Leveraging Strategies: Japan s Story
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1 Leveraging Strategies: Japan s Story Takashi Shimodaira Executive Vice President Japan Automobile Manufacturers Association GAIKINDO International Automotive Conference Jakarta, July 11,
2 JAMA Profile Japan Automobile Manufacturers Association, Inc. Members: Japan s 14 manufacturers of cars, trucks, buses, and motorcycles Activities Promoting increased road safety and environmental protection Developing greater mutual understanding with other countries Organizing the Tokyo Motor Show 2
3 Automobiles as a Core Industry in Japan Domestic Production Total Workforce For export Total 10.5 million units For domestic sales 5.9 million units 60.2 million people 100 Auto 4.9 million (8.2%) billion US$ 100% Auto $ 41.1 billion (16.0%) 59.9 billion US$ 100% Auto $ 12.2 billion (20.4%) Total Manufacturing Shipments (in value terms) Total Exports (in FOB value terms) 3
4 Overseas Production by Japanese Automakers Overseas Production in 2004 (x 1,000 units) Latin America 535 Africa 191 Oceania 126 North America 3,841 Total 9,798 thousand units Europe 1,455 Asia 3,639 Middle East 11 4
5 Safety and Environmental Measures Road Safety Road fatalities Motor vehicles in use (Year) Safety & environmental technologies Strong competitiveness 5
6 Japan s Regulatory Requirements for CO, HC, and NOx Emissions (Gasoline Passenger Cars) 100 CO % 50% 45% 5% Mode change ( ) 1.6% (0.8%) HC % 59% 48% 8% Mode change ( ) 2.6% (1.3%) NOx 100 * IW 1,000kg Mode change IW > 1,000kg 70% ( ) 50 27% 39% 20% 8% 2.6% (1.3%) Regulations * 100% = Emission volume without regulations * IW = Equivalent inertia mass 6
7 Japan s Regulatory Requirements for NOx and PM Emissions (Heavy-Duty Trucks) % Unregulated 80% 68% 56% 49% 42% 35% 26% 20% 12% 4% % Unregulated 78% NOx PM 28% 20% 3% 1% * 100% = Emission volume without regulations 7
8 Japan s New Diesel-Vehicle Catalytic Conversion Technology Urea-Based Selective Catalytic Reduction and Ultra-High-Pressure Fuel Injection Ultra-High-Pressure Fuel Injector Oxidation Catalyst for NO Urea Tank Selective Catalytic Reduction Device for NOx 8
9 Gasoline-Vehicle Emission Regulations & Fuel Quality Requirements in Japan, the U.S. and Europe Japan Emission regulations Regs Regs New Short-Term New Long-Term Post New Long-Term 1973 Regs S100, Vapor pressure (T50:75-110) S50 S10 Fuel quality (Implemented) S50 S10 Europe Emission regulations Euro1 All Models Euro2 All Models Euro3 Euro4 Euro5 Fuel quality S500 (Implemented) S50 S150 S50 S10 Incentive S10 U.S. Emission regulations (California) From 1968 Clean Air Act Tier1 NLEV Reg Tier2 1966MY LEV1 LEV2 Fuel quality (California) S1000 S80 S300 S60 S80 S30 9
10 Diesel-Fuel Sulfur Reduction in Japan Regulations: 50 ppm from ppm from 2007 Reality: 10 ppm from January 2005 Sulfur content (wt%) Regulatory & Actual Levels for Sulfur Content in Diesel Fuel Regulatory level Actual level Year 10
11 Japanese Automakers Compliance with Japan s 2010 Fuel Economy Targets The Japanese government has established recommended fuel economy targets for automakers to achieve by All the automakers will meet those targets ahead of schedule Fuel Economy Targets Compliance timetables: 5 automakers in 2005, all others in 2007 Km/ Average Fuel Economy Performance of Gasoline Passenger Cars (10 15 Mode) 2010 Fuel Economy Target
12 Low-Emission Vehicle Diffusion in Japan (in units) Methanol vehicles Electric vehicles LPG vehicles (diesel-alternative) CNG vehicles Hybrid vehicles FY 12
13 Hybrid Vehicles 13
14 Fuel Cell Vehicles 14
15 Conclusion (1/2) Without harmony with society s requirements, no sustainable mobility. Safety and environmental technologies are essential. Automakers voluntary efforts Strong technological competitiveness 15
16 Conclusion (2/2) Comprehensive strategies must be implemented to resolve road safety and environmental protection issues. Environment Road safety Improved traffic flow, improved fuel quality, greater public awareness, vehicle-focused measures Improved road infrastructure and maintenance, improved drivers education, vehicle-focused measures (new & in use) Comprehensive policy-making and initiatives by government. Cooperation between public/private sectors and among all relevant industries. 16
17 For future sound motorization in Asia! JAMA AAF GAIKINDO Thank you very much. 17
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