Published by Ash October 28th, 2008
in Guangzhou Toyota and First Automobile Works.
Toyota is set to invest 4 billion RMB factory with its joint venture partner, FAW, in North East China which will give FAW-Toyota the ability to produce nearly 1 million cars per year in China.
The factory will be built in Changchun, and will be Toyota’s 6th factory that they use in cooperation with FAW, the latest factory will be able to produce 100,000 Corolla compact cars per year.
Toyota also has plans to expand two of its existing factories in South China with its other joint venture partner, Guangzhou Automotive which would give Guangzhou-Toyota a production boost of 200,000 cars per year.
The combination of new, and expanded factories, will give Toyota the capacity to build 1.1 million cars per year in China alone. Toyota is also aiming to sell 1 million cars per year in China by 2010.
Published by Ash September 3rd, 2008
in Guangzhou Toyota.
Todays automotive media reports indicate that once the Toyota Highlander is in domestic Chinse production, the fair sized Highlander will be on sale for a mere 270,000rmb putting it up against imported compact SUV range such as the X-Trail, and the Mitsubishi Outlander. The Chinese made Outlander is expected to be paired to 2.7 and 3.5l engines, with the possibility of a 3.3l Hybird model, we estimate that Chinese production will begin early next year.
We’re unsure where the Highlander will be made in China, but as the current imported Highlander is sold through Guangzhou Toyota, we can expect that it will be produced in cooperation with Guangzhou, and not the Toyota-Sichuan FAW joint venture partnership.
Last weeks First Economic Daily newspaper reported that Guangzhou Auto and Changfeng Auto were in take over talks. This week, the talks have turned into facts: Guangzhou Auto plans to buy Changfeng Auto and will take control in the fourth quarter of 2008. The Changfeng-Mitsubishi joint venture will continue under Guangzhou management, just as Mitsubishi announced a new range of engines for the Chinese market.
Rumors of Guangzhou Auto wanting to purchase a smaller rival for quite some time, with Guangzhou Auto being linked to buying Beijing Auto. Talks between Changfeng and Guangzhou Auto have been reportedly going on for over a year, Changfeng currently produces trucks for the Peoples Liberation Army, as well as certain Mitsubishi SUV’s from CKD kits imported from Japan. By gaining control of Changfeng, Guangzhou sets to gain Changfengs automobile production factories which are located in the South of China. Changfeng have also been linked to buying the stricken Hummer brand from General Motors, although new further news on this situation has risen.
Guangzhou Auto executives will be feeling confident about purchasing Changfeng Auto, as a recent press release showed that Guangzhou Auto was sitting pretty after making over 6 Billion RMB profit in the first six months of 2008.
Mitsubishi have been losing money in the Chinese automarket place in recent years, with the takeover of Changfeng, Mitsubishi will get a certain amount of time in which to restructure their Chinese market offerings.
Published by Ash June 11th, 2008
in Guangzhou Toyota.
Rumors are circulating that the Toyota RAV 4 SUV may well be produced in China over the coming months.
The SUV market, despite recent blips in sales, is still increasing at a rapid rate. Toyota’s rivals, Honda, Toyota, Kia, and Hyundai, all have Chinese made vehicles on the market in China. The RAV4 will certainly fill a gap in the low cost SUV segment that appears to be controlled soley by its rivals. The only SUV that Toyota makes in China is the full sized Toyota Prado, in the FAW-Sichuan factory, and comes with a very high price tag.
An entry into the domestically made SUV market will surely guarantee that Toyota will have a car in nearly every segment of the market.
Currently, an imported RAV 4 costs 350,000rmb for the top model, once produced in China we estimate that price tag will fall into the 230,000rmb range to make it competitive with its nearest rival, the Honda CRV.
Published by Ash November 20th, 2007
in Guangzhou Toyota.
The Toyota Yaris was originally made by First Automobile works in the cold tundra of North Eastern China, but sails were a flop against other super minis like the Honda Fit/Jazz (which is still dominating small car sales nearly two years on)
The new Toyota Yaris is to be made by Guangzhou Motor corp who also have a joint venture with Toyota. The new Yaris is supposed to be much safer than its predecessor, and recieved 35 points in the NCAP Safety Tests. The new Yaris will be available next year with either a 1.3 or a 1.5l motor.
The China branch of Toyota Motor corp must be one of Japans best performing branches in the world market. The Japanese motoring giant has invested heavily in China to make it one of the best performing Japanese brands in China, seemingly going against the Chinese populations 60 year general distrust of all things Japanese.
TOYOTA Motor Corp expects to sell about 50 percent more vehicles in China in 2007 than a year earlier, helped by surging demand for its Camry sedans, Bloomberg said today.
The automaker, the world’s biggest carmaker by market value, aims to sell more than 450,000 vehicles in China this year, it said in a statement handed to journalists at an auto show in Changchun city, northeastern China today. The Toyota City, Japan-based automaker sold 308,000 vehicles in the country last year.
Toyota’s first-half vehicle sales in China rose 77 percent to 212,000, led by demand for Camrys, the country’s fourth bestselling car in the period. Work began on Toyota’s seventh plant in China last month, as the company aims for a 10 percent share of the world’s second-largest auto market by 2010.
Toyota added an upgraded Corolla compact car and a Lexus hybrid car in China in the first half. It aims to add at least one more model this year, the company said earlier this month.
The automaker’s first-half share of China’s passenger car market was about 6.9 percent, according to Bloomberg calculations based on data from the China Association of Automobile Manufacturers.
We hope that Toyota can start to appeal to the younger generations of Chinese consumers, the 20-30 year old range with some funky cars. What we’re saying, Toyota, is that you drop the Yaris and bring the Scion range out in China.
Published by Ash June 6th, 2007
in Guangzhou Toyota and Chinese Car News.
Chinese consumers just cant stop buying those Camrys, and Yaris automobiles.
TOYOTA Motor Corp began building a second plant in Guangzhou, China today to meet rising demand in the world’s second largest vehicle market, Bloomberg said today.
The new plant will make Camry sedans and Yaris compacts, Liang Jing, an official in the management department of Toyota’s venture in the southern Chinese city, said by phone today. The factory will take more than a year to build, she added.
Work on the factory, Toyota’s seventh in China, follows the opening of its third plant in the northern city of Tianjin last month. The company aims to boost sales in the country by a third this year and to grab a 10 percent share of the Chinese car market by 2010.
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