According to foreign media reports, Japanese automaker Toyota plans to restructure Japan’s domestic production system from 2030.
Although Japan’s population is expected to decline over the next decade, Toyota aims to maintain production of 3 million vehicles a year in Japan, while shifting some of its production in the East China Sea, including Aichi Prefecture, to Tohoku and Kyushu (currently about 400000 vehicles a year).
Toyota Motor, according to a person familiar with the matter, Toyota’s domestic production restructuring plan will begin around 2030 and will continue until 2035.
The company’s production in the East China Sea will be reduced to about 1.
8 million vehicles, while production in the northeast and Kyushu will increase to about 600000 vehicles, about 1.
5 times the current level.
Toyota has 14 vehicle production plants in Japan, most of which are concentrated in the Sanhe area east of Aichi Prefecture, including Toyota City and Hada Hara City.
Toyota Motor East Japan Inc.
, Toyota’s Tohoku subsidiary, produces about 400000 cars a year at its plants in Miyagi and Iwate prefectures.
Toyota Motor Kyushu Inc.
, another subsidiary of Toyota, has roughly the same output at its plant in Fukuoka prefecture.
Toyota East Japan has about 7000 employees, while Toyota Kyushu has about 10000 employees.
Currently, Toyota’s parts manufacturers in the East China Sea are shipping many parts to the Northeast and Kyushu.
One of the purposes of Toyota’s restructuring is to strengthen the development and production of parts in each region so that the entire production process can be carried out in these areas.
Toyota also plans to transfer models currently produced only in the East China Sea to the Northeast and Kyushu.
Tohoku is currently the production base of Toyota compact cars, Toyota’s plant in Ohira, Miyagi prefecture, produces the Yaris Cross compact SUV and Sienta compact van, and the plant in Iwate prefecture produces Yaris and Aqua models.
Toyota’s Miyata plant in Kyushu is home to the luxury brand Lexus, which makes Lexus RX SUV and ES cars.
The production restructuring plan may make Toyota more resilient to labor shortages (especially young workers) and large-scale disasters, such as the possible South China Sea trench earthquake, and may also help the company increase production of next-generation cars such as electric cars.
Toyota’s production system will greatly affect the company’s business partners, including auto parts manufacturers and material manufacturers.
Toyota’s shift of some production to the Northeast and Kyushu is expected to revive the economies of those regions and generate new jobs and capital investment, including from business partners.
Toyota’s restructuring will also mobilize personnel to develop and introduce new technologies to support the company’s plan to sell 3.
5 million electric vehicles worldwide by 2030.
It is reported that Toyota will finally decide to restructure the scale according to the market trend and the current situation of the electric vehicle market.
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