Automotive downscaling risk vs motorcycle/new-ops contributions

Research evidence excerpt

Automotive downscaling risk vs motorcycle/new-ops contributions

8 July 2026

ESG initiatives and return of value to shareholders

Environment

As a milestone for achieving carbon neutrality by 2050, the company aims to reduce

total CO2 emissions from its business activities by 50% (versus the FY13 level) by

2030 across the group as a whole. To achieve carbon neutrality by 2050, F.C.C. has

devised a roadmap centered on initiatives to: 1) use less energy for its production

activities; 2) introduce renewable energy; and 3) contribute to the environment and

reduction of CO2 emissions through its products.

Social

As a good corporate citizen, F.C.C. has a social contribution policy of, together with

local communities, nurturing human resources responsible for the next generation

and create a prosperous society, and supporting the independent social activities of

each individual employee. The company’s social contribution activities revolve around

coexistence and co-prosperity with local communities, environmental preservation,

nurturing the next generation, and traffic safety awareness. In human resources, the

company promotes a safe and comfortable workplace where diversity, personality,

and individuality are respected. As a company with a global manufacturing system,

F.C.C. procures inputs in a fair, just, and transparent way while valuing its relationship

of trust with its partners in order to sustainably procure supplies.

Governance

F.C.C. is organized as a company with an audit and supervisory committee. The

company's board has 10 directors, including two women (20% of the board) and five

outside directors, all of whom are registered as independent. The company has

established a nomination and compensation committee (chaired by an inside director,