The Japanese car manufacturing leader Toyota has its network of sales, service and production across the world. It is constantly improving its network with various changes which are required on time to time. In these days also the company is in an attempt to expand its production capacity as per the market sources. According to some reliable sources of auto market the company is going to build two new plants for manufacturing cars and other vehicles. These plants are going to be constructed in China and Mexico.
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To expand the manufacturing capacity of the company it is going to make some huge investment in plants. The investment may be up to USD 1.3 billion. This is a major investment by the company in last five years. The addition of new plants will help the company to produce more 300,000 units of vehicles per year. Hence, the company will be in a very sound position to compete with all its global rivals. The Toyota is going to invest this amount behind the facilities of manufacturing in its plants, which will be fully operative in 2018 and 2019. In the year 2018 the China plant will be almost fully functional while in the year 2019 the Mexico plant will start the operation to its fullest extent.
This is good news for Toyota lovers as after the investment behind the Thailand plant the company has almost no amount invested behind plants and its facility development. This will increase the capacity of the company to a great extent. The China plant is situated in Guangzhou and in this plant the company has a joint venture with the Guangzhou Automobile Group. This group also produces Yaris subcompact which is a hit in Chinese market. The new plant will produce up to 100,000 cars a year and it will be a great help to the company to meet the demand of its models from the market. The company wants to have good market share in this market, which is a small and medium sized vehicle market particularly. Presently the company has four percent market share in this market of small cars.
So far as Mexico plant is concerned, the company’s plant is situated in the Guanajuato state. This plant will be able to produce a maximum of 200,000 cars per year. According to the auto market experts the Mexican plant will be functioning around the clock, to build a new variant of the Corolla sedan in the auto market of the North America. As per the sources the new plants will add huge production capacity to the company’s current production. With the new manufacturing plant the company will be able to produce 11 million vehicles per year. However, the market has yet not reacted much to the news of the company’s expansion plan. The company Toyota is all set to expand its capacity to the maximum possible level and achieve the top producer position of the auto market.
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I am into the auto blogs field for quite a long time. Living my passion of reviewing cars.
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