Energy/Global Warming

Top Priority Given to Activities to Lower CO2 Emissions in Products, Production and Logistics, in Harmony with Society

Implementing Measures Related to Energy and Global Warming Issues from Mid- to Long-term Standpoints

Accumulated CO2 Reduction with 2.5 million HVs (Estimated by Toyota)

Average Fuel Efficiency for Toyota Vehicles in Japan, the U.S. and Europe

Average Fuel Efficiency for Toyota Vehicles in Japan

The need to significantly reduce greenhouse gases on a global basis, to slow the rise in average temperature and keep it within 2 degrees centigrade of pre-industrial era levels, was affirmed as a long-term goal (as set forth in the IPCC report) at COP 15 (the 15th Conference of the Parties to the United Nations Framework Convention on Climate Change) held in Copenhagen in December 2009. For the medium term, the convention released a statement that each country, developed or developing, will submit a reduction goal and an action plan to the United Nations and promote programs to reduce emissions from its own standpoint. Toyota will also continue to take appropriate and persistent action on energy and global warming issues for the medium to long term.

The accumulated total of Toyota hybrid vehicles (HV) sold in Japanese and international markets reached the 2.5 million mark (as of April 2010). Toyota now offers 12 HV passenger models, including the Prius, as of April 30, 2010*1. Cumulatively, they are estimated to have reduced effective CO2 emissions by about 14 million tons, compared to gasoline vehicles of equivalent size and power output*2. The effect was achieved as a fruit of the company's 12-year-long efforts, from the introduction of the first Prius model to extensive worldwide HV launches. The FY2009 witnessed a significant improvement in average fuel consumption in Japan, North America and Europe, as a result of government programs to promote purchases of low-emission, fuel-efficient vehicles, along with an increase in sales of HVs, particularly the Prius as well as other fuel-efficient conventional engine models. Toyota will continue to improve the fuel efficiency of conventional gasoline-engine vehicles and, at the same time, to further develop and expansion of HV and plug-in hybrid technologies. The commitment to CO2 reduction will be extended to affiliates in Japan and overseas, not only in monozukuri (manufacturing), but also in all other operational areas, including logistics and distribution.

*1. Coaster Hybrid EV, Dyna / Toyoace HV and Quick Delivery 200 are excluded.
*2. Number of Vehicles in Market x Driven Distance x Fuel Efficiency (Actual Value in Each Country) x CO2 Conversion Factor

Initiatives to Diversify Energy and Reduce CO2 Emissions throughout the Vehicle Life Cycle

Fossil fuel is a limited resource and energy diversification is essential to the future. As EVs effectively reduce CO2 emissions by using nuclear power and renewable energy such as hydroelectric power, it is essential for Toyota to develop new vehicles in consideration of regional energy diversification. Toyota aims to reduce CO2 emissions at every stage of the vehicle life cycle, including energy production for next-generation automobiles. In the flow of energy diversification, infrastructure development is a key, while modification of conventionally powered vehicles and expansion of HVs are considered the immediate mainstream efforts. Looking at efforts to modify conventional vehicles, Toyota introduced high-efficiency gasoline engines in every class of vehicle until FY2008, and has moved steadily to improve average fuel efficiency. The company continues its efforts to make vehicles more compact and lightweight, while seeking ongoing improvements in the efficiency of engines and transmissions to reduce fuel consumption even further. The Toyota HV System, which uses not only fossil fuels, but also hydrogen, biofuel and electric power, is based on Toyota's assumptions for energy diversification and core technology for sustainable mobility in the future. In order to further increase HVs' contribution to CO2 reduction, Toyota plans to introduce the third-generation Prius, launched in 2009, in over 80 countries around the world double the former number.

Promoting CO2 Reduction Activities through Productivity Improvement and Further Energy Savings

Rate of Reduction in Global CO2 Emissions Per Sales Unit

In the area of production, breakthrough approaches to better productivity have been made throughout Toyota, including engineering innovations and daily improvement efforts to thoroughly eliminate energy waste to reduce per unit consumption. In recent years, however, per sales units have been adversely impacted by significant curtailment of production and decreased sales. In order to stop the downward trend, the Toyota Group has unified to take action, consolidating low-work load processes, reducing energy consumption and turning off power during non-operating hours.

CO2 Reduction Activities through Logistics Rationalization and Fuel Efficiency Improvement, etc.

Rate of Reduction in TMC Logistics CO2 Emissions (In Japan)

In the area of logistics, various improvements are under way intended to reduce CO2 emissions. Three specific avenues are targeted, namely, total transportation distance reduction, modal shift and fuel efficiency improvement. In the international market, Toyota began to grasp the amount of CO2 emissions in each country in FY2007, and has set specific target values for reduction activities since FY2008.