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Toyota’s New Site Selection Criteria Favor Japan, U.S.
Toyota Motor Corp. will focus on locations with a high concentration of suppliers and political and labor stability when choosing future factory sites, The Nikkei reports.
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Toyota Motor Corp. will focus on locations with a high concentration of suppliers and political and labor stability when choosing future factory sites, The Nikkei reports.
Executive Vice President Atsushi Niimi, who oversees the company's production and North American operations, tells the Japanese newspaper that Toyota's revised criteria for site selection look beyond such traditional measures as quality capability and cost competitiveness.
The new standards make Japan the company's ideal country for plant location, followed by the U.S., according to The Nikkei. It says Toyota will step up American output and might possibly make the country an export base. The company also plans to boost production in Indonesia and Thailand, which have established networks of Japanese suppliers, the newspaper adds.
Over the next three years, Toyota will focus on squeezing the maximum output from its existing facilities, Niimi says. He reiterates that the company has no plans to build new plants during that period.
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