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Keihin Environmental Report 2018 2018 Environmental Report Keihin Corporation

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Keihin Environmental Report 2018

2018EnvironmentalReport2018 Keihin Corporation

Index

 ■ Key milestones

This year in the Keihin Group

A message from our President

04

 ■ 16

 ■ 06

 ■ 08

 ■ Fundamental stance on the environment

Fundamental Beliefs

10

 ■ Global environmental targets 11

 ■ FY2017 initiatives and results 18

Product Development Segment 21

Purchasing Segment 24

Manufacturing Segment 25

Transport Segment 28JapanKeihin CorporationKeihin Sakura CorporationKeihin Nasu CorporationKeihin Watari Co., Ltd.Keihin Electronics Technology Inc.Keihin Valve CorporationKeihin Thermal Technology Corporation

Dongguan Keihin Engine Management System Co., Ltd. Nanjing Keihin Carburetor Co., Ltd. Keihin-Grand Ocean Thermal Technology (Dalian) Co., Ltd. Keihin (Wuhan) Automotive Components Co., Ltd.Keihin R&D China Co., Ltd.

Keihin Asia Bangkok Co., Ltd.Keihin (Thailand) Co., Ltd.Keihin Auto Parts (Thailand) Co., Ltd.Keihin Thermal Technology (Thailand) Co., Ltd.PT Keihin IndonesiaKeihin India Manufacturing Pvt. Ltd.Keihin FIE Pvt. Ltd.Keihin Vietnam Co., Ltd.Keihin Malaysia Manufacturing SDN. BHD.Taiwan Keihin Carburetor Co., Ltd.

Keihin Thermal Technology Czech, s.r.o.Keihin Europe Ltd.Keihin Sales and Development Europe GmbH

Keihin North America, Inc.Keihin Carolina System Technology, LLC.Keihin IPT Mfg, LLC.Keihin Michigan Manufacturing, LLC.Keihin Thermal Technology of America, Inc.Keihin de Mexico S.A. de C.V.Keihin Tecnologia do Brasil Ltda.

ChinaAsiaEurope Americas

14Countries

32Companies

Americas

7Japan

7

Europe

3

China

5

Asia

10

 ■ Learn more 35

 ■ Environmental performance by region 19

 ■ Environmental management 12

 ■ Environmental conservation results for fiscal 2017 20

 ■ CSR Activity 29

 ■ Third-party Evaluation 34

Keihin CorporationEnvironmental Report 2018 Index

Scope of this report

Period covered: Fiscal 2017 (April 2017 through March 2018)

Regions covered: All Keihin bases and all subsidiaries in Japan and overseas.

Domestic companies covered are Keihin and other subsidiaries

listed below.

*Data concerning our domestic and overseasbusiness bases is posted on our website.

In this environmental report, we introduce Keihin’s Fundamental Environmental Stance, Environmental Goals for the Future,

and Environmental Conservation Activities Promoted in Various Segments,

as well as details of Keihin’s approaches to the environment, from planning to achievements.

We are releasing this report as part of our year-round environmental activities in the hope that you will assess our efforts.

In addition, we hope to use this report as a communication tool to further enhance our environmental activities.

Companies

Companies Companies

Companies

Companies

Index

Keihin Environmental Report 2018Keihin Environmental Report 2018 32

Key milestones

Key milestones

2030

xEVZeroEmission

ConnectedCar

AutomatedDriving

1957

1994

2012

2013

1997Keihin Seiki Co., Ltd., Hadsys Co., Ltd.,

and e-Giken Co., Ltd.merged to become “Keihin”

Opened the Tochigi Development Center

Developed the injectorfor direct injection engines

20162014Developed a new type of

electronic fuel injection systemCommenced mass production of

the power control unit for hybrid vehicles

Listed on the first section ofthe Tokyo Stock Exchange

Commenced the mass productionof carburetors for motorcycles

Keihin Thermal TechnologyCorporation joined us

1956Established in Kawasaki City,

Kanagawa

1982Developed the injector and

electronic control unit for automotives

1974Developed carburetors

for CVCC engines

1998Developed the electronic control unit

for hybrid vehicles

2006Commenced mass production of

the power control unit for mild hybrid vehicles

2002Developed the first electronic

fuel injection system for small motorcycles

Clean Air Act (US)

Low Emission Vehicle (US)

Zero-emissions Vehicle regulations in full force (US)

Tighter CO2 regulations (EU)

New Energy Vehicle (China)

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.

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.

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.

Motorcycle and Power Products

We will deliver solutionsthat create new value for

the future of mobility.

Automotive Products

Large Motorcycle Products Small Motorcycle Products

Engine Management Systemsfor Gas Vehicles

Electronic controlthrottle body

Transfer moldelectronic control unit

Electronic control unit Injector

Electronic control throttle bodyInjector for direct injection

Electric Vehicle Control System

Battery management systemPower control unit

Air Conditioning System

HVAC UnitCondenser

¥351.4 billion

Financial Results for FY2018Revenue

¥28.3 billion

Operating profit

22,371Number of associates

(Up 8.0% compared with FY2017) (Up 23.3% compared with FY2017) Global (consolidated)

HistoryKey milestones

Keihin Environmental Report 2018Keihin Environmental Report 2018 54

A message from

our President

A message from

our President

Chitoshi YokotaToward the realization of a sustainable society

In the 60 years since its founding, Keihin has been creating a multitude of environmentally conscious products for the “driving” of automobiles and motorcycles. �ese earth friendly products contrib-ute to a society that is on the move, reduce the impact to the global environment, and o�er enriched and more convenient living to people around the world. �e automotive industry underwent a major revolution in 2017, and environmental conservation measures are tighter than ever before. In response, we’ve accelerated our own environmental work by setting forth a new 2030 vision to become a global brand providing eco-friendly mobility solutions for the next generation.

We are also working to meet the environmental expectations of our stakeholders and the world at large in the wake of global initiatives—most notably the COP21 Paris Agreement, which was signed in 2015 and establishes a global framework for combat-ting climate change, and the Sustainable Develop-ment Goals (SDGs) adopted by the United Nations that same year. Speci�cally, we are ramping up our e�orts to preserve the natural environment with the goal of reducing our basic-unit CO2 emissions by 1% against FY2013 levels every year.

In terms of business development, we’ve respond-ed to increased environmental awareness in the world of motorcycles and general-purpose products

by going global with our electronic fuel injection systems (FI systems) for small motorcycles—systems that boost fuel e�ciency and help keep emissions to a minimum. In China, our FI systems are being installed on the Haojue UH110 released by Dachangjiang Group Co., Ltd. in order to comply with the country’s new environmental regulations (the China IV non-road standards), which has helped clean up emissions as well. In �ailand, our FI systems (particularly our newly developed electronic control units, some of the smallest and lightest in the world) are being installed on the Honda Super Cub; our systems are also on the Koyo Racing 150 released in Taiwan. All of these contrib-ute to reducing our global environmental footprint.

When it comes to automotive parts, Keihin power control units, which operate at the heart of the hybrid vehicles that deliver such high environmental performance in terms of contributing to better fuel e�ciency and cleaner emissions, have been installed on the Honda Step WGN sold in Japan and the Honda CR-V released in China. We’ve also developed power control units for zero-emission, eco-friendly electric vehicles, and these have been installed on the Honda Clarity Electric released in North America. In short, we are continuing our e�orts to conserve and protect the natural environ-ment in the process of expanding our business operations.

Looking at our business activities in general, we have been taking steps to become more energy e�cient on a global scale. In Japan, we’ve reduced energy consumption at our testing facilities, which in turn has resulted in less LPG usage and lower CO2 emissions. Overseas, we’ve also been ramping up our e�orts to reduce the environmental impact of our business activities by expanding our use of renewable energy sources in China, switching our factory lighting to LEDs in Indonesia, and improving the way we control our plant air conditioning systems in

the US, to name a few. As a result of these initiatives, we’ve been able to keep our CO2 emissions around FY2016 levels, despite the fact that our production volume in both motorcycle/general-purpose products and automotive products increased between FY2016 and FY2017. At the same time, we’ve managed to cut CO2 by 4.7% as we work towards our 1% annual basic unit reduction target.

As a manufacturer of control systems for next-generation hybrid and electric vehicles, Keihin is committed to producing environmentally friendly products. Our 22,000 global members are united in their passion for making our future world greener and more sustainable for generations to come.

�is report provides a summary of our environ-mental activities. After reading through it, we hope you will share your thoughts on what we have accomplished so far and any ideas you may have for how we can do better in the future.Chitoshi Yokota

President and CEO

A message from our President

Message

Keihin Environmental Report 2018Keihin Environmental Report 2018 76

Fundamental Beliefs

Fundamental Beliefs

At the core of Keihin Corporation are two fundamental beliefs: Respect for Individuals and The Five Joys.

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.

Keihin is determined to promote business activities that are grounded in these fundamental ideas and

in the mission statement “Keihin will contribute to the future of mankind by the continuous creation of new value.”

Fundamental BeliefsThings valued by those of us who work at Keihin

Respect for the IndividualSelf-reliance / Fairness / Trust

The Five JoysSociety / Customers / Suppliers / Shareholders / Ourselves

Corporate PrincipleThe purpose for Keihin’s business activities

We shall contribute to the future of mankind by thecontinuous creation of new value.

Guiding PoliciesThings to be considered before acting for those who work at Keihin

We shall challenge ourselves to any matter with ambition and vitalityWe shall give importance to theory, ideas and timeWe shall respect sincere conduct and endeavors

We aim to realize the “Corporate Principle” by actions throughthe “Guiding Policies” based on “Fundamental Beliefs”.

With electrification, automated driving, and

other advances throwing the automobile

and motorcycle industries into a period of

massive change,we have further refined

our 2020 vision and defined our 2030 vision

as “evolving into a global green vehicle

solutions brand”.

With this in mind, we have also defined our

13th Midterm Global Policy as “building a

strong company with healthy growth and a

good company we can be proud of”. This

will allow us to resolve the remaining

challenges under our 12th Midterm Global

Policy while moving us closer to achieving

our 2030 vision.

Through CSR activity, we will provide safe and environmentally friendly products through our business of mobility

component development and manufacturing to contribute to society. We will propose the "environment, safety, and

persons who support them" as a key measure and carry out activities to garner empathy and trust from society.

EnvironmentAs a mobility system supplier, we will contribute to a recycling-ori-ented society focusing on CO2 reduction to achieve our corporate principle. We actively pursue technology, product development, and production activities to reduce environmental impact.

SafetyAs a company that develops and manufactures mobility compo-nents, Keihin's mission is to deliver safe and reliable products to our customers. To support a safe automotive society we willcontinuously create designs that assure functional safetyand product quality.

Humanity- We believe the "new value" in our corporate principle is created by the individual.- Keihin's fundamental beliefs "The Five Joys" and "Respect for the Individual". It is the power of the individual that will realize our corporate principle and create new value. To share our joy with our stakeholders, Keihin will continue to develop individuals based on our philosophy.

Our vision for 2030

Build a STRONG COMPANYwith healthy growth,

and a GOOD COMPANYwe can be proud of

❶ Provide eco-friendly solutions for the green technology era❷ Greatly expand our customer base

❸ Enhance the attraction toward the Keihin brand

Evolve into a global green vehiclesolutions brand

CSR Policy

Sustainable corporate growth built on increasing trust

Sustainable social development

13th GLOBAL POLICY

2030 Vision

Our CSR structure

Stakeholders

Value Creation (CSR policy)

CSR fundamentals (corporate integrity/governance)

Environment Safety Humanity

Compliance Disclosure RiskManagement

Fundamental Beliefs

Keihin Philosophy

Keihin Environmental Report 2018Keihin Environmental Report 2018 98

Fundamental stance on the environm

ent

Global environmental targets

Fundamental stance

Environmental InitiativesAiming for global environmental management

Environmental Initiatives that set our courseof action for environmental conservation

To alleviate the environmental load and create a sustainable

society, we have carried out unified global environment

management and consistently thought and acted on what is

best for the planet, the environment, society and communi-

ties.

In our efforts to create a low-carbon society and protect the

environment for years to come, we’re challenging ourselves

to reach zero CO2 emissions by FY2050. We’re also working

to drastically reduce our water usage and waste disposal by

then as well.

Additionally, we’ve committed to reduce our (sales-based)

CO2 emissions by 1% each year through FY2030.

Be a company that the world is even more proud of

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.

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 and overseas stakeholders as we work to contribute to a more

sustainable world for all.

Keihin recognizes that environmental conservation by corporations is

strongly linked to maintaining a healthy global environment.

As a responsible member of society,

Keihin will actively endeavor to reduce the environmental load through

all areas of our corporate activities in order to protect the global environment.

Course of Action

❶ Keihin will strive to develop and supply products that are environmentally

friendly, clean, and safe.

❷ Keihin will strive to recycle materials and conserve resources and energy

at the development, production, distribution, procurement and sales

stages of our business activities.

❸ Keihin will, as a member of society, proactively try to find ways to sustain

the environment on a global scale.

❹ Keihin will, as a corporate citizen, endeavor to actively support and

cooperate in environmental protection in the community and to earn the

respect of society.

By 2020, protect and restore water-related ecosystems, including mountains, forests, wetlands, rivers, aquifers and lakes

By 2030, increase substantially the share of renewable energy in the global energy mix

By 2030, double the global rate of improvement in energy efficiency

By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse

Strengthen resilience and adaptive capacity to climate-related hazards and natural disasters in all countries

Improve education, awareness-raising and human and institutional capacity on climate change mitigation, adaptation, impact reduction and early warning

By 2020, ensure the conservation, restoration and sustainable use of terrestrial and inland freshwater ecosystems and their services, in particular forests, wetlands, mountains and drylands, in line with obligations under international agreements

By 2020, promote the implementation of sustainable management of all types of forests, halt deforestation, restore degraded forests and substantially increase afforestation and reforestation globally

Until now, we have strived to develop environmental

load-reducing products and cut CO2 emissions and waste in

our production bases. We have stated our ideas on

environmental conservation in the form of the Environmental

Initiatives and set a course of action for individual employees

to act with an awareness of their leading role.

Based on the Environmental Initiatives, all Keihin employees

will work hard to undertake activities that will contribute to

the reduction of environmental loads and the establishment

of a recycling-oriented society on a global scale.

Reduce our environmental footprint in FY2018 on a global scale

Our contribution to the Sustainable Development Goals (SDGs)

Continue to reduce (sales-based)CO2 emissions by 1% each year over FY2013

levels through FY2030

Work to achieve zero CO2 emissions by FY2050while minimizing both waste disposal

and water usage

Environmental targets for FY2018

Key FY2018 initiatives

overFY2017

-1%

Medium and Long-Term environmental targets

Develop productsfor next-generation

eco-vehicles to reduce CO2

Fundamentalimprovements aimed

at reducing environmentalload on a global scale

(basic unit improvements)

Take steps to createlow-carbon supply chains

Reduce transport-relatedCO2 emissions and

reuse packaging materials

Development segment Manufacturing segmentPurchasing segment Transport segment

Further reduce our basic unit of global environmental load

vs. FY2013

FY2030CO2emissions

By FY2050

Minimizewater usage

Minimizewaste disposalCO2 Towards zero

CO2 emissions

6.6 P29-33 P14

P18

P29-33

P18

P27

7.2

12.5

7.3

13.1

13.3

15.2

15.1

–1% per year

Fundamental stance on the environment

MissionGlobal environmental targets

Target

Keihin Environmental Report 2018Keihin Environmental Report 2018 1110

Environmental m

anagement

Environmental m

anagement

Keihin has established Environmental Initiatives that set the course of our environmental conservation.To thoroughly implement these initiatives, Keihin has also formed a committee that carries out environmental load reducing activities.The following describes Keihin’s system for working on environmental conservation activities and the roles within this system.

System and Roles

Global Environment CommitteeChair: PresidentVice-chair: Executive officer responsiblefor the environment

Secretariat

JapanEnvironment Subcommittee

AmericasEnvironment Subcommittee

AsiaEnvironment Subcommittee

ChinaEnvironment Subcommittee

• GHG Subcommittee

• Environment ISOSubcommittee

• Product EnvironmentSubcommittee

• Environmental AccountingSubcommittee

• GHG Subcommittee

• Environment ISO Subcommittee

• Product Environment Subcommittee

• Environmental Accounting SubcommitteeConducted around the Japan Environment Subcommittee

• GHG Subcommittee

• Environment ISO Subcommittee

• GHG Subcommittee

• Environment ISO Subcommittee

Since April 2016

●GHG (Greenhouse Gas) Subcommittee

This subcommittee assesses the actual situation with raw materials, energy consumption, chemical substances, waste, etc., as they relate to manufacture and development, thereby reducing substances of concern, including CO2 emissions.

●Environmental Accounting Subcommittee

This subcommittee works to win the confidence of society by calculating and clarifying the environmental costs required for environmental conservation and improvements and by disclosing environmental information to society.

●Environmental ISO Subcommittee

In addition to community contribution activities, this subcommittee is also engaged in activities to reduce the environmental load in manufacturing processes in order to improve, maintain, continue, and upgrade the environmental management system.

●Product Environment Subcommittee

In response to the changing environmental needs of the world, this subcommittee promotes the development of environmentally friendly products and works to reduce the environmental load through resource and energy saving.

Global Environment Committee In order to win the confidence of society, the Global Environment Committee manages and promotes environmental activities to try and

reduce the global environmental load, and discloses information to society through environmental reports etc.

AsiaISO 14001

9 locations

JapanISO 14001

14 locations

AmericasISO 14001

5 locations

ChinaISO 14001

4 locations

34 locationscertified worldwide

AsiaISO 14001

11 locations

JapanISO 14001

14 locations

EuropeISO 14001

2 locationsAmericas

ISO 14001

5 locations

ChinaISO 14001

4 locations

36 locationscertified worldwide

Environmental policy (Japan) Environmental auditing

Regional Acquisition of Environmental Management Certification and Environmental Audits

An environmental audit is conducted by an external examination

body annually. In this external audit, minor nonconformities and

cases to be put under observation have been pointed out, but

all have been fully corrected. Internal audits are also carried

out in a similar manner. Our internal auditors improve their

audit skills by regularly attending an annual seminar, and we

are also working tirelessly to improve the quality of our internal

audits overall.

Environmental Policy

Basic PolicyAs 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 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 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 environmental policy as a means of continually taking our environmental performance to the next level.

Action Guidelines1. 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.

2. We carefully consider the environmental impact of our business activities, taking special care to address the 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.

2) Taking steps to conserve energy to stop global warming.3) Taking the 3R approach (reduce, reuse, recycle) to industrial waste.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.

3. We actively support and cooperate with environmental conservation efforts to protect biodiversity, ecosystems, and the like.

4. We provide environmental education to ensure that every Keihin employee is fully versed in our environmental policy.

5. We formulate goals, action plans, and targets to ensure the successful implementation of our environmental 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 activities whenever appropriate.

April 1, 2016Genichiro KonnoManaging Officer and Representative DirectorKeihin Corporation

Plan

Support andexecute

Internal environmental auditors

Internal andexternal issues

Stakeholder needs andexpectations

External examination bodyEnvironmental management system

LeadershipImprove

Evaluateperformance

Environmental management

Management

For the purpose of reducing the environmental load, Keihin encourages its bases to acquire certification of the international standard ISO 14001. So that the PDCA cycle of the environmental management system runs well, an action plan is formulated based on the annual goals set by the top management, environmental activities carried out, and their operation and management checked via environmental audits.Note that we have almost completed our transition to ISO 14001 2015.

Keihin FIE Pvt. Ltd. Plant No. 3 was newly certified in November 2017 and the PT Keihin Indonesia No. 2 plant was newly certified in March 2018.

This brings our global total of certified production centers to 36.

Status of acquisition of environmental management system certification (as of fiscal 2017)

Keihin’s system and vision for environmental conservation are described below.

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

setting up a Global Environment Committee.

This Global Environment Committee is made up of four regional subcommittees, the Japan Environment Subcommittee, Americas Environment

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.

Keihin Environmental Report 2018Keihin Environmental Report 2018 1312

Environmental m

anagement

Environmental m

anagement

Environmental Accounting

(Millions of yen) FY2015 FY2016 FY2017

Category Main endeavors Amount invested Cost Amount

invested Cost Amount invested Cost

Cost within business areas

Pollution control cost Prevention of air pollution, water contamination, soil pollution, etc. 6 13 27 26 30 22

Global environmental conservation cost Activities for global warming prevention, ozone layer protection, etc. 97 3 114 20 180 10

Resource recycling cost Treatment, disposal, reduction, recycling, resourcing, and proper handling of waste 0 97 0 95 9.5 81

Upstream/downstream cost Recycling and recovery of raw materials for manufacture, use of recycled materials 0 88 0 80 0 32

Management activity cost Environmental management operation man-hours, operation of environmental management system, environmental education for employees 0 71 0 78 0 78

Research & development cost Environmental measures for products, research & development and design for reducing environmental load 326 10,391 1,016 7,524 970 7,744

Social activity cost Clean activities, environmental learning “on demand,” nature protection activities 0 5 0 1 0 1

Environmental damage response cost Soil survey, contamination levy 0 1 0 1 0 1

Total 429 10,669 1,157 7,826 1,190 7,968

Volume generated or consumed

Class Unit Segment FY2016 FY2016 FY2017

CO2 emissions t-CO2

Manufacturing Segment 32,816 39,938 41,801

Development Segment 7,642 7,443 7,727

Other Segments*1 148 157 151

Company total 40,606 47,538 49,679

Water resource consumption 1,000 m3

Manufacturing Segment 1,221 1,336 1,156

Development Segment 41 44 52

Other Segments*1 7 8 8

Company total 1,269 1,388 1,216

Volume of waste generated Tons

Manufacturing Segment 950 978 1,092

Development Segment 55 46 44

Other Segments*1 0 0 0

Company total 1,005 1,024 1,136

Volume of recyclables generated Tons Company total 1,630 1,749 1,894

Volume/transfer*2 of specific chemical substances Tons Company total 20 18 22

1 This report was compiled according to the Environmental Accounting Guidelines and Guidebook published by the Ministry of the Environment.

2 This report does not include depreciation costs or electric power charges for environmental facilities.

3 The following are included in the abovementioned accounting.

■ Companies subject to accounting

Keihin Corporation / Keihin Sakura Corporation / Keihin Nasu Corporation / Keihin Watari Co., Ltd.

Keihin Electronics Technology Inc. / Keihin Valve Corp. / Keihin Thermal Technology Corporation

■ Period covered: April 1, 2017 – March 31, 2018

Environmental Accounting

Risk Management

Relief measures

Subcontractor

Relevant localgovernment organization

Top management

Main Departmental Manager

Security Room

Status report

Status report Statusreport

Statusreport

Report

Report

Report

Accident

Discoverer

Environmental Control Manager

Direction/Action

Direction/Action

Direction/Action

Requestfor action

On-site confirmation

PrimaryReport

Facilitiescontrol

departmentPerson on duty(nighttime/holidays)

Observance of laws and regulations

As a system for compliance, each executive officer

responsible serves as a compliance officer and regularly

checks whether laws and regulations are strictly observed.

With regard to risks, each executive officer responsible

for the promotion of action against risks serves as a risk

management officer to prevent environmental risks.

Dealing with emergencies

At Keihin, each base and department formulates a procedure

or system for preventing and reducing contamination,

which is intended to minimize the environmental load, in

addition to observing the emissions standards required

by laws and regulations so that we can properly prevent

and deal with accidents. We regularly conduct emergency

response drills for possible accidents with environmental

equipment in preparation for emergencies. In the case of an

accident that adversely affects the area outside of a plant or

a situation that deviates from a regulatory value, we follow

the Emergency Response Flowchart to minimize its effects

on the environment.

Environmental risk measures in risk management

●Basic risk management policy

The basic policy of the Keihin Group is to put plans in place to prevent possible risks from

materializing in our business activities, and if these situations should occur, work to minimize

damage to our employees and our company so that our operations can continue.

●Status of global measures

The Keihin Group has identified 47 risk items that could significantly impact our business activities,

and has included measures to counter environmental risks among them. Each fiscal year, we also

conduct a mvultifaceted evaluation to assess the severity, urgency, and potential for escalation,

pinpointing where the risks are in order to prevent those threats from materializing or escalating.

●Environmental relevance

The world is highly attuned to environmental threats. Pollution is certainly an issue, but there are

other risks in the form of unexpected overseas legislation or regulatory changes. At Keihin, we

are working hard to prevent environmental threats and risks like these from materializing at any

of our operation centers, domestic or overseas and/or mitigating damages should they occur to

ensure that business can continue unhindered.

●Future expansion and priority areas

The Keihin Group has issued a Zero At-fault Risk target as part of its mid-term strategy and is

enforcing its Emergency Control Regulations* worldwide to serve as a fully established set of

standardized guidelines for risk management. In terms of specific risk countermeasures, we have

clearly defined the entire process of problem identification, from risk analysis through prevention,

training, and testing. Since people are the most critical element in this process, we also continue

to enhance our risk management education strategies to further develop our members’ sensitivity

to risk as well as their ability to think and act independently to prevent it.

*The Keihin Emergency Control Regulations are available in Japanese, English, Chinese and Thai.

Emergency Response Flowchart

Risk Management

Finding out risks

Evaluation of risks

Prioritizing risks

Setting a goal of risk management

crisis occurs

Drawing up risk management program

Monitoring

Establishment of a crisis response organization

Information Management

Restoration activities (BCP)

Prevention at ordinary times

Emergency Response

See P10 for detailed

SDG contributions

( daytime nighttime/holidays)

*1. Administration segment (head office, sales office, welfare facility) *2. Substances subject to notification under PRTR Act

Keihin Environmental Report 2018Keihin Environmental Report 2018 1514

This year in the Keihin Group

This year in the Keihin Group

May JuneApril August SeptemberJuly

October November December January February March

4 April 85 96 7May June July August September

10 11October 12 DecemberNovember 1 2January 3 MarchFebruary

Parent-Child Traffic Safety Workshop held inTochigi, Miyagi and Sayama

Keihin’s products installed in the HondaCBR1000RR SP2, launched in Japan

Tochigi

Miyagi

Sayama

Determined establishment of the world’s largest FI system supply structure in India

Keihin’s subsidiary in Thailand receivedDelivery Service Award

CSR activities carried out at Keihin’ssubsidiary in Mexico

Announced alliance with ProgressTechnologies Inc. to strengthen developmentin upstream areas

Keihin’s products installed in theHonda N-BOX, launched in Japan

Keihin’s products installed in the HondaAccord, launched in North America

Participated in Beach Cleaning Activitiesheld in Shichigahama, Miyagi

Exhibited at Kids Engineer in Tohoku 2017,a hands-on event to get children interestedin manufacturing (monozukuri)

The first ever Ekiden Event in Tochigi, a sportsevent organized in collaboration with the localcommunity

Keihin’s products installed in JiangmenDachangjiang Group Co., Ltd.’s Haojue UH110,launched in China

Supplied electronic control products toHI-LEX Corporation for the Mazda CX-8,launched in Japan

Keihin’s subsidiary in India held 20thanniversary commemorative ceremony

Received award from SUZUKI MOTORCORPORATION as FY2017 Outstanding Partnerfor Overseas Contributions

Ranked 11th in the manufacturing industrycategory in the Environmental ManagementSurvey conducted by Nikkei Inc.

Keihin’s products installed in Honda SuperCub, launched in Thailand

Determined establishment of Daiba R&DOffice to enhance capacity in field ofpowertrain electronic control systems

Received the 2017 Quality AdvancementAward and the 2017 New ProductDevelopment Award from China’s largestmotorcycle manufacturer, JiangmenDachangjiang Group Co. Ltd.

Exhibited for first time at 20th FBC ShanghaiManufacturing Expo with the aim of expandingsales of products for hybrid and electricalvehicle development in China

Keihin’s products installed in the HondaStep WGN, launched in Japan

Established Health Declaration to moreforcefully promote initiatives aimedat improving associate health.

Began mass production of gasolinedirect-injectors and new air-conditioningunits for mini vehicles at Suzuka Factory

Participated asvolunteers in the 5thMillennium Hope HillsTree Planting Festival

Expanded production capacity for intelligentpower modules in Japan

Obtained KuruminCertification asa childcare supportcompany recognizedby the Minister of Health,Labor and Welfare

Recognized in the Certified Health & Productivity Manage-ment Outstanding Organizations (White 500), established by the Ministry of Economy, Trade and Industry to recognize large corporations practicing excellent health management in collabora-tion with insurers

This year in the Keihin Group

Keihin Group 2017

Keihin Environmental Report 2018Keihin Environmental Report 2018 1716

FY2017 initiatives and results

Environmental perform

ance by region

Although our automotive parts production decreased in the US during FY2017, Keihin saw an

increase in automotive parts production (including electric vehicle components) in Japan and

China. We also manufactured more motorcycle and general-purpose parts in the rest of Asia,

resulting in a net increase in our global production. Still, we were able to keep our CO2 emissions

to about the same level as FY2016 through curtailment measures implemented in these various

regions. We’re currently prioritizing reductions in waste and water usage at production centers

with high environmental loads, which is also resulting in across-the-board resource conservation.

Going forward, we intend to continue working to reduce our environmental impact.

We’re actively utilizing renewable energy sources around the world,

generating a total of 1,078 MWh of it in FY2017. Keihin will keep

looking for ways to adopt renewables in ways that make sense for

individual regions.

21th Environmental Management Survey by the Nikkei Shimbun

Recognition for our environmental activities

Increasing renewable energy usage worldwide

Tohoku Region Carbon Offset Grand Prix (3rd time)Tohoku Supportive Carbon Offset Division

Tohoku Support Award

Environmental awards

Operational CO2 reductions in FY2017 (basic unit)

In FY2017, we made great progress towards our goal of reducing

our basic unit of CO2 emissions* by 1% globally each year,

achieving an average reduction of 4.7%.*The basic unit is calculated by dividing CO2 emissions by sales

Plan

-1%

Results

-4.7%

11th(out of 395 companies)

FY2017 initiatives and results

Region-specific data

· Improved air conditioning control

· Roof-insulating paint

· LED lighting

· Reduced compressor load

· Energy-efficient blowers

Key reductions in CO2

Improved air conditioning control Insulating paint on factory roofs Factory floor paint toincrease brightness

Installation of LED lighting in plants

Installed solar panels rated at 0.84 Mw

Power generated 900Mwh/Year

Reduction 900ton-CO2/Year

We installed solar panels to generate

power at KDG Dongguan Keihin Engine

Management System Co., Ltd. in China

Manufacturing industry

6th(out of 34 companies)

Automotives and automotive parts

Europe

10,000

8,000

29,000

CO2 emissions ton

ton

Asia

m3

Americas

China

Japan

79,000

61,000

595,000

CO2 emissions ton

ton

m3

81,000

26,000

183,000

CO2 emissions ton

ton

m3

55,000

22,000

218,000

CO2 emissions ton

ton

m3

50,000

11,000

1,216,000

CO2 emissions ton

Waste disposal ton

Water usage

Waste disposal

Water usagem3

Waste disposal

Water usage

Waste disposal

Water usage

Waste disposal

Water usage

Europe 4% Europe 6% Europe 1%

Output and consumption ratios by region

Japan18%

Asia29%

China20%

Americas29%

Japan9%

Asia48%

China17% Americas

20%

Japan54%

Asia27%

China10%

CO2 emissions Waste disposal Water usage

Americas8%

See P10 for detailedSDG contributions

Previousyear

Previousyear

FY2017 initiatives and results

ActionEnvironmental performance by region

Results

Keihin Environmental Report 2018Keihin Environmental Report 2018 1918

Environmental conservation results for fiscal 2017

Product Development Segm

ent

Electronic control throttle body features Transfer mold electronic control unit features

Honda CBR1000RR SP2

Dachangjiang Group Co., Ltd. Haojue UH110 Kwang Yang Motor Co., Ltd. Racing S 150

Honda Super Cub

Electronic fuel injection systems for compact motorcycles take the world by storm

Electronic control unitElectronic control throttle body Transfer mold electronic control unit

Injector

Electronic control unitInjector Fuel pump moduleThrottle body

・Optimum parts configuration boosts output while reducing weight

・Customized gear ratios deliver high throttle responsiveness

・Transfer mold construction allows for new packaging technologies that result in

smaller, lower-weight components.

Environmental Conservation Results

Environmental conservation results for fiscal 2017

Key FY2017 initiatives

Developmentsegment

Develop products for next-generation

eco-vehicles to reduce CO2

Manufacturingsegment

Better energy efficiency through improved air

conditioning control and ongoing fixed energy gains

Purchasing segment

Take steps to create low-carbon supply chains

Transport segment

Reduce transport-relatedCO2 emissions and reuse

packaging materials

Large Motorcycle Products Small Motorcycle Products

Electronic control unitInjectorThrottle body

Product Development Segment

Development

Motorcycle and Power products

Throttle body

Countries around the world are issuing stricter emissions standards as environmental awareness grows.

At Keihin, we’re developing fuel-efficient, clean powertrain products that also help reduce CO2 emissions.

Keihin Environmental Report 2018Keihin Environmental Report 2018 2120

Product Development Segm

ent

Product Development Segm

ent

Products for hybrid vehicles

Keihin offers compact, high-efficiency power control units that control motor drive power

and the recovery of electrical energy, and these have been installed on the Honda Step WGN

Hybrid. We’ve helped automakers boost output and maximize space with power control

units that boast some of the highest output densities in the industry.

Products for electric vehicles

Battery drive performance and high efficiency are the key features demanded by electric

vehicles, and Keihin has developed power control units that deliver both. Our PCUs are

installed on the Honda Clarity Electric.

Air conditioning products

Our HVAC systems maintain a comfortable cabin environment, and are installed on the Honda

N-BOX. They also help reduce CO2 emissions while improving the interior environment of the

vehicle.

Honda Step WGN Hybrid

Honda Clarity Electric

Power control unit features

New condenser model features

Electric vehicle power control unit features

Honda Accord

Honda N-BOX

Products for gasoline direct injection engines

Among its environmental advances, Keihin continues to make the development of product

technologies for gasoline fuel injection engines a key priority. These technologies greatly

improve fuel efficiency and environmental performance as they inject fuel into the engine

cylinders. Numerous Keihin products, including engine components, were installed on the

Honda Accord released in the US last October.

・ The intelligent power module is the main

component of the unit, and has a cooling

structure that reduces transmission loss from

power semiconductors (IGBT/FWD) while

enhancing high-temperature resistance

・ The design offers damping and vibration

control features as well as functional limit

detection, meaning that it can be installed

directly on the transmission

・ The unit has other compact components as

well, including a converter that can boost the

power generated by the battery up to 700 volts

・Our new condenser model is 25% slimmer and 18% lighter than the previous condenser installed on the N-BOX.

・ The intelligent power module is the main

component of the unit, and has a cooling

structure that reduces transmission loss from

power semiconductors (IGBT/FWD) while

enhancing high-temperature resistance

・ The design offers damping and vibration

control features as well as functional limit

detection, meaning that it can be installed

directly on the transmission

・A battery booster circuit delivers high output in

a small package for high-speed electric driving

Power control unit

Power control unit for Electric Vehicle

Electronic control unit

Condenser HVAC Unit

Intake manifold HVAC UnitInjector for direct injection Electronic control throttle body

Automotive Products

Keihin Environmental Report 2018Keihin Environmental Report 2018 2322

Purchasing Segment

Manufacturing Segm

ent

Keihin cannot provide its customers with quality products and services quickly and reliably without establishing a supply chain that spans all of

its global suppliers and takes the environment into account. Given how dependent our business is on supplier operations, it is critical that every

part of the supply chain—suppliers included—works to reduce environmental load. The standards set forth in our Green Purchasing Guidelines

are designed to do just that.

Establishment of Green Purchasing GuidelinesTo achieve globally environmentally friendly manufacturing and provide

safe, clean products to our customers, Keihin established its Green

Purchasing Guidelines in 2010. We continue to implement the guidelines

and share them with suppliers. In the procurement process for parts, etc.,

Keihin controls substances of concern and preferentially purchases parts,

etc. compliant with the standards defined in the guidelines. In this way,

we contribute to the manufacture of environmentally friendly products.

Product approach to the environmentFor our new products, we perform advance investigations into the

chemical substances contained in everything we purchase from suppliers.

The Keihin Chemical Substance Management Standards for is now in

its 15th edition, and ensures that we manage environmentally harmful

substances according to strict product criteria.

Encouraging suppliers to form business continuity plansThere is no end to the risks that might threaten our suppliers’ production

activities—everything from natural disasters to political unrest,

environmental pollution, terrorism, and more. Should one of these

unpredictable situations occur, it’s important that companies are able to

avoid disruption in critical business operations—or, if a disruption does

occur, recover from it in the shortest possible amount of time. For this

reason, Keihin works with its suppliers to encourage the formulation of

business continuity plans (BCPs), engaging in a major push to roll them

out to overseas production centers as well in FY2017.

Biodiversity surveyWe have been conducting a biodiversity survey since 2014 in which

we ask our suppliers to complete a questionnaire. We ramped up our

environmental activities in 2015 and will conduct the survey again in 2016

with the aim of further improving our approach to biodiversity.

Establishment of low-carbon supply chainSince 2010, we have been working in conjunction with our suppliers to

survey the greenhouse gases (including CO2) emitted during production

and distribution activities. Our ongoing studies have allowed us to track

our performance and set better reduction targets.

CO2 emissions by suppliers

0(1,000 tons)

20

40

60

80

100

(FY)2012 2013 20152014 20172016

97

81

5060

71 67

Supplier CO2 emissions dropped 10% in FY2017 over the previous fiscal year.

Rate of CO2 emissions by suppliers in fiscal 2016

4473%

1118%

59%

Scope1*1

Scope2*2

Scope3*3

(1,000 tons) FY2012 FY2013 FY2014 FY2015 FY2016 FY2017

Scope1*1 19 12 16 11 12 11

Scope2*2 55 51 47 36 50 44

Scope3*3 23 18 8 3 5 5

Total 97 81 71 50 67 60

*1. Scope 1 Direct emissions from business activities

*2. Scope 2 Indirect emissions from the use of energy

*3. Scope 3 Other indirect emissions

Items in categories 4 and 9 of Scope 3 only (CO2 emissions from upstream and downstream

transport) are categorized as seen from the supplier side.

Supplier conferenceKeihin held its 2018 Supplier Conference in January of this year.

It was attended by 184 representatives from 168 supplier companies.

We outlined our management policies, production forecasts, key strategies,

and other concepts that support our alignment towards our 2030 vision

in order to bring our entire supplier team on board. We also recognized

three suppliers who have been involved in particularly outstanding

environmental initiatives with the presentation of environmental awards.

Material flow in Japan

Biodiversity survey resultsEfforts in each item

0 99(company)

98 1

48

33

19

42

51

66

80

57

1. Environmental loadreduction activities

2. Social contributionactivities

3. Communityenvironmental activities

4. Environmentaleducation activities

5. Information sharing

Implementation Not conducted

Business activities (Manufacture Assembly)

●Volume of CO2 emissions 26,000 ton

●Displacement of water 123,000 m3

●Volume of chemical substances (PRTR*²-regulated substances) discharged

 Discharged into air 4.1 ton

 Discharged into water 0 ton

 Moved out of business facility concerned 6.2 ton

●Total volume of waste discharged 591 ton

●Volume of waste subjected to final disposal (landfill) 0 ton

Input of resources

●Input volume of energy 763,825 GJ*1

●Input volume of water resources 232,000 m3

●Input volume of materials 37,636 ton

●Input volume of chemical substances (PRTR*²-regulated substance) 15.4 ton

OUTPUT

INPUT

Purchasing Segment Manufacturing Segment

Purchasing ManufacturingPromotion toward establishment of low-carbon supply chain

*1. GJ: Unit of calorific value. The figure is the aggregate of all usage amounts converted into calorific values.

*2. PRTR (Pollutant Release and Transfer Register) The Act on Confirmation, etc. of Release Amounts of Specific Chemical Substances in the Environment and

Promotion of Improvements to the Management Thereof

Keihin Environmental Report 2018Keihin Environmental Report 2018 2524

Manufacturing Segm

ent

Manufacturing Segm

entCO2 emissions and basic unit index

Our CO2 emission has increased 6 % in FY 2017 over the previous fiscal

year due to a rise in domestic production. Basic unit index has improved

by 9 % over the previous fiscal year.

CO2 emissions and basic unit index (taking fiscal 2008 as 100)

0(1,000 tons)

10

20

30

40

50

25.921.9 20.2

25.824.3

0(%)

20

40

60

80

100100

8578

8980

Basic unit index (%)CO2 emissions (1,000 tons)

(FY)2013 2014 2015 20172016

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

Examples of CO2 reduction

● Switched to inverter fan motors

CO2 reduction effect: 20.3 ton/year

Cost effect: 9.6 million yen/year

Motorcycle and Power Product Factory /

INJ Factory 1

● More energy efficient testing equipment (updated programming)

LPG reduction: 25.6 ton/year

Power reduction: 94 Mwh/year

CO2 reduction: 129 ton/year

Cost effect: 3.1 million yen/year

Tochigi Research & Development Center

● Switched to LED lighting

CO2 reduction effect: 17.0 ton/year

Cost effect: 0.7 million yen/year

Japan offices

(does not include HQ or sales offices)

Energy usage ratio

Keihin is switching from heavy oil, which generate large amounts of CO2,

to LPG and electricity, which have lower CO2 emissions.

Energy usage ratio by type

LPGHeavy oil AElectric power

FY2016 FY2017FY2013 FY2015FY2014

(%)0

20

40

60

80

100

8378

11 10 9 6 5

78 78 79

613 13 16 15

Water resource consumption

We reduced our basic unit index by 5% over last fiscal year.

Water resource consumption and basic unit index

0

125

250

375

500

95

19159

100 91 105 124

57 53 48

0(%)

25

50

75

100100

5550 53

48

(FY)2013 2014 2015 20172016(1,000 m3)

Basic unit index (%)Tap waterGroundwater

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

Zero emissions / Effective use of resources

We are working to minimize our environmental load by 2050. Using the 3R (reduce, reuse, recycle) concept as a starting point, we continuing to

actively roll out reduction strategies to further minimizing our environmental impact.

Reduction of waste

We are promoting 3R initiatives to reduce waste.

*3Rs = Reduce, Reuse, Recycle

FY2013 FY2017 Reduction Rate

905ton 548ton 39%

Volume of waste disposed of and basic unit index

0

500

1000

1500

2000

905

598 530624

548

0(%)

25

50

75

100100

6557

67

49

(FY)2013 2014 2015 20172016

Basic unit index (%)Waste yield (tons)

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

In-house acid disposal

One of the ways we’re reducing waste is by disposing of acid in-house.

In FY2017, we were able to dispose of all the acid we produced ourselves,

which included reducing the amount we produce in the first place.

FY2013 FY2014 FY2015 FY2016 FY2017

Amount generated 130.4 109.8 93.9 43.9 24.2

External disposal 26.1 2.9 0 0.8 0

In-house disposal 104.3 106.9 93.9 43.1 24.2

Note: Acids include waste liquid from surface treatment (contains fluorine) and alumite processing liquid (sulfuric acid)

In-house acid disposal (tons)

In-house disposal

0

50

100

150

104.3 106.993.9

43.1

24.2

(FY)2013 2014 2015 20172016

Chemical substance release and transfer

We’ve cut back on our use of chemical substances by 74% versus

FY2007 levels.

FY2007 FY2017 Reduction Rate

39ton 10ton 74%

PRTR substance release and transfer, and basic unit index

2007 2013 2015 201720162014

50

10

20

30

40

(ton)0

100

20

40

60

80

0(%)(FY)

4636

26

100

39

18

1014

26

10

25

9

Basic unit index (%)Release amount (tons)

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 Improvements to the Management Thereof

Efforts to more efficiently utilize resources

We’re working to collect and dispose of products that have outlived their

usefulness as far back as the resource purchasing stage in order to

ensure that we more efficiently utilize resources.

Unit: ton Amount generated

External disposal

Valuable waste

FY2017

Waste plastics 191.0 90.2 100.6

Waste oil 150.2 4.8 131.3

Waste paper 97.9 2.0 95.9

Valuable waste (tons)

Waste paper Waste oil Waste plastics

0

100

200

300

400

500

84.3

71.1

35.6

88.6

86.3

44.7

94.5

88.4

75.06

105.2

111.9

89.3

95.9

131.3

100.57

(FY)2013 2014 2015 20172016

See P10 for detailed

SDG contributionsEnergy and resource saving

Having established a long-term vision for the manufacturing segment,

Keihin is addressing environmental load reduction in the form of energy and resource saving.

Keihin Environmental Report 2018Keihin Environmental Report 2018 2726

CSR Activity

Transport Segment

CSR ActivityCSR Activity

Keihin Biodiversity Guidelines

Basic conceptThe Keihin Group recognizes the affect its business activities have on the ecosystem and tries to

exist in harmony with nature, taking concrete action toward effective and sustainable

environmental conservation.

Transport Segment

Transport CSR Activity

In our global operations, we’ve set up packaging display areas so that multiple production centers can establish common packing methods,

and are expanding our rollout as a way to inspire individual production centers to optimize their own packaging styles. In Japan, we’re working

to reduce our environmental impact by making packaging materials returnable, simplifying packaging designs, and reducing the number of

shipments. The first two initiatives involve reducing the amount of materials used in packaging and reusing what we do use in order to limit the

amount of industrial waste requiring disposal. Our efforts to reduce the number of shipments involve switching from cart to bucket conveyors and

come up with bucket packaging designs as we prioritize load efficiency and pack more into each run.

Commitment to the environment in the transport segment

Reusing packaging materials (reusable) unit packaging (packing material) for overseas shipments

Environmental initiatives in product transport

Local forest improvement Satoyama conservation activities

Abukuma River cleanup and beautification activities

Environmental initiatives in product transport

Sayama➡Suzuka run New HVAC unit transport packaging

Load efficiency up 65%Reduced CO2 emissions

Box transport10units/1 pile x20 piles

= 200units(1 block = one 3 x 2 stack

plus one 2 x 2 stack)

Cart transport11 units per cart x 11 carts

= 121 units

Cart transport

Box transport

New condenser shipment packagingPacking more into each container for better transport efficiency

Before After

Transport efficiency up 50%, reduced CO2 emissions

Per box4 units ➡ 6 units

Transported units (per run)480 units ➡ 720 units

1

2

3

4

5

6

1

2

3

4

Cardboard

Weight 0.40 kg/box

Used 7,541 boxes/year

Reduced 3,016 kg/year

Plastic partitions

Weight 0.38 kg/box

Used 7,541 boxes/year

Reduced 2,866 kg/year

We provide our suppliers with returnable buckets and cushioning materials so that the products can be

transported to customers as-is, reducing material usage at suppliers as well.

*Index taking fiscal 2004 as 100

Note that we are working to revise the basic unit index this year.

*CO2 emissions were recalculated in accordance with the Fuels Act.

*FY2013 and FY2014 emissions were reduced as a result of customer logistics

policy (transaction distribution).

*Starting in FY2015, product shipping is operated by the system on our own.

For this reason, we are working to improve CO2 emissions and basic unit index

results over FY2012.

5,000

4,000

3,000

2,000

1,000

80

60

40

20

(ton)0

100

0(%)(FY)2004

100

3916.2

2012

85

2,897

2013 2014

46 44

81

1,6421,380

2015 2016

2,315 2,278

2017

2,492

7672

Basic unit index (%)CO2 emissions (tons)

Cardboard packaging Returnable bucket packaging

Biodiversity initiatives

Keihin values rural forest areas and believes that we must

preserve them for future generations. For this reason, we are

constantly working to keep them in good working order while

creating environmental conditions that support the creatures

who live there. We will continue to actively engage in proper

thinning, pruning, and weeding practices while expelling

non-native species to support thriving and biodiverse forest

habitats. Since 1989, we’ve been bringing mountain thickets

back to life by planting and tending to seedlings after massive

forest fires, restoring the Abukuma River to its pristine state,

and conserving fish and insect ecosystems.

We’ve also leased the former site of the Hachiman distribution

reservoir from the Kakuda City Water Authority and have

continued our Keihin Eco Forest activities there in FY2017.

We planted trees at the site of a large-scale forest fire that

occurred near our production base in Miyagi, and continue to

carry out weeding activities there to protect seedlings.

We’re working with local companies to conduct cleanup

efforts to preserve the natural environment around the

Abukuma River.

See P10 for detailed

SDG contributions

Keihin Environmental Report 2018Keihin Environmental Report 2018 2928

CSR Activity

CSR Activity

CSR Activity

CSR ActivityCSR ActivityCSR Activity

Iruma River cleanup strategy

We actively participated in beautification activities around the

Shodai Bridge area as part of the Iruma River cleanup strategy being

implemented by the city of Sayama in Saitama Prefecture.

Support activities for reconstruction

We have been carrying out weeding and cleaning at the venue of the

Watari Reconstruction Marathon held in Watari, Miyagi.

Providing environmental lessons at schools

Keihin communicates the importance of the environment to pupils at

elementary schools in Kakuda and Marumori, Miyagi. In fiscal 2015, we

taught 146 pupils at 5 schools about the importance of the environment.

Activities to support local communities

We plant trees and cut weeds together with residents of the Sakura area

in Kakuda, Miyagi.

Hidamari no Sato Project

Keihin works in collaboration with local junior high school students

and nursery schools in Takanezawa, Tochigi Prefecture to tidy up the

satoyama forests adjacent to the Tochigi Development Center.

Kakuda Abukuma Eco Forum

The Kakuda Abukuma Eco Forum is made up of four companies in Kakuda,

who propose a program of action and exchange information at a meeting

each year. Among their main efforts to reduce their environmental load are

energy conservation activities, waste reduction initiatives, case reports, and

communication and information sharing.

See P10 for detailed

SDG contributions

Volunteer forest crews revitalize the Miyagi coastline

Keihin participated in a community project to revitalize coastal forests in

Watari, Miyagi Prefecture. The goal is to bring back the forests’ important

coastal disaster mitigation functions as well as their lush greenery.

Kinugawa and Kokaigawa river cleanup campaign

The Kinugawa and Kokaigawa river basin spans both Tochigi and Ibaraki

prefectures. We team up with the 24 municipalities in this area to clean up

the levees and riverbanks to keep the rivers clean and pleasant for everyone.

Hillside planting at Sennen-Kibo-no-Oka

Keihin participated in a tree-planting festival at Sennen-Kibo-no-Oka (the

Millennium Hope Hills) in the city of Iwanuma, Miyagi. The trees, which

included evergreen oak, Japanese bay, and Japanese cherry, will serve as a

lifesaving coastal levee.

Beach cleaning activities to support reconstruction

Together with the Miyagi Honda-kai and with support from Honda Motor

Co., Ltd., we carried out a beach cleaning activity to restore Omotehama

beach in Shichigahama, Miyagi, hit by the Tohoku earthquake, to its

former beauty and leave a sandy beach that people can walk along

barefoot for generations to come.

Local forest improvement activities

In Nasu-Karasuyama, Tochigi Prefecture, we cleared weeds from the

prefecturally owned forests that were planted through FY2015 in order to

help the wild cherry, oak, and konara oak seedlings grow.

Traffic mirror cleaning activities

We worked with local companies to continue our cleanup activities

around local elementary schools last year, helping to ensure that the

students can make their daily commute safely.

Social contribution activities in Japan

We are carrying out a variety of activities, such as cleanup activities and recovery support activities,

in collaboration with local communities.

Keihin Environmental Report 2018Keihin Environmental Report 2018 3130

CSR Activity

CSR Activity

CSR Activity

CSR ActivityCSR ActivityCSR Activity

Japan

China

Thailand

India

Malaysia

Taiwan

Germany

Czech RepublicUnited Kingdom

United States

Mexico

Brazil

Japan

India

Malaysia

Thailand Mexico

Tree-planting activity and Environmental beautification activities

China

Tree-planting activity and Environmental beautification activities Greening Activity

United States

Environmental beautification activities

Cleaning up green spaces along highways

Environmental beautification activities

Cleanup activities in urban areas

Brazil

Tree-planting activity and Environmental beautification activities

Taiwan

Tree-planting activity and Environmental beautification activities

Tree-planting activity and Environmental beautification activities

Tree-planting activity and Environmental beautification activities

Social contribution activities all over the world See P10 for detailed

SDG contributions

Keihin Environmental Report 2018Keihin Environmental Report 2018 3332

Third-party Evaluation

Learn more

https://www.keihin-corp.co.jp/english/activity/index.html

Third-party Evaluation

Third-party comments on the Keihin Environmental Report 2018

Keihin is a leading company when it comes to eco-friendly business operations, actively rolling out bold initiatives designed to create a sustainable, recycling-oriented world through its global corporate activities. Environmental practices, social contribution, and corporate governance are coming under increased scrutiny these days, and the push to sort the good companies from the bad is intensifying. This is the first fiscal year that Keihin has also included its CSR policy1 in its environmental report. It is an easy-to-read document that paints a concise portrait of the company’s business, environmental, and social contribution activities, presenting the information with clarity and accuracy while revealing the company’s unique character—making it a valuable tool for communicating with stakeholders2. I look forward to seeing Kehin continue to express its own identity in future CSR and environmental reports as well.

Keihin has set forth a 2030 vision to become a global brand providing eco-friendly mobility solutions for the next generation. We see it developing product lines with advanced environmental performance as it engages in ever-expanding global business operations with a keen eye to the future. The company has set 2050 environmental targets of zero CO2 emissions and drastically cutting back on water usage and waste disposal as it pushes to reduce its global environmental footprint with ambition and strength. An increase in CO2 emissions is virtually inevitable when companies undergo global expansion, but Keihin continues to cut back, putting it ahead of schedule when it comes to the basic unit that indicates its fundamental environmental load (CO2 emissions divided by sales). Staying true to this course and continuing to improve basic unit index for curbing emissions year after year is the most critical challenge it faces.

Keihin’s purchasing divisions work steadily towards establishing worldwide low-carbon supply chains by following the Green Purchasing Guidelines and putting CO2 management systems in place. When it comes to shipping, reducing CO2 emissions by moving to high-efficiency product transport (modal shifts) and reducing waste by moving to returnable (reusable) packaging materials are generating positive effects.

In the area of risk management, Keihin has a spectacular reputation as a model company when it comes to playing a role in government plans to strengthen nations. It has developed its own set of Emergency Control Regulations, which it is using to strengthen the frameworks it uses to comprehensively and centrally manage both its environmental and general operational risks while taking into account the increasingly diverse regional characteristics that exist around the globe. In short, the company is keeping risks in check so that they do not interfere with ongoing business operations, despite the great variety of environmental risk management practices across its overseas production centers.

Keihin has a set of Biodiversity Guidelines, and its efforts to improve local forests and revitalize satoyama areas have both rejuvenated ecosystems and positively impacted communities by promoting harmonious coexistence with nature. And the company’s activities in these areas continue to steadily take hold around the world as this side of its corporate social contribution activities bear fruit.

The 21st Corporate Environmental Management Survey by the Nikkei Shimbun ranked Keihin sixth out of 34 companies in the automotive and automotive parts industry category and 11th out of 395 companies in the overall manufacturing industry category, proving that its forward-thinking activities are keeping it solidly ahead of the pack in terms of environmental management.

Keihin conducts 65% of its operations overseas and 35% in Japan. Meanwhile, its global CO2 emissions are 4.5 times what they are at home—six times when you include the entire supply chain. Given the current situation, it needs to set up a framework for integrated low-carbon supply chain activities while also devising support measures. Keihin can tap into the vast reserves of expertise it has developed in Japan while incorporating just the right elements of wisdom and ingenuity from the local communities to achieve the ideals it seeks for on-time supply chains and its global operations. I have every confidence that in doing so it will be able to meet the practical challenges it faces with dynamic, effective scenarios.

Average global temperatures are hitting record-breaking highs year after year. Communities all over Japan are seeing the mercury top 41 degrees Celsius. The torrential rains in Western Japan this past July caused catastrophic damage in Hiroshima and Okayama with landslides, flooding, and collapsed riverbanks. Global warming and climate change continue to create heart-wrenching conditions that are as unbelievable as they are unexpected. Given these environmental threats, I encourage Keihin to reconsider its risk management items related to controlling inland flooding in large plain areas when water exceeds expected levels and those related to environmental/critical infrastructure (difficult-to-monitor, underground, or deteriorating facilities) while also taking a closer look at ways to systematically add reinforcements.

In closing, I’d like to point out that many national governments are taking concrete steps to free themselves from fossil fuel dependence. A Japanese government council on next-generation vehicle strategy recently vowed to CO2 emissions from domestic vehicles by 80% by 2050 versus 2010 levels. Japan also revised its basic energy plan, calling for the use of renewables as its primary energy source by 2030. Serious investigations into liquifying CO2 from marine vessels and reusing it as fuel have also begun.

I expect that we will see Keihin continue to accelerate its bold environmental initiatives as these efforts become increasingly well-defined in various regions across the globe.

Below are my comments on Keihin’s environmental report, including impressions gathered from interviews with key persons, on-site checks, and so on. 1) For reference, note that the corporate social responsibility (CSR) reports issued by each multinational corporation have features unique to those companies while complying with ISO 26000 guidelines, GRI standards, and the like. Most global companies put all of their CSR-related information on their websites, reserving the most critical data for their publications.2) Stakeholders include consumers (customers), employees, stockholders, business partners, local communities, government bodies, and other key players.

About the third-party comments

We would like to thank Jun’ichi Ishihashi for his valuable feedback on our environmental report. Starting in FY2018, Keihin will be further accelerating its

environmental conservation initiatives and working to revise its global environmental targets. We are also ramping up our efforts to provide even more of the

information requested by our stakeholders and other outside parties.Keihin Corporation

Jun’ichi IshihashiDirector of the Environmental, Safety and Educational Support Organization, a government authorized NPORepresentative director of that NPO’s Low Carbon Society Strategy CenterTest Center, Japan Automotive Research InstituteEnvironmental and energy assessment committee memberOccupational safety and health assessment committee member

Beach cleanup activities Family traffic safety workshops Fifth tree-planting event at Sennen-Kibo-no-Oka

(2017)

Overall

Future suggestions

Learn more

InformationMore information is available on our website.

Keeping you up to date on our environmental and CSR activities

We’re always posting information on our various global activities on our website as well as on Facebook and Twitter.

Use this QR code for easy access

@KeihinJP

Keihin Environmental Report 2018Keihin Environmental Report 2018 3534

Environmental Related Data

Environmental Related Data

Measurement item Legal standard valueMiyagi Plant

Motorcycle and Power Product Factory / INJ Factory 1 INJ Factory 2 IPM Factory ECU Factory

Total cyanide Not detected Not for measurement

Hexavalent chromium 0.05mg/L or less Less than 0.005 Less than 0.005 Less than 0.005 Not for measurement

Lead 0.01mg/L or lessNot 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 0.001

Dichloromethylene 0.02mg/L or less

Not for measurement

Cis-1,2-dichloroethene 0.04mg/L or less

1,2-Dichloroethane 0.004mg/L or less

Trichloroethylene 0.03mg/L or less

Tetrachloroethylene 0.01mg/L or less

Fluorine 0.8mg/L or less

Boron 1mg/L or less

Class Domestic Overseas

Scope 1 Direct emissions Direct emissions of greenhouse gases due to corporate activity as defined by the GHG Protocol 0.90 4.44

Scope 2 Indirect emissions Indirect emissions of greenhouse gases from the use of energy in corporate activity as defined by the GHG Protocol 3.77 18.35

Scope 3

Category 1*1 Purchased products & services 6.02 23.74

Category 2*2 Capital goods 2.53 4.17

Category 3 Fuel & energy activity not included in scope 1 or 2 - -

Category 4 Transport & distribution (upstream) - -

Category 5 Waste produced by business 0.06 0.38

Category 6 Business trips 0.06 0.23

Category 7 Employee commuting 0.79 3.29

Category 8 Leased assets (upstream) Including Scope 1 and 2

Upstream Total 9.47 31.81

Scope 3

Category 9 Transport & distribution (downstream) 0.25 -

Category 10 Processing of sold products

267.33 330.43Category 11 Use of sold products

Category 12 Disposal of sold products

Category 13 Leased assets (downstream) Including Scope 1 and 2

Category 14 Franchises Not covered

Category 15 Use of investments - -

Downstream Total 267.58 330.43

Scope 3 total 277.05 362.23

Scope 1+2+3 281.71 385.02

Groundwater measurement data

Keihin endeavors to prevent water contamination by using observation wells to continuously monitor substances contaminating the groundwater at its

manufacturing plants.

*1 emissions are the total for primary suppliers.

*2 emissions are the total according to facility investment in all consolidated

manufacturing companies.

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

Domesticfiscal 2017 results2.82 million t CO2

Scope 3 Downstream 267.58

Scope 10.90

Scope 23.77

Scope 3Upstream 9.47

Overseasfiscal 2017 results3.85 million t CO2

Scope 3 Downstream 330.43

Scope 14.44

Scope 218.35

Scope 3Upstream 31.81

Greenhouse gas emissions and groundwater data

EnvironmentalRelated Data

Environmental Related Data

Data

Keihin Environmental Report 2018Keihin Environmental Report 2018 3736

Environmental Related Data

Environmental Related Data

Environmental Related Data Included in totals: All Keihin consolidated companies and subsidiaries. Global environmental load

CO2 emissions and basic unit index

(FY)2014 2015 20162013 2018plan

20170

(1,000 tons)

100

200

300

400

500

0

30

60

90

120

150

91929796108

100

251 256258 266 275 284

Basic unit index (%)Japan Americas Asia EuropeChina

*The basic unit index takes its index value in FY2013 as 100 *Emissions have increased as a result of increased production, but the basic unit index dropped by 8% (versus FY2013) in FY2017 *Values were revised this fiscal year (some production center data was added)

Volume of waste disposed of and basic unit index

(ton)0

5000

10000

15000

20000

Basic unit index (%)

(FY)

Japan Americas Asia EuropeChina

0

30

60

90

120

90909892

117100

11,849 11,62013,183 12,711 12,771 12,725

2014 2015 20162013 2018plan

2017

*The basic unit index takes its index value in FY2013 as 100 *There was a drop in the basic unit index of 10% (versus FY2013) in FY2017. *Values were revised this fiscal year (some production center data was added)

Water resource consumption

(1000m3)0

1000

2000

3000

4000

5000

0%

30

60

90

120

(FY)2014 2015 20162013 2018plan

2017

100 10293 85

7171

2,2582,2412,4562,348

2,5612,634

Basic unit index (%)Japan Americas Asia EuropeChina

*The basic unit index takes its index value in FY2013 as 100 *Usage was curtailed in FY2017, resulting in a 9% reduction and a drop in the basic unit index of 29% (versus FY2013). *Values were revised this fiscal year (some production center data was added)

Chemical substance release and transfer

Basic unit index (%)

(FY)2015 2016 2017 2018plan

20142013

4540

3126 28 27

(ton)0

20

40

60

80

100

0

20

40

60

80

100100 93

64

53 5353

*The basic unit index takes its index value in FY2013 as 100 *Included in totals: All Keihin consolidated companies and subsidiaries. Figures are calculated to include all substances that must be reported under the PRTR law.

Direct energy (fuel consumption)

(FY)0

300

600

900

1200

1500

2013 2014 2015 20172016

1,229 1,2311,292 1,294

988

Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller companies. Energy consumption is equivalent to fuel consumption multiplied by a fuel oil conversion factor. The unit terajules (TJ) is equal to one trillion (1012) joules.

Water effluent

(ton)0

500

1,000

1,500

2,000

2,500

(FY)2013 2014 2015 20172016

1,3391,3591,3951,5361,496

Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller companies. Water usage is used for production centers where water effluent calculations are unavailable.

Resource usage

2013 2014 2016 20172015 (FY)(ton)0

20,000

40,000

60,000

80,000

59,886

73,953

59,88158,42059,506

Included in totals: All Keihin consolidated companies and subsidiaries. Resources: Iron, non-ferrous metal, and resin.

Indirect energy (electricity consumption)

(FY)(1000m3)0

1000

2000

3000

4000

2013 2014 2015 20172016

3,5843,4893,3313,3053,237

Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller companies. Energy consumption is equivalent to fuel consumption multiplied by a fuel oil conversion factor. The unit terajules (TJ) is equal to one trillion (1012) joules.

Volatile organic compound (VOC) usage

(KL)0

200

400

600

800

(FY)2013 2014 2015 20172016

405464

543571

599

Included in totals: All Keihin consolidated companies and subsidiaries. Note that volatile organic compound (VOC) usage figures are being revised.

Sox/Nox emissions

0

20

40

60

80

100

120

(FY)2013 2014 2015 20172016

118

107

26 26 23

3426

10397

92

Sox Nox

Included in totals: All Keihin consolidated companies and subsidiaries, excluding some smaller companies. Note that values are being revised due to a change in the sulfur content coefficient.

CO2 Waste disposal Water usage

Environmental load results by region

Europe 4%

Japan18%

Asia29%

China20%

Americas29%

Europe 6%

Japan9%

Asia48%

China17% Americas

20%

Europe 1%

Japan54%

Asia27%

China10%

Americas8%

Keihin Environmental Report 2018Keihin Environmental Report 2018 3938

Environmental Related Data

Environmental Related Data

Miyagi Plant

Motorcycle and Power Product Factory / INJ Factory 1

Address: 213 Takahata-minami, Kajika, Kakuda-shi, Miyagi Prefecture

Main products: Fuel Supply system products for Motorcycle and power products and Automotives

■ Air quality

No Regulated item Unit Facility Standard Measured value

1 Soot and dust g/Nm3

Boiler No.1 0.1 or less Less than 0.01

Boiler No.2 0.1 or less Less than 0.01

Boiler No.3 0.1 or less Less than 0.01

Boiler No.4 0.1 or less Less than 0.01Reverberating furnace 0.2 or less Less than 0.01

Chilled and hot water generator 0.1 or less Less than 0.01

2 Sulfur oxide Nm3/h

Boiler No.1 3.28 or less Less than 0.01

Boiler No.2 3.30 or less Less than 0.01

Boiler No.3 3.33 or less Less than 0.01

Boiler No.4 3.32 or less Less than 0.01Reverberating furnace 2.77 or less Less than 0.01

Chilled and hot water generator 1.90 or less Less than 0.01

3 Nitrogen oxide ppm

Boiler No.1 150 or less 25

Boiler No.2 150 or less 32

Boiler No.3 150 or less 22

Boiler No.4 150 or less 29Reverberating furnace 180 or less 57

Chilled and hot water generator 150 or less 85

■ Water quality

No Item Unit Standard Measured value

1 Hydrogen-ion concentration pH 5.8~8.6 7.2

2 Biochemical oxygen demand (BOD)

mg/L

30 or less 4.5

3 Amount of suspended substances 70 14

4 Chromium content 2 or less Less than 0.2

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 14,548

2 Fuel gas consumed (LPG) ton 729

3 Water consumed (tap water)m3

39,305

4 Water consumed (ground water) 25,699

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

169

2 Final disposal amount 0

■ PRTR substances (kg)

No Item Handled quantity Air emissions

Transfer(outside the office concerned)

1 Nickel compounds 1,440 0 432

INJ Factory 2

Address: 97 Terauchi-mae, Marumori-machi, Igu-gun, Miyagi Prefecture

Main products: Fuel Supply system products for Automotives

■ Air quality

No Regulated item Unit Facility Standard Measured value

1 Soot and dust g/Nm3

Boiler No.1 0.3 or less Less than 0.01

Boiler No.2 0.3 or less Less than 0.01Chilled and hot water generator 0.1 or less Less than 0.01

2 Sulfur oxide Nm3/h

Boiler No.1 0.53 or less Less than 0.01

Boiler No.2 0.53 or less Less than 0.01Chilled and hot water generator 0.53 or less Less than 0.01

3 Nitrogen oxide ppm

Boiler No.1 180 or less 28

Boiler No.2 150 or less 87Chilled and hot water generator 150 or less 47

■ Water quality

No Item Unit Standard Measured value

1 Hydrogen-ion concentration pH 5.8~8.6 6.8

2 Biochemical oxygen demand (BOD)

mg/L

30 1.5

3 Amount of suspended substances 70 1

4 Normal hexane extracts 5 or less Less than 1

5 Chromium content 2 or less Less than 0.1

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 13,549

2 Fuel gas consumed (LPG) ton 292

3 Water consumed (tap water)m3

7,127

4 Water consumed (ground water) 16,415

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

152

2 Final disposal amount 0

Miyagi Plant

IPM Factory

Address: 3 Miyayachi, Sakura, Kakuda-shi, Miyagi Prefecture

Main products: Fuel Supply system products and Intelligent Power Module for Automotives

■ Air quality

No Regulated item Unit Facility Standard Measured value

1 Soot and dust g/Nm3Small boiler 0.3 or less Less than 0.01

Melting furnace No. 1 0.2 or less 0.02

2 Sulfur oxide Nm3/hSmall boiler 4.37 or less 0.18

Melting furnace No. 1 3.16 or less 0.1

3 Nitrogen oxide ppmSmall boiler 180 or less 74

Melting furnace No. 1 180 or less 42

■ Water quality

No Item Unit Standard Measured value

1 Hydrogen-ion concentration pH 5.8~8.6 7.2

2 Biochemical oxygen demand (BOD)

mg/L

30 or less 7.8

3 Amount of suspended substances 70 or less 6

4 Normal hexane extracts 5 or less 2

5 Chromium content 2 or less Less than 0.1

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 14,577

2 Fuel consumed (fuel oil A) KL 434

3 Fuel gas consumed (LPG) ton 318

4 Water consumed (tap water)m3 56,003

5 Water consumed (ground water) 5,815

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

144

2 Final disposal amount 0

■ PRTR substances (kg)

No Item Handled quantity Air emissions

Transfer(outside the office concerned)

1 Methylnaphthalene 5,102 26 0

ECU Factory

Address: 4-3 Miyayachi, Sakura, Kakuda-shi, Miyagi Prefecture

Main products: Electronic control unit system products for Motorcycle and power products and Automotives

■ Air quality

No Regulated item Unit Facility Standard Measured value

1 Soot and dust g/Nm3Boiler No.1 0.3 or less 0.14

Boiler No.2 0.3 or less 0.0098

2 Sulfur oxide Nm3/hBoiler No.1 1.4 or less 0.11

Boiler No.2 1.4 or less 0.14

3 Nitrogen oxide ppmBoiler No.1 180 or less 78

Boiler No.2 180 or less 97

■ Water quality

No Item Unit Standard Measured value

1 Hydrogen-ion concentration pH 5.8~8.6 7.5

2 Biochemical oxygen demand (BOD)

mg/L

160 or less 20

3 Amount of suspended substances 200 or less 2

4 Normal hexane extracts 30 or less Less than 1

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 6,042

2 Fuel consumed (fuel oil A) kL 38

3 Fuel gas consumed (LPG) ton 13

4 Water consumed (tap water) m3 12,034

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

50

2 Final disposal amount 0

■ PRTR substances (kg)

No Item Handled quantity Air emissions

Transfer(outside the office concerned)

1 HCFC-225 3,391 3,181 210

2 Toluene 3,827 764 3,059

Domestic base data

Keihin Environmental Report 2018Keihin Environmental Report 2018 4140

Environmental Related Data

Environmental Related Data

Keihin Sakura Corporation

Address: 13-1 Suwawaki-minami, Sakura, Kakuda-shi, Miyagi Prefecture

Main products: Motorcycle and power products and automotive products

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 1,892

2 Fuel consumed (light oil) kL 7.1

3 Fuel consumed (heating oil) ton 2.6

4 Water consumed (tap water) m3 4,920

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

7.0

2 Final disposal amount 0

Keihin Nasu Corporation

Address: 818 Kanaga, Nasukarasuyama-shi, Tochigi Prefecture

Main products: Motorcycle and power products and automotive products

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 4,539

2 Fuel consumed (heating oil) kL 21.8

3 Fuel gas consumed (LPG) ton 167

4 Water consumed (tap water) m3 1,914

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

15.0

2 Final disposal amount 0

■ PRTR substances (kg)

No Item Handled quantity

Air emissions

Transfer(outside the office concerned)

1 1-bromopropane 4,818 3,408 0

Keihin Watari Co., Ltd.

Address: 1-5 Doda, Okuma-koya, Watari-cho, Watarigun, Miyagi Prefecture

Main products: Motorcycle and power products, fuel supply system products for automotives

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 4,320

2 Fuel consumed (light oil) kL 3.1

3 Fuel gas consumed (LPG) ton 107

4 Water consumed (tap water) m3 18,193

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

45

2 Final disposal amount 0

Keihin Electronics Technology Inc.

Address: Senhagi Bldg. 2F, 5-1-12 Tsutsujigaoka, Miyagino-ku, Sendai-shi, Miyagi Prefecture

Business activities: Research and development of motorcycle and power products and automotive products

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 148

Keihin Valve Corp.

Address: 1-9-1, Maruyama, Isogo-ku, Yokohama-shi, Kanagawa Prefecture

Main products: Automatic valves, etc.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 171

2 Fuel gas consumed (city gas) 1000m3 3.5

3 Water consumed (tap water) m3 1,074

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

2.0

2 Final disposal amount 0

Keihin Thermal Technology Corporation

Address: 1-480, Inuzuka, Oyama-shi, Tochigi

Main products: Air conditioning system products (heat exchangers)

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 14,600

2 Fuel gas consumed (LPG) 1000m3 2,228

3 Water consumed (tap water) m3 957,602

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

475

2 Final disposal amount 0

Sayama Plant

Address: 481-1 Hiranoshita, Nakashinden, Sayamashi, Saitama Prefecture

Main products: Automotive products and Air conditioning system products (HVAC)

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 2,032

2 Fuel gas consumed (LPG) ton 3.3

3 Water consumed (tap water) m3 5,042

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

19.3

2 Final disposal amount 0

Tochigi Research & Development Center

Address: 2021-8 Hoshakuji, Takanezawa-machi, Shioyagun, Tochigi Prefecture

Business activities: Overall control of Tochigi area, business management, research and development Overall control of Tochigi area, research and development

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 18,006

2 Fuel gas consumed (LPG) ton 26.8

3 Water consumed (tap water) m3 46,371

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

35.0

2 Final disposal amount 0

■ PRTR substances (kg)

No Item Handled quantity

Air emissions

Transfer(outside the office concerned)

1 Xylene 1,489 889 600

2 Toluene 4,953 2,679 2,274

Suzuka Plant

Address: 3361-1, Ichigaya, Kou-cho, Suzuka-shi, Mie Prefecture

Main products: Fuel Supply system products for Automotives and Air conditioning system products (HVAC)

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 3,584

2 Fuel gas consumed (LPG) ton 3.2

3 Water consumed (tap water) m3 4,330

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

13.0

2 Final disposal amount 0

Kakuda Research & Development Center

Address: 197-1 Nagare, Kakuda, Kakuda-shi, Miyagi Prefecture

Business activities: Overall control of Miyagi area, research and development

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 1,956

2 Fuel gas consumed (LPG) ton 8.1

3 Fuel consumed (heating oil) KL 11.2

4 Water consumed (tap water) m3 5,437

■ Waste materials

No Item Unit Achieved value

1 Generated volumeton

8.5

2 Final disposal amount 0

Domestic base data Domestic base data (Domestic subsidiary companies)

Keihin Environmental Report 2018Keihin Environmental Report 2018 4342

Environmental Related Data

Environmental Related Data

North America

Keihin Carolina System Technology, LLC.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 10,985

2 Fuel consumed (heating oil) kL 115

3 Fuel gas consumed (LPG) ton 32

4 Water consumed (tap water) m3 5,402

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 6

Keihin IPT Mfg, LLC.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 46,077

2 Fuel gas consumed (LNG) ton 3,019

3 Water consumed (tap water) m3 73,215

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 243

Keihin Michigan Manufacturing, LLC.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 4,921

2 Fuel gas consumed (city gas) 1000m3 1

3 Water consumed (tap water) m3 5,299

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 70

Keihin Thermal Technology of America, Inc.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 21,608

2 Fuel consumed (light oil) kL 6.0

3 Fuel gas consumed (LPG) ton 30

4 Fuel gas consumed (city gas) 1000m3 676

5 Water consumed (tap water) m3 59,000

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 420

South America

Keihin Tecnologia do Brasil Ltda.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 2,749

2 Fuel consumed (light oil) kL 6

3 Fuel gas consumed (LPG) ton 259

4 Water consumed (industrial water) m3 9,477

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 355

Mexico

Keihin de Mexico S.A. de C.V.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 15,747

2 Fuel gas consumed (LPG) ton 1,700

3 Water consumed (tap water) m3 26,265

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 1,410

Thailand

Keihin Asia Bangkok Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 116

2 Water consumed (tap water) m3 661

Keihin (Thailand) Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 29,690

2 Fuel consumed (light oil) kL 4.8

3 Fuel gas consumed (LPG) ton 896

4 Water consumed (tap water) m3 237,366

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 2,504

Keihin Auto Parts (Thailand) Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 6,059

2 Fuel gas consumed (LPG) ton 4

3 Water consumed (tap water) m3 28,623

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 117

Keihin Thermal Technology (Thailand) Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 12,118

2 Fuel gas consumed (city gas) 1000m3 291

3 Water consumed (tap water) m3 38,435

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 722

India

Keihin India Manufacturing Pvt. Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 1,610

2 Fuel consumed (light oil) kL 35

3 Water consumed (tap water) m3 1,213

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 235

Keihin FIE Pvt. Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 15,361

2 Fuel consumed (light oil) KL 482

3 Fuel gas consumed (LPG) ton 247

4 Fuel gas consumed (LNG) 1000m3 413

5 Water consumed (tap water) m3 105,365

6 Water consumed (industrial water) m3 53,635

7 Water consumed (groundwater) m3 45,041

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 2,726

Overseas base data

Keihin Environmental Report 2018Keihin Environmental Report 2018 4544

Environmental Related Data

Environmental Related Data

Indonesia

PT Keihin Indonesia

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 21,391

2 Fuel gas consumed (LPG) ton 3,404

3 Water consumed (tap water) m3 82,692

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 1,012

Vietnam

Keihin Vietnam Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 3,517

2 Fuel consumed (light oil) KL 100

3 Fuel gas consumed (LPG) ton 147

3 Water consumed (tap water) m3 32,934

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 361

Malaysia

Keihin Malaysia Manufacturing SDN. BHD.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 94

Taiwan

Taiwan Keihin Carburetor Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 2,230

2 Fuel consumed (light oil) KL 2.2

3 Fuel gas consumed (LPG) ton 177

4 Water consumed (tap water) m3 18,837

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 40

China

Dongguan Keihin Engine Management System Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 18,348

2 Fuel consumed (light oil) KL 7.6

3 Fuel gas consumed (LNG) 1000m3 801

4 Water consumed (tap water) m3 71,035

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 1,932

Nanjing Keihin Carburetor Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 12,265

2 Fuel consumed (light oil) KL 67

3 Fuel gas consumed (LPG) ton 599

4 Water consumed (tap water) m3 92,315

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 96

Keihin R&D China Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 791

2 Water consumed (tap water) m3 2,018

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 4

Keihin Grand Ocean Thermal Technology (Dalian) Co., Ltd.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 19,358

2 Fuel gas consumed (LPG) ton 351

3 Water consumed (tap water) m3 47,816

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 162

Czech

Keihin Thermal Technology Czech, s.r.o.

■ Energy

No Item Unit Achieved value

1 Electricity consumed MWH 10,743

2 Fuel gas consumed (LNG) 1000m3 590

3 Water consumed (tap water) m3 29,156

■ Waste materials

No Item Unit Achieved value

1 Generated volume ton 814

Overseas base data

Keihin Environmental Report 2018Keihin Environmental Report 2018 4746

Issued September 2018