April 27, 2020

China FAW Group Co., Ltd.

Toyota Motor Corporation

Toyota and FAW Restructure their Joint Company's Management Systems

with the Aim of Sustainable Growth in China

Toyota City, Japan, April 27, 2020―China FAW Group Co., Ltd. (FAW) and Toyota Motor Corporation
(Toyota) will restructure their management systems with the aim of achieving sustainable growth in China.
As part of the restructuring, Tianjin FAW Toyota Motor Co., Ltd. (TFTM) will become a FAW-Toyota
manufacturing and supervising affiliate; all other body and engine manufacturing affiliates will become
wholly owned subsidiaries of TFTM.

More specifically, the restructuring affects the following four companies within the FAW and Toyota joint
enterprise: the body manufacturing affiliates Sichuan FAW Toyota Motor Co., Ltd. (SFTM Chengdu) and
SFTM Changchun Fengyue Co., Ltd. (SFTM Changchun), and the engine manufacturing affiliates Tianjin
FAW Toyota Engine Co., Ltd. (TFTE) and FAW Toyota (Changchun) Engine Co., Ltd. (FTCE).

The goal of the restructuring is to better respond to China's rapidly changing markets. By centralizing
management of manufacturing affiliates under TFTM, the entire production system can be optimized; this
will result in a more effective use of resources and more efficient operations and this, in turn, is expected
to lead to improved competitiveness. The restructuring is also intended to clarify reporting lines, thereby
strengthening governance and accelerating decision-making processes at all its affiliates.

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Tatsuro Ueda, Chief Executive Officer of Toyota's China Region, said: "Thanks to the support of the
Chinese government, our partner FAW, and our Chinese customers, the FAW-Toyota business will next
year celebrate its 20th anniversary. After discussions with FAW, we decided to reorganize our
management systems with the goal of achieving lasting growth for FAW-Toyota."

As part of this restructuring, FAW Toyota Research & Development Co., Ltd. (FTRD), FAW-Toyota's
research and development company, will also become a wholly owned subsidiary of TFTM. There is no
change in the ownership of FAW Toyota Motor Sales Co., Ltd., FAW-Toyota's sales company; in practice,
however, its management will report to TFTM, and by unifying its management, it will seek to realize a
single streamlined structure from development through production to sales. Going forward, all Toyota
enterprises in China will work together to make cars that provide its Chinese customers with happiness.

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