Toyota shareholders reject proposal demanding better performance on climate change

Toyota executives fielded challenges and reaped praise from investors at an annual general meeting Wednesday where shareholders ultimately rejected demands the automaker do better on fighting climate change.

Toyota executives fielded challenges and reaped praise from investors at an annual general meeting Wednesday where shareholders ultimately rejected demands the automaker do better on fighting climate change.

The investor proposal was initiated by AkademikerPension, a US$20 billion Danish investment fund. It accused Toyota Motor Corp. of lobbying to weaken efforts by governments around the world to phase out the internal combustion engine.

Shareholders applauded in rejecting the proposal, as expected, at the meeting in Toyota city, central Japan.

The majority of Toyota shares are held by the company and its group companies, retired employees and others sympathetic to the company's perspective.

The shareholders' proposal challenged the reappointment of Toyota's chairman, Akio Toyoda, grandson of the company founder and a board director, arguing the company has lagged in keeping up with the global shift to battery electric vehicles.

Toyoda and other company officials defended their green record, noting Toyota is aiming for carbon neutrality, or net-zero carbon emissions, in its lineup by 2050.

The resolution filed by the Danish fund was also supported by Norwegian financial services company Storebrand Asset Management and a Dutch pension investment company, APG Asset Management.