Basic Concept

In recent years, the increasing severity and frequency of extreme weather events associated with global warming have been causing serious impacts around the world. In these circumstances, under the Paris Agreement, global efforts to limit the rise in temperature to 1.5°C and initiatives to achieve net zero greenhouse gas emissions are accelerating.
Based on the principles of “Sho-Sho-Kei-Tan-Bi (Smaller, Fewer, Lighter, Shorter, Beauty),” Suzuki has been providing products with a low environmental impact while working to improve energy efficiency and reduce carbon emissions in production processes. Furthermore, we have adopted “Minimization of Energy” as a technology strategy, and are working to reduce CO₂ emissions by minimizing the energy required throughout the entire product lifecycle.
Going forward, we will further advance our initiatives through lightweight technology, high-efficiency technology, electrification, adoption of carbon-neutral fuels, and expanded use of renewable energy, and we will contribute to achieving the 1.5°C goal through climate science-aligned initiatives.

Carbon neutrality achievement targets

Suzuki has positioned addressing climate change as one of its most important management issues, and aims to achieve carbon neutrality in Scope 1 and 2 globally by 2050. Previously, the growth strategy announced in January 2023 denoted 2070 as the target year for achieving carbon neutrality in India, in line with the Indian Government’s own targets. However, in light of societal requests and international trends, our target has been updated to achieve net-zero Scope 1 and Scope 2 emissions globally by 2050. This target is in line with the 1.5°C goal of the Paris Agreement, and the Company has also set an interim target of reducing CO2 emissions by 42% from the FY2022 level by FY2030. In addition to its efforts in Scope 1 and 2, Suzuki will continue to work on reducing CO2 emissions from other indirect emissions (Scope 3) that occur throughout the value chain, including raw material procurement, logistics, sales, and disposal.
Through its global business operations, Suzuki will promote optimal measures tailored to the characteristics and social issues of each region, thereby contributing to the realization of a sustainable society.

Total global (Scope 1 and Scope 2) reduction target
(Set intermediate target in line with the 1.5°C goal of the Paris Agreement)

Efforts Related to Product Use

Disclosure of the entire value chain's greenhouse gas emissions

At Suzuki we believe it is necessary to ascertain and disclose greenhouse gas emissions in order to reduce emissions resulting from business activities such as purchasing raw materials and parts and manufacturing and selling products, and since FY2013, this belief has led us to engage in efforts to grasp not only greenhouse gas emissions resulting from business activities but also greenhouse gas emissions throughout the entire value chain^*1.
GHG emissions generated through the entire value chain during FY2025 stood at 115.97 million t-CO₂, of which the emissions falling under Scope 3 (indirect emissions from other activities)^*1 were 114.99 million t-CO₂ that include 89.11 million t-CO₂ classified into Category 11 (use of products sold by Suzuki)^*2 accounting for 76.8% of the total emissions through the overall value chain.
Recognizing that to reduce the total GHG emissions in the entire value chain it is very important to reduce the CO₂ emissions released through the use of our products, we will make continuous efforts to emphasize better fuel efficiency during product development and improvement.

• *1 Value chain: A method for organizing how all activities in a business contribute to final value. Consists of Scope 1, Scope 2, and Scope 3, which are calculated in accordance with the GHG Protocol*3 calculation standard. The business activities in a value chain include parts and materials procurement, manufacturing, delivery, sales and customer services, as well as administrative work and engineering development work that support these activities.
• *2 Category 11: Emissions associated with the use of Suzuki products sold in the relevant fiscal year until they are disposed of in the future.
• *3 GHG Protocol: A globally recognized framework for greenhouse gas accounting and reporting for calculating and reporting greenhouse gases (GHGs), led by the US environmental think tank WRI (World Resources Institute) and the WBCSD (World Business Council for Sustainable Development), a coalition of companies aiming for sustainable development.

Breakdown of FY2025 GHG emissions

Total GHG emissions released from the value chain: 115.97 mil. t-CO₂
[Calculation range] Suzuki Motor Corporation and 68 domestic and 44 overseas manufacturing and non-manufacturing subsidiaries
[Calculation period] From April 2025 to March 2026

Classification of each Scope 1 and 2 and Scope 3 category quantified by Suzuki

* Category 8 (Leased assets (upstream)) is excluded because it is included in Scope 1 and 2. Category 10 (Processing of sold products), Category 13 (leased assets (downstream)), Category 14 (Franchises) and Category 15 (Investments) are excluded because they are outside the scope of calculation.

Disclosure of GHG emissions in the entire value chain, Scope 1, 2, and 3

Items marked have received third-party assurance (10,000 t-CO₂)

	FY2022	FY2023	FY2024	FY2025
Entire value chain (total of Scope 1, 2, and 3)	10,370	10,871	11,091	11,597
Direct emissions from corporate activities (Scope 1*1)	42	41	41	41
Japan	15	15	14	13
Overseas	27	26	27	29
Indirect emissions from energies (Scope 2*1)	72	54	49	56
Japan	28	11	3	3
Overseas	45	43	46	54
Emissions from corporate activities (total of Scope 1 and 2)	114	95	90	98
Emissions from use of products by users (Scope 3: Category 11)*2	8,270	8,558	8,633	8,911
Other emissions (other than Scope 3: Category 11)	1,986	2,217	2,368	2,589
Other indirect emissions (total of Scope 3)	10,256	10,775	11,001	11,499

[FY2025 Emissions Calculation Parameters and Reporting Standards]
*1 <Scope 1 and 2>
・Boundary: Suzuki Motor Corporation, 68 domestic manufacturing and non-manufacturing subsidiaries and 44 overseas manufacturing and non-manufacturing subsidiaries
・Target gases: Greenhouse gases (seven gases: carbon dioxide, methane, dinitrogen monoxide, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride, nitrogen trifluoride)
・Calculation method: Scope 2, calculated based on the GHG Protocol’s market standards
・Emission coefficients
− Electricity: The latest basic emission factors by electric utility (FY2024 results, published on August 3, 2026) by electricity provider for Japan, and coefficients for 2023 from IEA Emissions Factors 2025 for overseas
− Fuel: Emission coefficients under Japan’s Mandatory Greenhouse Gas Accounting and Reporting System (Ver. 6.1) were used in Japan, and IPCC Guidelines 2006 were used overseas. Unit calorific values for city gas are those released by suppliers.

*2 <Scope 3 Category 11>
・Boundary: Suzuki Group
・Products subject to calculation: Automobiles, motorcycles, outboard motors, motorized wheelchairs, and other Suzuki products
・Outline of calculation method
− Calculated by multiplying the estimated lifetime running distance of products sold in the fiscal year under review by the emissions intensity for each model.
− Annual running distance and years of use are based on published information, primarily the IEA SMP Model.
− Emissions intensity for each model is based on the certified values prescribed by the regulations of each country and converted to WTW (Well-to-Wheel).

Suzuki Group Energy Consumption

(Unit: GWh)

Calculation range: Suzuki Motor Corporation and 68 domestic and 44 overseas manufacturing and non-manufacturing subsidiaries
(including consumption of renewable energy generated at sites)

Calculation of GHG emissions of products using the Life Cycle Assessment (LCA) method

In order to understand the environmental impact of our products, Suzuki uses the Life Cycle Assessment (LCA)^*1 method that quantitatively assesses environmental impacts not only during their use stage but also throughout their whole life cycle from raw material production to disposal. We promote reduction of environmental impacts by using LCA results^*2 in our product development^*3 and business activities.

• *1 Life Cycle Assessment: A method of evaluating a product as a whole by calculating its potential environmental impact at each stage of its life cycle, from raw material processing to disposal.
• *2 Evaluation results are shown as an index in order to check the relative environmental improvement effect.
• *3 Most CO₂ emissions from automobiles occur during the use stage. Suzuki is promoting R&D to reduce CO₂ emissions during the use stage. For example, XBEE reduces CO₂ by approximately 16.3% compared to its predecessor model. Please check here to learn more about Suzuki's next-generation technology.

Suzuki's next-generation technology

* The linked page is available in Japanese only.

Suzuki LCA Evaluation Stages

Ratio of CO₂ emissions of Suzuki vehicles by life cycle stages

• * Result of a vehicle’s service life of 110,000 km (13 years) when driven in WLTC mode.
• * Use stage considers production of replacement parts, including tires, engine oil, and batteries.

Ratio of CO₂ Emissions by Model

• * Result of a vehicle’s service life of 110,000 km (13 years) when driven in WLTC mode.
• * “MH” represents Mild Hybrid vehicles.

Design and development efforts

Efforts for automobiles

Development of electric vehicles, etc.

Suzuki is developing electric vehicles (BEVs) based on the conditions of each country around the world and the way that customers use them toward the realization of a carbon neutral society.
In January 2026, we launched the “e VITARA” in Japan as the first model in Suzuki's global BEV strategy. The “e VITARA” was selected as one of the “10 Best Cars” for the 2025-2026 Japan Car of the Year. Additionally, in March 2026, we launched the all-new mini-commercial BEV van “e EVERY.” Furthermore, at the Japan Mobility Show 2025 held in October and November 2025, we exhibited the concept model of BEV mini car “Vision e-Sky” that is designed to be "Just Right" for customers' daily lives. We plan to announce the new model of BEV mini car “e SKY” in Japan in the fall of 2026.
Going forward, we will continue to promote initiatives aimed at realizing carbon neutrality under the slogan “By Your Side.”

In FY2025, the first year of BEV introduction, sales totaled approximately 8,000 units.

Launch of a joint demonstration project with farmers for BEV mini trucks
* The linked page is available in Japanese only.

Announcement of preliminary information on Suzuki's first mini passenger EV, the new “e SKY”
* The linked page is available in Japanese only.

Global average CO₂ emissions of new vehicle sales^*1

• To reduce CO₂ emissions, which are considered to be a factor in climate change, Suzuki has established a target for automobile products under the “Suzuki Environmental Plan 2025” for “reducing the global average CO₂ emissions of new vehicle sales by 30% (compared to FY2010 results),” and has continued to work on reducing environmental impact.
• In FY2025, we achieved a 31.1% reduction compared to FY2010. We will continue to develop and promote electrification and CO₂ reduction technologies to further contribute to reducing CO₂ emissions.

Trends in Reducing Global Average new vehicle sales CO₂ Emissions

• *1: Average CO₂ emissions per vehicle for new vehicles (passenger cars) Suzuki sold globally.
  Calculated in accordance with internal regulations, used the fuel efficiencies (CO₂ emissions) that were measured under the specified method of each country, and took into account the entire process from fuel production to vehicle use (Well-to-Wheel). It is also calculated as a weighted average based on sales volume, reflecting the number of vehicles sold for each model.

Status of average CO₂ reductions in major markets

Status of Average CO₂ Reductions in Japan* (Passenger Cars)

Status of Average CO₂ Reductions in India

Status of Average CO₂ Reductions in Europe

[Japan]
79% (21% reduction): Reductions through increased composition ratios of mild hybrids, strong hybrids, and BEVs, as well as initiatives for weight reduction
[India]
69% (31% reduction): Reductions through improved engine efficiency across the entire passenger car lineup and the expansion of the CNG vehicle lineup
[Europe]
67% (33% reduction): Reductions through improved engine efficiency, market launch of BEVs, and a review of the product mix

Development of CNG^*1 vehicles

In recent years, concerns about global warming and urban air pollution have been raised in India. Natural gas, which fuels CNG vehicles, is mainly composed of methane (CH₄) that generates lower CO² and NOx emissions than petroleum- and coal-based fuels^*2, so Maruti Suzuki India promotes production and sales of CNG vehicles.

15 of our 19 vehicle models, including commercial vehicles, are CNG-powered. (as of March 31, 2026)

• *1 CNG (Compressed Natural Gas)
• *2 Source: The Institute of Energy Economics, Japan, FY2014 Study on Petroleum Industry Systems and Related Issues: Survey on the Expansion of Natural Gas Utilization in Light of Recent International Developments, March 2015. (Translation)

Sales of CNG vehicles of Maruti Suzuki India Limited in India (in thousand units)
Percentage of CNG vehicles among vehicles sold by Maruti Suzuki India Limited (%)

Comparison between CNG and gasoline vehicles (WagonR LXI 5MT comparison)

(Rs: Indian rupees)

Status of sales of models equipped with hybrid systems and CNG

• HEV and CNG vehicle sales combined comprised 54% of Suzuki sales in FY2025.
• We are implementing a comprehensive strategy to achieve carbon neutrality, including the future use of biogas.

Trends in Sales Volumes for Models Equipped with Hybrid Systems and CNG^*1

(Thousand units)

*1 Hybrid vehicles only in Japan, Europe, and other regions. Hybrid unit sales in Other regions are units exported from Japan and India. HEVs include Mild Hybrid, S-ENE CHARGE, and SHVS.
*2 The figures for “Total” and “Grand total” are the same because both represent the total number of units sold.

Initiatives for All-Solid-State Battery

Notice regarding Acquisition of All-Solid-State Battery Business from Kanadevia Corporation

Suzuki has entered into a business transfer agreement with Kanadevia Corporation (Headquarters: Osaka, Osaka Prefecture; Director, President & CEO: Michi Kuwahara; hereinafter “Kanadevia”) to acquire Kanadevia’s all-solid-state battery business, effective July 1, 2026 (hereinafter the “Business Acquisition”).
Kanadevia began the development of all-solid-state battery business in 2006. Through its proprietary dry manufacturing process, Kanadevia’s all-solid-state battery business offers high safety, including the absence of liquid leakage, excellent environmental resistance, and operation across a wide temperature range. These characteristics make them particularly strong for specialized applications such as in aerospace or in high-temperature, vacuum conditions.
Through this Business Acquisition, Suzuki will inherit and further develop the all-solid-state battery business technologies cultivated by Kanadevia.

Converting to A/C refrigerants with low global warming potential

Under the Act on Rational Use and Appropriate Management of Fluorocarbons (Fluorocarbon Emissions Control Act), A/C refrigerants used in passenger cars shipped to Japan must be converted to refrigerants with lower global warming potentials starting FY2023. Suzuki traditionally used HFC-134a as a passenger car A/C refrigerant, but as it has a high global warming potential, we have developed an air conditioning system using HFO-1234yf refrigerant, a refrigerant that has an extremely low global warming potential, and completed the transition to HFO-1234yf refrigerant in all passenger cars to be shipped to Japan by the end of FY2022.

Efforts for motorcycles

Development of EVs, etc.

Suzuki's Global BEV Strategy for Motorcycles

The new e-ACCESS is the first model in Suzuki's global BEV motorcycle strategy, a highly practical scooter with a convenient driving range and a sophisticated appearance.
We have built in quality through meticulous construction and high-intensity testing that focuses on the basic performance of “running, turning, and stopping,” which has been cultivated over many years.
Just like previous motorcycles, this new motorcycle offers a riding feel that is faithful to the rider’s intentions.
Production and sales began in India in January 2026, and exports are scheduled to begin sequentially.

Development of CNG bi-fuel motorcycle

At the Japan Mobility Show held in October and November 2025, we presented a concept model of a scooter compatible with both CNG (compressed natural gas) and gasoline.
CNG reduces CO₂ emissions by approximately 20% compared to gasoline and has long been used as a method to reduce environmental impact. In recent years, CNG has become widely adopted as an automotive fuel in India due to its low running costs. However, compared to automobiles, which are larger in size, motorcycles face strict limitations on fuel tank capacity. Therefore, ensuring a sufficient driving range has been a technical issue. To address this, this model was developed as a “bi-fuel vehicle” compatible with both CNG and gasoline, ensuring a practical riding range.
In addition, we are promoting the adoption of CBG (compressed biogas), which is a carbon-neutral fuel, in India. CBG, which consists primarily of methane, can be used as a direct replacement by leveraging existing CNG infrastructure. In the short term, we will utilize CNG, which is widely available in India, to reduce CO₂ emissions, while in the long term, we will promote initiatives toward the practical implementation of CBG, including infrastructure development. Through these efforts, we aim to establish practical decarbonization solutions for motorcycles in the future.

Team Suzuki CN Challenge competed in the Suzuka 8 Hours Endurance Road Race

Suzuki Motor Corporation competed in the Experimental Class of the 2026 FIM Endurance World Championship “Coca-Cola” Suzuka 8 Hours Endurance Road Race (47th edition), held from July 3 (Friday) to July 5 (Sunday) at Suzuka Circuit in Mie Prefecture, Japan, under the name Team SUZUKI CN CHALLENGE.
Team SUZUKI CN CHALLENGE, composed of Suzuki employees, is once again joined by newly selected members through internal recruitment. The team took on the challenge of the Suzuka 8 Hours endurance race, aiming to achieve a high-level balance between further reducing environmental impact and improving on-track performance, while expanding the application of sustainable items.
Suzuki will apply the knowledge gained through racing as technical feedback for future product development.
In addition, Suzuki also continued to compete in the All Japan Road Race Championship, following its participation last year, with the objectives of further refining vehicle development and enabling newly selected members to acquire the skills required for racing.

Sustainable features used

• *1 Excellium Racing 100 is a 100% sustainable product certified based on the mass balance system applied by an EU-accredited certification body.
• *2 Bcomp is a registered trademark of Bcomp Ltd., a Swiss company.
• *3 TranTixxii is a registered trademark of NIPPON STEEL CORPORATION.

Global average new model CO₂ emissions

We are striving to improve fuel efficiency and reduce CO₂ emissions through the improvement in combustion, reduction of friction loss, and weight reduction.

In FY2025, we achieved a 15% reduction (compared to FY2010).

Trends in Reducing Global Average New Model CO₂ Emissions

Efforts for outboard motors

Development of electric outboard motors, etc.

As part of our efforts to make outboard motors carbon neutral, we are preparing to bring electric outboard motors (BEVs) to market, as small models require relatively less battery capacity. Meanwhile, for medium- and large-sized models, we currently aim to achieve carbon neutrality through the use of carbon-neutral fuels such as bioethanol.

Global CO₂ emissions per unit output

Trends in the Reduction Global CO₂ Emissions per Unit of Output

CO₂ Emissions Reduction through “Suzuki Edge e-Coat” Anodizing Technology for Engine Components

Suzuki has developed anodizing that provides corrosion resistance capable of withstanding high-temperature environments for outboard motor engine parts such as the cylinder block, cylinder head, and crankcase. In August 2025, we expanded the adoption of this technology to all variants of the DF140B, DF115B, and DF100C. In the future, we will gradually apply this technology to other models as well.
Outboard motors operate by pumping large amounts of water, such as seawater, to cool the engine while running, so these cooling water channels need to be treated to prevent corrosion. This technology uniformly applies anodizing treatment to engine parts through which cooling water passes, improving corrosion resistance. Furthermore, this technology allows for processing at lower temperatures compared to conventional painting processes, reducing CO₂ emissions during manufacturing by 68% and contributing to the achievement of carbon neutrality.

Efforts in Business Activities

Efforts in production

Reduction of CO₂ emissions

The Paris Agreement, a new international framework for reducing greenhouse gas emissions to curb global warming, is now in effect, and governments and companies around the world are working to reduce greenhouse gas emissions with the goal of limiting the increase in global average temperature to well below 2°C.
We believe it is important to promote a global reduction of CO₂ emissions from plants in order to reduce the effects of greenhouse gas emissions, and make efforts to reduce the amount of CO₂ emissions per vehicle produced of Suzuki's global vehicle production volume by 25% (compared to FY2016) by FY2025 in accordance with the Suzuki Environmental Plan 2025.
The total amount of CO₂ emissions from manufacturing activities in FY2025 was 872,000 t-CO₂/year at Suzuki overall on a global scale, 89,000 t-CO₂/year in Japan, and 783,000 t-CO₂/year overseas. The amount of CO₂ emissions per manufacturing unit was 0.247 t-CO₂/unit, achieving the target.
In terms of reduction initiatives in addition to activities for saving energy and eliminating waste, Suzuki is working to expand solar power generation both in Japan and overseas. We also began gradually introducing CO₂-free electricity at all Japanese production sites in July 2023.
We will continue to further promote the effective use of energy and work to reduce intensity.

CO₂ Emission Performance at Global Manufacturing Bases

[Scope of aggregation]
Suzuki (Iwata Plant, Kosai Plant, Osuka Plant, Sagara Plant, Hamamatsu Plant), 5 domestic manufacturing subsidiaries, and 14 overseas manufacturing subsidiaries

[CO₂ Emission factor]
Fuel emissions (excluding city gas) are calculated using the IPCC 2006 Guidelines. City gas emissions are calculated based on the Greenhouse Gas Emissions Calculation and Reporting Manual issued by Japan's Ministry of the Environment.
Electric power conforms to the Act on Promotion of Global Warming Countermeasures (adjusted emission factors among the values published by power companies) in Japan and varies depending on the values of each year from 2019 to 2024 of IEA overseas

CO₂ Emissions by Domestic Plants

Energy-saving activities at plants

All employees participate in daily activities such as reducing air leaks, turning off lights during breaks, and switching off power when plants are not in operation, and these efforts deliver steady year-on-year improvements.
Also, when upgrading worn-out production equipment or introducing new equipment for production of new models, we work on building energy-saving plants that are more effective than before by utilizing gravity, downsizing and reducing the weight of equipment, and adopting high-efficiency devices such as LED lights and top-runner devices (motors, transformers).
Furthermore, as one of Suzuki’s efforts to reduce domestic CO₂ , we are revising our energy supply, such as by converting fuels from LPG to city gas at the Osuka and Iwata plants. We began extending this conversion to the Sagara Plant in FY2024 and completed it in FY2026 as scheduled.

Promoting the use of renewable energy

Suzuki promotes the use of renewable energy as an integral part of its global warming countermeasures.
We have been installing solar power facilities at our factories both in Japan and overseas. In Japan, we have installed 23 MW of solar power capacity, including solar power systems under the FIT scheme. Overseas, primarily in India, we have installed 59 MW of solar power capacity for self-consumption.
We will actively promote the use of renewable energy, both in Japan and overseas.

Amount of CO₂ Reduced with Renewable Energy

Amount of Electric Power Generated with Renewable Energy

	Amount of electric power generated (MWh)
Solar power generation (Makinohara, Hamamatsu Plant, Maisaka, Iwata Plant, Kosai Plant)	39,794
Solar power generation (Maruti Suzuki India, Suzuki Motorcycle India, etc.)	69,617

* Electricity figures include FIT electricity sales and amounts from offsite PPAs

Development of a Fuel Cell System Through Factory Demonstration Testing of Material Handling Vehicles

Suzuki has been working on the technological development of fuel cell mobility as one of its multi-pathway approaches toward achieving carbon neutrality.
At the Kosai Plant, we are conducting verification testing of an in-house-developed fuel cell-powered material-handling vehicle, utilizing CO₂-free hydrogen generated by solar power, and applying the insights gained to improve the efficiency and durability of the fuel cell system.
We will continue to develop various fuel cell systems for practical application based on the technology accumulated through these verification tests.

Efforts in office activities, etc.

Efforts at data centers

We are promoting energy conservation through the expanded use of IT technology for analyses, calculations, and AI, and are also working to reduce energy consumption by efficiently operating the increasing number of IT devices.

Energy conservation through the optimal allocation of IT devices and the promotion of visibility

By transitioning high-load servers such as those used for AI and 3D analysis to environments where they can be operated with reduced energy consumption through centralization and efficient heat recovery, such as the cloud, we achieved a reduction in power consumption of approximately 18% compared to the previous fiscal year, amounting to over 900,000 kWh, for our in-house data center alone in FY2025.
Within our in-house data centers, we are improving operations by implementing individual power consumption monitoring and digital analysis of airflow, etc. to achieve both system stability and energy conservation.
We have also installed carport-type solar panels in office parking lots, which began generating power in April 2025, and have been able to replace just over 300,000 kWh, equivalent to about 8% of our electricity consumption, with our own clean energy.

Efforts at offices

We are promoting energy saving and CO₂ emission reduction at offices through a group effort involving all employees.

Employee Guidelines for Energy Conservation

Our summer energy savings campaign, which we are promoting by issuing notices to all employees, will run from May to October.
In addition to promoting the use of Cool Biz, we are working to conserve energy by setting the criteria for operating air conditioning at "room temperature of 28°C or higher or humidity of 60% or higher" and making sure that everyone is aware of this.
We have also set a standard, which will take effect beginning in November, for starting heating operation at a room temperature of 20°C or below as part of our effort to strive for energy conservation.
Furthermore, to reduce energy use in our operations as much as possible by using it more efficiently, we are promoting energy-saving measures such as turning off air conditioning and lights in unoccupied areas, thoroughly implementing energy-saving settings on electrical appliances, and reducing printing by digitizing forms.

Introduction of energy-saving facilities

As part of our efforts to foster energy conservation at offices, we have been upgrading to LED lighting since FY2012, and have now completed the transition to LED lighting in all offices.

Building Energy Efficiency Initiatives

As part of activities to promote energy conservation, we are working to comply with the ZEB (^*) standard, which indicates the energy conservation performance of buildings. As an example of an ongoing project, the Suzuki Plaza, a facility that introduces Suzuki’s history and manufacturing processes, is currently undergoing renovation to achieve the Nearly ZEB energy conservation performance and is scheduled to open at the end of 2026. Additionally, we are constructing a new employee cafeteria building designed to meet the standard.
We will continue to create office spaces that consider energy conservation performance when expanding or renovating our buildings.

* Net Zero Energy Building (ZEB): A set of performance classifications used to evaluate building energy efficiency and the adoption of renewable energy generation systems such as solar power. These classifications include:
⦁ ZEB: Achieves energy savings of at least 50% compared with conventional buildings and, through renewable energy generation, achieves net annual primary energy consumption of zero or less.
⦁ Nearly ZEB: Achieves energy savings of at least 50% and, through renewable energy generation, reduces annual primary energy consumption to within 25% of conventional levels.
⦁ ZEB Ready: Achieves energy savings of at least 50% through energy efficiency measures alone, without renewable energy generation.

Reducing travel by providing a remote work environment

Providing an IT environment that enables remote work by allowing remote access to internal resources and offering an online conferencing system, etc., we are working to reduce energy consumption due to travel. Use of remote work is increasing at partner companies as well because we have established an environment that allows employees to do work from remote locations reducing the need to travel to the office.

Remote work usage status at partner companies (figures in parentheses are from the previous year)

Monthly users: 12,873 (7,642)
Average users per work day: 575 (376)

* Based on results for June 2026

Efforts at Non-Manufacturing Subsidiaries and Sales Distributors

At eight non-manufacturing subsidiaries and 53 sales distributors^* in Japan, we are engaged in efforts to reduce energy use in business activities, design environmentally friendly stores, and engage in other activities to address climate change.

* Eight non-manufacturing subsidiaries: Suzuki Transportation & Packing Co., Ltd., Suzuki PDC, Suzuki Business Co., Ltd., Suzuki Engineering Co., Ltd., etc.
　53 sales distributors: 52 affiliate automobile sales distributors in Japan including Suzuki Motor Sales Tokyo Inc., as well as Suzuki Motorcycle Sales Inc.

Japan

Domestic sales distributors

Promoting energy savings

We are proactively working to conserve energy on a daily basis, such as by using air conditioners, lighting, and information equipment in stores efficiently, and by promoting eco-driving by traveling between store locations or to business partners using company-owned cars and commercial vehicles.

Efforts using IT

We use IT such as the Internet as a tool when discussing business with customers and supporting communication between employees. We strive to reduce energy consumption and CO₂ emissions while helping customers and employees use their time more efficiently and reducing the burden of travel.

Environmentally friendly store designs

We promote the installation of energy-saving devices such as LED lighting equipment and high-efficiency air conditioners at stores. We work to create environmentally friendly stores by, for instance, installing rooftop greenery and solar panels at some stores.

FY2025: Solar power generation system installation sites

Efforts in the Supply Chain, etc.

Efforts in procurement

Efforts in the supply chain toward carbon neutrality

To achieve carbon neutrality by 2050, it is essential to reduce CO₂ emissions in the supply chain, which accounts for approximately 90% of the CO₂ emissions from manufacturing.
In 2021, Suzuki began activities toward achieving carbon neutrality in the supply chain. Since 2022, we have been receiving reports from our suppliers and have been working to improve the visibility of CO₂ emissions by fiscal year, by component, and by supplier.
We also asked our suppliers to develop CO₂ emissions reduction targets and road maps for 2030 and visited their manufacturing sites and conducted reduction activities based on these targets and road maps. Specifically, these included confirming the feasibility of reductions and examples of improvement efforts, identifying challenges in addressing carbon neutrality, and listening to various concerns. Starting in FY2024, we began giving presentations on reduction case studies for local small- and medium-sized business partners to promote carbon neutral activities.
Furthermore, starting in FY2022, we began presenting letters of appreciation to local small- and medium-sized business partners who are engaged in outstanding activities for achieving carbon neutrality naming them "CN Contributing Companies" in an effort to boost their motivation.
Going forward, we will continue cooperating with our suppliers to achieve carbon neutrality.

Efforts in domestic transportation

CO₂ reduction activities in domestic transportation (FY2025 initiative results)

As part of our work to reduce CO₂ emissions from domestic transportation, we are working to improve transportation efficiency by reviewing transportation routes to shorten transportation distances, implementing modal shifts, and improving transportation vehicle fuel efficiency, among other efforts.
As a result of our transportation efficiency efforts thus far, CO₂ emissions from transportation per net sales in FY2025 have improved by 39.4% since FY2016.

Trends in CO₂ Emissions from Domestic Transportation

Modal shift of some truck transportation to rail transportation

We have reduced CO₂ emissions through a modal shift from trucks to more energy efficient rail for regular freight transport from a parts plant in Kosai City, Shizuoka Prefecture to a transportation base in Kyushu.

Establishing a transportation base and a modal shift to ships for some transportation to bases

In December 2022, we launched Suzuki Parts Center Tomakomai to serve as a transportation base for parts and supplies bound for Hokkaido. With the establishment of this new transport hub, we shifted approximately 80% of transportation by truck from the parts factory in Kosai City, Shizuoka Prefecture to Hokkaido to transportation by ship, reducing transportation-related CO₂ emissions.

Biogas project

Suzuki is working on the biogas business that utilizes cow manure as a raw material in collaboration with a dairy cooperative in India, aiming to contribute to solving social issues, including the achievement of carbon neutrality.
In India, dairy farming is an important foundation of the rural economy and many cows are raised. If not properly treated, dairy wastes such as cow manure and urine release methane, which has a greenhouse effect of about 28 times greater than that of CO₂, into the atmosphere.
In this business, we collect this cow manure and refine and supply it as automotive fuel (biogas fuel). This fuel is derived from biomass, and since the CO₂ emitted during combustion can be considered part of the atmospheric carbon cycle, it is classified as carbon-neutral. Furthermore, as collecting cow manure helps reduce methane emissions, it is expected to contribute to decarbonization from the perspective including the manufacturing process.
This fuel can be used in CNG vehicles, which account for approximately 40% of Suzuki’s sales in India (FY2025), without any modifications, and its adoption is expected to expand by leveraging existing vehicles and infrastructure.
In addition, since this business involves purchasing cow manure from dairy farmers in rural areas, it helps increase farmers’ incomes. Furthermore, the fermented slurry is used as organic fertilizer, which helps reduce the environmental impact of the agricultural sector by serving as a substitute for chemical fertilizers.
Through these initiatives, we aim to contribute to solving complex social issues in India, such as revitalizing the rural economy, decarbonization, energy security, and food security.
Moreover, women play a vital role in dairy farming in India, and the income opportunities created through this business will help promote women’s economic independence.
Suzuki, through its wholly owned subsidiary, Suzuki R&D Center India Private Limited (SRDI), is collaborating with the National Dairy Development Board and Banas Dairy to promote the construction of four biogas plants in the Banaskantha district, Gujarat. Two of them commenced operations in 2025 as the BANAS SUZUKI BIOGAS PLANT.
The plan is to add five more units, bringing the total to nine. In addition, as part of initiatives to expand nationwide across India, we signed a memorandum of understanding in July 2026 with the National Dairy Development Board and North East Dairy & Foods Limited (NEDFL) regarding a project in Assam.
In addition, as part of our overseas expansion, we have already begun initiatives in Pakistan. In September 2024, we signed a memorandum of understanding with the University of Agriculture Faisalabad on joint research, and in April 2025, we began construction of a biogas purification plant.
Through these initiatives to solve local social and environmental issues, we are striving to achieve our goal of becoming “infrastructure mobility that is closely integrated into daily life and remains a familiar and reliable presence for customers and society,” as outlined in the Suzuki Mid-Term Management Plan (FY2025-FY2030).

Pak Suzuki Motor Co., Ltd. began operations at its biogas plant and solar power facilities
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