SUBARU Group’s Six Priority Areas for CSR TOPIC: Environment
Six Priority Areas for CSR Environment Cherish and protect the global environment
—the earth, the sky and nature—through Group-wide activities.
Why It Is Important to Us
In FYE March 2018, SUBARU revised its Environmental Policy, declaring that “the earth, the sky and nature” are SUBARU’s fields of business, and made clear to strive for the coexistence with nature. These words encapsulate our desire to take the greatest possible care of “the earth, the sky and nature,” since they are the fields in which our automotive and aerospace businesses—the pillars of our enterprise—operate. With the concept that sustainability of both society and SUBARU only becomes possible with the existence of a rich global environment, that is “the earth, the sky and nature,” the entire SUBARU Group will make the greatest possible efforts to undertake global environmental conservation activities.
SUBARU Initiatives for the Era of the Electric Car
Efforts to reduce CO2 emissions through distinctiveness and technological innovation commensurate with SUBARU-ness
Strengthening SUBARU-ness and Manufacturing Environmentally Friendly Automobiles for the Realization of a Sustainable Society
In order to pass on “the earth, the sky and nature” to future generations, SUBARU is pursuing the manufacture of environmentally friendly automobiles. This is not only in brainstorming how to address the environment but also how we contribute as a company to the realization of a sustainable society.
In the U.S., one of SUBARU’s major markets, our customers tend to have a strong sense of ownership with regard to the global environment and society, along with interest in the safety and reliability of SUBARU’s vehicles. In addition, we have found that our customers do not see environmental value in general—a vehicle’s fuel efficiency, emissions, or size. Instead, they recognize this value in a broader sense, including the three elements of our “Enjoyment and Peace of Mind” value: that our utility and AWD vehicles allow them to do anything with just one car; that our safety causes fewer accidents and no problems for society; and that our reliability and longevity makes them useful over long periods of time and does not lead to wasted resources. SUBARU will contribute to the achievement of an enjoyable and sustainable society by working together with customers and other stakeholders who see the value SUBARU provides as environmental value in a broader sense, pursuing distinctiveness commensurate with SUBARU-ness and the manufacture of environmentally friendly automobiles through technological innovation.
SUBARU-ness Initiatives for the Environment toward Realizing Carbon Neutrality around 2050
SUBARU has set the direction of targeting carbon neutrality around 2050, and formulated a long-term target to reduce average well-to-wheel*1 CO2 emissions from new vehicles (in operation) sold worldwide by 90% or more*2 compared to 2010 levels. As a milestone toward this target, SUBARU set two medium-term targets: make at least 40% of SUBARU global sales EVs or HEVs by 2030, and apply electrification technologies*3 to all SUBARU vehicles*4 produced and sold by the first half of the 2030s. In addition, as a new initiative from FYE March 2022 in order to contribute to the realization of a decarbonized society through the reduction of CO2 emissions throughout the life cycle of our business activities, SUBARU has designated departments in charge of the five areas of “product use,” “materials and components,” “transportation,” “disposal,” and “manufacturing.”
Furthermore, in 2022 SUBARU launched the SOLTERRA, its first global BEV,*5 aimed at coexistence with nature as another step toward the era of the electric car. It utilizes the e-SUBARU Global Platform, a dedicated EV platform we jointly developed with Toyota Motor Corporation (“Toyota”), as well as the AWD technology we have developed for many years and Toyota’s outstanding electrification technology, thus bringing together the strengths of both companies and efficiently leveraging our development investments. Like with our existing vehicles, this SUV featuring the unique appeal of SUBARU’s BEVs will be added to our SUV lineup, aiming to further strengthen the value we offer with the goal of being a brand that is “different” from others. We will roll out this model in Japan, the U.S. and Canada, Europe, China, and other markets.
- *1
- Well-to-wheel: Approach to calculating CO2 emissions including the emissions produced by the generation of electricity to be used by EVs and other vehicles.
- *2
- Reduce total CO2 emissions calculated based on the fuel efficiency (notified value) of all SUBARU automobiles sold across the world by 90% or more compared to 2010 levels in 2050. Changes in the sales quantity due to changes in the market environment shall be taken into consideration, while minor changes in running distance shall not.
- *3
- Excluding models supplied by OEMs
- *4
- Refers to the technology used to foster the use of electricity for EVs, HEVs, and others.
- *5
- BEV: Battery electric vehicle
| Category | Target Year | Goal |
|---|---|---|
| Products (Scope 3) |
2050 | Reduce average CO2 emissions from new vehicles (in operation) on a well-to-wheel basis by at least 90%, compared to 2010 level |
| Early 2030s | Apply electrification technologies to all SUBARU vehicles produced and sold worldwide | |
| Up to 2030 | Make at least 40% of SUBARU global sales EVs or HEVs | |
| Plants and offices (Scope 1 and 2) |
FYE March 2051 | Achieve carbon neutrality |
| FYE March 2031 | Reduce CO2 emissions by 30% compared with FYE March 2017 (total volume basis) |
Strategic Restructuring of Domestic Production System from Expansion and Acceleration of EV Development
At SUBARU, we will strategically reorganize our domestic production system to accelerate electrification for further expansion of EVs and production of in-house BEVs. As our roadmap for this production system, we are planning to launch in-house production of BEVs with a target start date around 2025, and to gradually increase supply capacity thereafter by expanding the number and models of BEVs produced. Furthermore, we are exploring the addition of dedicated lines for BEVs from 2027, and will promote the steady installation of the next-generation e-BOXER, utilizing the Toyota Hybrid System, in several models.
The two main goals of this reorganization of the production system are to build a flexible system that can ensure production of gasoline-powered vehicles and HEVs as needed during the transition to BEVs and to achieve efficient BEV production in the BEV business, where there are still many issues of profitability, in order to improve business potential.
Goals for strategic restructuring of domestic production system with a view of expansion and acceleration of EV development:
- Build a flexible production system to address the period of transition to BEVs
- Improve BEV business feasibility through highly efficient production
Strategic Restructuring of Domestic Production System from Expansion and Acceleration of EV Development
Strategic Reorganization of Domestic Production
We believe that the key to promoting SUBARU’s electrification strategy is to provide product value meeting the expectations of customers while assessing the convenience of BEVs, including customer requirements and changes in preferences and values, as well as for infrastructure. This not only includes changes in markets and regulations toward a decarbonized society but also for the purpose of nurturing the relationships with customers that our SUBARU Group has treasured for some time. Based on this concept, SUBARU will continue to develop products that satisfy customers and bring them happiness. We will also continue to develop a flexible production system that incorporates the state of the market environment.