3/28/2017

TOYOTA’s Electrification Roadmap

TOYOTA

Agenda

1. Toyota 2050 Environmental Challenge Overview 2. Zero Vehicle CO2 Emissions 3. Zero Life Cycle CO2 4. The Future Role of H2

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2. Toyota Environmental Challenge 2050

Challenge 1: New Vehicle Zero CO2 Emissions Challenge Challenge 2: Life Cycle Zero CO2 Challenge 3: Plant Zero CO2 Emission Challenge Challenge 4: Minimizing and Optimizing Water Usage Challenge 5: Challenge of Establishing a Recycling‐based Society and Systems Challenge 6: Challenge of Establishing a Future Society in Harmony with Nature TOYOTA

Challenge 1:

New Vehicle Zero CO2 Emissions Challenge

Reducing global average new‐vehicle CO2 emissions by 90 percent by 2050 (compared to Toyota’s 2010 global average) TOYOTA

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Challenge 2 Life Cycle Zero CO2

Completely eliminating all CO2 emissions, including materials, parts and manufacturing, from the vehicle lifecycle TOYOTA

Challenge 3

Plant Zero CO2 Emission Challenge

Zero CO2 emissions at all plants by 2050 TOYOTA

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Challenge 4 Minimizing and Optimizing Water Usage

Enacting effective wastewater management and minimizing water consumption TOYOTA

Challenge 5 Challenge of Establishing a Recycling-based Society and Systems

Using resources more efficiently by 1) using eco‐materials, 2) using parts for longer, 3) improving recycling technologies, and 4) building cars from end‐of‐life vehicles. TOYOTA

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Challenge 6 Challenge of Establishing a Future Society in Harmony with Nature

Promoting global rollout of conservation activities beyond the and its business partners by establishing three future‐oriented global projects in 2016 TOYOTA

2. Zero Vehicle CO2 Emissions

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Forecast international climate change

Annual greenhouse gas emissions (1,000 Tg CO2 Eq./year) Baseline scenario 140 (+3.7~4.8℃) 120 (RPC8.5)

100

80

60

40 Below 2℃ scenario

20 (RPC2.6)

0

20 2000 2020 2040 2060 2080 2100

Full-scale initiatives to reduce CO2 emissions Zero or less

Source: From the IPCC Working Group III 5th Assessment Report (2014)

Regarding GHG emissions, there is no time to lose TOYOTA

New Vehicle Zero CO2 Emissions Challenge Average vehicle CO new 2 (TtW) 90% reduction

2010 2050

90% reduction of new vehicle CO2 emissions by 2050 compared to 2010 TOYOTA

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Development of next generation vehicles Sales Volume

HV Engine PHV

FCV EV

2010 2020 2050 Next generation vehicles to accelerate technological development to follow market expansion of HV TOYOTA

CO2 reduction initiatives

Engine Energy saving

Reduced use of fossil fuels HV

CO2

PHV reduction Energy diversity EV Renewable energy FCV CO2-free hydrogen

Short-mid term to promote energy saving TOYOTA

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Powertrain with improved efficiency

Improved (%) thermal Engine thermal efficiency efficiency

Diesel

Hybrid

Gasoline

1995 2000 2005 2010 2015 2050

Aiming for further engine improvement in thermal Efficiency TOYOTA

HV: Lineup

Compact

Medium

Large/ Premium

SUV

Minivan

Commercial

HV lineups for all categories TOYOTA

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Hybrid System Performance

60 New Prius (52-56 mpg) 55 3rd gen. Prius (50 mpg) 50 2nd gen. Prius (46 mpg)

45 1st gen. Prius (41 mpg) 40

Combined fuel economyCombined fuel (mpg) 35 :Toyota : Other competitors (Top 3-5 for each MY except EVs and PHEVs) 30 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 Model year TOYOTA

Impact on the Environment with the Spread of HVs

Cumulative Total Annual (10,000 units) (10,000 units)

Cumulative total (10,000 t) Annual (10,000 t)

CO2 emissions have been reduced by 77 million tons (cumulative)

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Cumulative sales of HV

(million) 15 2020 target Cumulative 15 million HVs

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1 0 1997 2000 2005 2010 2015 2020 2050 HV target cumulative 15 millions in 2020, to lead next generation vehicles TOYOTA

CO2 reduction initiatives

Engine Energy saving

Reduced use of fossil fuels HV

CO2

PHV reduction Energy diversity EV Renewable energy FCV CO2-free hydrogen

Renewable energy, CO2 free hydrogen for further reduction TOYOTA

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Application of hybrid technology

PHV

HV

EV

FCV

HV technology is a core technology included in next generation vehicles TOYOTA

Fuel diversity and uses

FCV HV/PHV

Route bus Passenger car EV Full-size truck HV

Short-distance FCV(BUS) Delivery vehicle commuter vehicle Home delivery EV truck Vehicle size FCV PHV Personal mobility Travel distance

Fuel Electricity Gasoline, diesel, biofuels, CNG, synthetic fuels, etc. Hydrogen EV: Short-distance, HV & PHV: Wide-use, FCV: Medium-to-long distance TOYOTA

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The All-New PRIUS PRIME

TOYOTA

2012 Prius PHV 2016 Prius Prime

EV range (comb.) 11 miles 125%UP 25 miles

Max EV power 37kW 84%UP 68kw*

Max EV speed 62 mph 35%UP 84 mph*

65%UP Max charging power 2kw 3.3kw

Climate system A/C More Heat pump EV driving Others - Battery warming system

* Essentially no engine on in EV mode until battery is depleted. TOYOTA

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• Plug-in Hybrid: charge time ̴ 5.5 hours using a standard household outlet • EPA Estimated 25 miles electric range up to 84 mph/ 640 miles estimated total range (133 MPGe) • Powerful Dual motor-generator drive system • Ultra-efficient in hybrid operation with groundbreaking 40 percent thermal efficiency (EPA estimated hybrid 55 city/53 highway/54 combined MPGe) • Available 11.6-inch Multimedia HD Display, Head-up Display and Wireless Phone Charging • Standard Pre-Collision and Pedestrian Detection System with Automatic Braking • MSRP $27,100 – $33,100

TOYOTA TOYOTA

2017 TOYOTA MIRAI Vehicle

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Advantages of FCV

Energy diversity Zero emissions

Hydrogen sourced from Zero tailpipe CO2 a wide variety of primary energy

Fun to drive Usage enables Range (gasoline equivalent smooth, quiet driving Refueling (about 3 minutes) Excellent acceleration at start to low/mid speed Power supply (emergency use) High capacity TOYOTA

Development of MIRAI

★High pressure ★FC stack hydrogen tank Innovative flow channel structure The light weight structure of and Electrodes of cells for higher output carbon fiber reinforced plastic enabled Output/volume; 3.1kW/L Storage; 5.7 wt%*

world top level world top level

Humidifier less FC boost converter

Internal circulation Reduced number of cells in FC stack Common use of hybrid units

*Hydrogen mass/Tank mass FC main components developed in-house to achieve world leading performance TOYOTA

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Cost reduction of FCV

FC technology FC stack High-pressure hydrogen tanks FC system cost system FC

Further Cost FCHV-adv 1/20 or less (2008) (2014) reduction

Start Limited introduction Popularization penetration Power control unit Motor Battery HV technology

Apply HV technology to accelerate cost reduction TOYOTA

Various approaches of Toyota group

TOYOTA HINO FCV FC bus

Toyota Auto Loom Aisin Seiki folk lift Household fuel cell system

Not only FCV but also Toyota group activities to promote hydrogen use TOYOTA

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FCV market penetration initiatives

FCV sales volume Global : More than 30,000/year around 2020 and later Japan : Approx. 1,000/month around 2020 1X,000/year @2020 and later

FC bus introduction to start in FY 2016 for Tokyo, etc 100 or more by 2020 for Tokyo Olympics/Paralympics

TOYOTA

Future development of next generation vehicles Sales Volume

HV Engine PHV

FCV EV

2010 2020 2050 Accelerate next generation vehicle development toward 90% CO2 reduction TOYOTA

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3. Zero Life Cycle CO2

TOYOTA

Challenge 2: Life Cycle Zero CO2

Disposal/recycling Specific parts Maintenance for next generation vehicles increase CO2

Driving

Fuel production Parts/vehicle production Material production

Gasoline HV MIRAI Zero vehicles (New generation In the future Vehicles)

Technology for reducing tailpipe CO2 can increase CO2 from vehicle production TOYOTA

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Challenge 2: Life Cycle Zero CO2

Driving/ Material Disposal/ Life cycle Parts/Vehicle Fuel production Recycling production production

CO2 emissions during material production New materials and recycling materials CO2/Kg CO2 per mass Kg-CO2/Kg Vehicle Steel materials Aluminum PP Aluminum (New) Carbon fiber Next Aluminum Generation 0102030(Recycled) Vehicle Specific Platinum materials 0 246810 0 2000 4000 6000

Develop and more use of low CO2 material Recycle bio material Reduced material use Better dismantle ability design Reduced number of parts

Enrich and accelerate environmental friendly design considering materials TOYOTA

Challenge 2: Life Cycle Zero CO2

Future life cycle CO2 Current life cycle CO2 2050 life cycle CO2 to be Zero

Maintenance Disposal Maintenance Disposal

Parts/ Parts/ Vehicle Vehicle production production

Material Material Driving/ Driving/ production production Fuel production Fuel production

Continuous challenge toward the future Zero life cycle CO2 TOYOTA

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Striving for “Ever-better cars”

Renewable energy Fossil fuels CO2 free hydrogen

High durability FCV vehicle HV

FC folk lift FC bus

Roomy/multipurpose vehicle PHV

EV

Zero for all vehicles used in all regions all over the world TOYOTA

4. The Future Role of H2

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TOYOTA

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TOYOTA

Creation of a future where people coexist with nature through use of renewable energy and CO2-free hydrogen

Expanded range of activity due to technological development Solar power Wind power Energy Expanded activities through business activities Participate in a verification project

Micro hydro power Plant area Electrolytic Geothermal CO2-free hydrogen Biomass Byproduct hydrogen Biomass Uses hydrogen Transport directly in the process of Battery use production Stationary FC

Residential area Emergency Inner-city area power EV station

Rapid charging system FC forklift PHV EV FCV FC bus TOYOTA

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Renewable energy

Eurus Energy, part of Toyota Tsusho Group 2.5 million kW TOYOTA

Hydrogen from waste

City of Fukuoka

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Verification project at the Keihin Waterfront District in Kanagawa Pref.

Renewable electric energy Hydrogen production Storage & compression Transportation Use

Receiving & transforming, distribution board, electric storage equipment Keihin coastal area

Hydrogen (H2) Partial use Receiving/transforming/distribution Storage batteries Yokohama City Existing receiving & & Hydrogen Wind Power Plant transforming compression equipment “Hama-wing” equipment production (1,980kW) equipment

Hydrogen Mobile Sale of excess compressor hydrogen-fueling Fuel cell forklifts power station ・Fruit and vegetable markets Hydrogen (H2) ・Refrigerated warehouses Backup supply Hydrogen ・Logistics warehouses, etc. Power grid storage tank Water electrolyzer Water (H2O) Fueling hydrogen with mobile-fueling station Utility infrastructure (Transport appropriateamount of H2 for operation and needs) Backup hydrogen

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Cooperation with stakeholders

Governments

Energy Sustainable Customers suppliers Mobility

Automotive companies

Collaboration across all sectors is needed in order to achieve a sustainable system TOYOTA

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For More Information:

Toyota Environmental Challenge 2050 website http://www.toyota‐ global.com/sustainability/environment/challenge2050/index.html

Sixth Toyota Environmental Action Plan website http://www.toyota‐ global.com/sustainability/environment/plan/sixth_plan/index.html

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