Toyota pens down $243.29m for expansion in Brazil’s automobile sector

Kenneth Afor

Japan automaker, Toyota Motor Corporation Thursday, announced that its subsidiary in Brazil Toyota do Brasil Ltda (TDB), TMC’s Brazilian sales and manufacturing will invest $243.29 million in its Sorocaba plant in Sao Paulo, Brazil.

The plant started production in 2012 and has produced the brand’s Etios and Yaris models. It also added that the plant will be responsible for the production of a new model in the Brazilian market which will be up for sale in 2021.

The Sorocaba plant was chosen because of its ability for an expansion which would ease logistics and for suppliers

However, it also proposes to hire 300 new employees to meet with the production capacity of the new vehicles.

Masahiro Inoue, chief executive officer, Toyota Latin America and the Caribbean and chairman of TDB stated that “Toyota’s commitment to the development of the Brazilian automotive industry and to Brazil is only possible with a strong partnership between the various stakeholders of the company. This announcement of another investment we make in Brazil is the result of the joint work of our employees, suppliers, dealers, unions and the government and reinforces our long-term vision in the country.”

Rafael Chang, TDB president assures that Toyota will remain committed towards its goal for its customers in delivering sustainable growth despite the unfavourable economic environment.

He said, “This announcement of another investment represents a stronger Toyota in Brazil. During this decade, which meant challenging times for the economy and the automotive industry, Toyota remained true to its commitment to pursue the smile of its customers, growing sustainably, seeking greater business competitiveness and, fundamentally, contributing to the development of its businesses where it operates.”

Although, details on the new vehicle, engine, and exact release date will be shared at a later date.

Similarly, in 2018, Toyota invested about $250 million in the country’s automotive sector to rev up the southeastern plant a plan which was in sync with the Brazilian government’s 15-year plan that promises a better future for its auto industry.

Also, in March 2019, Toyota announced to commence the manufacturing of the hybrid version of its Corolla Sedan brand which they have already kicked off promising $254.73 million investment.