Toyota Makes Key Announcements - Analyst Blog
September 10 2013 - 7:10PM
Zacks
Toyota Motors Corp. (TM) recently announced
that its Technical Center will invest about $28 million in two
facilities located in Ann Arbor area, Mich. The company will make
the investment for expansion of the powertrain operations.
Toyota will be focusing on the design, evaluation and calibration
of new engine and transmission projects. The investment will
facilitate the designing of engines and automatic transmissions in
Toyota’s North American operations.
Crown Majesta Debuts in Japan
Separately, Toyota recently announced the launch of premium vehicle
Crown Majesta in Japan. This sedan is designed in accordance with
the taste and preference of the Japanese consumers.
The new Majesta sedan is expected to perform well in the Japan's
luxury car segment. It is equipped with a high performance,
eco-friendly 3.5-liter hybrid system. The vehicle also includes
advanced safety features like Blind Spot Monitor and Pre-collision
System.
The car will be assembled in the Motomachi Plant and sold by Toyota
dealers throughout Japan. The company has set a monthly target to
sell 500 units in the country.
Compact Agya Launched in Indonesia
PT. Toyota Astra Motor, the Indonesian subsidiary of Toyota,
announced the launch of a low-range, fuel efficient compact car
Agya, developed jointly with Toyota Group company, Daihatsu Motor
Co., Ltd. The latter also launched the car with its branding under
the name Ayla in Indonesian market.
Both the cars received certification under the Indonesian
government's Low Cost Green Car program, which will lead to tax
reduction. Toyota plans to sell 5,000 units of Agya per month in
2013.
While new investments and product launches are boosting earnings,
the automobile market is also witnessing a series of recalls.
Toyota recently recalled 780K vehicles for the second time to fix a
problem in the rear tie rod. The company had recalled 18K 2010
Lexus HS 250h autos and 760K Toyota RAV4 SUV of model years 2006 to
2011 in Aug 2012, following several complaints. Recently, Toyota
also recalled 369,000 vehicles worldwide, including about 235,000
in the U.S., roughly 74,000 in Japan and 37,500 in Europe to fix a
hybrid-system problem.
Many peers are also facing the same problem. Honda Motor
Co., Ltd. (HMC), Ford Motor Co. (F) and
General Motors Co. (GM) have recalled vehicles in
recent times.
FORD MOTOR CO (F): Free Stock Analysis Report
GENERAL MOTORS (GM): Free Stock Analysis Report
HONDA MOTOR (HMC): Free Stock Analysis Report
TOYOTA MOTOR CP (TM): Free Stock Analysis Report
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