Toyota Motor : Responses to inquiries from shareholders posted on the dedicated website in advance of the 120th Ordinary General Shareholders' Meeting

Responses to inquiries from shareholders posted on the dedicated website

in advance of the 120th Ordinary General Shareholders' Meeting

Among the inquiries from shareholders posted on the dedicated website in advance of the 120th Ordinary General Shareholders' Meeting, we hereby respond to those that are of major interest to shareholders.

What is "Multi-pathway Strategy"? Can it realize carbon neutrality?

In terms of carbon neutrality, which is a pressing issue, we plan to continue to decarbonize our manufacturing and supply chain, while in terms of mobility, we plan to deliver diverse solutions under our "multi-pathway strategy" to provide choices to our customers around the world. The fundamental idea behind this strategy is to get closer to "the future of energy" and "the expectations of our customers around the world. "

From the perspective of sustainability and considering the given characteristics of energy, we believe that in the medium- to long-term, "Electricity" and "Hydrogen" will become the dominant energy sources that will support future society. On the other hand, considering the global energy situation, in the short term, we believe that a variety of mobility options are needed to contribute to a stable supply of energy and the environment while protecting the bountiful lifestyles of people. With this in mind, we aim to achieve carbon neutrality without leaving anyone behind.

To meet the diverse needs of our customers, we are currently expanding sales of hybrid vehicles, which we believe are the most promising option for the time being, especially in emerging countries, while working to clearly position plug-in hybrid electric vehicles ("PHEVs") as "practical battery electric vehicles ("BEVs")" and strengthening development to increase the number of such options.

In BEVs, we are doing our utmost to develop the next generation of BEVs by leveraging the knowledge of our car business while strengthening our current lineup.

To realize a hydrogen society, through collaborations with various partners, we are accelerating the creation of the necessary foundation for the spread of hydrogen mobility, starting with commercial vehicles.

Please refer to "Integrated Report" p.35-51 for further details on our multi- pathway strategy.

How do you prevent recurrence of certification problems? What are your governance initiatives?

We apologize for any inconveniences and concerns this may have caused to our customers, shareholders, and all other concerned parties.

The "certification system" in Japan is a system to confirm that a vehicle has achieved the specified standards, mainly in the areas of "safety" and "environment," using measurement methods in accordance with the standards set by the government. Only when a vehicle meets such standards in the certification test, can it be mass-produced and sold. The problem this time lies in the fact that vehicles were mass-produced and sold without going through the correct certification process.

Currently, Chairman Toyoda, as the person responsible for the Toyota Group*, is spearheading efforts to make improvements rooted in the frontlines, including those that have been discovered at certain companies of the Toyota Group.

Specifically, the Toyota Production System ("TPS") self-study activity group has focused on processes where many defects have occurred in the operations related to certification, and by making a visualized "material and information flow diagram", we have initiated specific improvement activities in response to issues that were found. Going beyond their respective titles and companies, top management and those on the frontlines will work together to continue making improvements. We will expand these activities to the entire Toyota Group to create a corporate culture in which the frontlines have the sovereignty to engage in "creating ever-bettercars".

Please refer to "Integrated Report" p.6-12 for further details on our group vision.

Also, "TOYOTA TIMES" provides a detailed report on the question-and-answer session on the day of the General Shareholder's Meeting. https://toyotatimes.jp/report/shareholders_2024/001.html?padid=ag478_from_n ewsroom

• Toyota Industries Corporation, Toyota Motor Corporation, Aichi Steel Corporation, JTEKT CORPORATION, Toyota Auto Body Co., Ltd., Toyota Tsusho Corporation, AISIN CORPORATION, DENSO Corporation, TOYOTA BOSHOKU CORPORATION, TOYOTA FUDOSAN CO., LTD., TOYOTA CENTRAL R&D LABS., INC., Toyota Motor East Japan, Inc., Toyoda Gosei Co., Ltd., Hino Motors, Ltd., Daihatsu Motor Co., Ltd., Toyota Housing Corporation, Toyota Motor Kyushu, Inc., Woven by Toyota, Inc. (As of June 30, 2024)

How will profits be returned to stakeholders?

Through product-centered management, we have been strengthening our business foundation while striving for "producing happiness for all." We have been working with our suppliers, dealers, and local communities, supporting and helping each other to build "a relationship where we can say 'thank you'" to each other in each country and region. These activities are supported by the ongoing support of our 100 million customers who use the vehicles we offer around the world as well as our nearly one million shareholders.

The automotive industry is a broad industry. Approximately 70% of our parts are purchased from suppliers, and we pay them for their parts. In addition, we plan to further give back to our stakeholders, such as by paying dividends to our shareholders, hiring employees, and paying taxes to governments and local communities.

We will continue to strive for "Toyota-style growth and returns" so that when we look back over the long term, we can hear our stakeholders say "I am glad to

have been associated with Toyota. "

Please refer to "Integrated Report" p.74-77 for further details on this matter.

What is Woven City's current status and future plans?

Woven City was built on the site of the former Higashi-Fuji Plant of Toyota Motor East Japan Corporation, which supported Toyota's production for 53 years from 1967. When the Higashi-Fuji Plant closed, many employees were concerned about what would happen to the plant in the future. It was during this time that Chairman (then President) Toyoda went to the site and spoke his mind. "I want to turn this into a test course for the future", he said unintentionally, and that was the origin of Woven City.

The first phase of construction is scheduled to be completed next year. Woven City will not be built on a vacant lot, but on the history of the passion of our colleagues who have worked for the automobile industry and the community for half a century. The city continues to take on challenges, led by young people, with the belief that "actions today will change how the future looks."

What is the status of safety initiatives?

The number of traffic fatalities in Japan was highest about 50 years ago at 16,000 per year and has now dropped to below 3,000 per year. It is important that we continue to act toward the goal of zero traffic fatalities.

"Safety technology can only contribute to society if it is widespread, and that this calls for partnerships rather than just competition." With this belief in mind, we are promoting discussions and building alliances toward the goal of zero fatalities from traffic safety. When moving toward the goal of zero traffic fatalities, the key lies not in each of us thriving on our own, but rather in spurring vast collaboration through which we all contribute to traffic safety. We will work toward the goal of zero traffic fatalities by collaborating with colleagues who share the same goals and also taking

individual actions toward the formation of a mobility society.

Please refer to "Integrated Report" p.92-94 for details of our efforts on vehicle safety.

What is the status of efforts to secure human resources?

In all countries and regions where we operate businesses, we aim to produce smiles in all stakeholders through business activities that are not only "compliant" with respective laws, systems, and international obligations and have "respect for human rights" but also bear in mind "reducing the environmental impact".

The driving force behind this is people, and we believe it is extremely important to create an environment in which each and every employee can devote themselves to their work cheerfully, happily, and energetically, while making the most of their individuality. We are working to create a comfortable work environment that transcends gender and age, and that supports diversity.

As automotive industry is a broad industry, and securing a workforce is an important issue for the entire industry, including suppliers. There are 5.5 million people in Japan who support the automotive industry, and many more around the world. We will continue our efforts to increase the attractiveness of the industry as a whole such that people will want to join us.

The future of the automotive industry cannot be created by our company alone; it must be created together with many others. We will continue to "invest in people" to pass on technology and skills throughout the industry and support manufacturing in Japan.

Please refer to "Integrated Report" p.83-87 for further details of our efforts in human resource development, diversity, etc.