Toyota City, Japan, July 25, 2012—Toyota Motor Corporation (TMC) announces that Toyota Motor (Changshu) Auto Parts Co., Ltd. (TMCAP) was established on July 23, in the Changshu Southeast Economic Development Zone, Jiangsu Province, China. The transmission-production company is scheduled to start production in September 2014 with a planned, initial production capacity of 240,000 units a year.
Approximately 285 million U.S. dollars is being invested toward the establishment, with the new company expected to create 850 jobs. TMCAP will primarily produce continuously variable transmissions (CVTs) that Toyota uses on gasoline-engine vehicles with small engine displacement to improve driving performance while achieving high fuel efficiency. Toyota decided to begin CVT production in China in preparation for the expected demand increase there for small-engine vehicles.
Regarding the establishment, TMCAP President Hirokazu Yase said: "I am extremely pleased that, with the help of many people in China such as members of the central, provincial, and local governments, we were able to establish this new company. By producing CVTs in China, we will be able to provide high-performance, fuel-efficient cars to even more consumers in China."
TMCAP's plant, with a total area of approximately 140,000 square meters, will be located about two kilometers northwest of the Toyota Motor Engineering & Manufacturing (China) Co., Ltd. (TMEC) R&D site currently being constructed in Changshu.
Toyota will continue its efforts to manufacture cars in China that exceed customer expectations and also to work to contribute to the building of better communities and societies.
Overview of Toyota Motor (Changshu) Auto Parts Co., Ltd.
|Location||Changshu Southeast Economic Development Zone, Changshu, Jiangsu Province, China|
|Equity participation||TMC: 70.5%|
|Toyota Motor (China) Investment Co., Ltd.: 19.5%|
|Toyota Motor Hokkaido, Inc.: 10.0%|
|Establishment||July 23, 2012|
|Investment||285 million U.S. dollars|
|Capital||95 million U.S. dollars|
|Land area||140,000 m2|
|Main business||Manufacture and development of automobile powertrain parts|
|Production capacity||240,000 units/year (two-shift operations with no overtime and holiday shifts)|