Environmental Report 2020

Keihin Environmental Report 2020

Keihin Corporation Environmental Report 2020 Index

■ Key milestones 04 Scope of this report In this environmental report, we introduce Keihin’s Fundamental Environmental Stance, Environmental Goals for the Future, ■ A message from our President 06 and Environmental Conservation Activities Promoted in Various Segments, Period covered: as well as details of Keihin’s approaches to the environment, from planning to achievements. Fiscal 2019 (April 2019 through March 2020) ■ Fundamental Beliefs 08 We are releasing this report to let our stakeholders know how our activities are contributing to Regions covered: All Keihin bases and all subsidiaries in Japan and overseas. social and environmental sustainability so that you may assess our efforts. ■ Fundamental stance on the environment 10 Domestic companies covered are Keihin and other subsidiaries In addition, we hope to use this report as a communication tool to further enhance our environmental activities. listed below. ■ Environmental management 12 Note: Our environmental data is provided on P36-47 (see the link) ■ FY2019 initiatives and results 16

Manufacturing Segment Companies3 Companies6 18 欧州日本 7 Companies6 Companies10 Companies5 アジア中国米州 Product Development Segment 21

Purchasing Segment 24

Transport Segment 25

14 30 ■ Corporate Governance 26 Countries Companies ■ CSR Activity 31 Europe Asia China Japan Americas ■ Third-party Evaluation 34 Keihin Europe Ltd. Keihin Asia Bangkok Co., Ltd. Dongguan Keihin Engine Management System Co., Ltd. Keihin Corporation Keihin North America, Inc. Learn more Keihin Sales and Development Europe GmbH Keihin (Thailand) Co., Ltd. Nanjing Keihin Carburetor Co., Ltd. Keihin Manufacturing Corporation Keihin US Mfg., LLC ■ 35 Keihin Thermal Technology Czech, s.r.o. Keihin Auto Parts (Thailand) Co., Ltd. Keihin R&D China Co., Ltd. Keihin Nasu Corporation Keihin Michigan Manufacturing, LLC. Keihin Thermal Technology (Thailand) Co., Ltd. Keihin-Grand Ocean Thermal Technology (Dalian) Co., Ltd. Keihin Electronics Technology Inc. Keihin Thermal Technology of America, Inc. Keihin India Manufacturing Pvt. Ltd. Keihin (Wuhan) Automotive Components Co., Ltd. Keihin Valve Corporation Keihin Tecnologia do Brasil Ltda. Keihin FIE Pvt. Ltd. Keihin Thermal Technology Corporation Keihin de Mexico S.A. de C.V. PT Keihin Indonesia Taiwan Keihin Carburetor Co., Ltd. Keihin Malaysia Manufacturing SDN. BHD. Keihin Vietnam Co., Ltd.

2 Keihin Environmental Report 2020 Keihin Environmental Report 2020 3 History ■

History Financial Results for FY2020

Revenue Operating proﬁt Number of associates Keihin was founded in 1956, and began mass-producing piston carburetors for motorcycles the following year. In 1963, we expanded our business operations to include the manufacture of automotive parts. ¥2,95.3 billion billion 22,624 ¥56.4 Global (consolidated) Since then, we’ve developed electronic fuel control injection systems in response to rising environmental awareness and tighter emissions restrictions, introducing a great number of eco-friendly parts into the world. *Only continuous business excluding a part of air-conditioning operation to be transferred. Today, with the rapid electriﬁcation of automobiles, we play an important role as a manufacturer of electric vehicle control systems, using our proprietary technologies to provide solutions that delight our customers and drive our growth towards becoming a top global brand. Zero Emission xEV

1957 1982 1999 2006 2013 2016 2019 Commenced the mass production Developed the injector and Developed the electronic control unit Commenced mass production of Developed the injector Commenced mass production of Developing next-generation of carburetors for motorcycles electronic control unit for automotives for hybrid vehicles the power control unit for mild hybrid vehicles for direct injection engines the power control unit for hybrid vehicles power control units Connected Automated Car Driving

We will deliver solutions 1956 1974 1997 2002 2012 New Energy Vehicle (China) Established in Kawasaki City, Developed carburetors Keihin Seiki Co., Ltd., Hadsys Co., Ltd., Developed the ﬁrst electronic Keihin Thermal Technology that create new value for Kanagawa for CVCC engines and e-Giken Co., Ltd. fuel injection system for small motorcycles Corporation joined us merged to become “Keihin” the future of mobility. Opened the Tochigi Development Center 2019 1994 Building the world’s largest FI system supply system in India Listed on the ﬁrst section of Commenced mass production of a new type of the Tokyo Stock Exchange electronic fuel injection system that boasts world-class environmental performance for small motorcycles 2014 Developed a new type of Tighter CO2 regulations (EU) electronic fuel injection system

Zero-emissions Vehicle regulations in full force (US)

Low Emission Vehicle (US)

Clean Air Act (US) Automotive Products Motorcycle and Power Products Engine Management Systems Electriﬁcation System Large Motorcycle Products Small Motorcycle Products for Gasoline Vehicles for Hybrid and Electric Vehicles Air Conditioning System

Electronic control Electronic control unit Injector Transfer mold Injector for direct injection Electronic control throttle body Power control unit Battery management system Condenser HVAC Unit throttle body electronic control unit

4 Keihin Environmental Report 2020 Keihin Environmental Report 2020 5 Message ■

Message

system in the world, capable of turning out some plastics by cutting back on the use of stretch wrap ten million new fuel injection systems annually, packaging materials and replacing the plastic our products have been installed on numerous spoons in our employee cafeterias with paper or motorcycle models sold in India (which faces the reusable spoons. most serious air pollution problem in the world) ̶among them the Honda Activa 125, the Keihin has also been promoting activities to Hero Pleasure+, and the TVS Star City Plus. support local communities and protect the Motorcycles equipped with new Keihin FI environment around the world. In Japan, we systems with the same exceptional environmental supported the recovery effort in areas that were performance are also being sold in places like hard-hit by Typhoon Hagibis in October of last Vietnam and Indonesia. Back at home, our FI year; in other countries we sent volunteers to help systems (which include a newly-developed with educational activities and hand out Christmas electronic control unit for use with remote gifts to children as well as made visits to nursing controllers) are being installed in Honda BF250 homes and facilities for persons with disabilities. outboard engines. Meanwhile, our society is undergoing the kind With demand for electric and hybrid vehicles on of complete transformation that only comes once the rise, our automotive side has developed and is a century, and we are therefore taking steps to mass-producing in Japan new power control units further hone our competitive edge in the new that offer more configuration options thanks to an sectors that are becoming a critical part of the even smaller and more lightweight design. These automotive industry̶thanks to advances in new power control units, along with a newly-de- electrification, autonomous/automated driving, veloped gateway unit that can be linked to a and connectivity. With this in mind, we have Towar the realiation of variety of onboard electronic control units and a decided to integrate our motorcycle and automo- new battery management system, are just some of tive powertrain businesses while transferring our a sustainable society the many Keihin products that are being installed air conditioning business. on the Honda Fit being sold in Japan. In fact, a At the same time, we’re further intensifying our great number of Keihin parts can be found on an ongoing global environmental conservation increasing variety of vehicles around the world. efforts by developing more products and engaging Toyota Industries also uses our gasoline vehicle in business activities designed to foster sustain- injectors on the Geneo forklifts that it sells in able growth and help create a brighter, greener Let me begin by thanking all of you for your Although it is difficult to know what lies ahead, North America, for example, and our condensers future for us all. We also continue to be actively tremendous support of Keihin’s activities day after Keihin is moving forward with initiatives to reduce for automotive heat exchangers are installed in involved in social action programs on a global day. our environmental impact on a global scale so that the Volkswagen Golf sold in Europe. scale. we may contribute to a more sustainable future We at Keihin are deeply saddened by the loss of and a greener earth for us all. In other business activities, we’ve been making This report provides a summary of our environ- life resulting from COVID-19, and offer our an ongoing effort to upgrade our compressor and mental activities. After reading through it, we condolences and wishes for a full recovery to all We have greatly reduced the amount of hazard- boiler equipment worldwide as well as review our hope you will share your thoughts on what we those who have been affected. We are also ous substances in emissions from our motorcycle operating schedules to improve energy efficiency. have accomplished so far and any ideas you may profoundly grateful to the efforts each of you has and general-purpose products, even as we contin- We’re using more renewable energy sources in have for how we can do better in the future. made to keep the novel coronavirus from spread- ue to expand our business operations. We also places like Japan and India while also limiting our ing. Keihin is doing everything it can now to safely have begun mass-producing new electronic fuel water consumption and using air chillers in an and flexibly respond to the situation, acting out of injection (FI) systems for small motorcycles attempt to bring our coolant usage to zero. We’re Respect for the Individual and in line with the Five (components designed to meet the strictest also working hard to reduce our environmental President and CEO Joys (part of the Keihin Philosophy) to prevent emissions standards in the world) in places like impact through the efficient use of other resourc- further spread and support economic recovery. India, Vietnam, and Indonesia. Because we have es; in Japan, for example, we’re reducing micro- been able to build the largest FI production Keiichi Aida

6 Keihin Environmental Report 2020 Keihin Environmental Report 2019 7 Keihin Philosophy ■

Keihin Philosophy

At the core of Keihin Corporation are two fundamental beliefs: Respect for Individuals and The Five Joys. Achieving our Corporate Principle Respect for Individuals is the idea that independent individuals, with a free way of thinking and conviction, can go forward together with mutual respect, a fair attitude, sincerity, and mutual trust. The Five Joys is the idea of sharing joy with society, customers, suppliers, shareholders, and ourselves. Achieving our 4 Corporate Keihin is determined to promote business activities that are grounded in these fundamental ideas and Fundamental and ■ Fundamental Beliefs Principle ■ Corporate Principle in the mission statement “Keihin will contribute to the future of mankind by the continuous creation of new value.” Keihin 1 unwavering principle ■ Guiding Policies Philosophy

Deﬁnes socially ■ Compliance Our Declaration of ■ Safety Conduct 2 acceptable conduct ■ Human Rights...

■ CSR policy Executed to achieve our ■ Corporate governance code Theme-speciﬁc strategic policies (added to the report this year on P26) corporate principle 3 ■ Environmental declaration Fundamental Beliefs ■ Health declaration... Things valued by those of us who work at Keihin

Respect for the Individual We are working to achieve our Corporate Principle through Conduct rooted in our Fundamental Beliefs Self-reliance / Fairness / Trust

The Five Joys Society / Customers / Suppliers / Shareholders / Ourselves CSR Policy

Through CSR activity, we will provide safe and environmentally friendly products through our business of mobility Corporate Principle component development and manufacturing to contribute to society. We will propose the "environment, safety, and The purpose for Keihin’s business activities persons who support them" as a key measure and carry out activities to garner empathy and trust from society.

We shall contribute to the future of mankind by the Environment continuous creation of new value. As a mobility system supplier, we will contribute to a recycling-ori- Sustainable social development ented society focusing on CO2 reduction to achieve our corporate principle. We actively pursue technology, product development, and Sustainable corporate growth built on increasing trust production activities to reduce environmental impact.

Guiding Policies Safety Value Creation (CSR policy) Things to be considered before acting for those who work at Keihin As a company that develops and manufactures mobility compo-

nents, Keihin's mission is to deliver safe and reliable products to Our CSR structure our customers. To support a safe automotive society we will Environment Safety Humanity We shall challenge ourselves to any matter with ambition and vitality continuously create designs that assure functional safety We shall give importance to theory, ideas and time and product quality. We shall respect sincere conduct and endeavors CSR fundamentals (corporate integrity/governance) Humanity - We believe the "new value" in our corporate principle is created by Risk Compliance Disclosure Management the individual. - Keihin's fundamental beliefs "The Five Joys" and "Respect for the We aim to realize the “Corporate Principle” by actions through Individual". It is the power of the individual that will realize our the “Guiding Policies” based on “Fundamental Beliefs”. corporate principle and create new value. To share our joy with our stakeholders, Keihin will continue to develop individuals based on our philosophy. Stakeholders

8 Keihin Environmental Report 2020 Keihin Environmental Report 2020 9 Mission, Target ■

Mission, Target

Fundamental stance Our contribution to the Sustainable Development Goals (SDGs)

Aiming for global environmental management The United Nations General Assembly issued 17 Sustainable Development Goals in September 2015, and the Keihin Group has responded by actively setting related environmental targets. Our goal is to earn even greater trust from our domestic To alleviate the environmental load and create a sustainable and overseas stakeholders as we work to contribute to a more sustainable world for all. society, we have carried out unified global environment Environmental Initiatives management and consistently thought and acted on what is best for the planet, the environment, society and communi- Keihin recognizes that environmental conservation by corporations is Our efforts to achieve the Sustainable Development Goals ties. strongly linked to maintaining a healthy global environment. In our efforts to create a low-carbon society and protect the As a responsible member of society, environment for years to come, we’re challenging ourselves Keihin will actively endeavor to reduce the environmental load through to reach zero CO2 emissions by FY2050. We’re also working all areas of our corporate activities in order to protect the global environment. to drastically reduce our water usage and waste disposal by 3.a 4.7 8.8 then as well. Ensure healthy lives and promote Ensure inclusive and equitable Promote sustained, inclusive and sustainable Additionally, we’ve committed to reduce our (sales-based) well-being for all at all ages quality education and promote lifelong economic growth, full and productive CO2 emissions by 1% each year through FY2030. learning opportunities for all employment and decent work for all Course of Action Strengthen the implementation of the WHO By 2030 ensure all learners acquire Protect labor rights and promote safe and Framework Convention on Tobacco Control in knowledge and skills needed to promote secure working environments for all workers, Environmental Initiatives that set our course all countries, as appropriate. sustainable development, including among including migrant workers, in particular others through education for sustainable women migrants, and those in precarious Keihin will strive to develop and supply products that are environmentally of action for environmental conservation ❶ development and sustainable lifestyles, employment. Until now, we have strived to develop environmental friendly, clean, and safe. human rights, gender equality, promotion of a load-reducing products and cut CO2 emissions and waste in culture of peace and non-violence, global ❷ Keihin will strive to recycle materials and conserve resources and energy citizenship, and appreciation of cultural our production bases. We have stated our ideas on at the development, production, distribution, procurement and sales diversity and of culture’s contribution to environmental conservation in the form of the Environmental stages of our business activities. sustainable development. Initiatives and set a course of action for individual employees to act with an awareness of their leading role. ❸ Keihin will, as a member of society, proactively try to find ways to sustain Based on the Environmental Initiatives, all Keihin employees the environment on a global scale. will work hard to undertake activities that will contribute to ❹ Keihin will, as a corporate citizen, endeavor to actively support and Keihin has been recognized as one of the Keihin has been granted Kurumin Certification the reduction of environmental loads and the establishment cooperate in environmental protection in the community and to earn the Health and Productivity Management by the Ministry of Health, Labour and Welfare, of a recycling-oriented society on a global scale. respect of society. Outstanding Organizations (White 500) for the recognizing it as a parenting-friendly third year in a row. Starting with the issuance Keihin offers both remote and on-site company. Kurumin Certification is awarded to of our Health Declaration in July 2017, we environmental education programs, including those companies that create a general have been engaged in a variety of an environmental class for children at employer action plan in line with the Act on health-related initiatives. In 2019 we focused elementary schools in Kakuda and Marumori, Advancement of Measures to Support Raising on education to promote health awareness, Miyagi Prefecture. In FY2019, we taught 243 Next-Generation Children and then both which included offering more frequent healthy children at seven schools about the achieve their goals and maintain a certain menu options and walking programs. importance of the environment. standard. Reduce our environmental footprint in FY2019 on a global scale

Our contribution to the Sustainable Development Goals (SDGs) Be a company that the world is even more proud of 6.1 By 2030, achieve universal and equitable access P18.26 13.3 Improve education, awareness-raising and P18 We’re actively engaging in social contribution activities the world over as we continue to develop parts and use production methods that are kinder to the environment. to safe and affordable drinking water for all human and institutional capacity on climate 6.6 By 2020, protect and restore water-related change mitigation, adaptation, impact reduction ecosystems, including mountains, forests, and early warning wetlands, rivers, aquifers and lakes P29-33 14.1 By 2025, prevent and signiﬁcantly reduce P20.25 Medium and Long-Term environmental targets marine pollution of all kinds, particularly from 7.2 By 2030, increase substantially the share of P18 land-based activities, including marine debris renewable energy in the global energy mix and nutrient pollution 7.3 By 2030, double the global rate of improvement By FY2050 in energy efﬁciency vs. FY2013 15.1 By 2020, ensure the conservation, restoration P29-33 and sustainable use of terrestrial and inland –1% per year FY2030 CO2 CO2 Towards zero Minimize Minimize freshwater ecosystems and their services, in emissions CO2 emissions waste disposal water usage 12.5 By 2030, substantially reduce waste generation P26-28 particular forests, wetlands, mountains and through prevention, reduction, recycling and drylands, in line with obligations under reuse international agreements Continue to reduce (sales-based) Work to achieve zero CO2 emissions by FY2050 15.2 By 2020, promote the implementation of CO2 emissions by 1% each year over FY2013 while minimizing both waste disposal 13.1 Strengthen resilience and adaptive capacity to P14 sustainable management of all types of forests, levels through FY2030 and water usage climate-related hazards and natural disasters in halt deforestation, restore degraded forests and all countries substantially increase afforestation and reforestation globally

10 Keihin Environmental Report 2020 Keihin Environmental Report 2020 11 Global Management ■

Global Management

Our environmental management framework and management cycle Environmental management system

At Keihin, we understand that environmental issues demanding global solutions, such as climate change, energy, and resources, are critical challenges As part of efforts stemming from our Environmental Declaration, Keihin is working to achieve ISO 14001 certification for its global environmental that impact the way we do business. That’s why we set up a Global Environmental Committee in 2014, attended by management and headed by the management system. We are identifying the environmental risks and opportunities that have impact on our business operations so that we may president of the company. The committee convened again in FY2018 to discuss environmental issues and roll out concrete solutions to each. sustainably develop our business and achieve our 2030 ideals as society evolves.

Keihin’s system and vision for environmental conservation are described below. ■ Status of acquisition of environmental management system certification (as of fiscal 2018) In order to accurately monitor domestic and overseas trends and implement industry top level environmental management on the basis of the environmental management system, Keihin has reviewed its system since fiscal 2014 and further reinforced its environmental management by Keihin is seeking ISO 14001 certification for its production and development centers as well as all of its domestic and overseas affiliates. A total of setting up a Global Environment Committee. 36 operations centers (14 in Japan and 22 overseas) have been certified so far. In addition, the certification acquisition process is ongoing at some This Global Environment Committee is made up of four regional subcommittees, the Japan Environment Subcommittee, Americas Environment of our overseas centers, including those in the Americas and Asia. Subcommittee, Asia Environment Subcommittee, and China Environment Subcommittee. They recognize that disclosing their activities and results is the correct attitude to take, and they will, as standard, disclose their results to society. Europe ISO 14001 2 locations China Americas ISO 14001 Japan ISO 14001 ISO 14001 Global Environment Committee 4 locations 5 locations Chair: President 14 locations Vice-chair: Executive ofﬁcer responsiblefor the environment Asia ISO 14001 36 locations 11 locations Secretariat certiﬁed worldwide

Japan Americas Asia China Environment Subcommittee Environment Subcommittee Environment Subcommittee Environment Subcommittee

• GHG Subcommittee • GHG Subcommittee • GHG Subcommittee • GHG Subcommittee • Environment ISO • Environment ISO Subcommittee • Environment ISO Subcommittee • Environment ISO Subcommittee ■ Environmental policy (Japan) ■ Environmental auditing Subcommittee • Product Environment An environmental audit is conducted by an external examination Subcommittee • Product Environment Subcommittee • Environmental Accounting Conducted around the Japan Environment Subcommittee body annually. In this external audit, minor nonconformities and • Environmental Accounting Subcommittee Subcommittee Environmental Policy cases to be put under observation have been pointed out, but all have been fully corrected. Internal audits are also carried out in a Basic Policy similar manner. Our internal auditors improve their audit skills by

As a responsible member of society, we recognize the importance of actively striving to protect the global environment in the development and production of critical automotive components through a commitment to regularly attending an annual seminar, and we are also working producing eco-friendly products. Every one of our employees is carrying out activities that contribute to reducing environmental impact and building recycling-oriented societies across the globe in line with the tirelessly to improve the quality of our internal audits overall. Global Environment Committee Environmental Declaration that we have set forth to guide our environmental conservation eﬀorts. We are dedicated to making ongoing improvements in our environmental management systems in line with this In order to win the confidence of society, the Global Environment Committee manages and promotes environmental activities to environmental policy as a means of continually taking our environmental performance to the next level.

try and reduce the global environmental load, and discloses information to society through environmental reports etc. External examination body Action Guidelines Environmental management system 1. We follow all national and local laws as well as any additional requirements in setting voluntary management targets in an effort to continually strengthen environmental conservation. Internal and Stakeholder needs and 2. We carefully consider the environmental impact of our business activities, taking special care to address the external issues expectations ●GHG (Greenhouse Gas) Subcommittee ●Environmental ISO Subcommittee following critical environmental management issues. 1) Taking measures to prevent fires, leaks, or other incidents involving dangerous or hazardous substances that could adversely impact the environment. This subcommittee assesses the actual situation with raw In addition to community contribution activities, this subcommittee 2) Taking steps to conserve energy to stop global warming. 3) Taking the 3R approach (reduce, reuse, recycle) to industrial waste. Plan materials, energy consumption, chemical substances, waste, etc., is also engaged in activities to reduce the environmental load in 4) Cutting back on our resource usage and managing operations to ensure sustainability. 5) Striving to develop and provide safe, green products designed with environmental friendliness in mind. as they relate to manufacture and development, thereby reducing manufacturing processes in order to improve, maintain, continue, 3. We actively support and cooperate with environmental conservation efforts to protect biodiversity, substances of concern, including CO2 emissions. and upgrade the environmental management system. ecosystems, and the like. 4. We provide environmental education to ensure that every Keihin employee is fully versed in our Improve Leadership Support and environmental policy. execute

5. We formulate goals, action plans, and targets to ensure the successful implementation of our environmental ●Environmental Accounting Subcommittee ●Product Environment Subcommittee policy, reviewing and/or altering our course as needed. 6. We maintain close and open communication with the public by releasing information on our environmental Evaluate This subcommittee works to win the confidence of society by In response to the changing environmental needs of the world, activities whenever appropriate. performance calculating and clarifying the environmental costs required for this subcommittee promotes the development of environmentally April 1, 2016 environmental conservation and improvements and by disclosing friendly products and works to reduce the environmental load Genichiro Konno Managing Oﬃcer and Representative Director environmental information to society. through resource and energy saving. Keihin Corporation

Internal environmental auditors

12 Keihin Environmental Report 2020 Keihin Environmental Report 2020 13 Global Management ■

See P10 for detailed Risk Management SDG contributions Environmental Accounting

■ Environmental risk measures in risk management ■ Environmental Accounting

◆Basic risk management policy (Millions of yen) FY2017 FY2018 FY2019 The basic policy of the Keihin Group is to put plans in place to prevent possible risks from Risk Management

materializing in our business activities, and if these situations should occur, work to minimize Amount Amount Amount Category Main endeavors invested Cost invested Cost invested Cost damage to our employees and our company so that our operations can continue. Finding out risks

Prevention at ordinary times Prevention at ordinary Pollution control cost Prevention of air pollution, water contamination, soil pollution, etc. 30 22 73 46 58 25 ◆Status of global measures Evaluation of risks Cost within Global environmental The Keihin Group has identified 43 risk items that could significantly impact our business areas conservation cost Activities for global warming prevention, ozone layer protection, etc. 180 10 671 25 466 24 business activities, and has included activities that acknowledge the risk that climate Prioritizing risks Treatment, disposal, reduction, recycling, resourcing, and proper handling of Resource recycling cost waste 10 81 4 104 3 93 change poses to our operations as well. Recycling and recovery of raw materials for manufacture, use of recycled Setting a goal of risk management Upstream/downstream cost materials 0 32 0 49 0 57 ◆Environmental relevance Environmental management operation man-hours, operation of environmental Management activity cost 0 78 0 96 0 90 The various risks arising from our global environmental challenges certainly include Drawing up risk management program management system, environmental education for employees Environmental measures for products, research & development and design for Research & development cost 970 7,744 822 9,085 489 9,281 disasters stemming from abnormal weather and environmental pollution, but there are reducing environmental load Monitoring other risks in the form of unexpected overseas legislation or regulatory changes as well. Social activity cost Clean activities, environmental learning “on demand,” nature protection activities 0 1 0 10 0 55 At Keihin, we are taking steps to prevent these from materializing at any of our operation Environmental damage response cost Soil survey, contamination levy 0 1 0 0 0 1 crisis occurs centers, domestic or overseas, and/or mitigating damages should they occur to ensure Total 1,190 7,968 1,570 9,415 1,016 9,626 that business can continue unhindered. Emergency Response ◆Future expansion and priority areas Establishment of a crisis response organization The Keihin Group has issued a Zero At-fault Risk target as part of its mid-term strategy Information Management ■ Volume generated or consumed and is enforcing its Emergency Control Regulations*4 worldwide to serve as a fully established set of standardized guidelines for risk management. In terms of specific risk Restoration activities (BCP) Class Unit Segment FY2017 FY2018 FY2019 countermeasures, we have clearly defined the entire process of problem identification, Manufacturing 39,938 41,781 39,925 from risk analysis through prevention, training, and testing. Since people are the most Segment Development Segment 7,443 7,887 8,252 critical element in this process, we also continue to enhance our risk management CO2 emissions t-CO2 education strategies to further develop our members’ sensitivity to risk as well as their ability Other Segments*5 157 153 25 to think and act independently to prevent it. Company total 47,538 49,821 48,202

*4.The Keihin Emergency Control Regulations are available in Japanese, English, Chinese and Thai. Manufacturing Segment 1,336 1,095 969

Development Segment 44 57 60 Water resource consumption 1,000 m3 ( daytime nighttime/holidays) ■ Dealing with emergencies ■ Emergency Response Flowchart Other Segments*5 8 9 1

Company total 1,388 1,162 1,030 At Keihin, each base and department formulates a Manufacturing procedure or system for preventing and reducing Relevant local Segment 978 1,293 1,239 government organization contamination, which is intended to minimize the Development Segment 46 68 61 Report Volume of waste generated Tons environmental load, in addition to observing the Direction/Action Other Segments*5 5 5 1 emissions standards required by laws and regulations Top management Company total 1,024 1,366 1,300 so that we can properly prevent and deal with Report Volume of recyclables generated Tons Company total 1,749 2,868 975 accidents. We regularly conduct emergency response Direction/Action Environmental Control Manager Volume/transfer*6 of specific chemical substances Tons Company total 18 20 21 drills for possible accidents with environmental Report *5. Administration segment (head office, sales office, welfare facility) *6. Substances subject to notification under PRTR Act equipment in preparation for emergencies. In the Direction/Action case of an accident that adversely affects the area Primary Main Departmental Manager Report outside of a plant or a situation that deviates from a 1 This report was compiled according to the Environmental Accounting Guidelines and Guidebook published by the Ministry of the Environment. Status report Status regulatory value, we follow the Emergency Response report Facilities 2 This report does not include depreciation costs or electric power charges for environmental facilities. Person on duty Security Room control Flowchart to minimize its effects on the environment. (nighttime/holidays) department 3 The following are included in the abovementioned accounting. Companies subject to accounting Status ■ Status report report Keihin Corporation / Keihin Manufacturing Corporation / Keihin Nasu Corporation / Discoverer Relief measures Keihin Electronics Technology Inc. / Keihin Valve Corp. / Keihin Thermal Technology Corporation Request Period covered: April 1, 2019 – March 31, 2020 for action ■ Accident On-site conﬁrmation Subcontractor

14 Keihin Environmental Report 2020 Keihin Environmental Report 2020 15 Action ■ Results ■

Action Results

Region-speciﬁc data Operational CO2 reductions in FY2019 (per-sales indicators)

In FY2019, we achieved a 4.5% reduction in our basic unit of CO2 emissions*7 against FY2013 levels, falling short of our 6% target. apan Americas asicunit indicator 10 Our basic unit is increasing for several reasons. In our motorcycle business, we 6% reduction built the world’s largest fuel injection system supply system, capable of producing 100 2 some ten million units annually, and began mass production in an effort to help CO2 emissions ton CO2 emissions ton 100 48.2 69.8 reduce air pollution in India. In our automotive business, we began mass production of our new power control units in Japan and underwent preparations to Waste disposal 1.2 ton Waste disposal 2.1 ton 0 meet the growing demand for electric vehicles on a global scale. 201 201 201 201 （F） Going forward, we will strive to meet our FY2020 basic unit target. Water usage 1,030.2 m3 Water usage 157.5 m3 * he basic unit is calculated by dividing 2 emissions by sales. F201 levels are set at 100.

Asia hina See P10 for detailed FY2019 initiatives and results SDG contributions

CO2 emissions 97.0 ton CO2 emissions 52.7 ton In addition to moving forward with the development of eco-friendly mobility solutions, we have been working to reduce our environmental impact across all of our business operations, from production and purchasing to logistics. We’re reducing our CO2 emissions in Waste disposal 6.5 ton Waste disposal 2.3 ton production by about 5,200 tons as we also work to mitigate our environmental impact on a global scale by cutting back on the amount of waste we generate and the amount of water we consume. Water usage 596.5 m3 Water usage 216.6 m3 Key reductions

Better compressor schedule management Installation of more air tanks to reduce operational load urope during weekends and downtime (US) on compressors (Thailand) Reduction: 324 tons of CO2/year Reduction: 99 tons of CO2/year

CO2 emissions ton Improved casting fuels by replacing Upgraded to high-efﬁciency chiller units (Thailand) 12.1 LPG/diesel with natural gas (India) Reduction: 66 tons of CO2/year Reduction: 75 tons of CO2/year Waste disposal 0.1 ton

Water usage m3 Note: Our environmental data is provided on P36-47 (see the link) More efﬁcient air conditioner operation 26.3 Upgraded to inverter compressors (China) (Indonesia) Reduction: 180 tons of CO2/year Reduction: 62 tons of CO2/year

Limiting water consumption Using more renewable energy sources Environmental impact ratios by region

We consider global water shortages a critical risk to corporate As a result of our continued efforts to expand the use of activity, and continue to make every effort to reuse plant renewable energy sources during FY2019, we generated 2,489 CO2 emissions Waste disposal Water usage wastewater—in toilets and landscaping, for example. In FY2019 MwH/year of power last year. That’s equivalent to 566 we converted our indoor heat source at our INJ No. 2 plant in households, using the average Japanese household consump- Europe Europe 1 Europe 1 Japan from LPG coolant to an air chiller, bringing our coolant tion of 4.4 Mwh per year. We will continue moving forward with

water consumption to these efforts as we strive to apan apan hina 1 hina 10 11 zero. We will continue do our part to combat global hina 1 our dedicated efforts to warming. 1 Americas Coolant reduction 1 help solve water issues. (INJ No. 2 plant) We installed more solar panels in India, 2 emissions aste disposal ater usage apan Asia Reduction: 2,160m3 Brazil, and at our INJ No. 2 plant in Japan 20000tco2 Americas 12000t 202000m 1 of water/year 2 2 Added solar panels rated for 0.013 Mwh Electricity reduction: 9.88 Mwh/year (planned) Asia Asia CO2 reduction: 12 tons/year (planned) Americas

16 Keihin Environmental Report 2020 Keihin Environmental Report 2020 17 Manufacturing ■

See P10 for detailed Manufacturing Energy and resource saving SDG contributions Having established a long-term vision for the manufacturing segment, Keihin is addressing environmental load reduction in the form of energy and resource saving. Material flow in Japan ■ CO2 emissions and basic unit index ■ Energy usage ratio

We managed to slightly reduce our CO2 emissions during the last In an effort to reduce CO2, Keihin is continuing to replace other fuel fiscal year. The FY2019 basic unit index is down (improved) 21% sources with electricity, which emits less CO2. INPUT over FY2013 levels. CO2 emissions and basic unit index Energy usage ratio by type

Input of resources FY2015 FY2016 FY2017 FY2018 FY2019 CO2 emissions (1,000 tons) Basic unit index (%) 100 ＊8 ●Input volume of energy 610,822 GJ 50 89 100 100 80 81 79 84 78 78 79 81 ●Input volume of water resources 133,000 m3 40 80 80

30 60 60 ●Input volume of materials 3,653 ton 25.9 24.3 25.8 25.6 25.3

20 40 40 ●Input volume of chemical substances (PRTR*9-regulated substance) 14.9 ton

10 20 20 13 16 15 14 11 9 6 5 5 5 0 0（%） (%) 0 (1,000 tons) 2013 2016 2017 2018 2019 (FY) Electric power LPG Heavy oil A

Note: The basic unit is expressed as an index that sets FY2008 values at 100

Business activities (Manufacture Assembly) ■ Water resource consumption Examples of CO2 reduction We reduced our water consumption by 8.8% over the previous fiscal Construction of a system to monitor and control suspended year, resulting in an improvement of 53% over FY2013 levels. We compressor operations also lowered our basic unit index by 62% from FY2013 levels.

Water resource consumption and basic unit index

Groundwater Tap water Basic unit index (%) 100 500 100

CO2 reduction effect: 36t-co2/year Cost effect: 1.6million yen/year 375 75 Motorcycle & Power Product / INJ Factory1 53 48 43 250 95 38 50

Improved (high-efficiency) fan motors on 48 125 53 41 25 air conditioner blowers 191 37 105 124 106 97 0 （0 %） (1,000 m3) 2013 2016 2017 2018 2019 (FY) OUTPUT Note: The basic unit is expressed as an index that sets FY2008 values at 100

●Volume of CO2 emissions 25,000 ton Amount and percentage of reused water CO2 reduction effect: 11.7t-co2/year 3 ●Displacement of water 81,000 m Cost effect: 0.5million yen/year eused ater (1000 m) Percentage reused Motorcycle & Power Product / INJ Factory1 ●Volume of chemical substances (PRTR*9-regulated substances) discharged 12 12 9.1 9.9 9.9 10.0 10.4 10 Discharged into air 4 ton 10 Improved air conditioning methods 7.7 8 6.8 8 (switch from absorption to heat pumps) 6.7 6.3 Discharged into water 0 ton 5.8 6 6 Moved out of business facility concerned 5.5 ton 4 4 ●Total volume of waste discharged 569 ton 2 2

●Volume of waste subjected to final disposal (landfill) 0 ton 0 （0 %） (1,000 m3) 201 201 201 201 201 （F）

CO2 reduction effect: 53t-co2/year Water is reused in toilets and production facilities. We are also effectively *8. GJ: Unit of calorific value. The figure is the aggregate of all usage amounts converted into calorific values. Cost effect: 2.3million yen/year *9. PRTR (Pollutant Release and Transfer Register) The Act on Confirmation, etc. of Release Amounts of Specific Chemical Substances in the Environment and Miyagi Office/Kakuda Research & Development Center utilizing rainwater by supplying it to our production lines for cooling. Promotion of Improvements to the Management Thereof

18 Keihin Environmental Report 2020 Keihin Environmental Report 2020 19 Manufacturing ■ Development ■

See P10 for detailed Zero emissions / Effective use of resources SDG contributions Development Keihin is working to drastically reduce its environmental impact by 2050 as we actively roll out effective resource usage strategies to promote ideal circular economies. At Keihin, we’re helping the environment by developing electronic fuel injection systems with some of the best environmental performance in ■ Reducing microplastics ■ Effective resource usage strategies the world, while greatly reducing the amount of hazardous substances in emissions exhausted from our products.

We’ve eliminated plastic spoons from our employee cafeterias and We’re making efficient use of our resources as early as the resource switched to reusable or paper spoons. procurement stage with efforts to properly collect and dispose of Motorcycle and Power products used products. -Miyagi area: Switched to paper spoons

-Tochigi area: Switched to reusable spoons Amount External Valuable Unit: ton generated disposal waste Waste plastics 462.2 127.5 334.7 Eliminating plastic spoons FY2019 Waste oil 134.4 14.7 119.6 ➡88kg (30,200 spoons) per year (planned) New electronic fuel injection systems for small motorcycles help manufactures meet strict emissions standards Waste paper 144.4 48.2 96.2 Total 740.9 190.4 550.5

Valuable waste (tons)

Waste plastics Waste oil Waste paper Plastic spoons Plastic spoons 600 Injector Throttle body Electronic control unit Fuel pump module Injector Throttle body Electronic control unit 96.4 96.2

400 120.4 119.6

95.9 106.2 200 94.5 Reusable spoons Paper spoons 131.3 111.9 333.4 334.7 88.4

75.1 89.3 100.6 (ton)0 201 201 201 201 201 (FY)

■ Reduction of waste ■ Chemical substance release and transfer Honda Activa110 Honeda Genio

We are promoting 3R initiatives to reduce waste. We’ve cut back on our use of chemical substances by 77% versus *3Rs = Reduce, Reuse, Recycle FY2007 levels. Electronic fuel injection system for large motorcycles Electronic fuel injection systems for outboard motors FY2013 FY2019 Reduction Rate FY2007 FY2019 Reduction Rate 905ton 569ton 37% 39ton 9ton 77%

Volume of waste disposed of and basic unit index PRTR substance release and transfer, and basic unit index

Waste yield (tons) Basic unit index (%) 100 Release amount (tons) Basic unit index (%) Electronic control unit Electronic control unit 2000 100 100 50 100 for remote control Throttle body Electronic control unit

1500 75 40 80 39 1 30 60 1000 0 50 2 0 20 40 26 500 25 26 25 23 23 Injector Electronic control throttle body 10 20 10 9 10 9 9 (ton)0 0(%) 2013 2015 2016 2017 2018 2019 (FY) （ton）0 0（%） 2007 2015 2016 2017 2018 2019 (FY)

Note: The basic unit is expressed as an index that sets FY2013 values at 100 Note: The basic unit is expressed as an index that sets FY2000 values at 100 PRTR (Pollutant Release Transfer Register) The Act on Confirmation, etc. of Release Amounts of Specific Chemical Substances in the Environment and Promotion of Spool valve Active control Improvements to the Management Thereof engine mount solenoid

Honda CRF1100L Africa Twin Adventure Sports ES Honda BF250

20 Keihin Environmental Report 2020 Keihin Environmental Report 2020 21 Development ■

Automotive Products

■ Products for Hybrid vehicles ■ Air conditioning products

The Honda Fit e:HEV hybrid sold in Japan is installed with numerous Keihin products, among them our new compact, high-efficiency power control Keihin condensers are installed as heat exchangers in the Honda Fit sold in Japan and the Volkswagen Golf sold in Europe. unit, a newly-developed gateway unit that makes it possible to link various onboard components to the electronic control unit, and a new battery management system.

Advantages of new power control unit Advantages of new condensers

・ High-performance intelligent power module that combines a current sensor and motor ・ High performance with a compact, lightweight design ECU ・ Improves fuel efficiency and reduces CO2 emissions ・ RC-IGBT that combines the diode and IGBT in a single unit ・ Helps save space in the engine compartment ・ Newly developed controller with a more compact voltage control unit ・ Onboard DC-DC converter helps maximize cabin space Condenser for Honda FIT New Power Control Unit

Advantages of newly-developed gateway unit

・ Installed with sixteen-channel CAN communications (the most in the world) ・ Compatible with all internal and external signals ・ Internal signal management features use AUTOSAR software ・ Screw-free housing structure results in a smaller, lighter unit Condenser for Volkswagen GOLF

Newly-developed gateway unit

■ Products for natural gas vehicles

Our gasoline fuel injectors are installed on the Geneo forklifts that Toyota Industries sells in North America. Battery management system Electronic control unit

Electronic control throttle body Injector (Pipe assy)

Honda FIT e:HEV

Injector for natural gas vehicles

Intake manifold Spool valve Toyota Industries Corporation Forklift GENEO

22 Keihin Environmental Report 2020 Keihin Environmental Report 2020 23 Purchasing ■ Transport ■

Purchasing Transport

See P10 for detailed Our efforts to reduce environmental impact Commitment to the environment in the transport segment SDG contributions

Keihin cannot provide its customers with quality products and services quickly and reliably without establishing a supply chain that spans all In the transport sector, Keihin is rolling out global logistics initiatives that link its overseas production centers and domestic plants, selecting of its global suppliers and takes the environment into account. Given how dependent our business is on supplier operations, it is critical that optimized transport routes in an effort to protect the environment. In FY2019, we successfully reduced our CO2 emissions by working with every part of the supply chain—suppliers included—works to reduce environmental impact. The standards set forth in our Green Purchasing transport partners to improve load efficiency, responding to client requests for better packaging of sub-assembly components, and creating Guidelines are designed to do just that. standardized containers to reduce the number of shipments.

Basic approach to procurement Environmental action surveys ■ Improved loads 1.Open and fair procurement Keihin has been asking its suppliers to complete environmental • In the procurement of parts, materials, and equipment, Keihin action questionnaires since FY2014, and will continue to carry out We added stacking racks to reduce the number of shipments and lower CO2 emissions. brings fairness and equality to its procurement activities with additional environmental activities. suppliers, whether in Japan or abroad. We increased load efficiency by installing special Biodiversity survey results Implemented Conventional loading method Improved method 2.Mutual development based on mutual trust with business partners Status of efforts Not yet implemented racks in line with the start of mass production of • We engage in activities that bring joy to both Keihin and our business 1. Environmental load reduction activities 84 0 new product models in February 2020 partners by striving for mutual prosperity through joint creativity. 2. Social contribution activities 33 51 Reduction in CO2 emissions resulting from fewer shipments • We work towards ongoing, open business transactions and vision- 3. Community environmental activities 38 46 Start Number of shipments CO2 reduction driven communication as we continue to build relationships of 4. Environmental education activities 29 55 Stacks are limited by the need to protect products 50% increase in load efficiency (February 2020) Miyagi ↔ Suzuka 41 52.04 tons of CO2 mutual trust. 5. Information sharing 40 44 3.Promoting CSR 0 87 • We work with our business partners to create a more sustainable Reducing greenhouse gas emissions Reduction in CO2 emissions resulting from fewer Conventional loading method Improved method shipments world as we demonstrate our corporate social responsibility. As part of our efforts to reduce greenhouse gas emissions, we Annual 4.Promoting green purchasing have been working in conjunction with our suppliers since 2010 to (244 shipments) Number of shipments CO2 reduction Suzuka Oita Equivalent to 30 39.46 tons of CO2 • We look for eco-friendly manufacturing processes and encourage survey CO2 emissions. We conducted a detailed review of the scope ↔ green purchasing so that we can provide our customers with of these surveys in FY2019, which resulted in revisions to our CO2

cleaner, safer products. emissions figures. We also had our overseas suppliers conduct Load efficiency increased by adjusting the way the 12% increase in load efficiency load is brought in, reducing the number of shipments 5.Legal compliance surveys as well, with 60% (inclusion rate based on purchasing • Our procurement activities conform to the laws and regulations in amount) managing their CO2 output in FY2019. Going forward, we each country and region as well as to environmental laws. will continue working to track emissions throughout more of our supply chain. Reducing microplastics ■ CO2 emissions in product transport (domestic business) Formulating guidelines ■

In line with our green procurement policy, we select the optimal CO2 emissions at suppliers Improved packaging material technology 100 CO2 emissions (tons) Basic unit index (%) 5,000 100 suppliers for our parts and raw materials by reviewing the way they We cover containers in stretch wrap to keep them from being Japan Overseas approach QCDDE, human rights, labor, safety, compliance, risk, data crushed during shipping. By switching to a stronger, thinner 600 81 3916.2 security, and other critical aspects of business operations. packaging material, we’ve been able to reduce waste. 4,000 76 80 375 72 71 71 ■ Promoting CSR…………………Supplier CSR Guidelines(PDF) 400 315 Reduced stretch wrap use in packaging Switch from 15µ to 14µ specifications ■ Promoting green purchasing…Green Purchasing Guidelines(PDF) 226 237 3,000 60 213 Reduced by 89 kg (1.85 kg x 48 rolls) 2,492 2,520 2,495 200 2,315 2,278 Product approach to the environment 2,000 40 For our new products, we perform advance investigations into the Reduced stretch wrap used to prevent empty containers from 81 67 60 60 59 chemical substances contained in everything we purchase from 0 (x1,000 tons) 2013 2016 2017 2018 2019 (FY) being crushed during shipping suppliers. We regularly revise the Keihin Chemical Substance 1,000 20 Management Standards in accordance with the latest REACH and other environmental regulations and manage environmentally Percentage of CO2 emissions by supplier in 2019 (529 companies) （ton）0 0 % 2004 2015 2016 2017 2018 2019 (FY) （） harmful substances accordingly. Scope 1: Direct emissions from business 6% ■ 17,000 tons activities *Index sets FY2004 at 100 25% ■Scope2: Indirect emissions from the use of *CO2 emissions are calculated using the fuel consumption method in accordance with the Promoting business continuity plans for suppliers and others 68,000 tons energy Fuels Act. Keihin identifies the risks that could have a major impact on our ■Scope3: Other indirect emissions *We are working to reduce FY2019 CO2 emissions and the basic unit index by 29% against 69% Items in categories 4 and 9 of Scope 3 FY2004 levels. 187,000 tons business operations and then takes steps to prevent them and/or only (CO2 emissions from upstream and Stretch wrap Switch to Pallemagic® bands keep them from escalating. A key part of these efforts is formulating downstream transport) are categorized as seen from the supplier side. Reduced by 542.4 kg a business continuity plan (BCP), encouraging suppliers to form 欧州 1% (equivalent to wrapping 7,330 pallets) them as well, and rolling them out to overseas production centers.

24 Keihin Environmental Report 2020 Keihin Environmental Report 2020 25 Governance ■

Governance

■ Basic concept on corporate governance ■ Corporate governance framework 2.Status of the development and operation of internal control measures in place for every risk item by setting up a unit systems dedicated to supervising risk control for the entire Group Based on the fundamental beliefs of the Keihin Philosophy, Keihin 1.Overview (1) Development status of internal control systems and a Liaison Committee on Group Risk while strengthening aims to realize its corporate principle, “Keihin will contribute to the Board of Directors Having established the basic policy for the following items, Keihin the risk control structure, which includes measures to future of mankind by the continuous creation of new value,” through The Board of Directors, which is made up of eleven directors is working on developing internal control systems. improve crisis management and respond promptly to major the sharing of joy with society, customers, suppliers, shareholders (including two independent directors), is tasked with decision- (a)Structure to ensure that directors and associates perform disasters. and ourselves. making on legal requirements and important business matters, as their functions and duties in compliance with laws and For us to continue being a company that can earn the understanding well as with supervising the execution of business. The introduction regulations and Keihin’s Articles of Incorporation (d)Structure to ensure efficient execution of director and trust of our stakeholders, as well as to achieve sustainable of a corporate officer structure also allows for a separation of Having established Compliance Rules, Keihin appoints functions and duties growth and raise corporate value over the longer term, we believe supervisory and executive roles, thereby giving the Board of a director or operating officer (hereinafter referred to as Keihin has established a corporate officer structure as a that making an effort to enhance corporate governance is one of our Directors a greater degree of flexibility. a “director”) to the post of compliance officer to play a means to reinforce its director system, with the purpose top management priorities. leading role in promoting the compliance activities of the of expanding business globally and addressing changes Board of Corporate Auditors Keihin Group. With respect to corporate ethics, Keihin in the operating environment, thereby allowing the Board Basic policy The Board of Corporate Auditors is comprised of three audit and has established the Corporate Ethics Improvement and of Directors to concentrate on decision-making and Our initiatives, rooted in our basic approach, are as follows. supervisory Comments Desk, which functions as point of contact for supervising operations while giving it a greater The Board of Directors consists of internal directors with extensive board members, including two independent members. Each board suggestions and notifications on issues from in-house degree of flexibility. Rooted in the Keihin Philosophy, the experience in the automotive and motorcycle industry, as well as member is assigned to examine the performance of directors in sources and suppliers. Keihin has also reinforced its company organization is structured with a headquarters independent directors with a wealth of experience and high-level executing business operations by attending Board of Directors’ compliance structure, including the management of risks established for each region, business, and function, insight, who provide a neutral and objective perspective. The Board meetings and providing comments, investigating the status of attributable to compliance issues, by taking measures such and with subsidiaries placed under the umbrella of their of Directors makes important decisions regarding management operations and assets in accordance with corporate audit policies as integrating legal and control functions, and strengthening respective headquarters. policies and other management matters, maintains and enhances and methods, and allocating duties specified by the Board of the Group’s business foundations through the Global Legal Under this framework, directors and operating officers our internal control systems, and supervises the executive team and Corporate Auditors. Affairs Liaison Committee. (collectively, “assigned directors”) are appointed to key directors. posts in key businesses and in operational headquarters and Keihin also has a Board of Corporate Auditors, which includes Appointment of director and auditor candidates (b)Structure for storing and managing information on the divisions. Keihin also maintains highly effective and efficient independent audit and supervisory board members. Members of A candidate for director is decided by a resolution of the Board of execution of directors’ duties corporate structures, wherein business activities are capably the Board of Corporate Auditors possess a wealth of experience and Directors, while taking into account the opinions of independent Keihin stores and manages documents that contain and appropriately executed, including the implementation of high-level insight, and their broad and professional perspectives directors. Candidates for the Board of Corporate Auditors are elected information on the execution of directors’ duties in the Medium-Term Business Plan and the Annual Business are useful in supervising and auditing the execution of business with the consent of existing Board of Corporate Auditors members accordance with the Document Management Rules. These Plan. Among these structures is the Management Council, activities and directors’ responsibilities in an independent and followed by a resolution of the Board of Directors. include minutes from Board of Directors meetings, materials a body that discusses important management topics within impartial way. and meeting minutes from Management Council meetings, the scope of authority delegated by the Board of Directors, We have also been able to separate supervisory and executive roles Business administration framework and approval documents. as well as providing opportunities for issues to be explored with the introduction of a corporate officer structure. Through this Keihin has established a corporate officer structure as a means in a discussion setting, attended by assigned directors. system, we build and work on a sound, transparent and effective to reinforce its director system, with the purpose of expanding (c)Rules on managing the risk of loss and other structures corporate governance structure to serve our shareholders by business globally and addressing changes in the operating Having established the Risk Management Rules, Keihin achieving sustainable growth and improving our corporate value environment, thereby allowing the Board of Directors to concentrate appoints a director to the post of risk management officer from a longer-term perspective, which includes swift and efficient on decision-making and supervising operations while giving it a to play a leading role in promoting the risk management decision-making. greater degree of flexibility. Rooted in the Keihin Philosophy, the initiatives of the Keihin Group. The company puts preventive In addition, in order to ensure an appropriate understanding of the company organization is structured with a headquarters established company, we endeavor to disclose a wide range of information for each region, business, and function, and with subsidiaries placed ■ Corporate governance framework that includes management information as well as CSR reports and under the umbrella of their respective headquarters. other non-financial information to our shareholders, investors, and Under this framework, directors and operating officers (collectively, other stakeholders in a swift, accurate and fair manner. We are also “assigned directors”) are appointed to key posts in key businesses General Meeting of Shareholders creating frameworks for constructive dialog with shareholders and and in operational headquarters and divisions. Keihin also maintains investors, as well as an appropriate environment to support the highly effective and efficient corporate structures, wherein business Board of Corporate Auditors Board of Directors External Auditors equality of shareholders and the exercise of rights. activities are capably and appropriately executed, including the Based on this policy, we have established our Declaration of implementation of the Medium-Term Business Plan and the Annual Corporate Auditors’ Office Conduct, which specifies our code of conduct for matters such as Business Plan. Among these structures is the Management Council, Risk Management Officer Compliance Officer compliance, environmental conservation, and communication with a body that discusses important management topics within the Corporate Ethics Improvement society. This declaration is shared by everyone within the Group and scope of authority delegated by the Board of Directors, as well as Risk Management Office Corporate Governance Office and Comments Desk in our offices around the world, and we continuously strive to elicit a providing opportunities for issues to be explored in a discussion Liaison Committee on Global Legal Affairs deeper sense of trust from our shareholders and other stakeholders. setting, attended by assigned directors. Group Risk Liaison Committee

Management Council Please view our Declaration of Conduct on Keihin’s website. https://www.keihin-corp.co.jp/company/declaration.html

Business Air Conditioning Production Business Business Production Quality Assurance Design Review Corporate Continuity Americas Asia China Management & Business R&D Operations Engineering Administration Audit Office Sales Operations Operations Operations Operations Operations Office Operations Planning Office Management Operations Operations Operations Office

Subsidiaries Subsidiaries Subsidiaries Subsidiaries Subsidiaries Subsidiaries Subsidiaries

26 Keihin Environmental Report 2020 Keihin Environmental Report 2020 27 Governance ■

(e)Structure to ensure appropriate operations in corporate (i)Matters concerning policies on procedures for the ■ Independent directors and auditors • Yuichiro Mori possesses considerable insight in specialized groups made up of Keihin and its subsidiaries (including prepayment or reimbursement of expenses incurred in the fields as a result of his work as a lawyer both in Japan and a framework to allow subsidiaries to report to Keihin on execution of duties by members of the Board of Corporate Keihin has two independent directors and two independent overseas, and from his career as an independent officer at other their directors’ performance of duties) Auditors and the handling of other expenses or liabilities members of the Board of Corporate Auditors, and there are no companies. Keihin judged Mr. Mori capable of appropriately Having established the Declaration of Conduct as the incurred in the course of their duties conflicts of interest between the company and these individuals. performing the functions and duties of an independent member universal Standards of Conduct for the Keihin Group, we are When a member of the Board of Corporate Auditors The independent directors are Kohtaro Yamamoto and Chiaki of the Keihin Board of Corporate Auditors from a neutral and stepping up compliance and risk management activities by requests that the company prepay or otherwise cover Tsuji, and the independent members of the Board of Corporate objective viewpoint, based on his wealth of experience and sound verifying their status based on checklists developed for each expenses associated with the execution of their duties, such Auditors are Takayoshi Uchida and Yuichiro Mori. judgment. organization and subsidiary, and then reporting the results expenses or liabilities are handled promptly unless such The independent directors are charged with carrying out to the Keihin Board of Directors. expenses or liabilities are proven to be unnecessary in the management decisions and supervising from a neutral and In addition, the Audit Office, an independent audit body, performance of those duties. objective viewpoint based on their wealth of experience and verifies the execution of operations through internal audits. high-level insights, while the independent members of the Board In general, Keihin appoints directors and associates to posts (2) Status of operation of internal control systems of Corporate Auditors are charged with performing audits in a at its subsidiaries as directors, while requiring subsidiaries The status of our operations, based on the development neutral and objective manner based on their extensive experience to obtain prior company approval or deliver a subsequent of internal control systems for the current fiscal year, is as and excellent judgment from both broad-ranging and specialized report to the company with regard to important matters. follows. viewpoints. Based on our Declaration of Conduct, which is shared by the Keihin requires its independent directors and auditors to meet (f)Matters related to associates when members of the Board Group in order to ensure appropriate business operations, the standards of independence set forth by the Tokyo Stock of Corporate request their assistance; and matters related Keihin has worked on developing a variety of regulations Exchange, and notifies the Tokyo Stock Exchange pursuant to to ensuring that such associates remain independent from regarding decision-making and business administration those standards. directors and are able to effectively carry out their assigned while engaging in proper operations. duties With regard to compliance and risk management, Keihin Independent directors Keihin has established and assigns full-time associates to a has appointed directors in charge of promoting initiatives. • Kohtaro Yamamoto has experience and specialized knowledge in Corporate Auditors’ Office to assist members of the Board We have developed various measures, including holding corporate legal affair through his career as a lawyer both in Japan of Corporate Auditors in their duties. These associates meetings of the Global Legal Affairs Liaison Committee and and overseas, and has served as an independent officer of another work under the direction of Board of Corporate Auditors the Liaison Committee on Group Risk, and have conducted company. Keihin appointed him as an independent director after members and are transferred, evaluated, reprimanded, and periodic self-verification based on checklists. We have then judging him capable of appropriately performing the duties of an so on only with board member approval. worked towards both prevention and strengthening based independent director of the company in carrying out management on the results. decisions and supervising from a neutral and objective viewpoint, (g)Structure for directors, associates, and others to report With regard to the business administration of the Keihin based on his wealth of experience and insight. to members of the Board of Corporate Auditors; structure Group, we have set up a highly effective and efficient for other reports to members of the Board of Corporate corporate structure with a headquarters established for each • Chiaki Tsuji has specialized knowledge as a lawyer both in Japan Auditors; structure to ensure that those who report to the region, business, and function; deliberated and reported and overseas, and has served as an independent officer of another board do not receive disadvantageous treatment as a result on matters at the Board of Directors and the Management company. Keihin appointed her as an independent director after Keihin has formulated the Standards for Reporting to Council meetings according to degree of importance; judging her capable of appropriately performing the duties of an Members of the Board of Corporate Auditors to guide Group and monitored our operations via audits performed by independent director of the company in carrying out management directors and associates (and those receiving the members of the Board of Corporate Auditors and the decisions and supervising from a neutral and objective viewpoint, reports from directors and associates) in reporting to Internal Audit Office. based on her wealth of experience and insight. members of the Keihin Board of Corporate Auditors on With regard to the structure by which members of Board of matters that may have a substantial impact on the Group Corporate Auditors perform audits, Keihin has established Independent auditors and/or on the development and status of operation of a Corporate Auditors’ Office, which is independent from • Takayoshi Uchida has had a career in the automotive industry internal control systems such as compliance and risk the business administration structure, and improved the both in Japan and abroad, has extensive experience in and management. Keihin also prohibits those who report to the environment for providing information. knowledge of accounting and related functions, and has board from experiencing disadvantageous treatment as a Through these efforts, the company has developed and is experience as a director of another company. Keihin appointed result of their reports. operating structures to ensure the appropriate execution of him as a member of the Board of Corporate Auditors after judging the duties of the Keihin Group. him capable of appropriately performing the functions and duties (h)Structure to ensure the execution of effective audits by of an independent member of the Keihin Board of Corporate members of the Board of Corporate Auditors Auditors from a neutral and objective viewpoint, based on his Keihin ensures a corporate environment that enables wealth of experience and broad insights. Mr. Uchida worked at members of the Board of Corporate Auditors to perform Honda Motor Co., Ltd. before assuming his post as a member their functions and duties effectively, including having of the Keihin Board of Corporate Auditors in 2017. Honda Motor them work jointly with the Internal Audit Office, exchange is a major shareholder of Keihin, and the company’s business opinions with the representative director, attend important transactions with Honda Motor and its related companies (“the meetings, and examine meeting minutes. Honda Group”) amounted to roughly 85% of revenue on a consolidated basis in fiscal 2019. Keihin has thus maintained a longstanding and close relationship with the Honda Group.

28 Keihin Environmental Report 2020 Keihin Environmental Report 2020 29 Governance ■

■ Cooperative efforts with stakeholders ■ Risk and risk management

Keihin actively promotes dialogue with its customers and all other stakeholders in an effort to build mutual trust and involve them in the value What reliability means to us Creating healthy work environments creation process. Because we develop and manufacture motorcycle, power, and Our efforts to create healthier work environments involve labor automotive products, we feel it is our mission as a company to and management coming together to streamline overtime work in 1. Status of efforts to energize the Meeting of General Shareholders and facilitate the voting process deliver reliable products that our customers can use with confidence line with our Fundamental Beliefs and creating more healthy menu in order to earn their trust. choices at employee cafeterias to help employees reduce their

Key activity details We are always working to design products with solid safety features calorie intake, eat more vegetables, lower their salt intake, and more. and ensure quality so that we can create a world of safe, reliable Scheduling to avoid conflicts with other shareholder meetings Hold the meeting on a day that is convenient in terms of procedures and shareholder schedules mobility. We are also taking steps to make the world a safer place by actively teaching children about traffic safety. Using remote technology to encourage shareholders to exercise voting rights Allow voting via internet; make it possible to vote via computer or mobile device World-class quality and trust makes us the global supplier of Providing meeting notices (summaries) in English Prepare meeting notices in English and post on the Keihin website, voting platform, and the TSE website choice Other Post information on the Keihin website a week before the meeting notice goes out and post voting results online as well We anticipate the quality demands of our customers and redouble our quality guarantees in an effort to supply products that people around the world can count on. 2. Status of IR activities Respect for human rights Presentation by “Fairness” is one of the tenets of the Keihin Philosophy, which Key activity details the representative director? states that we are to respect each other’s differences and to Hold regular presentations for analysts and institutional Hold presentations on financial results twice a year and a plant tour once a year Y investors maintain fairness in all of our dealings. This means accepting and respecting one another regardless of nationality, gender, educational Post various company information, including documents from presentations on financial Post on the IR library website results, financial statement briefings, financial briefing supplements, annual reports, the background, or any other characteristic so that we can create Keihin Report, annual securities reports, and quarterly reports innovative value and become a global company that allows people Assign departments (leads) in charge of IR Sales Planning Department from every walk of life to shine. We also offer fair opportunities to every individual who is motivated to succeed, regardless of nationality, gender, educational background, age, disability, or 3. Status of activities to respect stakeholder positions sexual orientation.

Key activity details Initiatives to support work-life balance Keihin takes pride in its efforts to support working parents, creating “Respect for the Individual and The Five Joys are two of the Fundamental Beliefs defined in the Keihin Philosophy, and “joy to Make respecting stakeholder positions part of internal shareholders” is one of those five joys. We’ve also defined a Declaration of Conduct outlining how every person in the Keihin work environments designed to encourage work-life balance. Japan regulations and other guidelines Group should approach their work in order to better secure the trust of our stakeholders. is facing a looming economic crisis as a result of its plummeting Keihin is enhancing its CSR activities worldwide with a focus on the environmental conservation, reliability, and the people that birthrates, and the way traditional Japanese work conditions hinder support those goals. In the process, we’re working to share joy, foster solidarity, and develop trust between Keihin and our customers, business partners, shareholders, and society at large. We’re also actively working to reduce the environmental impact work-life balance is often cited as a cause of this trend. The national Carry out environmental conservation activities and of all of our corporate activities in order to do our part to be socially responsible members of society and protect the earth. Our CSR activities basic stance on CSR and our environmental activities are among the many initiatives posted on our website. Detailed information government is joining forces with local governments, companies, on our environmental efforts can also be found in our environmental reports. https://www.keihin-corp.co.jp/activity/environment_report.html and citizens to promote measures that support the next generation, and Keihin is getting behind this effort with initiatives that help Keihin strives to provide information to its shareholders, investors, and other stakeholders in a swift, accurate and fair manner so Formulate policies on providing information to that they better understand the company and are able to evaluate it properly. In an effort to earn stakeholder trust, information is employees balance their work and parenting duties with conditions stakeholders disclosed in line with the Financial Instruments and Exchange Act, the securities listings regulations issued by the Tokyo Stock Exchange, and other applicable guidelines; additionally, we provide other information likely to impact investor decisions and that support healthy child development and growth. information that gives stakeholders a better understanding of the company.

Promoting health management Health initiatives are a critical part of acting in line with our Fundamental Beliefs, which include Respect for the Individual and The Five Joys. We’re putting improved health measures into action as part of our management policy and have issued a Health Declaration to promote better health among our employees. The critical policies we are enacting based on this Health Declaration are part of our efforts to encourage employee health.

30 Keihin Environmental Report 2020 Keihin Environmental Report 2020 31 Governance ■

CSR Activity

See P10 for detailed ■ Challenges that remain Biodiversity initiatives SDG contributions

The motorcycle and automotive industries are currently undergoing the kind of dramatic transformation that is said to occur just once a century. Electrification, automated driving, and connected driving are completely changing the way we use cars and Keihin Biodiversity Guidelines motorcycles, with increasingly fierce competition from both inside and outside the industry. In response to these new challenges, Keihin is moving to sharpen Basic concept its competitive edge by integrating its motorcycle and automotive powertrain businesses with Hitachi Automotive Systems Ltd., he eihin Group recognies the affect its business activities have on the ecosystem and tries to Showa Corporation, and Nissin Kogyo Co., Ltd. We have also signed eist in harmony ith nature taing concrete action toard effective and sustainable a memorandum of understanding regarding the transfer of our air environmental conservation. conditioning business to MAHLE Behr GmbH & Co. KG.

(1) General agreement on business integration At the Board of Directors meeting held October 30, 2019, Keihin Corporation, Hitachi Ltd., Honda Motor Corporation, Hitachi Automotive Systems Ltd., Showa Corporation, and Nissin Kogyo Co., Ltd. made a resolution was made to integrate the business Local forest improvement Satoyama conservation activities operations of four companies (Keihin, Hitachi Automotive Systems, Show Corporation, and Nissin Kogyo) on the condition that Keihin values rural forest areas and believes that we must We planted trees at the site of a large-scale forest fire that approvals for the business integration are gained from relevant preserve them for future generations. For this reason, occurred near our production base in Miyagi, and continue competition authorities around the world. Representatives of the six we are constantly working to keep them in good order to carry out weeding activities there to protect seedlings. companies signed a general agreement to this effect. while creating environmental conditions that support The business integration will ultimately leave Hitachi Automotive the creatures that live there. We will continue to actively Systems as the surviving company, dissolving Keihin, Showa, engage in proper thinning, pruning, and weeding practices and Nissin Kogyo in an absorption-type merger. The integrated while expelling non-native species to support thriving operations of the four companies is intended to allow us to grow into and biodiverse forest habitats. Since 1989, we’ve been a global megasupplier capable of providing competitive solutions bringing mountain thickets back to life by planting and across the CASE industries. tending to seedlings after massive forest fires, restoring The merger, which is scheduled to take place in the fall of 2020, the Abukuma River to its pristine state, and conserving is planned to assign 66.6% of the integrated company’s shares to fish and insect ecosystems. We also continued to plant Hitachi and 33.4% to Honda Motor. mangrove trees in Indonesia in FY2019. In Japan in FY2019, we have continued our Keihin Eco Planting mangroves (2) Memorandum of understanding on air conditioning business Forest activities at the former site of the Hachiman transfer distribution reservoir, which we’ve leased from the Kakuda Keihin helped plant mangrove forests in Indonesia this At the Board of Directors meeting on March 24, 2020, a resolution City Water Authority. past year. was passed to transfer our air conditioning business operations in Japan, Southeast Asia, and North America to MAHLE Behr GmbH & Co. KG, and a memorandum of understanding was signed with the company to that effect. The companies are continuing with negotiations with the goal of signing a final contract sometime during FY2020.

32 Keihin Environmental Report 2020 Keihin Environmental Report 2020 33 CSR Activity

See P10 for detailed Social contribution activities in Japan SDG contributions

China United States Volunteers support Typhoon Hagibis recovery Hidamari Satogo Project efforts River flooding and landslides caused major damage in Marumori, Saginoya no Mori and the Hidamari Preschool in Takanezawa, Tochigi Miyagi Prefecture. Keihin volunteers supported the recovery effort Prefecture are implementing the Hidamari Satoyama Project. As part of by cleaning up logs, mud, and other debris that flooded into local the project, Keihin participated in activities to tidy up the satoyama forests homes and roads. and install safe play spaces for children with little access to nature.

Environmental beautification activities Environmental beautification activities

Taiwan Mexico

Kinugawa and Kokaigawa river cleanup Activities to support local communities campaign Environmental beautification activities Tree-planting activity and Environmental beautification activities Keihin volunteers participated in the Kinu Green Park cleanup We’re cutting weeds together with residents of the Sakura area project to create a fun and safe park for the local people. We also outside of Kakuda, Miyagi. Thailand Brazil participated in multiple garbage cleanup efforts, collecting cans, bottles, plastic, and other trash to keep the community’s riverbanks clean and beautiful.

Tree-planting activity and Environmental beautification activities Environmental beautification activities and Sapling donation

Malaysia India Christmas gifts for kids

Keihin employees in Ohio teamed up with the local fire department Environmental education at Kids Engineer in to participate in the Toys for Tots program, delivering Christmas Tohoku presents to disadvantaged kids in the area. After assembling their own fuel-cell kit cars, kids participating in this hands-on event held a race with their cars, powered by saltwater, sports drinks, and other liquid fuels. Trying to make the fastest car Environmental learning in elementary school was a fun way for them to learn more about how fuel cell vehicles work. Indonesia

Tree-planting activity

Tree-planting activity and Donation of office supplies

34 Keihin Environmental Report 2020 Keihin Environmental Report 2020 35 第三者意見による評価報告

Third-party comments ■ Information ■

Third-party comments on the Keihin Environmental Report 2019

Director of the Environmental, Safety and Educational Support Organization, a government authorized NPO Information Test Center, Japan Automotive Research Institute Jun’ichi Ishihashi Environmental and energy assessment committee member Occupational safety and health assessment committee member International Environmental Advisor, Environmental Counselor Chief Environmental Auditor More information is available on our website. Overall Below are my comments on Keihin’s environmental report, including impressions gathered from interviews with key persons, on-site checks, and so on.

Keihin is working diligently to achieve its 2030 vision of becoming a global brand providing eco-friendly mobility solutions for the next generation. Next- generation vehicle development is driving this effort as the automotive and related industries undergo a massive transformation that is said to happen only Keeping you up to date on our environmental and CSR activities once every hundred years. Keihin continues to take its environmental activities to the next level, setting mid-range and long-term environmental targets while We’re always posting information on our various global activities on our website as well as on Facebook and Twitter. building its fundamental beliefs and principles into its environmental policy. The 22nd Corporate Environmental Management Survey by the Nikkei Shimbun ranked Keihin fourth in the automotive and automotive parts industry category, continuing the company’s longstanding placement among the top performers. The Ministry of the Environment presented Keihin with the Award for Excellence in their Environmental Communication Awards for the second year

2020/08/28 0:55 running, and the company is implementing a broad variety of initiatives around the globe to contribute to the achievement of the Sustainable Development 1 / 1ページアクセスお問い合わせ ENGLISH Goals (SDGs) issued by the United Nations. With 72% of its operations overseas and 28% in Japan, Keihin is a truly global company that cares about sound 会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報

Keihin Topics ケーヒンのさまざまな活動をご紹介いたします

environmental management. HOME ＞トピックス＞アジアの各拠点で新型コロナウイルス感染拡大防止に向けたボランティア活動を実施しました

企業情報アーカイブ This environmental report expresses the unique character of Keihin while presenting detailed information on its environmental activities, beautifully integrated アジアの各拠点で新型コロナウイルス感染拡大防止 2020年7月に向けたボランティア活動を実施しました 2020年6月 into its business operations, in a clear and suitable format that is incredibly easy to read. My key assessments and suggestions for the future are below. 2020年07月14日ツイートいいね！ 2020年5月 Keihin’s environmental target for 2050 is to reduce CO2 emissions to zero while minimizing both water usage and waste disposal. The basic unit that indicates 2020年3月 2020年2月 its fundamental environmental load (CO2 emissions divided by sales) has increased somewhat as a result of preparations to launch two major new operations, 2020年1月 2019年12月

but the company continues to be essentially structured to reduce its environmental impact. Keihin has experienced success in its top environmental priorities, 2019年11月 reducing its global CO2 output by about 5,200 tons, limiting water consumption, instating 3R efforts to reduce, reuse, and recycle (reducing waste and 2019年10月 2019年9月

efficiently reusing materials), and taking steps to address the marine plastics issue. 2019年8月

2019年7月 In the area of global logistics, Keihin has increased load efficiency for product and components traveling between Japan and its operational centers abroad, 2019年6月 2019年4月株式会社ケーヒンのアジア各拠点で新型コロナウイルス感染拡大防止に向けたボランティア活動を実施し streamlined its transport routes, and made other improvements that have reduced CO2 emissions. It has also switched to standardized returnable packaging ました。医療機関や政府へのマスクやフェースシールドの寄贈のほか、米、牛乳などの食料支援など、各 2019年3月拠点が在籍する地域に合わせた内容でのボランティア実施となりました。 2019年2月 and containers in an ongoing effort to reduce its waste output. 当社は今後も、CSRポリシーのもと国内外ともに地域の皆さまの安心・安全の実現に貢献してまいります。 2018年12月

Keihin■ボランティア活動実施拠点 employees at our operations centers in 2018年11月 Keihin Malaysia Manufacturing SDN. BHD. Keihin’s risk management practices have served as an example for many other companies. It has its own set of Emergency Control Regulations, which it is Keihin (Thailand) Co., Ltd. 2018年10月 AsiaPT participatedKeihin Indonesia in volunteer efforts to help Keihin Vietnam Co., Ltd. 2018年9月 using to comprehensively manage both its environmental and business risks via a globally centralized management system. It is also making steady progress in Keihin Thermal Technology (Thailand) Co., Ltd. prevent台灣京濱化油器股份有限公司 the spread of COVID-19 2018年8月 strengthening its Life Protection and Business Continuity plans, embedding them even more firmly in its business operations. 2018年7月最近のトピックス 2018年6月

環境社会貢献活動 2020.07.27 技術情報 2020.07.22 2018年5月 Keihin Thermal Technology Co., Ltd. 技術情報を更新しました

2020/08/28 0:55 が寺院の清掃・修繕活動を実施 1 / 1ページ 2018年4月

アクセスお問い合わせ ENGLISH 企業情報 2020.07.02 企業情報 2020.06.24

江門市大長江集団有限公司様から「最優宮城県内の医療機関にフェイスシールド 2018年3月秀取引先賞」を受賞しました会社情報製品情報を寄贈しました技術情報調達情報 IR情報 CSR活動採用情報 Future suggestions 2018年2月 Keihin Topics企業情報 2020.05.21 環境社会貢献活動 2020.03.06 ケーヒンのさまざまな活動をご紹介いたしますフェイスシールドを寄贈しました宮城県角田市と丸森町の小学校で「環境 2018年1月 HOME ＞トピックス＞フェイスシールドを寄贈しました教育」を実施しました

2017年12月

企業情報 2017年11月アーカイブフェイスシールドを寄贈しました There has been a measurable development in the building and running of global low-carbon supply chains in the wake of the revised FY2019 Green Purchasing 2020年7月2017年10月 2020年05月21日ツイート Guidelines. The CO2 generated in the supply chain currently has 5.6 times the environmental impact as the amount Keihin generates in its domestic business 2020年6月2017年9月 2020年5月2017年8月

operations. Green Purchasing is being implemented at more than 500 companies comprising more than 60% of Keihin’s operations in terms of purchasing 2020年3月2017年7月 amount. Going forward, I’d like to see Keihin increase this percentage, offer more support for energy-saving technologies, and engage in more robust co- 2020年2月2017年6月 2020年1月2017年4月

creative activities to further boost the effectiveness of its efforts and rapidly bring about a global low-carbon supply chain. 2019年12月2017年3月 https://www.keihin-corp.co.jp/ 2019年11月2017年2月 Turning to environmental risks, I’d like to see Keihin undergo a thorough reexamination of its current risk management standards and frameworks for critical 2019年10月2017年1月 2019年9月

カテゴリー infrastructure and environmental equipment, review its risk tolerance management, and maximize its ability to effectively mitigate risk by quickly doing 2019年8月技術情報 2019年7月企業情報 everything it can with its existing facilities and equipment to make improvements. I propose that the company start by taking concrete, targeted measures イベント情報 2019年6月環境社会貢献活動 to address the risk of flooding and water damage at all its locations due primarily to heavy rains, and also would like to see it roll out these perspectives and 2019年4月製品情報メディア掲載情報

2019年3月グローバル情報株式会社ケーヒンはこの度、新型コロナウイルス感染拡大防止に向けた取り組みとして、栃木県宇都宮市 frameworks within the Group with future plans fully identifying specific site characteristics once again—selecting optimized, low-cost specifications with 採用情報 2019年2月と日光市の医療機関２団体と高根沢町役場※１にフェイスシールドを寄贈しました。吸気製品の開発などその他に利用する３Dプリンターを活用し作成したもの※２で、感染拡大防止ならびに医療従事者の皆さまへの 2018年12月 maximum impact. Donatingお力添えとして開発本部が立案した取り組みです。 face shields 2018年11月 @KeihinJP 当社は今後も、新型コロナウイルス感染拡大防止に向けて努めるとともに、地域の皆さまの安心・安全の実現に貢献してまいります。 2018年10月

※１高根沢町役場を介して教育機関に贈られます。 This environmental report was structured and compiled with an eye to a future transition to an integrated [CSR/environmental] report. I hope that the 2018年9月 ※２同フェイスシールドは神奈川大学道用大介准教授公開の「フェイスシールド（DOYO Model）」 ENGLISH のSTLファイルを利用して作成いたしました。

会社情報製品情報技術情報調達情報 IR情報 CSR活動 2018年8月採用情報 integrated report will continue to be used as a communication tool to raise awareness of related issues periodically and will maintain the unique character as https://github.com/doyodoyo/facesheild ケーヒンフィロソフィー二輪車・汎用製品 Electriﬁcation 調達の基本的な考え方トップメッセージ CSRポリシー新卒採用情報 Technology 2018年7月わたしたちの行動宣言四輪車用製品お取り引きに必要な業績の推移ガバナンス中途採用情報 ICE Technology 手続きブランドスローガン IR資料室環境 with the environmental report. 最近のトピックスケーヒン技報購買拠点と連絡先 2018年6月ひと目でわかるケーヒン IRカレンダー安心 CSRの推進トップメッセージ株主様へのご案内人環境社会貢献活動 2020.07.27 技術情報 2020.07.22 グリーン購買の推進 2018年5月中期経営計画 Keihin Thermal Technology Co., Ltd. 技術情報を更新しました株式の状況が寺院の清掃・修繕活動を実施会社概要電子公告 2018年4月 The negative effects of global warming and climate change are plain to see in the polar ice caps, melting glaciers, heat waves, rising ocean temperatures 事業概要企業情報 2020.07.14 企業情報 2020.07.02 グローバルネットワーク 2018年3月アジアの各拠点で新型コロナウイルス感江門市大長江集団有限公司様から「最優沿革染拡大防止に向けたボランティア活動を秀取引先賞」を受賞しました 2020/07/15 18:24 2020/07/15 18:24 2020/07/15 18:25 and sea levels, and other phenomena. In Japan, a stationary band of heavy rainfall resulted in tragic and devastating floods in Kyushu this July. With the 1 / 1ページ 1 / 1ページ主要取引先 1 / 1ページ実施しました 2018年2月

アクセスお問い合わせ ENGLISH アクセスお問い合わせ ENGLISH 企業情報 2020.06.24 環境社会貢献活動 2020.03.06 アクセスお問い合わせ ENGLISH 2018年1月宮城県内の医療機関にフェイスシールド宮城県角田市と丸森町の小学校で「環境プレスリリーストピックスアクセスお問い合わせ営業カレンダー Strategic Council on Next-generation Vehicles, the government continues to consider a target to reduce per-vehicle CO2 emissions in Japan by 80% (90% 会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報を寄贈しました教育」を実施しました会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報 2017年12月

ケーヒンのさまざまな活動をご紹介いたしますケーヒンのさまざまな活動をご紹介いたしますケーヒンのさまざまな活動をご紹介いたします Keihin Topics Keihin Topics ケーヒンソーシャルメディア公式アカウント Keihin Topics ケーヒン公式Facebookページ for passenger cars) by 2050 over 2010 levels and is considering switching to renewables as a primary energy source as part of its Basic Energy Plan for 2030. 2017年11月いいね！ 2,645 シェア HOME ＞トピックス＞「第23回環境コミュニケーション大賞」環境報告書部門「優良賞」を受賞 HOME ＞トピックス＞宮城県、栃木県でクリーン活動に参加しました HOME ＞トピックス＞宮城県角田市と丸森町の小学校で「環境教育」を実施しました Other government initiatives to reduce dependence on fossil fuels have been announced, such as a plan to drastically reduce CO2 emissions by suspending the 2017年10月企業情報環境社会貢献活動環境社会貢献活動 2017年9月アーカイブアーカイブアーカイブ株式会社ケーヒン ©Keihin Corporation All Rights Reserved. ■ ご利用条件 ■ 個人情報保護

「第23回環境コミュニケーション大賞」環境報告書宮城県、栃木県でクリーン活動に参加しました宮城県角田市と丸森町の小学校で「環境教育」を実2017年8月 operation of, or decommissioning, a hundred coal-fired power plants. Meanwhile, the COVID-19 pandemic continues to cause anxiety on multiple fronts. The 2020年7月 2020年7月 2020年7月部門「優良賞」を受賞 2019年07月26日ツイートいいね！施しました 2017年7月 2020年6月 2020年6月 2020年6月 world is in an unprecedented state of linked recessions, though at the same time experiencing a welcome opportunity to social renewal and economic recovery 2020年02月25日ツイート 2020年03月06日ツイート 2017年6月 2020年5月 2020年5月 2020年5月

2017年4月 thanks to revolutionary new working styles, digital transformations, and the emergence of a “new normal” in daily life. 2020年3月 2020年3月 2020年3月 2017年3月 2020年2月 2020年2月 2020年2月

2017年2月 In closing, as the merger of four companies approaches, I’d like to mention Keihin’s determination to grow into a global megasupplier by maximizing 2020年1月 2020年1月 2020年1月 2017年1月 2019年12月 2019年12月 2019年12月

integration synergy. Going forward, the world will judge companies even more harshly on whether they are practicing proper environmental management, 2019年11月 2019年11月 2019年11月カテゴリー 2019年10月 2019年10月 2019年10月 social contribution, and corporate governance. Keihin’s bold environmental activities make it an industry leader, and going forward I hope the company will 技術情報 2019年9月 2019年9月企業情報 2019年9月

イベント情報 2019年8月 2019年8月 2019年8月 continue to expand its business and make an even greater contribution to sustainable circular economies on a global scale, in the process generating even more 環境社会貢献活動製品情報 2019年7月 2019年7月 2019年7月メディア掲載情報

corporate value. グローバル情報 2019年6月 2019年6月 2019年6月

採用情報 2019年4月 2019年4月 2019年4月その他

2019年3月 2019年3月 2019年3月 7月13日（土）、宮城県、栃木県において夏休みを前に実施されたクリーン活動に参加しました。 2019年2月 2019年2月 2019年2月宮城県：深沼海水浴場ビーチクリーン活動 2019年9月から2月の間で宮城県角田市と丸森町の小学校4～5年生を対象にケーヒン従業員が授業を実

2018年12月 2018年12月施する「環境教育」※1を実施しました。今年度は角田市内の小学校5校211名と丸森町内の小学校2校32 2018年12月株式会社ケーヒン（本社：東京都新宿区、代表取締役社長：相田圭一）が発行した「ケーヒン環境報告書宮城県仙台市の深沼海水浴場で、ケーヒンと宮城県ホンダ会の主催による「ビーチクリーン活動」が行わ名の合計243名が出席しました。各授業では、地球温暖化や循環型社会を目指す取り組み「3Rプラス About the third-party comments Award2019」が第23回環境コミュニケーション大賞 for Excellence（主催：環境省、一般財団法人地球・人間環境フォーラ in Cleanupれました。この取り組みは、東日本大震災で被災した宮城県内沿岸地域の海岸を本来のきれいな姿に戻 activities in Miyagi and Tochigi Environmental education activities in Kakuda, 2018年11月 2018年11月 1」※2、ケーヒンの環境に対する取り組みなどをクイズ形式で楽しみながら学べるプログラムで実施いたENGLISH 2018年11月ム）の環境報告書部門で「優良賞」を受賞しました。し、素足で歩ける砂浜を次世代に残せるようにすることを目的にスタートしました。天候に恵まれた今回しました。は、ケーヒンの従業員とその家族を含む総勢234名が参加。約2.1トンのごみを回収し、安心して海水浴会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報環境コミュニケーション大賞は、優れた環境報告書などを表彰することで、事業者を取り巻く関係者との 2018年10月 2018年10月 2018年10月 Environmental Reporting prefecturesを楽しめる環境を整えました。ケーヒンフィロソフィー二輪車・汎用製品Miyagiケーヒンは地球環境保全に向けた取り組みの一環として、教育を含めた社会貢献活動を継続してまいりまElectriﬁcation Prefecture調達の基本的な考え方トップメッセージ CSRポリシー新卒採用情報 We would like to thank Junichi Ishibashi for his careful review of our environmental activities and his valuable feedback on our environmental report again this year. We 環境コミュニケーションを促進し、環境への取り組みを一層活性化させることを目的とする表彰制度で Technology 2018年9月 2018年9月わたしたちの行動宣言四輪車用製品す。お取り引きに必要な業績の推移ガバナンス中途採用情報 2018年9月す。栃木県：鬼怒川クリーン大作戦 ICE Technology 手続きブランドスローガン IR資料室環境当社としては第22回の受賞に続き2年連続、3回目の受賞となります。 ※1 角田市と丸森市の各小学校で出張授業を実施する「出前学習」と工場見学を合わせた「受入学習」があり、2006年度から実施されています。ケーヒン技報購買拠点と連絡先 intend to take his suggestions to heart as we work to further enhance our efforts to reduce our environmental impact as well as the indicators we use to track them, working 2018年8月高根沢町都市整備課と河川愛護会が主催する「鬼怒川クリーン大作戦」に参加しました。この活動は、 2018年8月ひと目でわかるケーヒン IRカレンダー安心 2018年8月 received in the 23rd 角田市とは2014年度から協働で活動。CSRの推進当社では環境負荷低減に向けた中長期の環境目標であるCO2原単位削減を2013年度比で毎年1%削減し鬼怒川流域の24市町において、ふるさとの河川を美しく保つため、毎年7月に実施しています。第29回トップメッセージ株主様へのご案内人グリーン購買の推進 2018年7月 2018年7月 ※2 ゴミを資源として活用する活動。 2018年7月ていく目標を2017年に定め、2018年度もその実現のため、「持続可能な開発目標（SDGs）」への対の実施となる今回、ケーヒンからは従業員とその家族57名が参加し、鬼怒グリーンパーク内の清掃と、中期経営計画株式の状況 towards even more cohesive information disclosure. We also intend to further increase our corporate value and commit to a more sustainable society even after the merger 応などを含め、環境に配慮した取り組みを進めてまいりました。「ケーヒン環境報告書2019」では、そ空き缶・空きビン・プラスティックごみなど、多くのごみを回収しました。会社概要 Reduce（廃棄物の発生抑制）／Reuse（再使用）／Recycle（再資源化）＋電子公告 Refuse（不要なものは買わない、もらわない） 2018年6月 2018年6月 2018年6月 Environmental Communication 事業概要れらを含む持続可能な社会の実現に向けたさまざまな取り組みを詳細なデータとともに記載しており、そ

の情報がわかりやすく開示されているという評価をいただき、優良賞を受賞しました。グローバルネットワーク 2018年5月 2018年5月 2018年5月 so that all of our stakeholders can share in the joy of ongoing growth. 最近のトピックス沿革最近のトピックスケーヒンは地球環境保全に向けた取り組みをより一層強化し、持続的な成長と緑豊かな地球環境の未来に Awards 主要取引先 2018年4月 2018年4月 2018年4月 Keihin Corporation 貢献してまいります。企業情報 2020.07.14 企業情報 2020.07.02 企業情報 2020.07.14 企業情報 2020.07.02

＞「ケーヒン環境報告書2019」はこちら⇒（クリックで報告書を見ることができます）アジアの各拠点で新型コロナウイルス感江門市大長江集団有限公司様から「最優アジアの各拠点で新型コロナウイルス感江門市大長江集団有限公司様から「最優 2018年3月 2018年3月染拡大防止に向けたボランティア活動を秀取引先賞」を受賞しました 2018年3月染拡大防止に向けたボランティア活動を秀取引先賞」を受賞しましたプレスリリーストピックスアクセスお問い合わせ営業カレンダー実施しました実施しました 2018年2月 2018年2月 2018年2月企業情報 2020.06.24 企業情報 2020.05.21 企業情報 2020.06.24 企業情報 2020.05.21 ケーヒンソーシャルメディア公式アカウント宮城県内の医療機関にフェイスシールドフェイスシールドを寄贈しました宮城県内の医療機関にフェイスシールドフェイスシールドを寄贈しましたケーヒン公式Facebookページいいね！ 2,645 シェア 2018年1月を寄贈しました 2018年1月を寄贈しました 2018年1月

2017年12月 2017年12月企業情報 2020.02.25 企業情報 2020.01.07 2017年12月最近のトピックス環境社会貢献活動 2020.03.06 企業情報 2020.02.25 宮城県角田市と丸森町の小学校で「環境「第23回環境コミュニケーション大「第23回環境コミュニケーション大川崎重工業株式会社モーターサイクル＆ 2017年11月教育」を実施しました賞」環境報告書部門「優良賞」を受賞 2017年11月賞」環境報告書部門「優良賞」を受賞エンジンカンパニー様から品質優良賞を 2017年11月企業情報 2020.07.14 企業情報 2020.07.02 株式会社ケーヒン ©Keihin Corporation All Rights Reserved. 受賞しました■ ご利用条件 ■ 個人情報保護

アジアの各拠点で新型コロナウイルス感江門市大長江集団有限公司様から「最優染拡大防止に向けたボランティア活動を秀取引先賞」を受賞しました 2017年10月 2017年10月 2017年10月実施しました

2017年9月 2017年9月 2017年9月企業情報 2020.06.24 企業情報 2020.05.21 Keihin Environmental Report 2020 宮城県内の医療機関にフェイスシールドフェイスシールドを寄贈しました Keihin Environmental Report 2020 36 2017年8月 2017年8月 2017年8月 37 を寄贈しました

2017年7月 2017年7月 2017年7月環境社会貢献活動 2020.03.06 企業情報 2020.01.07

宮城県角田市と丸森町の小学校で「環境川崎重工業株式会社モーターサイクル＆教育」を実施しましたエンジンカンパニー様から品質優良賞を 2017年6月 2017年6月 2017年6月受賞しました

2017年4月 2017年4月 2017年4月

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ENGLISH ENGLISH ENGLISH

会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報会社情報製品情報技術情報調達情報 IR情報 CSR活動採用情報

ケーヒンフィロソフィー二輪車・汎用製品 Electrification 調達の基本的な考え方トップメッセージ CSRポリシー新卒採用情報ケーヒンフィロソフィー二輪車・汎用製品 Electrification 調達の基本的な考え方トップメッセージ CSRポリシー新卒採用情報ケーヒンフィロソフィー二輪車・汎用製品 Electrification 調達の基本的な考え方トップメッセージ CSRポリシー新卒採用情報 Technology Technology Technology わたしたちの行動宣言四輪車用製品お取り引きに必要な業績の推移ガバナンス中途採用情報わたしたちの行動宣言四輪車用製品お取り引きに必要な業績の推移ガバナンス中途採用情報わたしたちの行動宣言四輪車用製品お取り引きに必要な業績の推移ガバナンス中途採用情報 ICE Technology 手続き ICE Technology 手続き ICE Technology 手続きブランドスローガン IR資料室環境ブランドスローガン IR資料室環境ブランドスローガン IR資料室環境ケーヒン技報購買拠点と連絡先ケーヒン技報購買拠点と連絡先ケーヒン技報購買拠点と連絡先ひと目でわかるケーヒン IRカレンダー安心ひと目でわかるケーヒン IRカレンダー安心ひと目でわかるケーヒン IRカレンダー安心 CSRの推進 CSRの推進 CSRの推進トップメッセージ株主様へのご案内人トップメッセージ株主様へのご案内人トップメッセージ株主様へのご案内人グリーン購買の推進グリーン購買の推進グリーン購買の推進中期経営計画株式の状況中期経営計画株式の状況中期経営計画株式の状況

会社概要電子公告会社概要電子公告会社概要電子公告

事業概要事業概要事業概要

グローバルネットワークグローバルネットワークグローバルネットワーク

沿革沿革沿革

主要取引先主要取引先主要取引先

プレスリリーストピックスアクセスお問い合わせ営業カレンダープレスリリーストピックスアクセスお問い合わせ営業カレンダープレスリリーストピックスアクセスお問い合わせ営業カレンダー

ケーヒンソーシャルメディア公式アカウントケーヒンソーシャルメディア公式アカウントケーヒンソーシャルメディア公式アカウントケーヒン公式Facebookページいいね！ 2,616 シェアケーヒン公式Facebookページいいね！ 2,616 シェアケーヒン公式Facebookページいいね！ 2,616 シェア

株式会社ケーヒン ©Keihin Corporation All Rights Reserved. ■ ご利用条件 ■ 個人情報保護株式会社ケーヒン ©Keihin Corporation All Rights Reserved. ■ ご利用条件 ■ 個人情報保護株式会社ケーヒン ©Keihin Corporation All Rights Reserved. ■ ご利用条件 ■ 個人情報保護 Data ■

Data

Greenhouse gas emissions and groundwater data

Greenhouse gas emissions in the global Keihin Group (unit: 10,000 tons CO2)

Class Domestic Overseas Scope 1 Direct emissions Direct emissions of greenhouse gases due to corporate activity as defined by the GHG Protocol 0.65 2.30 Scope 2 Indirect emissions Indirect emissions of greenhouse gases from the use of energy in corporate activity as defined by the GHG Protocol 4.17 20.86 Environmental Category 1*1 Purchased products & services 5.90 21.30 Category 2*2 Capital goods 2.08 7.32 Category 3 Fuel & energy activity not included in scope 1 or 2 - - Category 4 Transport & distribution (upstream) - - Related Data Scope 3 Category 5 Waste produced by business 0.07 0.63 Category 6 Business trips 0.05 0.24 Category 7 Employee commuting 0.83 3.32 Category 8 Leased assets (upstream) Including Scope 1 and 2 Upstream Total 8.92 32.81 Category 9 Transport & distribution (downstream) 0.25 - Category 10 Processing of sold products Category 11 Use of sold products 221.14 265.46 Category 12 Disposal of sold products Scope 3 Category 13 Leased assets (downstream) Including Scope 1 and 2 Category 14 Franchises Not covered Category 15 Use of investments - - Downstream Total 221.38 265.46 Scope 3 total 230.30 298.27 Scope 1+2+3 235.12 321.43

*1 emissions are the total for primary suppliers. Scope 1 Scope 2 Scope 1 Scope 2 *2 emissions are the total according to facility investment in all consolidated 0.65 4.17 2.30 20.86 manufacturing companies. Scope 3 Scope 3 Upstream 8.92 Upstream 32.81

Domestic Overseas fiscal 2019 results fiscal 2019 results 2.35 million t CO2 3.21 million t CO2

Scope 3 Scope 3 Downstream 230 Downstream 265

■ Groundwater measurement data Keihin endeavors to prevent water contamination by using observation wells to continuously monitor substances contaminating the groundwater at its manufacturing plants.

Miyagi Plant Measurement item Legal standard value Motorcycle and Power Product Factory / INJ Factory 2 IPM Factory ECU Factory INJ Factory 1 Total cyanide Not detected Not for measurement Hexavalent chromium 0.05mg/L or less Less than 0.005 Less than 0.05 Less than 0.005 Not for measurement Lead 0.01mg/L or less Not for measurement 1,1-Dichloroethene 0.02mg/L or less 1,1,1-Trichloroethane 1mg/L or less Less than 0.1 Less than 0.1 Less than 0.1 Less than 0.1 Dichloromethylene 0.02mg/L or less Cis-1,2-dichloroethene 0.04mg/L or less 1,2-Dichloroethane 0.004mg/L or less Trichloroethylene 0.03mg/L or less Not for measurement Tetrachloroethylene 0.01mg/L or less Fluorine 0.8mg/L or less Boron 1mg/L or less

38 Keihin Environmental Report 2020 Keihin Environmental Report 2020 39 グローバルで低炭素社会の構築に向け、非生産拠点まで含めた省エネルギー、廃棄物削減及び水資源使用量削減などの環境負荷低減を実施しています。これら活動により拡大する海外環境負荷の一元管理と蓄積してきた削減技術の拡大で、更なる抑制を図っていきます。＊ 1. 原単位とはCO2排出量を付加価値売上で割った値で、体質評価を実施しています。

Data ■

Environmental Related Data Global environmental load

Included in totals: All Keihin consolidated companies and subsidiaries.

■ CO2 emissions and basic unit index ■ Water resource consumption ■ Direct energy (fuel consumption) ■ Indirect energy (electricity consumption)

Japan Americas Asia China Europe Basic unit index (%) Japan Americas Asia China Europe Basic unit index (%) 100 1,292 1,294 000 1,229 1,231 3,489 3,584 3,626 3,556 500 150 5000 120 1200 3,237 3,305 3,331 100 102 93 988 000 400 108 120 4000 85 1000 100 96 97 95.5 90 92 94.2 73 71 68 300 90 3000 00 708 2,634 2,561 2,456 2000 286 2,348 2,241 2,252 598 266 275 280 2,027 60 251 258 256 00 200 60 2000 00 30 1000 100 30 1000 200 0 0 0 ()0 ()0 (1,000 tons) 2013 2014 2015 2016 2017 2018 2019 （FY）（1000m3） 2013 2014 2015 2016 2017 2018 2019 （FY） 201 201 201 201 201 201 201 （F） 201 201 201 201 201 201 201 （F）

The basic unit index, which takes its index value in FY2013 as 100 to show real increases and Water usage in FY2019 dropped as a result of production decreases in the US as well as Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller decreases, dropped by 4.5% in FY2019 against FY2013 levels. Emissions have increased as measures to limit water consumption—including reusing treated wastewater and water from companies. companies. a result of new plants in India and the launch of electronic units in Japan, but still dropped purification tanks. Overall, the basic unit index dropped by 32% (versus FY2013). Energy consumption is equivalent to fuel consumption multiplied by a fuel oil conversion factor. Energy consumption is equivalent to fuel consumption multiplied by a fuel oil conversion factor. by 2.2% over the previous year thanks to customer-driven production decreases and energy- The unit terajules (TJ) is equal to one trillion (1012) joules. The unit terajules (TJ) is equal to one trillion (1012) joules. saving measures.

■ Volume of waste disposed of and basic unit index ■ Chemical substance release and transfer ■ Water effluent ■ Volatile organic compound (VOC) usage

Japan Americas Asia China Europe Basic unit index (%) Basic unit index (%) 100 93 20,000 107 120 100 100 2000 00 101 100 98 100 438 92 90 80 80 15,000 90 64 1,496 1,536 00 388 379 100 1,412 1,475 57 1,395 1,359 1,339 13,183 60 53 53 52 60 332 12,711 12,771 12,673 12,305 45 00 10,000 11,849 11,620 60 40 271 40 40 1000 236 31 29 26 28 27 191 5,000 30 200 20 20 00 100 (ton)0 0 (ton)0 0 2013 2014 2015 2016 2017 2018 2019 （FY） 2013 2014 2015 2016 2017 2018 2019 （FY） (ton)0 ()0 201 201 201 201 201 201 201 （F） 201 201 201 201 201 201 201 （F） We exceeded our FY2013 waste disposal levels in FY2019 due to the start of new plants in *The basic unit index takes its index value in FY2013 as 100 India and increased production in China and Southeast Asia. However, as waste has become a *Included in totals: All Keihin consolidated companies and subsidiaries. valuable commodity worldwide, we were able to reduce our disposal output by 368 tons (3%), Figures are calculated to include all substances that must be reported under the PRTR law. Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller Included in totals: All Keihin consolidated companies and subsidiaries. equivalent to a basic unit increase of 1% over FY2013 levels. companies. Note that volatile organic compound (VOC) usage figures are being revised. Water usage is used for production centers where water effluent calculations are unavailable.

Environmental load results by region ■ Resource usage ■ Sox/Nox emissions

So Nox 10 156 0000 73,953 CO2 emissions Waste disposal Water usage 143 Europe Europe 1 Europe 1 59,506 58,420 59,881 59,886 58,482 121 0000 120 111 52,358 99 91 92 apan apan hina 81 80 1 hina 10 11 0000 0 hina 1 64 1 Americas 1 40 20000 0 29 32 2 emissions aste disposal ater usage apan 23 Asia 20000tco2 Americas 12000t 202000m 1 2 2 (ton)0 (ton)0 201 201 201 201 201 201 201 （F） 201 201 201 201 201 201 201 （F） Asia Asia Americas Included in totals: All Keihin consolidated companies and subsidiaries. Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller Resources: Iron, non-ferrous metal, and resin. companies. Note that values are being revised due to a change in the sulfur content coefficient.

40 Keihin Environmental Report 2020 Keihin Environmental Report 2020 41 Data ■

Domestic base data

Miyagi Plant Miyagi Plant

Motorcycle and Power Product Factory / INJ Factory 1 INJ Factory 2 IPM Factory ECU Factory Address: 213 Takahata-minami, Kajika, Kakuda-shi, Miyagi Prefecture Address: 97 Terauchi-mae, Marumori-machi, Igu-gun, Miyagi Prefecture Address: 3 Miyayachi, Sakura, Kakuda-shi, Miyagi Prefecture Address: 4-3 Miyayachi, Sakura, Kakuda-shi, Miyagi Prefecture Main products: Fuel Supply system products for Motorcycle and Main products: Fuel Supply system products for Automotives Main products: Fuel Supply system products and Intelligent Power Main products: Electronic control unit system products for power products and Automotives Module for Automotives Motorcycle and power products and Automotives

■ Air quality ■ Air quality No Regulated item Unit Facility Standard Measured value No Regulated item Unit Facility Standard Measured value ■ Air quality ■ Air quality Boiler No.1 0.1 or less Less than 0.01 Boiler No.1 0.3 or less Less than 0.01 1 Soot and dust g/Nm3 No Regulated item Unit Facility Standard Measured value No Regulated item Unit Facility Standard Measured value Boiler No.2 0.1 or less Less than 0.01 Boiler No.2 0.3 or less Less than 0.01 Small boiler 0.3 or less Less than 0.01 1 Soot and dust g/Nm3 Boiler No.2 0.3 or less Less than 0.01 Boiler No.3 0.1 or less Less than 0.01 Boiler No.1 0.53 or less Less than 0.01 1 Soot and dust g/Nm3 Melting furnace 2 Sulfur oxide Nm3/h Boiler No.2 1.4 or less 0.19 2 Sulfur oxide Nm3/h No. 1 0.2 or less Less than 0.01 1 Soot and dust g/Nm3 Boiler No.4 0.1 or less Less than 0.01 Boiler No.2 0.53 or less Less than 0.01 3 Nitrogen oxide ppm Boiler No.2 180 or less 53 Small boiler 4.37 or less 0.08 Reverberating 0.2 or less Less than 0.01 Boiler No.1 150 or less 28 furnace 3 Nitrogen oxide ppm 2 Sulfur oxide Nm3/h Melting furnace Boiler No.2 150 or less 70 No. 1 3.16 or less 0.02 ■ Water quality Chilled and hot 0.1 or less Less than 0.01 water generator Small boiler 180 or less 56 No Regulated item Unit Standard Measured value 3 Nitrogen oxide ppm Boiler No.1 3.26 or less Less than 0.01 Melting furnace 1 Hydrogen-ion concentration pH 5.8 - 8.6 7.6 No. 1 180 or less 11 Boiler No.2 3.26 or less Less than 0.01 2 Biochemical oxygen demand (BOD) 160 or less 25 ■ Water quality Boiler No.3 3.26 or less Less than 0.01 3 Amount of suspended substances mg/ℓ 200 or less 22 2 Sulfur oxide Nm3/h No Regulated item Unit Standard Measured value ■ Water quality Boiler No.4 3.30 or less Less than 0.01 4 Normal hexane extracts 30 or less 0 1 Hydrogen-ion concentration pH 5.8 - 8.6 6.4 Reverberating 3.03 or less Less than 0.01 No Regulated item Unit Standard Measured value furnace 2 Biochemical oxygen demand (BOD) 30 1.2 1 Hydrogen-ion concentration pH 5.8 - 8.6 7.2 Chilled and hot 1.83 or less Less than 0.01 water generator 3 Amount of suspended substances 70 Less than 2 2 Biochemical oxygen demand (BOD) 30 or less 10 mg/ℓ ■ Energy Boiler No.1 150 or less 23 4 Normal hexane extracts 5 or less Less than 1 3 Amount of suspended substances 70 or less 5 mg/ℓ Boiler No.2 150 or less 32 5 Chromium content 2 or less Less than 0.1 4 Normal hexane extracts 5 or less 2.0 No Item Unit Achieved value Boiler No.3 150 or less 40 5 Chromium content 2 or less Less than 0.1 1 Electricity consumed MWH 6,046 2 Fuel consumption (heavy oil A) KL 17 3 Nitrogen oxide ppm Boiler No.4 150 or less 22 ■ Energy Reverberating 3 Fuel gas consumed (LPG) ton 13 180 or less 53 No Item Unit Achieved value ■ Energy furnace 4 Water consumed (tap water) m3 11,260 1 Electricity consumed MWH 13,036 Chilled and hot 150 or less 68 No Item Unit Achieved value water generator 2 Fuel consumption (heavy oil A) KL - 1 Electricity consumed MWH 18,149 3 Fuel gas consumed (LPG) ton 126 2 Fuel consumption (heavy oil A) KL 411 ■ Waste materials 4 Water consumed (tap water) 4,418 3 Fuel gas consumed (LPG) ton 312 Water quality m3 ■ 5 Water consumed (ground water) 10,769 4 Water consumed (tap water) 43,128 No Item Unit Achieved value m3 No Regulated item Unit Standard Measured value 1 Generated volume 54 5 Water consumed (ground water) 5,974 ton 2 Final disposal amount 0 1 Hydrogen-ion concentration pH 5.8 - 8.6 7.5 ■ Waste materials 2 Biochemical oxygen demand (BOD) 30 or less 9.1 No Item Unit Achieved value ■ Waste materials 3 Amount of suspended substances 70 9 mg/ℓ 1 Generated volume 134 4 Zinc content 2 or less Less than 0.1 ton No Item Unit Achieved value 2 Final disposal amount 0 1 Generated volume 169 5 Chromium content 2 or less Less than 0.1 ton 2 Final disposal amount 0

■ Energy No Item Unit Achieved value 1 Electricity consumed MWH 12,610 2 Fuel consumption (heavy oil A) KL - 3 Fuel gas consumed (LPG) ton 495 4 Water consumed (tap water) 29,228 m3 5 Water consumed (ground water) 19,863

■ Waste materials No Item Unit Achieved value 1 Generated volume 180 ton 2 Final disposal amount 0

42 Keihin Environmental Report 2020 Keihin Environmental Report 2020 43 Data ■

Domestic base data Domestic base data (Domestic subsidiary companies)

Sayama Factory Suzuka Factory Keihin Manufacturing Corporation Keihin Electronics Technology Inc.

Address: 481-1 Hiranoshita, Nakashinden, Sayamashi, Saitama Prefecture Address: 3361-1, Ichigaya, Kou-cho, Suzuka-shi, Mie Prefecture Address: 1-5 Doda, Okuma-koya, Watari-cho, Watarigun, Miyagi Prefecture Address: Senhagi Bldg. 2F, 5-1-12 Tsutsujigaoka, Miyagino-ku, Sendai-shi, Miyagi Prefecture Main products: Automotive products and Air conditioning system Main products: Fuel Supply system products for Automotives and Main products: Motorcycle and power products, products (HVAC) Air conditioning system products (HVAC) fuel supply system products for automotives Business activities: Research and development of motorcycle and power products and automotive products

■ Energy ■ Energy ■ Energy ■ Energy No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value 1 Electricity consumed MWH 1,767 1 Electricity consumed MWH 4,716 1 Electricity consumed MWH 4,411 1 Electricity consumed MWH 156 2 Fuel gas consumed (LPG) ton 2.4 2 Fuel gas consumed (LPG) ton 3.4 2 Fuel gas consumed (LPG) ton 99 2 Water consumed (tap water) m3 7,097 3 Water consumed (tap water) m3 3,024 3 Water consumed (tap water) m3 6,055 3 Water consumed (tap water) m3 16,115

■ Waste materials ■ Waste materials ■ Waste materials ■ Waste materials No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume 11.4 1 Generated volume 20.5 1 Generated volume 62.5 1 Generated volume 3.6 ton ton ton ton 2 Final disposal amount 0 2 Final disposal amount 0 2 Final disposal amount 0 2 Final disposal amount 0

Keihin Manufacturing Corporation SAKURA Plant Keihin Valve Corp. Tochigi Research & Development Center Kakuda Research & Development Center Address: 13-1 Suwawaki-minami, Sakura, Kakuda-shi, Miyagi Prefecture Address: 1-9-1, Maruyama, Isogo-ku, Yokohama-shi, Kanagawa Prefecture Address: 2021-8 Hoshakuji, Takanezawa-machi, Shioyagun, Tochigi Address: 197-1 Nagare, Kakuda, Kakuda-shi, Miyagi Prefecture Main products: Motorcycle and power products and automotive products Main products: Automatic valves, etc. Prefecture Business activities: Overall control of Miyagi area, research and development Business activities: Overall control of Tochigi area, business ■ Energy ■ Energy management, research and development Overall control of Tochigi area, research and development No Item Unit Achieved value No Item Unit Achieved value 1 Electricity consumed MWH 1,711 1 Electricity consumed MWH 139 2 Fuel consumed (light oil) KL 6.0 2 Fuel gas consumed (city gas) 1000m3 21.7 Energy Energy ■ ■ 3 Fuel consumed (heating oil) KL 9.6 3 Water consumed (tap water) m3 1,335 No Item Unit Achieved value No Item Unit Achieved value 4 Fuel gas consumed (LPG) ton 28.7 1 Electricity consumed MWH 19,584 1 Electricity consumed MWH 1,937 5 Water consumed (tap water) m3 4,108 ■ Waste materials 2 Fuel gas consumed (LPG) ton 29.2 2 Fuel gas consumed (LPG) ton 8.7 No Item Unit Achieved value 3 Water consumed (tap water) m3 52,997 3 Fuel consumed (heating oil) KL 0 Waste materials 1 Generated volume 6.6 4 Water consumed (tap water) m3 4,258 ■ ton 2 Final disposal amount 0 ■ Waste materials No Item Unit Achieved value Waste materials 1 Generated volume 16.6 No Item Unit Achieved value ■ ton 2 Final disposal amount 0 1 Generated volume 51.1 No Item Unit Achieved value ton 2 Final disposal amount 0 1 Generated volume 8.7 ton 2 Final disposal amount 0.0

Keihin Nasu Corporation Keihin Thermal Technology Corporation

Address: 818 Kanaga, Nasukarasuyama-shi, Tochigi Prefecture Address: 1-480, Inuzuka, Oyama-shi, Tochigi Main products: Motorcycle and power products and automotive products Main products: Air conditioning system products (heat exchangers)

■ Energy ■ Energy No Item Unit Achieved value No Item Unit Achieved value 1 Electricity consumed MWH 3,676 1 Electricity consumed MWH 15,919 2 Fuel consumed (heating oil) KL 12.9 2 Fuel gas consumed (LPG) ton 1.1 3 Fuel gas consumed (LPG) ton 0.13 3 Water consumed (tap water) m3 805,729 4 Water consumed (tap water) m3 1,300 ■ Waste materials ■ Waste materials No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume 506.0 ton 1 Generated volume 12.7 2 Final disposal amount 0 ton 2 Final disposal amount 0

44 Keihin Environmental Report 2020 Keihin Environmental Report 2020 45 Data ■

Overseas base data

North America Thailand India

Keihin Carolina System Technology, LLC. Keihin Michigan Manufacturing, LLC. Keihin (Thailand) Co., Ltd. Keihin India Manufacturing Pvt. Ltd.

■ Energy ■ Energy ■ Energy ■ Energy No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value 1 Electricity consumed MWH 10,812 1 Electricity consumed MWH 3,762 1 Electricity consumed MWH 31,440 1 Electricity consumed MWH 9,214 2 Fuel consumed (light oil) KL 138 2 Fuel consumed (light oil) KL 0 2 Fuel consumed (light oil) KL 0 2 Fuel consumed (light oil) KL 69 3 Fuel gas consumed(except for LNG) 1000m3 30 3 Fuel gas consumed(except for LNG) 1000m3 78.7 3 Fuel gas consumed (LPG) ton 902 3 Water consumed (ground water) m3 17,847 4 Water consumed (tap water) m3 3,172 4 Water consumed (tap water) m3 4,101 4 Water consumed (tap water) m3 125,375 5 Water consumed (industrial water) m3 137,163 ■ Waste materials ■ Waste materials No Item Unit Achieved value ■ Waste materials ■ Waste materials No Item Unit Achieved value 1 Generated volume ton 11 No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume ton 88 1 Generated volume ton 50 1 Generated volume ton 1,981

Keihin IPT Mfg, LLC. Keihin Thermal Technology of America, Inc. Keihin Auto Parts (Thailand) Co., Ltd. Keihin FIE Pvt. Ltd.

■ Energy ■ Energy ■ Energy ■ Energy No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value 1 Electricity consumed MWH 42,347 1 Electricity consumed MWH 16,781 1 Electricity consumed MWH 6,297 1 Electricity consumed MWH 15,817 2 Fuel gas consumed(except for LNG) 1000m3 2,972 2 Fuel consumed (light oil) KL 0 2 Fuel gas consumed (LPG) ton 3.9 2 Fuel consumed (light oil) KL 0 3 Water consumed (tap water) m3 80,519 3 Fuel gas consumed (LPG) ton 18 3 Water consumed (tap water) m3 30,283 3 Fuel gas consumed (LPG) ton 297 4 Fuel gas consumed (city gas) 1000m3 1,062 4 Fuel gas consumed(except for LNG) 1000m3 797 5 Water consumed (tap water) m3 41,640 5 Water consumed (tap water) m3 129,500 ■ Waste materials ■ Waste materials ■ Waste materials No Item Unit Achieved value ■ Waste materials No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume ton 122 No Item Unit Achieved value 1 Generated volume ton 155 1 Generated volume ton 771 1 Generated volume ton 2,125

Keihin Thermal Technology (Thailand) Co., Ltd.

■ Energy No Item Unit Achieved value 1 Electricity consumed MWH 9,316 South America Mexico 2 Fuel gas consumed(LNG) ton 212 Malaysia 3 Water consumed (tap water) m3 24,836 Keihin Tecnologia do Brasil Ltda. Keihin de Mexico S.A. de C.V. 4 Water consumed (industrial water) m3 3,669 Keihin Malaysia Manufacturing SDN. BHD.

■ Energy ■ Energy ■ Energy No Item Unit Achieved value No Item Unit Achieved value ■ Waste materials No Item Unit Achieved value 1 Electricity consumed MWH 3,325 1 Electricity consumed MWH 13,058 No Item Unit Achieved value 1 Electricity consumed MWH 85 2 Fuel consumed (light oil) KL 3.1 2 Fuel gas consumed (LPG) ton 688 1 Generated volume ton 405 2 Water consumed (tap water) m3 556 3 Fuel gas consumed(except for LNG) 1000m3 250 3 Water consumed (tap water) m3 18,782 4 Water consumed (industrial water) m3 8,631 ■ Waste materials ■ Waste materials ■ Waste materials No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume ton 0.7 1 Generated volume ton 282 1 Generated volume ton 854

46 Keihin Environmental Report 2020 Keihin Environmental Report 2020 47 Data ■

Overseas base data

Indonesia China China Czech

PT Keihin Indonesia Dongguan Keihin Engine Management System Co., Ltd. Keihin R&D China Co., Ltd. Keihin Thermal Technology Czech, s.r.o.

■ Energy ■ Energy ■ Energy ■ Energy No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value No Item Unit Achieved value 1 Electricity consumed MWH 24,839 1 Electricity consumed MWH 16,197 1 Electricity consumed MWH 639 1 Electricity consumed MWH 10,354 2 Fuel gas consumed(except for LNG) ton 194 2 Fuel gas consumed(except for LNG) 1000m3 612 2 Water consumed (tap water) m3 2,153 2 Fuel gas consumed(light oil) KL 0 3 Water consumed (tap water) m3 85,243 3 Water consumed (tap water) m3 70,111 3 Fuel gas consumed(fuel of A) KL 0 ■ Waste materials 4 Natural gas consumed(except for LNG) KL 781 ■ Waste materials ■ Waste materials No Item Unit Achieved value 5 Water consumed (industrial water) m3 26,052 No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume ton 3.6 1 Generated volume ton 1,369 1 Generated volume ton 1,785 ■ Waste materials No Item Unit Achieved value 1 Generated volume ton 118 Foshan Branch Nanjing Keihin Carburetor Co., Ltd. Taiwan ■ Energy ■ Energy No Item Unit Achieved value 1 Electricity consumed MWH 8,526 Taiwan Keihin Carburetor Co., Ltd. No Item Unit Achieved value 1 Electricity consumed MWH 14,132 2 Fuel gas consumed(LNG) 1000m3 358 2 Fuel consumption (heavy oil A) KL 17 3 Water consumed (tap water) m3 40,601 ■ Energy 3 Fuel gas consumed (LPG) ton 555 No Item Unit Achieved value ■ Waste materials 4 Water consumed (tap water) m3 90,924 1 Electricity consumed MWH 1,722 No Item Unit Achieved value 2 Fuel consumed (heating oil) KL 2.3 ■ Waste materials 1 Generated volume ton 300 3 Fuel gas consumed(except for LNG) 1000m3 122 No Item Unit Achieved value 4 Water consumed (tap water) m3 10,207 1 Generated volume ton 118 ■ Waste materials No Item Unit Achieved value 1 Generated volume ton 36 Keihin (Wuhan) Automotive Components Co., Ltd.

■ Energy No Item Unit Achieved value 1 Electricity consumed MWH 429 Vietnam 2 Water consumed (tap water) m3 3,555

Waste materials Keihin Vietnam Co., Ltd. ■ No Item Unit Achieved value ■ Energy 1 Generated volume ton 22 No Item Unit Achieved value 1 Electricity consumed MWH 1,722 2 Fuel gas consumed (LPG) ton 161 3 Water consumed (tap water) m3 31,219 Keihin Grand Ocean Thermal Technology (Dalian) Co., Ltd.

■ Waste materials ■ Energy No Item Unit Achieved value No Item Unit Achieved value 1 Generated volume ton 370 1 Electricity consumed MWH 8,664 2 Water consumed (tap water) m3 9,239

■ Waste materials No Item Unit Achieved value 1 Generated volume ton 86

48 Keihin Environmental Report 2020 Keihin Environmental Report 2020 49 Keihin Environmental Report 2020

Keihin Corporation nvironmental Report

September 2020