Toyota sets major investment in RP

Japan’s leading car maker Toyota Motor Corp. (TMC) is strengthening its presence in the country by making an additional investment in its local subsidiaries, Toyota Motor Philippines Corp. (TMPC) and Toyota Autoparts Philippines Inc. (TAPI).

This was disclosed yesterday by TMC president Fujio Cho who also said that TMPC and TAPI will participate in TMC’s ambitious project to build an international utility vehicle.

"The planned investment is part of a huge project that is more ambitious than anything that Toyota has ever tackled before," Cho said.

However, Cho refused to disclose how much TMC will be investing in TMPC and TAPI.

He only said that Toyota is planning to build an international utility vehicle with parts purchased from the Philippines and other ASEAN countries.

"That vehicle will be a core Toyota produced in this region," adding that the "Philippines is at the heart of the project."

TAPI will be the main supplier of the transmission for the planned international utility vehicle.

Cho said that TMPC’s exports may reach over $400 million by 2004 with its participation in the production of an international utility vehicle.

TMPC’s exports amounted to about $270 million as of 2001. TMPC has produced 300,000 vehicles since 1989 and accounts for 30 percent of the local vehicle market.

Toyota is currently ranked number one in terms of total industry sales with its utility vehicle, the Tamaraw Revo, passenger car Corolla Altis, as its top sellers locally.

TMPC employs 6,600 workers.