Toyota s Initiatives for Realizing Sustainable Mobility. September 5, 2008 Kazuo Okamoto Toyota Motor Corporation

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1 Toyota s Initiatives for Realizing Sustainable Mobility September 5, 2008 Kazuo Okamoto Toyota Motor Corporation 1

2 Toyota s Actions Focused on Rapid Changes Today 2

3 Advanced Gasoline Engine Technology Complete upgrading all of engine series from L3 (1.0 ) through V8 L3 1.0 Newly- developed L Newly- developed L4 1.3 New Start & Stop system V L Valvematic system V Add variations of fuel-efficient efficient engines 3

4 Advanced Gasoline Engine Technology Improvement of fuel efficiency Fuel economy label mpg Achieved improvement in fuel efficiency by introducing new engines Fuel efficiency comparisonformer-new Corolla former new former 1ZZ-FE 2ZR-FE Camry(V6) 3MZ-FE new 2GR-FE Engine Lexus GS former 1JZ-GE new 3GR-FSE Lexus LS former 3UZ-FE new 1UR-FE Weight reduction Weight comparison by outputkg/kw/ Reduced weight by using aluminum material, and modularized parts former 1SZ-FE new 1KR-FE former 1AZ-FSE new Improvement of performance Performance improved by introducing D-4S, high compression ratio, and lowering friction. Output comparisonkw/ Engine weight comparisonformer-new) 1.0 class 2.0 class former new former new 3ZR-FAE 2JZ-FSE 2GR-FSE 3UZ-FE 1UR-FSE engine 3.0 class year Achieved improvement in weight reduction, fuel efficiency, and in performance at the same time 4.0 class 4

5 Expansion of promoting Hybrid Vehicles (HV) ( thousand Annual sales of Toyota HVworld wide year Accelerate promoting hybrid models to satisfy market demand 5

6 Actions Focused on Mid-Long Term 6

7 Recognizing Challenges Reducing Oil Consumption and Promoting Wide Use of Alternative Energies Reducing CO 2 for preventing global warming Prevention of Air Pollution 7

8 Initiatives for Reducing Size and Weight of Vehicles Six methods by which world s most compact vehicle was achieved Differential gear reverse placement Center take-off gearbox Placement of ultra-thin fuel tank under floor Slimmed seat backs Compact air conditioning unit Asymmetric installment panel Size and weight reduction is crucial to energy conservation and lower CO 2 emissions 8

9 Environmental Superiority of HV Large Gasoline CO 2 Emission (g/km) Prius Camry HV RX400h GS450h LS600h Diesel Gasoline HV Vehicle Weight (ton) Heavy EC mode HVs contribute to reduced CO 2 emissions 9

10 Evolution of Electric Motors for HV 97 Prius 03 Prius 05 RX400h 06 GS450h 07 LS600h Output density ratio kw 50 kw 123 kw 147 kw 165 kw Permanent Magnet Motor Technology Increasing voltage Increasing speed Two-stage motor speed reduction gear Reducing size and weight by increasing output density 10

11 Evolution of Batteries for HV Mass output density (W/kg) Lighter (Square plastic 03 Prius package) 35% Improvement 00 Prius (Square resin package) 97 Prius (Cylindrical) RX400h (Square metal package) 30% Improvement Smaller 0 Volume output density (W/) Reducing size and weight by increasing output density 11

12 HV Competitiveness of HV With Other Car makers (thousand units/year) Toyota Maker Maker BMaker C Fuel Economy Other Makers HV Toyota HV Vehicle Weight - Toyota overcomes other car makers in HV sales - Toyota HV superiors other makers HV in fuel efficiency 12

13 Plug-In Hybrid Vehicle Recharging battery using an external power source Short distance:ev, Long distance:hv Household electricity Engine Motor Battery Fuel Tank 13

14 What is Plug-In Hybrid Vehicle? Short distance: EV Long distance: HV Hybrid Electricity 14

15 Results of Verification Testing for Plug-in Hybrid Vehicles Partner: EDF Partner University of California Berkeley, Irvine Fuel Efficiency Improvement Fuel economy (gasoline vehicle=1) Prius Toyota PHVs Data on driving in Japan (13km EV driving distance) Level of gasoline vehicles Driving distance after battery charged (km) Expected Values for EV Driving Distance Result of the user questionnaires No Answer Other 40km km 20km Verification testing is underway in Japan, Europe and the USA confirmation of improved fuel efficiency for plug-in hybrid vehicles 15

16 EV Initiatives Toyota RAV4 EV Toyota e-com Accelerate R&D of new generation EV (in early 2010s) Challenges for EV: 1) Cruising range, 2) cost, 3) charging time, 4) dedicated charging infrastructure For the time being, a realistic option as compact commuter vehicles 16

17 Alternative Fuels InitiativesBio Fuels, Natural Gas, Hydrogen Bio Fuels FFV - Research for manufacturing cellulose ethanol - Completed all models to adopted to E10 -Development of vehicles like FFV or BDF-vehicles to satisfy regional demand Natural Gas - Introducing CNG vehicle FCHV Hydrogen - Steady advances in FCV technology Place HV and PHV as core technologies, Toyota develops and offers s items based on the concept right vehicle for the right place at the right time 17

18 Research Organization for Next-generation Batteries Output Density (W/l) Nickel-hydride batteries Lithium-ion Lithium-ion batteries batteries National National project project targets targets Traditional battery performance limit Sakichi Batteries Electrochemistry Research bodies Organic and inorganic chemistry Universities Research bodies Physical chemistry Recruitment Solid-state physics and training of research personnel Chemical engineering Analysis Simulation Toyota battery research department (open laboratory) Energy Density (W/l) Cruising Distance New battery research department to be established as part of efforts to accelerate R&D for a next generation battery 18

19 North America Global R&D Centers South East Asia Japan North America Research Institute TRI-NA) is newly-organized Europe Australia 19

20 TODAY for TOMORROW 20

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