TOYOTA Green Purchasing Guidelines
November 2011
TOYOTA MOTOR CORPORATION
Contents
I. Introduction............................................................. 1 II. Enhancing and Reinforcing Environmental Management ....................... 2 1. Establishment of Environmental Management System .......................... 3 2. Management of Products and Materials Delivered to Toyota...................... 4 1) Vehicle parts (including parts for customized vehicles), accessories, and raw materials (including packaging materials for these items) a. Management of Substances of Concern (SOC) and Recycling Initiatives a) Management of SOC and material data during the development/design stage b) Management of SOC during the production stage c) Management of SOC in packaging materials d) Material labeling on plastic/rubber parts e) Improving the SOC management system b. Eco-VAS (LCA) Initiatives ............................................ 6 2) Raw Materials and Supplementary Materials used at Plants .................... 7 a).Management of Substances of Concern 3. Environmental Initiatives Related to Supplier Business Activities .................. 8 1) Compliance with environmental laws and regulations 2) Improving environmental performance 4. Reduction of CO2 Emissions and Packaging and Wrapping Materials in Logistics ..................................................... 9 1) Logistics Performed at the request of Toyota 2) Delivery of Goods to Toyota Glossary of laws related to chemical substances Other glossary
Ⅰ Introduction Toyota Motor Corporation has been making continuous efforts since its foundation to contribute to the sustainable development of society through its corporate activities with a focus on providing innovative and high-quality products and services. Based on its experience over the years, Toyota established its own methods and values to be shared among Toyota group companies, and summarized them into what is known as the “Guiding Principles at Toyota” (originally issued in 1992 and revised in 1997). Paragraph 3 of the Guiding Principles specifies our environmental responsibility: “Dedicate ourselves to providing clean and safe products and to enhancing quality of life everywhere through all our activities.” This responsibility forms the fundamental principle of our environmental initiative. To provide clean and safe products, it is essential that all Toyota Group companies and business partners make a concerted effort to tackle environmental issues. To meet social expectations for the company’s environmental efforts, including preventing global warming and properly managing and reducing our use of substances of concern, we must carry out corporate activities worldwide from a global point of view. In the light of this background, we issued “Environmental Purchasing Guidelines” in March 1999, and these were subsequently reviewed and improved in March 2006 under the name “TOYOTA Green Purchasing Guidelines.” As our corporate social responsibility to provide clean and safe products is becoming ever higher, we have revised the Guidelines, taking into consideration recent changes in the environmental laws and regulations. We would like our business partners to understand our intent behind this revision and ensure that their daily environmental initiatives follow the new TOYOTA Green Purchasing Guidelines. The TOYOTA Green Purchasing Guidelines will be reviewed and updated promptly when necessary to keep up with the rapidly changing environmental regulations, and published on our website. You will be informed of any changes and will thus always be able to access the latest version of the Guidelines.
Yasumori
Ihara
Chief Purchasing Officer Director, Senior Managing Officer
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Ⅱ Enhancing and Reinforcing Environmental Management Toyota expects its business partners to ensure “long-term and stable procurement of the best products at the lowest price in the most speedy and timely manner,” based on thorough compliance with all applicable laws, regulations, and social norms and consideration for the environment. From the standpoint of customers who purchase our products, we ask you to “build quality” into all processes for Toyota products, from development to production and shipment/logistics, from the standpoint of customers who purchase our products. We further request that you undertake environmental initiatives such as those described below. Specific requests will vary from industry to industry, so please refer to the table below. Toyota will periodically confirm the status of implementation of the activities described in these Guidelines based on the content of each activity.
1. Establishment of Environmental Management System( ISO 14001 and others)
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a) Management of SOC and material data during the development/design stage
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b) Management of SOC during the production stage
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c) Management of SOC in packaging materials
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d) Material labeling on plastic/rubber parts
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e) Improving the SOC management system
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Design; Construction Cleaning; Landscaping
Logistics
Packaging materials
Raw materials; Supplementary materials
Environmental Activities
Parts Accessories
Business partners
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Applicabl e page number
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2. Management of products and materials supplied to Toyota 1) Vehicle parts (including parts for customized vehicles), accessories, and raw materials
a. Management of substances of concern and recycling initiatives
b. ECO-VAS (LCA) initiatives 2) Raw materials, supplementary materials, packaging materials, etc. used in plants and logistics centers
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a).Management of SOC
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3. Environmental initiatives relating to business partners’’ activities 1) Compliance with environmental laws & regulations 2) Enhancement of environmental performance
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4. Reduction of CO2 emissions and packaging and wrapping materials in logistics
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1) Logistics performed at the request of Toyota 2) Delivery of goods to Toyota
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Notes: 1. Parts and accessories: Business partners who have concluded a Parts Supply Basic Agreement or a Customize and Redesign Supply Basic Agreement 2. Raw materials and supplementary materials: Business partners who have concluded a Materials Supply Basic Agreement 3. Packaging materials: Some business partners who have concluded a Parts Supply Basic Agreement or a Materials Supply Basic Agreement, and business partners who have a contract for equipment packaging work 4. Logistics: Some business partners (logistics companies) who have concluded a Service Outsourcing Basic Agreement 5. Equipment, construction, cleaning, and landscaping: Business partners who have concluded an Equipment/Facility Supply Basic Agreement, a Construction Subcontracting Basic Agreement, or a Service Outsourcing Basic Agreement
1. Establishment of Environmental Management System Toyota undertakes systematic management of environmental preservation activities and works to continuously improve these activities.
environmental management systems necessary to implement and All improve activities to preserve the environment and to make efforts to reduce environmental risk and improve environmental performance. To ensure proper environmental management, as our business partners, you are requested to acquire and maintain ISO 14001 certification or a similar environmental management certification* issued by an external authentication organization. We will check on the certification acquisition status of each of our business partners where necessary. * Please consult us for applicable standards.
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2. Management of Products and Materials delivered to Toyota Earth Summit 2002 held in Johannesberg adopted the goal that “Chemicals are produced and used in ways that lead to the minimization of significant adverse effects on human health and the environment by the year 2020.” International agreement was reached in 2006 on this goal, and the countries concerned are making efforts toward this goal. It is said that approximately 100,000 different chemical substances are currently produced and sold worldwide, some of which have the potential to affect the environment and human health. Conventionally, laws and regulations on chemical substances are formulated by individual countries, based on the principle of prohibiting the use of potentially hazardous substances. This principle has been changing recently: the mainstream principle today is that each company should voluntarily evaluate the potential risk of each chemical substance whether its use is prohibited or not, and should manage the use of each substance properly. Under these circumstances, companies that use chemical substances are required to carry out the following tasks: (1) Identify each chemical substance used and evaluate its risk. (2) Take appropriate countermeasures to avoid the risk. (3) Provide information to the government and society.
1) Vehicle parts (including parts for customized vehicles), accessories, and raw materials (including packaging materials for these items) a. Management of Substances of Concern and Recycling Initiatives Toyota has been implementing initiatives to manage substances of concern (SOC) and improve their recycling rates ahead of Japanese and overseas legislation, such as the EU ELV Directive, the EU REACH Regulation, and the Chemical Substances Control Law of Japan. All applicable business partners are requested to deliver parts and raw materials etc. in compliance with laws, Toyota standards and various quality management manuals pertaining to items a) through e) below, and report the history of their use to Toyota. a) Management of SOC and material data during the development/design stage ‚ Parts and accessories ƒ Follow Toyota technical standard TSZ0001G: “Methods ‚ Raw materials of Assessing Substances of Concern” when managing information on the use of SOC, and eliminating or reducing their use. ƒ Make sure that you enter the data on materials and chemical substances used in products into the IMDS by the designated deadline. ƒ For applicable substances, use the latest version of GADSL. ƒ Business partners are requested to enter data for all newly-adopted parts. ƒ Toyota will implement IMDS-based material data management globally as a tool for controlling the recycling rates of chemical substances. b) Management of SOC during the production stage ƒ Toyota quality management standard “Substances of Concern ‚ Parts and accessories Management Standard” specifies ‚ Raw materials the control requiring substances such as lead, cadmium, mercury, hexavalent chromium, and asbestos. ƒ Manage the elimination and reduction in use of the above controlled substances in accordance with Toyota quality management standard “Substances of Concern Management Standard” and other relevant quality management manuals (such as SQAM). ƒ Please contact Quality Division, Administration Dept about the details. c) Management of SOC in packaging materials ƒ Manage SOC in accordance with LMS SAZ0001n: “Supplier ‚ Parts and accessories Manual for Management of Chemical ‚ Raw materials and supplementary materials Substances in Packaging Materials.” ƒ When introducing new packaging materials, select materials that do not contain any of the prohibited or restricted substances specified in TSZ0001G. ƒ When delivering the initial version of newly-adopted packaging materials, specify the control requiring substances, DMF besides the substances in b), and follow the management of eliminating or reducing their use.
d) Material labeling on plastic/rubber parts ƒ Business partners are required to indicate material in ‚ Parts and accessories compliance with the relevant laws and regulations in Europe, Japan, South Korea, and the U.S. ƒ In 1992, Toyota adopted a material labeling system for plastic/rubber parts that meets the international standard. This system is based on the material labeling guidelines of the Japan Automobile Manufacturers Association (JAMA) and applies to over weighing 100g plastic parts and 200g rubber parts. ƒ In addition, as for plastic parts weighing 100g or less, business partners are required to indicate materials where possible. e) Improving the SOC management system ƒ Improve the management system based on the SOC ‚ Parts and accessories Management System Check Sheet attached to Toyota ‚ Raw materials quality management standard “Substances of Concern Management Standard.” ƒ We will check on the management, followed by the above, of each business partner.
Following is a list of the relevant standards/manuals and a list of documents to be submitted to Toyota. Business partners are requested to confirm the content of these lists and take action as necessary to meet the requirements. Applicable business partners
Toyota standards, etc.
Standard Parts and accessories Manual
Raw materials
Standard Manual
Methods of Assessing Substances of Concern（TSZ0001G） Method of Material Labeling on Plastic and Rubber Parts（TSZ6005G） Substances of Concern Management Standard（Quality Standard） Substances of Concern Management Standard in Accessories（CAQS508） Antirust Standard for Service Parts Quality Assurance Manual for Toyota Purchase Parts (SQAM for production parts) Supplier Quality Assurance Manual for Service Parts (SQAM for service parts) Supplier Quality Assurance Manual for Toyota Genuine Accessories (SQAM for accessories, and CAQS509) Supplier Manual for Management of Chemical Substances in Packaging Materials (LMS SAZ0001n) Methods of Assessing Substances of Concern (TSZ0001G) Substances of Concern Management Standard (Quality Standard) Quality Assurance Manual for Toyota Purchase Materials (SQAM for materials)
Toyota IMDS Data Entry Manual http://www.mdsystem.com/magnooliaPublic/ja/public/faq/OEMInfo/Toyota.html SQAM: Supplier Quality Assurance Manual
(Refer to the above list of Toyota standards.) Applicable business partners
Submitted document/Data to be entered
IMDS material data
Parts, accessories, and raw materials
Part/material inspection method ‚ Report on Confirmed Non-Use of SOC* ‚ Initial Management Plan Information Sheet ‚ Certificate of Engineering Change to Service Parts Report on Confirmed Non-Use of SOC (for packaging materials)** Report on Registration/Notification of Packaging Material**
Declaration of Non-Use of Prohibited Substances Specified in the EU ELV Directive
Submitted to
Time submitted
During the parts development/design stage, and during an engineering change in a production part
Division in charge of controlling inspections Production Parts Logistics Division Service Parts Logistics Division Materials & Facilities Purchasing Division
During the parts production stage
When delivering newly-adopted packaging materials
When starting a new transaction
*: A report form for parts, accessories, and raw materials is attached to Quality standard “Substances of Concern Management Standard” and CAQS508: “Substances of Concern Management Standard in Accessories.” **: A report form for packaging materials is attached to LSM SAZ0001n: “Supplier Manual for Management of Chemical Substances in Packaging Materials.”
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Toyota introduced Eco-VAS, a comprehensive environmental impact evaluation -Parts system for vehicle development, in 2005, to reduce environmental impact. Lifecycle -Raw materials assessment (LCA) methods are used to determine the environmental impact of vehicles throughout their life times. Business partners that provide applicable parts and raw materials are requested to submit environmental data. Please submit data for the items indicated below in accordance with (Note) . the Parts Manufacturing Environmental Data Survey Guidelines (Note) The Parts Manufacturing Environmental Data Survey Guidelines are not included with this document. If you have any questions concerning the methods of obtaining a copy of the Guidelines, please contact the responsible Toyota department.
For the purposes of LCA, we may confirm the change in environmental impact of any newly adopted parts or any parts whose design has been modified with respect to earlier parts. Item Parts manufacturing environmental data
Survey data
Survey content • Energy consumption • Atmospheric releases of CO2, NOx, and other substances • Waste volume
Parts selected by Toyota (Designated form)
Time submitted
Submitted documents Parts Manufacturing Environmental Data Survey Form (Designated form)
End of August each year (requests are made approximately two months in advance) (In the case of design changes, requests for the submission of data may be made at every change)
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What is Eco-VAS ?
The chief engineer responsible for a particular vehicle sets environmental impact reduction targets for that vehicle at the planning stage and continually checks target-achievement status from the start of the development process through to the start of production. Items for assessment of environmental impact under Eco-VAS (six categories): Fuel efficiency, emissions, noise, disposal recovery rate, substances of concern, and lifecycle environmental impact.
2) Raw Materials*1, Supplementary Materials, and Packaging Materials*2 Used at Plants or Logistic Centers a) Management of Substances of Concern In addition to ensuring thorough legal compliance, Toyota has been an active proponent of voluntary measures to reduce and completely eliminate the use of substances of concern at plants and in production processes. ƒ Ensure that all materials (including oil/lubricant contained in equipment, and agrochemicals and other chemicals) to be delivered or brought in to Toyota do not contain any of the prohibited substances specified in Toyota standard TMR SAS0126n.
‚ Raw materials and supplementary materials ‚ Packaging materials ‚ Equipment, construction, cleaning, and landscaping ƒ When planning to adopt a new raw or supplementary ‚ Raw materials and supplementary material, examine the composition of each material to be delivered, and enter the data materials that is put on the Report on Composition of Materials to Be Delivered, Material Safety Data Sheet (MSDS) for chemical substances, etc. into Eco Research Company’s PRTR WORLD product registration system to enable prior assessment. After entering the data, a product identification code (global ID) will be assigned. Inform the adoption planning department of the assigned ID. ƒ In accordance with the Supplier Manual for Management of Chemical Substances in ‚ Packaging materials Packaging Materials (LMS SAZ0001n), confirm that the packaging materials to be delivered do not contain prohibited substances, and submit a Report on Confirmed Non-Use of SOC. *1: Raw materials that can adversely affect the environment, such as paints, raw plastic materials, adhesives, and sealants. For details, refer to TMR SAS0120n. *2: Packaging materials to be delivered to logistics centers The following is a list of relevant standards/manuals and a list of documents to be submitted to Toyota. Business partners are requested to confirm the content of these lists and take the action necessary to meet the requirements. Applicable business partners Raw materials and supplementary materials
Toyota standards, etc.
Standard
Standard Packaging materials Manual Equipment and construction Cleaning and landscaping
Standard Standard
Manual for Operation of Prior Assessment System for Environmental Preservation(TMR SAS0120n) List of Designated Reports on Composition of Materials to Be Delivered（TMR SAS0121n） Manual for Entering Data on the Report on Composition of Materials to Be Delivered (TMR SAS0125n) Substances Whose Use in Raw or Supplementary Materials is Prohibited (TMR SAS0126n) Methods of Assessing Substances of Concern （TSZ0001G） Supplier Manual for Management of Chemical Substances in Packaging Materials（LMS SAZ0000n） Information Regarding Regulations on Use of Chemical Substances in Packaging Materials (T-009 :Communication memo for equipment export) Mechanical Equipment Oiling/Lubrication Standard; Lubricant Labeling Manual (for consumable materials) （MMR SOM6003n） Lawn Maintenance Manual (UMS BMG0020n) Toyota Greening Standard Specifications (Materials and chemicals)
(Refer to the above list of Toyota standards.) Applicable business partners Raw materials and supplementary materials
Packaging materials
Submitted document/ Data to be entered Report on Composition of Materials to Be Delivered Material Safety Data Sheet (MSDS) for chemical substances Report on Confirmed Non-Use of SOC* Report on Registration/Notification of Packaging Material *
Submitted to
Time submitted
To be entered into Eco Research Company’s PRTR WORLD system
When planning to adopt new raw or supplementary materials
Production Parts Logistics Division Service Parts Logistics Division Production Engineering Planning Division
When delivering a newly-adopted packaging material
A report form is attached to LMS SAZ0001n: “Supplier Manual for Management of Chemical Substances in Packaging Materials.”
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3. Environmental Initiatives Related to Supplier Business Activities In addition to initiatives by Toyota Motor Corporation(TMC) on an unconsolidated basis, Toyota has teamed with consolidated companies throughout the world to set ambitious targets and work on various environmental improvement activities to achieve the targets. Our business partners should also take an active approach to environmental initiatives in their business activities.
1) Compliance with environmental laws and regulations
‚ All
Business partner’s activities must comply with all applicable environmental laws and regulations.
Documents to be submitted to Toyota and time of submittal Business partners do not need to submit compliance documents to Toyota, but Toyota will check on compliance as needed.
2) Improving environmental performance
‚ All
Business partners must work on improving the following items of environmental performance in their business activities: Environmental Initiatives 1. Reduction of CO2 emissions 2. Reduction of VOC* emissions 3. Reduction in the discharge of substances subject to the PRTR* law 4. Reduction of the volume of waste generated 5. Reduction of water consumption
Documents to be submitted to Toyota and time of submittal Business partners do not need to submit environmental improvement documents to Toyota, but Toyota will check on the improvements being made as needed.
4. Reduction of CO2 Emissions and Packaging Materials in Logistics Energy use in freight transportation accounted for approximately 10% of Japan’s total energyconsumption in FY2008, and reducing this consumption of energy is a major challenge to be addressed. In this regard, Toyota undertakes active measures to reduce CO2 emissions (energy consumption) in logistics. Toyota is also working to reduce the use of packaging materials. Our business partners involved are also requested to implement environmental measures in their logistical activities. ‚ Logistics
1) Logistics Performed at the Request of Toyota Business partners who are contracted to carry out logistics of completed vehicles, production parts, and service parts are requested to fully understand Toyota’s initiatives to reduce CO2 emissions and use of packaging materials, and cooperate with Toyota in implementing these initiatives. In order to make steady improvements, business partners are requested to maintain data on fuel consumption, distance traveled, fuel efficiency, and other items that indicate monthly performance and CO2 emissions per unit transported, and to report periodically on the status of activities.
Documents to be submitted to Toyota and time of submittal Submitted documents
CO2 emissions report (Designated form)
Time submitted Beginning of each month (for the previous month)
2) Delivery Logistics
‚ Parts and accessories ‚ Raw materials and supplementary materials
Business partners that deliver parts, raw materials, or supplementary materials to Toyota are requested to take measures to reduce CO2 emissions from their delivery logistics. They are further requested to cooperate with Toyota in implementing the initiatives to reduce the use of packaging materials.
Documents to be submitted to Toyota and time of submittal No documents need to be submitted. .
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Glossary of laws related to chemical substances (1) EU REACH Regulation EU’s regulation on the Registration, Evaluation, Authorization and Restriction of Chemicals, entered into force in 2007 (EC 07/2006) It places greater responsibility on industry to manage chemical substances. Under this regulation, each company is required to identify chemical substances used by the company or contained in its product and assess the risks from them. Toyota completed REACH pre-registration in 2008, and have been steadily implementing the full registration procedure starting in 2010. (2) EU CLP Regulation EU’s regulation on the Classification, Labeling, and Packaging of substances and mixtures, entered into force in 2009 (EC 1272/2008) This regulation has replaced earlier relevant directives to comply with the Globally Harmonized System of Classification and Labeling of Chemicals (GHS). This regulation requires EU-based manufacturers and importers of chemical substances to classify the substances by hazard, notify the classification to the appropriate governmental agency, and affix labels to chemical substances. (3) EU ELV Directive The ELV directive on the recycling of End-of-Life Vehicles, entered into force in 2000 (2000/53/EC) To reduce the environmental burden of end-of-life vehicles, this directive requires member states to restrict the use of chemical substances in vehicle parts and establish a network for recovering ELVs to increase the recycling rate. This directive does not apply to certain chemical substances that cannot be replaced by other substances in consideration of reliability. (4) EU’s Packaging and Packaging Waste Directive The directive on packaging and packaging waste, entered into force in 1994 (94/62/EC) To reduce the environmental burden of packaging, this directive requires the member states to restrict the use of chemical substances in packaging materials and establish a recovery and recycling system to increase the recycling rate. (5) TSCA (Toxic Substances Control Act) of the USA This act, instituted in 1976, is intended to protect human health and the environment from exposure to hazardous chemicals. Under the TSCA, the Environmental Protection Agency (EPA) requires information management (reporting and record-keeping), testing, and restrictions relating to chemical substances and/or mixtures, and regulates the production, importation, use, and disposal of specific chemicals. (6) Chemical Substances Control Law of Japan The law concerning the examination and regulation of the manufacture, etc. of chemical substances, enacted in 1974 This law requires prior examination of new industrial chemical substances and regulation of their manufacture and import into Japan depending on the hazardous properties of the substances. The primary objective of this law is to protect human health and plants/animals from possible hazards from chemical substances by evaluating the bioaccumulation potential, degradation properties, and toxicity of chemical substances and controlling their manufacture and import. (7) PRTR (Pollutant Release and Transfer Register) system This system requires any industrial facility using more than a certain amount of specified hazardous chemical substances to determine, collect and make public the amounts of chemical substances released by or transferred from the facility.
Other glossary 1) Vehicle parts Parts for mass-produced or customized vehicles, and service parts 2) Accessories Pure Toyota parts equipped at Toyota dealers (for example：floor mats, side visors, navigation systems, etc.) 3) Raw materials Sheet steel, steel, coating, adhesives, oil, coolants, etc. used at plants producing Toyota vehicles 4) Supplementary materials Cleaning solvents, cutting oil etc. that are not part of a vehicle but are used at plants producing Toyota vehicles 5) Packing materials Packaging materials delivered directly to Toyota, and those used for the shipment/transportation of vehicle parts and accessories 6) Eco-VAS (Eco-Vehicle Assessment System) Toyota’s comprehensive environmental impact evaluation system, that allows the systematic assessment of the environmental impact a vehicle will have as the result of its production, use and disposal 7) LCA (Life Cycle Assessment) A method of evaluating a product’s environmental impact throughout its whole lifecycle, from production to disposal 8) VOC (Volatile Organic Compounds) Organic compounds, such as solvents of paints and adhesives, that tend to evaporate under normal temperatures and pressures 9) ELV (End-of-Life Vehicles) Any vehicle that has come to the end of its useful life. Under the ELV Recycling Law, all vehicles collected by collection operators are defined as ELV. 10) IMDS (International Material Data System) A material data collection system common to the automotive industry. Suppliers of vehicle parts, etc. are expected to enter into this system data on product materials and contained chemical substances using a standardized format and process. 11) GADSL (Global Automotive Declarable Substance List) A list of reportable chemical substances, common to the automotive industry. The list has been agreed upon by the automotive manufacturers, automotive parts suppliers, and chemical manufacturers in Japan, Europe, and the U.S. to use when data is entered into the IMDS. 12) MSDS (Material Safety Data Sheet) A document that provides detailed information on the hazards of a chemical substance, which is necessary for the safe handling of the chemical substance or raw material that contains the substance 13) PBB (Poly Brominated Biphenyl), PBDE (Poly Brominated Diphenyl Ether), Deca-BDE (Deca-Brominated Diphenyl Ether) Brominated flame retardants for application to interior materials, seats, carpets, electrical/electronic components, etc. 14) HBCD (Hexabromo Cyclododecane) Brominated flame retardant for application to seat covers 15) PFOS (Perfluorooctane Sulfonic Acids) Perfluorinated organic compounds for application as a fluorochemical surfactant in semiconductors, metal plating, electrical/electronic components, etc. 16) DMF (Dimethyl Fumarate) Applicable as an antimold agent, but use is prohibited in Europe
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Published by: TOYOTA MOTOR CORPORATION Materials & Facilities Purchasing Division Environmental Affairs Division