050 (2022)
  • Board of Directors decided on battery-related investment to secure batteries for BEV expansion (2022)
  • SBTi validated Scope 1 and 2, and approved Scope 3 Category 11 reduction targets (2022)

Climate Goals & Targets

Long-term Goals:
  • Achieve CN for GHG emissions throughout the life cycle by 2050
  • Achieve CN for average GHG emissions from new vehicles by 2050
  • Achieve zero CO2 emissions from production at plants by 2050
Medium-term Goals:
  • Reduce GHG emissions from corporate activities by 68% by 2035 (compared to 2019 levels)
  • Reduce average GHG emissions from new vehicles by more than 50% by 2035 (compared to 2019 levels)
  • Achieve CN for CO2 emissions from production at plants by 2035
Short-term Goals:
  • Reduce water usage by 3 percent per vehicle produced compared to 2013 levels by 2025
  • Complete setup of 15 model facilities for appropriate treatment and recycling of end-of-life vehicles by 2025
  • Achieve 100 percent introduction rate for CO2 emissions reduction items at newly constructed and remodeled dealers by 2025

Environmental Challenges

  • Tightening of regulations for fuel efficiency and ZEVs
  • Expansion of carbon pricing
  • Increase in frequency and severity of natural disasters
  • Supply chain disruptions due to natural disasters
  • Differences between catalog fuel efficiency and actual fuel efficiency
  • Ensuring fair working conditions for migrant workers
  • Maintaining appropriate processing methods and operation status at model facilities for end-of-life vehicles
Mitigation Strategies
  • Promotion of electrification and the introduction of renewable energy in production processes
  • Adaptation measures for natural disasters
  • Support and signing of the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD)
  • Appropriate information disclosure concerning risks and opportunities related to climate change and their analyses
  • Collaboration with NGOs to ensure fair working conditions for migrant workers
  • Development of hydrogen gas release jig for FCEV dismantlement
  • On-site inspection of model facilities and opinion exchange sessions

Supply Chain Management

Supplier Audits: Over 90% of Toyota’s suppliers in Japan have signed the Supplier Sustainability Guidelines (as of March 2023)

Responsible Procurement
  • Toyota Green Purchasing Guidelines
  • Supplier Sustainability Guidelines
  • Policy for Sustainable Natural Rubber Procurement
  • Policies and Approaches to Responsible Mineral Sourcing

Climate-Related Risks & Opportunities

Physical Risks
  • Increase in frequency and severity of natural disasters
Transition Risks
  • Tightening of regulations for fuel efficiency and ZEVs
  • Expansion of carbon pricing
Opportunities
  • Increase in sales of electrified vehicles
  • Increase in profits from external sales of electrification systems
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI, SASB, TCFD

Certifications: ISO 14001, ISO 50001, ISO 45001

Third-party Assurance: SGS Japan Inc.

UN Sustainable Development Goals

  • Goal 7 (Affordable and clean energy)
  • Goal 9 (Industry, innovation, and infrastructure)
  • Goal 12 (Responsible consumption and production)
  • Goal 13 (Climate action)

Toyota's initiatives contribute to these goals through various environmental and social programs.

Sustainable Products & Innovation

  • Electrified vehicles (HEVs, PHEVs, BEVs, FCEVs)
  • Vehicles using carbon neutral fuels

Awards & Recognition

  • CDP climate change A List company
  • CDP water security A List company
  • Global Eco Award (Poland)