ToyotatoLaunch'NewEra'ofHighMPGHybrids,ExpandItsGlobalHybridRollout EarlyinformationonNextGenerationPrius VPCarterchallengesindustry:5millionU.S.

hybridsalesbyendof2016 Globalverificationtestsofnewwireless/inductivechargingsystem 2015hydrogenfuelcellvehicleatTokyoandCESshows

YPSILANTI,Mich.,August28,2013Wanttosavemoneyandgas?Toyotaplanstohelp consumersdoboth. Promisingcontinuedgainsinfueleconomy,ToyotaMotorCorporation(TMC)ManagingOfficer SatoshiOgisooutlinedthelaunchofanewerainhybridtechnologywiththearrivalofthe nextgenerationPrius,whileToyotaMotorSales(TMS)SeniorVicePresidentofSalesBob Carterissuedachallengefortheindustrytosignificantlystepupitscommitmenttohybridsasa coretechnology. Asabackdroptotheseannouncements,Toyotagatheredinoneplaceforthefirsttimeeverthe entireToyotaandLexusglobalhybridlineup.Thecompanyhassoldmorethan5millionToyota andLexushybridsworldwide.Theenvironmentaleffecthasbeenanestimated34millionton reductioninC02theequivalentoftaking4.8millionvehiclesofftheroad. "IwouldliketoseeusasanindustryaccomplishthesamethingintheU.S.,"saidCarter. "Thatis...5millionhybrids,cumulatively,intheU.S.bycloseofbusiness2016.Thatresultsin3 billiongallonsofgasolinesaved,whichismorethanenoughgasfortheentirepopulationofthe UnitedStatestodrivefromSanFranciscotoLosAngelesinaPrius.It'sdoable.AndIthinkwe willdoit." StressingToyota'sfurthercommitmenttoindustryhybridleadership,Ogisoannouncedthat "whenthenextgenerationPriusarrives,itwillbeginaneweraforabroadrangeofToyotaand Lexusvehicles"andwillbe"thefirsttointroduceasubstantiallyimprovedfamilyofhybrid powertrains." Betweennowandtheendof2015,Toyotaplanstointroduce15neworredesignedhybrid vehiclesglobally.Thesenewhybridpowertrainswilldeliversignificantlyimprovedfueleconomy inamorecompactpackagethatislighterinweightandlowerincost.Ogisosaidthe performanceofthisnewgenerationofpowertrainswillreflectsignificantadvancesinbattery, electricmotorandgasenginetechnologiesthatarepartofToyota'slargerstrategytowardsthe electrificationoftheautomobilethroughhybrid,batteryelectricandfuelcelltechnologies. OgisousedthenextgenerationPriusasanexample. "ThecurrentPriushasheldAmerica'sfueleconomycrownformanyyears,"saidOgiso."Inits threegenerations,PriusMPGhasimprovedonaveragebyabout10percent,eachgeneration.

Thechallengetocontinuetoimproveatthisratetobeatyourownrecordbecomesvery difficult,butmakesitallthemoremotivating.Weareverymotivatedtobeatourrecord." ThenextPriuswillfeatureimprovedbatterieswithhigherenergydensitytherelationship betweenthebattery'soutputanddimensions.Toyota,alreadyaleaderinadvanceddrivebattery technology,hassteppedupitsresearch,developmentandproductioncapacityofboth nickelmetalhydrideandlithiumionandwillusethesetechnologieswhereappropriateinits expandingfocusonelectrificationoftheautomobile.Toyotahasalsorampedupdevelopmenton newbatterytechnologieslikesolidstateandlithiumair,aswellasdevotingresourcesfocused onchemistriesbeyondlithium,suchasmagnesiumandotherlowvalencematerials. ThenextPriuswillalsofeatureelectricmotorsthatwillbesmallerinsize.Henotedthatthe currentPriusmotorshavefourtimesthepowerdensityofthefirstmodelandthat"thenextwill beevenhigher." Inaddition,thethermalefficiencyofthegasolineengineinthecurrentPriusis38.5percent.The nextgenerationwillboostthatleveltomorethan40percentaworldbest. ThenextPriuswillalsoutilizeToyotaNewGlobalArchitecture(TNGA),featuringalowercenter ofgravityandincreasedstructuralrigidity,whichwillcontributetogreatlyimproveddriving dynamics. Improvedaerodynamicswillcontributetoanallnewexteriordesign.Ogisopromisedaroomier interiorandsignificantrefinementsindesign,layoutandeaseofoperation. OgisoalsosaidthenextgenerationPriusPlugin(PHV)isbeingdevelopedinparallelwiththe standardPriusmodel. "WehavebeenlisteningverycarefullytoPriusPHVownersandareconsideringtheirrequests foradditionalallelectricrange.Wehavealsoheardfromownersthattheywouldlikeamore convenientchargingoperation,"Ogisosaid."Inresponse,wearedevelopinganew wireless/inductivechargingsystemthatproducesresonancebetweenanonfloorcoilandan onboardcoiltotransmitpowertothebattery,providingchargingwithoutthefussofacable."He saidverificationworkonthesystemwillbeconductedinJapan,theU.S.andEuropein2014. WorkisalsoprogressingonToyota'sfirstcommerciallyavailablehydrogenfuelcellvehicle,a newmidsizefourdoorsedanwhoseconceptwillbeunveiledattheTokyoMotorShowin November.ThatvehiclewillmakeitsNorthAmericandebutinJanuaryatthe2014Consumer ElectronicsShowinLasVegas,whereBobCarterwilldiscusstheroleofToyota'sU.S.based engineeringteaminitsdevelopment,aswellaspreliminaryplansforintroductionintotheU.S. market. Cartersaidthatthehydrogenfuelcellwillutilizecorehybridtechnologyandwillbeaprimary

elementofToyota'sfuturemobilitystrategy. "Toyotacurrentlyaccountsformorethan60percentofU.S.hybridsalesand70percentofthe nearly3millionhybridsonU.S.roadstoday,"saidCarter. "Overthepast5years,thepercentageofhybridsalesatToyotahasgrownfrom10to16 percentofourtotalsalesmix.Hondaislessthan2%andFordislessthan3%.Andwhilehybrid asapercentageofthetotalmarketisjustunder4percent,webelievethatitcan...andmust grow."