In fiscal 2005, total CO2 emissions from the transportation of automobiles, motorcycles, power equipment and repair parts in Japan totaled 147,496 tons.

CO2 emissions from the transportation of completed automobiles: 105,820 CO2-tons

By encouraging affiliated transportation companies in Japan to promote energy-saving driving, and by improving average fuel economy through the introduction of digital tachometers, we improved the fuel economy in transporting completed automobiles by 2 percent. Also, we reduced CO2 emissions from transporting vehicles by 1,905 CO2-tons in fiscal 2005. By using regular ferry services for part of the transportation route from Suzuka to Niigata, we reduced CO2 emissions by 402 CO2-tons in fiscal 2005. In the future, we will expand transportation by ship (modal shift) to further reduce CO2 emissions from the transportation of our products.

CO2 emissions from the transportation of repair parts: 33,325 CO2-tons

For CO2 emissions from the transportation of repair parts, we were able to achieve a reduction of 1,736 CO2-tons (down 5 percent from fiscal 2004) by pursuing our target of a 1 percent reduction from fiscal 2004. This was made possible by the consolidation of automobile parts depots, improvements in the efficiency of transportation between warehouses, and further promotion of the modal shift.

Activities to Reduce Packaging Materials Used for Repair Parts

• Reduction in the use of packaging materials for repair parts
Use of packaging materials: 16,249 tons

In fiscal 2005, we reduced the use of packaging materials in Japan by 1,066 tons to 16,249 tons as a result of taking the following measures: We replaced cardboard boxes with simpler packages (plastic bags) and greatly changed the package design for bumpers to reduce the use of cardboard material.
We will continue to promote the use of returnable containers at warehouses to further reduce the use of packaging materials.

Activities to Reduce Packaging Materials Used for Component Parts Sets*

• Replacing disposable materials with returnable ones to reduce the use of packaging materials

In fiscal 2005, we promoted the use of internal and external returnable containers. We used special internal containers (developed in 2004) for exports to sites in the United States (Alabama), Canada, and the United Kingdom. As a result, we reduced the use of cardboard materials by 636.7 tons. In the future, we will expand the use of these special containers for exports to sites in Ohio and other U.S. states. We introduced external returnable containers to Taiwan and Malaysia, thereby reducing the use of iron materials by 210.8 tons. We will introduce these containers to China, which accounts for 67 percent of the use of iron materials, to further reduce such use.
* Component parts sets are delivered to overseas plants for local assembly.

• Reduction in the Use of Packaging Materials

By replacing disposable materials with returnable materials

Item	Reduction
Cardboard materials for internal containers	636.7 tons
Iron materials for external containers	210.8 tons

Export and Import of Completed Motorcycles

For the import of scooters from China, we have achieved zero waste by continuously using returnable pallets in the transportation process. For the export of motorcycles from Japan, we continued to promote the use of non-cardboard packaging materials and returnable steel cases to reduce the amount of packaging materials used.

• Reduction in Packaging Materials in the Import/Export of Completed Motorcycles

Item	Reduction
Reduction in the use of steel materials	1,254 tons
Reduction in the use of cardboard materials	205 tons

Transportation of Power Equipment

By using returnable steel cases for the domestic transportation of medium and large outboard engines, we continuously reduced the use of steel and cardboard materials.

• Reduction in Packaging Materials in the Transportation of Power Equipment

Item	Reduction
Reduction in the use of steel materials	47 tons
Reduction in the use of cardboard materials	16 tons