Disclosure based on TCFD Recommendations
Toyota Industries Corporation (President: Akira Onishi; "Toyota Industries") has disclosed its climate-related information based on recommendations of the Task Force on Climate-related Financial Disclosures (TCFD)*1. The Company declared its support for the TCFD and its recommendations in December 2019.
For the purpose of this disclosure, we identified risks and opportunities arising from climate change that will affect our mainstay Material Handling Equipment Business, based on the time line of the Group's management vision, "2030 Vision", and our long-term environmental vision, "The Environmental Vision 2050". We then conducted analysis based on different scenarios, including a below 2°C scenario*2, to assess impacts.
We will continue to strengthen our efforts to address climate change and enhance disclosure of related information to contribute to the realization of a sustainable society.
|Governance||Three committees are established under the Board of Directors: a Management Committee to address the Company's management vision and mid-term management strategy, including climate change; a CSR Committee; and an Environmental Committee to handle specific areas of expertise and discuss important matters related to climate change.|
|Strategy||Multi-scenario analysis to identify climate change-related risks and opportunities
Below 2°C scenario：Increase in operating and procurement costs due to introduction of carbon tax
4°C scenario*3：Supplier suspensions due to natural disasters etc.
Sales increase due to growing demand for products with superior environmental performance etc.
|Risk management||Identification and assessment of climate change-related risks with external experts and monitoring by CSR and Environmental Committees|
|Metrics and targets||Set metrics and targets to monitor progress in addressing climate change-related issues and promote decarbonization activities.
- CO2 emission reduction rate in production:-50% (vs FY2014 level)
- Ratio of electrification-related products to net sales:Over 70% etc.
For details, please refer to the PDF file. PDF [761 KB/14 pages]
|*1:||A task force established by the Financial Stability Board (FSB).|
|*2:||Scenario most likely to limit the global average temperature rise to less than 2°C above pre-industrial levels|
|*3:||Scenario assuming the global average temperature rise of around 4°C compared to pre-industrial levels.|