Proxy adviser Institutional Shareholder Services (ISS) has recommended that shareholders of Toyota vote in favor of a resolution urging the automaker to improve disclosure of its lobbying related to climate change.
The recommendation comes as Japan's largest company by market capitalization faces pressure from green investors and climate activists that have criticized it for being slower than rivals to embrace all-battery electric vehicles (EVs).
ISS in a report also said it regarded three of Toyota's four outside board director nominees as not truly independent.