Three years management plan from FY 2017 to FY …

1 Three years management planfrom FY 2017 to FY 2019 May 2,2017 Toyota Tsusho Review and specific management measuresII. Next Mobility StrategyIII. Africa strategyIV. Three years management plan-Quantitative targets -V. ESG and specific management measures3FY2016 Review and specific management measuresReassessed businesses and booked impairment losses against unprofitable onesIncreasing cash-generative capacity through better working capital managementWe have built a foundation upon which we can advance from FY2017FY2015FY2015FY2016 MetricFY2014FY2015FY2016 Operating cashflow+ + + cash flow( )+ + interest-bearingdebt1, , , debt/equity ( Billion yen)Shift from 5 years plan to 3 years management PlanLiving and prospering together with people, society, and the Earth, we aim to be a value-generating corporation that contributes to creation of a prosperous PhilosophyWith the business environment around mobility changing dramatically, we shortened our planning horizon from five years to Three to adapt faster to change.

2 Realization of more-precise plans Plans are reviewed and updated annually so theyalways reflect recent major changes in environmentRealizing growth through ToyotsuCore ValuesMedium-term Business PlanGlobal VisionTaking our ToyotsuCore Values to heart, we will strengthen our earnings foundation and challenge Three business domains: Mobility, Life & Communityand Resources & Environment5 Major management Turning PointWe must be prepared to swiftly adapt to change by establishing specialized organizational units with our sights set on the next generationAnalysis of African environment Economic growth has slowed due to resource price declines Weak economic structure based mainly on primary products Largely young labor forces Industries have high latent growth potentialWe will continuously take the lead from a long-term, pan-African perspective.

3 Taking into account the external environmentAnalysis of mobility environment Auto industry undergoing oncein acentury structural transformation Technological innovations like IoTand AI are changing autos value Established Africa Division, our first regional division, and streamlined reportinglines Expediting utilization of local human resources CFAO CEO RichardBielleappointed deputy head of division ToyotsuKenya Chairman Dennis Aworiappointed to CFAO s Board of Directors Established crossfunctional project units (staffed with 150 personnel in total) Established Next Technology Fund toswiftly respond to innovative technological changes* See p25 of supplementary in NEXT Mobility Strategy in Africa6II.

4 Next Mobility Strategy8 MobilityAuto Industry is at Turning PointAuto industry is shifting away from conventional production/sales; various businesses have started to become linked with autosLife &CommunityMobilityResources & EnvironmentNew urban transportation systems Changing urban mobility/ownership modes Realization of eco-driving through alleviation of traffic congestionSmart cities, smart grids Low-carbon society (CO2 reduction)Proliferation of PHVs, EVs, FCVs Energy conservation through utilization of renewable energy Effective utilization of HEMSs, storage batteriesITSs linking people, vehicles and society Self-driving vehicles Advanced safety Connected carsMaterials revolution Emergence of new materials such as aluminum, carbon and resinsGrowth in demand for conventional carsLow-cost operations9 Businesses we are TargetingMobility services New services that promote adoption of next-generation autosMaterials Businesses involved with vehicle weight reduction, electrification, new materials.

5 Recycling Upstream/midstream battery businessesEV components Supply and storage of electric power from renewable sources Infrastructure development Power semiconductorsSmart factories Improved productivity through visibility & preventive maintenance Intergenerational transmission of skilled workers skills Factory networks & security Involvement in self-driving vehicle/advanced safety technologies Supply of electronic parts/components for EV/PHV/FCVs SalesProductionProduction TechnologySalesx ServiceExpansion of Next Mobility business domainAutomotive electronics example on next pageAIAIH ardware(semiconductors)SoftwareI TSensorsSensorsNew business domainsGrowth sourcesCamerasCamerasImage recognition & processingImage recognition & processingCommunication & wirelessCommunication & wirelessExisting technological strengths (hardware, software)Domains where we can utilize our ICTs and track recordWe will deepen our strengths and unfailingly capture newly emerging business opportunitiesCar electronics (conventional)Self-drivingSelf-drivingNe xt-generation data centersNext-generation data centersSecurity (ID management , monitoring)Security (ID management , monitoring)OTA (software updated wirelessly) OTA (software updated wirelessly)

6 Automotive Electronics Business Example10 Level Level 3 Quality analysisQuality analysisEmbedded software developmentEmbedded software developmentGlobal sales networkGlobal sales networkModularizationModularizationTechn ology solutions/EMS servicesTechnology solutions/EMS servicesDevelopment & investmentToyota Tsusho s functionsToyota Tsusho s functionsLevel 4 Data centerData centerSecuritySecurityNetwork cloudNetwork cloudLevel 5 Further insourcing of technological capabilities through development & investment (deepening of strengths)Further insourcing of technological capabilities through development & investment (deepening of strengths)ElectrificationElectrification Advanced safetyAdvanced safetyConnectedConnectedLevel focused on AfricaEfforts and Future Development in Africa(Automotive Production and Sales <Automobile Productionand Peripheral business> <Automotive Sales and Peripheral business>SUZUKI Businesscountries 4countries TOYOTA Businesscountry 22 countries BothTOYOTA and SUZUKI Business Countries (19 countries CKD Complete Knock-Down All implement the steps other than the parts production SKD Semi Knock Down Relatively simple assembly Expand to other than Toyota, and other than passenger automobile through automobile production s of B to C(Business to Consumer)))

7 Is anticipated with a wide range of lineup from superior to (VW)CKDB usinessKenia(VW)CKDB usinessNigeria(YAMAHA)Manufacture of MotorcyclesNigeria(YAMAHA)Manufacture of MotorcyclesNigeria(FUSO)SKDB usiness-Plan -Nigeria(FUSO)SKDB usiness-Plan -Nigeria(Mitsubishi)SKD Business-Under consideration-Nigeria(Mitsubishi)SKD Business-Under consideration-Algeria(FUSO)SKD Business-Plan -Algeria(FUSO)SKD Business-Plan -KenyaCaptive finance & lease / Used vehicles, finance & lease / Used vehicles, capture areaTOYOTA/SUZUKIE xpand capture area12 Egypt(TOYOTA)CKD BusinessSouth Africa(TOYOTA)Automobile production supportSouth Africa(TOYOTA)Automobile production supportEfforts and Future Development in Africa Other than Automotive <Pharmaceutical business >Pharmaceuticals deployment capture regionNorth Africa plan to purchase of a pharmaceuticals manufacture and salescompany development of pharmaceuticals manufacture and salesSouth East Africa Expand of Pharmaceuticals sales channels<Retail / Beverage Business, etc.

8 >Ivory cost /taking part in infrastructure project based in Kenya (Plan)Pharmaceuticals developed countries 22 countries The expansion of business areas and business developing countriesThe establishment and expansion of other countries of retail businesses and new business with partnersWest Africa Horizontal expansion of beverage manufacture business Heineken/Congo Ivory cost, etc. East Africa Horizontal Expansion of retail business /Ivory cost Cameroon, etc. Kenya Fertilizer production business Neighboring countries, to west Africa13 Aiming to Establish Absolute Strengths in AfricaWith Africa, For Africa Become a company that fulfills Africa's needs and seeds Leading Strong BrandsWe will provide optimal products and services and attract brands customers seekFull Value ChainWe will expand our business domain from production through service, mainly in auto industryOperational ExcellenceWe will pursue high-quality management with focus on crisis management and complianceGrow with the SocietyWe will create local jobs and grow together with local communitiesFoster auto industry and develop new businessesOur aim.

9 14 Toyota Tsusho advertisement from 6thTokyo International Conference on African years management plan-Quantitative targets -3 years management Plan s Quantitative TargetsJGAAPJGAAPIFRSIFRSFY2015FY2016FY2 017planFY2019 targetsPLProfit( ) assets3, , , , cash flow+ + metricsROE-%11%10%10~13%Net interest-bearing debt1, , , , D/E 11 1-< Billion yen ROE10 13%Be cognizant of cost of capital and endeavor to efficiently deploy shareholders' equityNet D/E ratio positive free cash flow and restrain growth in interest-bearing debt (but net D/E ratio may temporarily rise above when we undertake large investments)RA/RB < stable and sound financial condition by focusing on balance between equity and asset-specific risk exposuresFY2016 IFRS-basis results scheduled to be released in June 2017163 years management -Stairs of net income -FY2019 Target+ + + &CommunityResources &Environment Billion yen MobilityFY2017 Plan Premisecondition FY2017 PlanFY2019 TargetYEN/USDYEN/EUR105115100110 OilPrices(USD/bbl)5050 Global Automobileproduction units(10thousands units)

10 9,3809,790+20 Investment plan for two yearsabout200 billion yen17 Source from the automotive industry of the 2016 edition of the Annual Book 2019 issued by IRCR easons for Changes and Amount of Investment in Three Domains Billionyen Netincome+ businessLogistics Value-chainAutomotive ElectronicsAutomotive supplies and materialsNetincome+ energyLithium, Rare-Earth, etc.)and recyclingElectric Power and EnergyGrain Value-chainOverseas Plant InfrastructureNetincome+ BeverageAfrica Pharmaceutical Chemical products Cell phone , ConsumerElectronicsFertilizer, Detergent ,Sanitary materials and Packaging materialLifestylerelated(Insurance,Food) 18 Target Period FY2018 FY2019for two yearsMobilityLife &CommunityResources &EnvironmentFocus areasFocusareasFocus areasFurther Enhancement of Corporate ValueMaintain positive FCF(From FY2017 to FY2019 19 Actively consider company-wide involvement in large strategic projects Pursue operating efficiency with focus on working capitalOperating CFNet DER ratioFree cash flow target Continuationin plan to increase direct shareholder returns through dividendsShareholder returnsMaintain financial soundness