Welcome to the Performance section of Toyota's North American Environmental Report. Here we provide our ENVIRONMENTAL ACTION PLAN as wells as data related to our environmental performance in the following areas:



Figure 5

About This Chart: This chart summarizes progress against our new environmental action plan targets in the areas of carbon, water, materials, biodiversity and outreach. This is the first time that Toyota's North American affiliates have come together and set targets as One Toyota. Instead of separate targets for manufacturing, R&D, and sales and logistics, our targets now cover over 85 assembly and unit plants, parts and vehicle distribution centers, sales offices, and R&D sites.


Vehicle Fuel Economy + CO2

Figure 13 Figure 14

About This Chart: Toyota's model year 2014 fleet achieved the required U.S. Corporate Average Fuel Economy (CAFE) standards for both cars and trucks, and the required CO2 standards.

Figure 15

About This Chart: Toyota met the required CO2 standards in Canada.

Energy Use + GHG Emissions in Operations

Figure 19

About This Chart: Our new energy target is to reduce energy use from stationary sources by 12 percent per vehicle produced by fiscal year 2016, from a 2010 baseline. We are on track for meeting this target and have achieved a 10 percent reduction thus far. Examples of how we reduced energy use during fiscal year 2014 can be found here.

Our target covers the purchase and use of electricity and natural gas. We convert all energy measurements to MMBtus for this target as a way to combine these energy sources into a single metric.

Figure 20

About This Chart: Our new GHG target is to reduce GHG emissions from stationary sources by 12 percent per vehicle produced by fiscal year 2016, from a 2010 baseline. We are on track for meeting this target and have achieved a 9 percent reduction thus far.

Our target covers emissions from our use of electricity and natural gas. Our methodology for calculating GHG emissions from these sources is based on The GHG Protocol® developed by the World Resources Institute and World Business Council for Sustainable Development.

Figure 21

About This Chart: Toyota's North American GHG inventory measures GHG emissions from the consumption of electricity and natural gas at plants, logistics sites and owned and leased office space, as well as from fuel consumption by in-house trucking operations and third-party carriers, employee commuting and business travel. The methodology used to calculate emissions is based on The GHG Protocol® developed by the World Resources Institute and the World Business Council for Sustainable Development.


Figure 24

About This Chart: Our new water target is to reduce water withdrawals by 6 percent per vehicle produced by fiscal year 2016, from a baseline of fiscal year 2010. In fiscal year 2014, we achieved a 1 percent reduction and expect further reductions over the next two years. Examples of how we saved water during fiscal year 2014 can be found here.

Our metric counts water withdrawals, such as from a public utility or groundwater well.


Figure 25

About This Chart: As part of Toyota's fiscal year 2014-2016 environmental action plan, we set a target to develop and test a new key performance indicator (KPI) for waste. During 2014, we defined and agreed to "the 3R Rate" as our new KPI. Toyota's 3R Rate is defined as: (Reduce + Reuse + Recycle) / (Reduce + Reuse + Recycle + Recover + Landfill).


Figure 27

About This Chart: Toyota currently has 7 sites certified with the Wildlife Habitat Council in North America. The Wildlife Habitat Council's Corporate Wildlife Habitat Certification/International Accreditation Program recognizes commendable wildlife habitat management and environmental education programs at individual sites. Certification criteria are stringent. Sites must demonstrate programs have been active for at least one year, and have a management plan listing goals, objectives and prescriptions as well as complete documentation of all programs.


Figure 28

About This Chart: We have been working on LEED® projects with our dealers since 2005, and we are leading the industry in both the U.S. and Canada with the number of dealerships certified to LEED. So far, we have assisted 42 Toyota and Lexus dealerships: 33 Toyota and 4 Lexus dealerships in the U.S., and 1 Lexus and 4 Toyota dealerships in Canada. Several more dealerships have completed construction and are waiting for their ratings to be decided. In North America, Toyota and Lexus dealerships combined have over 2.3 million square feet of LEED-certified building space.

LEED (Leadership in Energy and Environmental Design) is a point-based system administered by the U.S. and Canadian Green Building Councils promoting a whole-building approach to sustainable construction and remodeling. LEED certification is based on meeting stringent evaluations in sustainable site development, water savings, energy efficiency, materials selection and indoor air quality.


Volatile Organic Compounds

Figure 33

About This Chart: The primary area of concern for non-GHG air emissions is smog. Smog is formed as particulate matter, nitrogen oxides and volatile organic compounds (VOCs) react with sunlight. Smog has been linked to a number of health issues and is particularly prevalent in dense urban areas with heavy traffic, industrial activity and sunny, warm climates.

Toyota's painting operations generate the majority of our VOC emissions. We have a North American Manufacturing VOC Working Group studying aspects of the vehicle body painting process to find ways to reduce VOC emissions. Group members review painting operations as a whole, as well as the components of the process, to find big and small opportunities for improvement. We benefit from sharing and transfer of knowledge and lessons learned from one plant to the next.

Toyota's North American manufacturing plants measure grams of VOCs emitted per square meter of vehicle surface area coated (g/m2). Since 2002, we have reduced VOC emissions by 64 percent, from 35.0 to 12.5 g/m2.

Criteria Pollutant Tailpipe Emissions

Figure 34

About This Chart: Hydrocarbons, nitrogen oxides (NOx) and carbon monoxide — all byproducts of fuel combustion — are linked to various air quality issues, including smog and acid rain, as well as a number of health effects. Limiting criteria pollutant tailpipe emissions from our vehicles helps to reduce some of the environmental impacts of driving.

The U.S. Environmental Protection Agency (EPA) and the state of California have certification programs to categorize vehicles in terms of their level of tailpipe emissions. EPA's certification program categorizes vehicles into Tier 2, Bins 1 through 8. Lower bin numbers correspond to vehicles with lower tailpipe emissions; Bin 1 is for vehicles with zero tailpipe emissions. This program requires a manufacturer's fleet average to meet a Tier 2 NOx standard of 0.07 grams per mile (gpm). (The Canadian and U.S. federal programs have equivalent standards.)

In California, the Low-Emission Vehicle II (LEV II) regulations categorize vehicles as LEV (Low Emission Vehicle), ULEV (Ultra Low Emission Vehicle), SULEV (Super Ultra Low Emission Vehicle), ZEV (Zero Emission Vehicle), or AT-PZEV (Advanced Technology Partial Zero Emission Vehicle). For the 2014 model year, the California LEV II regulations required an auto manufacturer's fleet average to meet an emission standard for non-methane organic gas (NMOG) of 0.035 gpm for passenger cars and light-duty trucks up to 3,750 pounds, and 0.043 for other light-duty trucks.

The LEV II standards are in effect through the 2014 model year. LEV III was adopted in California on December 31, 2012, and will be effective in the 2015 model year.

Federal vehicle emission standards will change based on EPA's issuance of their Tier 3 rule. In Tier 3, EPA established more stringent vehicle emissions standards to reduce the sulfur content of gasoline beginning in 2017, as part of a systems approach to addressing the impacts of motor vehicles and fuels on air quality and public health. The gasoline sulfur standard will make emission control systems more effective for both existing and new vehicles. The more stringent vehicle standards will reduce both tailpipe and evaporative emissions from passenger cars, light-duty trucks, medium-duty passenger vehicles, and some heavy-duty vehicles. This will result in significant reductions in pollutants such as ozone, particulate matter and air toxics and help state and local agencies in their efforts to attain and maintain health-based National Ambient Air Quality Standards.

These vehicle standards are intended to harmonize with California's Low Emission Vehicle program, thus creating a federal vehicle emissions program that will allow automakers to sell the same vehicles in all 50 states. The vehicle standards will be implemented over the same timeframe as the greenhouse gas/fuel efficiency standards for light-duty vehicles (promulgated by EPA and the National Highway Safety Administration in 2012), as part of a comprehensive approach toward regulating emissions from motor vehicles. The final rule became effective on June 27, 2014.

Environment Canada has announced they will also pursue Tier 3 regulations aligned with the final U.S. Tier 3 rule.

Toyota, along with other auto manufacturers, supported efforts to harmonize the new California LEV III and federal Tier 3 programs. We worked with federal and state agencies, through their regulatory processes, to help develop rules that are both effective and feasible. Our goal was and is to maintain the flexibility to build vehicles based on customer preferences. In setting tailpipe emission regulations, we believe standards should be performance-based and take into account the interaction with other vehicle rules — such as fuel economy/greenhouse gas standards — to ensure the total package of requirements is effective and acceptable to the consumer. As with greenhouse gas emissions, fuels must be considered with vehicle technologies as a holistic system. Reduced sulfur levels in gasoline, already available for the LEV III program, are needed to enable the after-treatment systems being designed for Tier 3 compliance.

Toyota annually complies with the state of California, U.S. and Canadian federal vehicle emissions programs, and we have met the requirements for each model year.

Four Toyota/Lexus vehicles were named on the American Council for an Energy Efficient Economy (ACEEE) "Greenest Vehicles of 2014" list: Toyota Prius c, Toyota Prius, Lexus CT 200h and Toyota Prius Plug-in Hybrid. The list is notable in that it takes into account a variety of criteria when determining the greenest car, including the car's emissions, emissions from the electric grid on which it charges, and energy necessary to build and dispose of the car.

More information about the emissions performance of Toyota, Lexus and Scion vehicles sold in the United States can be found in EPA's Green Vehicle Guide.


Figure 35

About This Chart: A total of 12 Toyota and Lexus facilities have achieved Leadership in Energy and Environmental Design (LEED) certification. LEED is a point-based system administered by the U.S. and Canadian Green Building Councils promoting a whole-building approach to sustainable construction and remodeling. LEED certification is based on meeting stringent evaluations in sustainable site development, water savings, energy efficiency, materials selection and indoor air quality.

Ranging from office space to vehicle distribution centers, these facilities represent Toyota's continued efforts to improve the design and efficiency of all operations. The Lexus Eastern Area Office in Parsippany, New Jersey, was awarded Platinum LEED certification in 2014. This is Toyota's first facility to be awarded Platinum, the highest level of certification granted by the U.S. Green Building Council.


Figure 36

About This Chart: Environmental management systems are an essential part of Toyota's overall effort to minimize risks and achieve leading levels of environmental performance. Each Toyota location has an environmental management system (EMS) that identifies the significant environmental aspects and impacts of its operations and sets corresponding controls, goals and targets to manage and reduce these impacts over time. The facilities listed in the chart have been certified to the ISO 14001 standard, the International Organization for Standardization's core set of standards for designing and implementing an effective environmental management system.


Figure 37

About This Chart: Many of our activities in vehicle development, manufacturing and logistics are subject to local, state, provincial and federal laws that regulate air emissions, water discharges, storm water management, greenhouse gas emissions, waste treatment and disposal, and chemical management. These regulations vary by facility based on the type of equipment we operate and the functions performed. In fiscal year 2014, our North American manufacturing plants and logistics sites had zero regulatory violations. In addition to regulatory violations, the manufacturing plants also track the number of complaints made by third parties. There were no complaints in fiscal year 2014.