Category: Toyota

Like any carmakers, Toyota isn’t spared by the US recession and during the first months of this year, Toyota and Scion vehicle inventories have risen to record US levels.

The latest Automotive news reveals that the Japanese giant has 376,000 vehicles in stock, in increase by 100,000 units compared to that of last year’s summer. Like American carmakers, Toyota inventory has risen due to poor trucks and SUVs sales. Despite easing its models’ acquisition by offering competitive financial schemes, rising gas prices prevented people from buying trucks and SUVs, while more fuel efficient vehicles still sell well.

Toyota also faces an increasing ‘turndown’ inventory. A ‘turndown’ vehicle is a model that a dealer doesn’t want. From a few vehicles last year, the figures reveal an astonishing 9,700 vehicles this year.

Toyota is expected to take measures like slowing production of its largest models like the Tacoma. The company is likely working on a range reshuffle for the coming years.

The Lexus LF-A concept car will participate in the Nürburgring 24 Hour Race on 24–25 May 2008 as part of ongoing development.

The LF-A is not a dedicated race car and Toyota has no plans to make technical changes. The eagerly-awaited supercar will only be equipped with the safety equipment (roll cage, fuel tank, etc.) necessary to meet racing regulations. A team of experienced Japanese drivers will have the aim of providing feedback to the Lexus development team rather than achieving a race result.

The LF-A is powered by a V10 petrol engine which delivers more than 500bhp. The supercar can reach a top speed of 200 mph.

Toyota might build the Camry Hybrid in Australia when the carmaker launches the next-generation there.

With other carmakers threatening Toyota’s green credentials, the carmaker is seriously thinking giving a boost to its hybrid sales in Australia by building the hybrid-powered Camry there. In addition to the increased sales, Toyota also wants to lead the market segment to boost its brand image

Australia is not a large market for hybrid cars where two models are on sale. Last year, Toyota sold 3,100 Prius while Honda sold  just over 1,000 Civic. Honda is currently developing a cheap hybrid model expected to be sold worldwide. In Australia, the new model might help Honda to overtake Toyota on the fast-growing hybrid market. However, the Honda might be a tiny bit too small for the Australian. Toyota prefers betting on the bigger Camry which offers similar dimensions to that of the Ford Falcon and Holden Commodore

Source: The Australian

Toyota has unveiled one new Auris trim level, the SR that takes inspiration from the SR180 model and had upgraded the TR level.

The new SR trim level follows the lead of the flagship SR180 and offer the visual glitches usually found on a sporty version without the performances. The new SR gets lowered sports suspension and 17in alloy wheels, both from Toyota Motorsport, a Toyota Motorsport rear spoiler and dark-tinted privacy glass. The equipment includes  nine airbags, climate control air conditioning, leather-trimmed steering wheel with audio controls, front fog lamps, six-speaker sound system and body colour-matched door handles and mirrors. The SR is available with two engines, a 1.6-litre Dual VVT-i petrol unit and a 2.0-litre D-4D 130 diesel unit. The SR starts at £14,495 with the three door variant.

The revised TR features five-spoke 16in alloy wheels, blue interior upholstery and introduces an automatic dual zone air conditioning. Like the new SR, the equipment also includes nine airbags, front fog lamps, leather-trimmed steering wheel with audio controls, six-speaker sound system and body colour-matched door handles and mirrors. The TR is available with 1.4 and 1.6 VVT-i petrol and 2.0 D-4D 130 diesel engines. The TR 1.4 VVT-i 3 door starts at £12,995.

The Japanese carmaker plans to spend £152 million to increase its stake in Subaru form 8.7 per cent to 17 per cent according the Nikkei newspaper.

Toyota wants to increase its stake in Subaru by buying 64.25 million shares for a total amount of £152 million. However the carmaker has no intention to go beyond 20%. Toyota had bought the current stake from GM in 2005 when the American carmaker sold some assets to reduce its debt. Since then, Toyota has launched the Camry production at Subaru’s American facility located in Lafayette, Indiana, and the first vehicle rolled off lat year. Both carmakers are currently collaborating on a new affordable coupé based on the Impreza underpinnings and intended to be sold under the Toyota label. With its 17 per cent stake, Toyota wants to produce subcompact cars in the Subaru’s Japanese factory.

The increased stake won’t change Subaru’s affairs as the carmaker is used to having another carmaker among its shareholders. General Motors  bought 20 per cent of Subaru in 1999 to increase its presence in Japan. Their collaboration gave birth to the Saabaru 9-2X while Subaru sold the Zafira in its domestic market. Before that, the stake owned by GM was owned by Nissan, who acquired the stake in 1968 during a period of government-ordered merging of Japanese auto industry to merge in order for improved competitiveness .

Toyota has denied it received government funding to develop its successful Prius model.

The company rejected allegations published in a Business Week article that quoted Jim Press, former board member at Toyota, as saying, "The Japanese government paid for 100 percent of the development of the battery and hybrid system that went into the Toyota Prius."

Toyota spokesman Paul Nolasco said: "I can say 100 percent that Toyota received absolutely no support — no money, no grants — from the Japanese government for the development of the Prius".

Bringing the truth on this story is rather difficult as Toyota is rather secretive. As former board member of Toyota, Jim Press also gives some credentials to its statement. Moreover, the Japanese industry has always had and still has strong link the powerful MITI which promotes some private-sector projects, especially those for clean energy. However, this is the first time that Toyota is mentioned in such a case.

Toyota will invest £50 million during the next four year into a new research facility called Research Institute of North America (TRI-NA) located near the Toyota Technical Center in Michigan.

The Japanese carmaker has announced that the new Research Institute of North America will focus on four areas: advanced technologies, urban environment, energy, and partnerships with government and academia. The new facility initially will employ 35 researchers and administration staff, and plans to add 10 researchers in 2008 and an additional 20 by 2010. The new technology center is a big move for the carmaker as most of its research was done mostly in Japan and sometimes in Australia and Germany.

The new Research Institute of North America will join the long list of Toyota’s facilities in the US which owns eleven factories, one technical center, one design center (pictured) and builds two new production sites

GM and Ford might see the new facility as provocative at a time when the two carmakers struggle to cut costs and can’t afford to invest into new technologies.

If Toyota increased its sales globally and among its brands over the years, Scion looks like a lame duck with its declining sales. Toyota plans to expand the lineup to increase the brand’s sales.

With sales down by 25% to 130,000 last year, Scion’s future look blurred as company’s executives expect the volumes to remain unchanged this year.  In an interview with Detroit News, Scion vice president Jack Hollis explains the poor sales as a result of a limited lineup. Aware of the problem, Scion is determined to take the bull by the horns and the carmaker plans to release three new models in the future to boost sales.

“Looking at fresh new concepts is something that Scion will be doing more often as we consider the possibility of adding a fourth, fifth or sixth vehicle to our lineup to expand the flow of youth into Toyota and Lexus,” told Holis to the newspaper.
The company is also considering launching hybrid models. Until now, Toyota has reserved its hybrid solutions to the top of the range or to a car, the Prius, designed around the hybrid solution. Developing hybrid Scion models might be a financial challenge as the brand sells its current lineup at a competitive price.

After Toyota President Katsuaki Watanabe complaining about the rising yen, Tokuichi Uranishi, executive vice president of Toyota announced that the carmaker will miss its sales target of 9.85 million vehicles for this year.

Slowing sales in the US, Europe and Japan will prevent the second-largest carmaker in the world from achieving its sales target for the current year despite the growth recorded in the emerging markets such as China where the carmaker might open its eighth factory or Russia where a new plant was recently opened.

Along with the slowing sales, the rising yen will also hurt the company’s profits on exports form Japan. A 1 yen gain in the Japanese currency against the dollar cuts Toyota’s annual profit by £175 million, according to the automaker.