Sustainability Data Book 2017 - toyota-global.com

1 Sustainability Data Book 2 017 Sustainability Data Book 2017 Editorial PolicyPeriod CoveredScope of ReportOverseas Affiliates ReportsSustainability Data Book 2017 Environmental Report 2017 Toward Toyota Environmental Challenge 2050 Report Governance The Toyota website also provides information on corporate initiatives not included in the above Contribution Activities year 2016 (April 2016 to March 2017) Some of the initiatives in fiscal year 2017 are also includedToyota Motor Corporation (TMC) s own initiatives and examples of those of its consolidated affiliates, etc., in Japan and are being issued in a total of 16 countries and regions (including Japan) in which Toyota overseas consolidated affiliates and other companies information disclosed globally by these reports covers about 88 percent of Toyota vehicles sold ZealandArgentinaAustraliaTaiwan (Hotai)BrazilChinaEuropeIndiaIndonesiaMa laysia* Issued in the UMW Holding ReportNorth AmericaSouth AfricaThe PhilippinesThailandVietnamTaiwan (Kuozui) Sustainability Data Book (Former Sustainability Report) focuses on reporting the yearly activities of Toyota such as Toyota CSR management and individual initiatives.

2 Information on CSR initiatives is divided into chapters, including Society, Environment and have also made available the Environmental Report 2017 - Toward Toyota Environmental Challenge 2050 excerpted from the Sustainability Data Book the Annual Report, Toyota shares with its stakeholders the ways in which Toyota s business is contributing to the sustainable development of society and the Earth on a comprehensive basis from a medium- to long-term Party Assurance Third Party Assurance in the Environment section denotes data confirmed through third-party assurance1 Sustainability Data Book 2017 ContentsOverview of Toyota Motor Corporation 3 Corporate Principles 5 CSR Structure 8 Initiatives for Improving Traffic Safety 11 Customer First and Quality First Measures 18 Creating an Affluent Society 25 Social Contribution Activities 40 Respect for Human Rights 46 Collaboration with

3 Business Partners 51 Employees 58 Stakeholder Engagement 74 Toyota Environmental Challenge 2050 77FY2016 Review of the Sixth Toyota Environmental Action Plan 79 Challenge 1 New Vehicle Zero CO2 Emissions Challenge 85 Challenge 2 Life Cycle Zero CO2 Emissions Challenge 90 Challenge 3 Plant Zero CO2 Emissions Challenge 94 Challenge 4 Challenge of Minimizing and Optimizing Water Usage 99 Challenge 5 Challenge of Establishing a Recycling-based Society and Systems 103 Challenge 6 Challenge of Establishing a Future Society in Harmony with Nature 108 Environmental Management 115 Environmental Data 123 Corporate Governance 130 Risk Management 133 Compliance 138 CSR Achievement Data 140 ISO 26000 Comparison 142 SocietyEnvironmentGovernance2 Sustainability Data Book 2017 Overview of Toyota Motor CorporationCompany ProfileCompany NameToyota Motor CorporationPresident and Representative DirectorAkio ToyodaCompany AddressHead OfficeTokyo Head OfficeNagoya Office1 Toyota-cho, Toyota City, Aichi Prefecture, Japan1-4-18 Koraku, Bunkyo-ku, Tokyo, Japan4-7-1 Meieki, Nakamura-ku, Nagoya City, Aichi Prefecture, JapanDate FoundedAugust 28, billion yen (as of March 31, 2017)Main Business ActivitiesMotor vehicle production and salesNo.

4 Of Employees (Consolidated)364,445 (as of March 31, 2017)No. of Consolidated Subsidiaries597 (as of March 31, 2017)No. of Affil. Accounted for under the Equity Method54 (as of March 31, 2017)No. of plants and manufacturing companies (as of February 28, 2017)No. of distributors (as of December 31, 2016)No. of R&D bases (as of March 31, 2017)JapanNorth AmericaEuropeAsiaOther58%13%5%17%6%No. of employees364,445 persons(As of March 31, 2017)46%23%7%19%5%No. of vehicles produced8,975,509 units(FY2016)25%32%10%18%15%Total vehicle sales8,970,860 units(FY2016)Europe9293 Asia24204 Japan16 5 North America1153 Other91131 Excluding Japan* Both Toyota and Lexus brand basesConsolidating the Toyota Group s strengths, Toyota Home offers a wide variety of housing related services to meet different customer is working on a variety of connected services that utilize IT, such as e-TOYOTA businesses and ITS-related Financial Services provides financial services primarily for vehicle loans and leasing in more than 30 countries and regions is also involved in marine businesses.

5 As well as biotechnology and afforestation businessesNon-automotive BusinessHousingInformation Technology ServicesFinancial ServicesOther BusinessGlobal Perspective/Data by Region3 Sustainability Data Book 2017 Trends in Major Financial Results (on a Consolidated Basis)Net RevenuesOperating IncomeNet IncomeR&D ExpensesCapital Expenditures(billion yen) 13 14 15 16 1722, , , , , , , , , , (FY)030,00020,00010,000(billion yen) 13 14 15 16 171, , , , , , , , , , (FY)03,0002,0001,000(billion yen) 13 14 15 16 , , , , , , , , (FY)02,5002,0005001,0001,500(billion yen) 13 14 15 16 , , , , , , (FY)01,2008001,000200400600(billion yen) 13 14 15 16 , , , , , , , , (FY)01,5001,200300600900 Shows the net income attributable to the shareholders of Toyota Motor Corporation Capital expenditure excludes vehicles for leasing4 Sustainability Data Book 2017 Toyota Global VisionMedium- to long-term management planAnnual directions: global corporate policyRegular business activitiesGuiding Principles at ToyotaCSR Policy.

6 Contribution towards Sustainable DevelopmentToyota Code of ConductToyota Way 2001 Corporate PrinciplesSince its foundation to the present day, Toyota has handed down the Five Main Principles of Toyoda (released in October 1935) which embody the thinking of the founder of the Toyota Group, Sakichi Toyoda, and are the basis of the corporate management philosophy. In 1992, in response to changes in society and business structure, Toyota established the Guiding Principles (revised in April 1997) to clarify how Toyota is expected to be, based on the recognition that strong policies are important for finding the way to proceed, especially when the environment surrounding us is drastically 2011, Toyota adopted Toyota Global Vision, which is based on the Guiding Principles at order to achieve this vision, a medium- to long-term management plan is drafted and Toyota works toward achieving the goals specified in the plan.

7 The Toyota Way 2001 and the Toyota Code of Conduct serve as an important guideline for the implementation of daily business operations. The Toyota Way 2001 clarifies the values and business methods that all Toyota employees around the world should embrace, and the Toyota Code of Conduct details the basic attitudes and mindset necessary for people to adhere to rules and act in good faith in their work at the company and private life in strives to be a good corporate citizen trusted by all stakeholders and to contribute to the creation of an affluent society through all its business would like to introduce the Corporate Principles which form the basis of our initiatives, values that enable the execution.

8 And our Principles at ToyotaGuiding Principles at ToyotaFive Main Principles of ToyodaRelationship with Philosophy, Policies and Regular Business Activities1. Honor the language and spirit of the law of every nation and undertake open and fair business activities to be a good corporate citizen of the Respect the culture and customs of every nation and contribute to economic and social development through corporate activities in their respective Dedicate our business to providing clean and safe products and to enhancing the quality of life everywhere through all of our Create and develop advanced technologies and provide outstanding products and services that fulfill the needs of customers Foster a corporate culture that enhances both individual creativity and the value of

9 Teamwork, while honoring mutual trust and respect between labor and Pursue growth through harmony with the global community via innovative Work with business partners in research and manufacture to achieve stable, long-term growth and mutual benefits, while keeping ourselves open to new partnerships. Always be faithful to your duties, thereby contributing to the company and to the overall good. Always be studious and creative, striving to stay ahead of the times. Always be practical and avoid frivolousness. Always strive to build a homelike atmosphere at work that is warm and friendly. Always have respect for spiritual matters, and remember to be grateful at all Principles5 Sustainability Data Book 2017 Rewarded with a smileby exceeding your expectationsToyota will lead the way to the future of mobility, enriching lives around the world with the safest and most responsible ways of moving people.

10 Through our commitment to quality, constant innovation and respect for the planet, we aim to exceed expectations and be rewarded with a will meet challenging goals by engaging the talent and passion of people, who believe there is always a better PeopleContinuousImprovementTeamworkRespe ctChallengeKaizenGenchi GenbutsuWe form a long-term vision, meeting challenges with courage and creativity to realize our dreamsWe improve our business operations continuously, always driving for innovation and evolutionWe practice genchi genbutsu .. go to the source to find the facts to make correct decisions, build consensus and achieve goals at our best speedWe respect others, make every effort to understand each other, take responsibility and do our best to build mutual trustWe stimulate personal and professional gro