Toyota considering shifting production of South Korea-bound Camry to the U.S.

Article by Christian Andrei, on September 28, 2011

To help reduce export costs, Toyota Motor Corp. is thinking about moving the production of South Korea-bound Camry autos from Japan to the U.S., according to a report from the Nikkei business daily. The pressure to cut costs stems from the historically strong yen that’s felt by Japan's export-oriented manufacturers as well as from a free trade agreement between the U.S. and South Korea.

Mike Goss, the spokesman for Toyota's North American manufacturing operations in Erlanger, Ky., said that there has been no decision yet on whether to export the Camry to Korea. Two U.S. plants build the Camry.

One is in Georgetown, Ky., while the other one is in the Subaru of Indiana Automotive Inc. factory located in Lafayette Ind. For years, Toyota has had a difficult time of coping with the demand in the U.S. for the model, says Guardian.

It has increased the capacity of its factories and has imposed overtime as Camry sales have exceeded 35,000-40,000 units a month. It continues to be the top-selling car in the U.S. However, its sales have fallen below 26,000 a month on average for this year through August as supplies were disrupted by the March 11 disaster in Japan.

Toyota offered a redesigned Camry for the 2010 model year. In the past, Toyota has exported its U.S.-built vehicles to Taiwan, Europe and other markets but this year, it has so far sent around 5,800 Avalons to the Middle East.

At a record high trading of 75.92 last month, the yen is getting stronger and this reduces the foreign earnings of Japanese exporters as it raises the prices of their products overseas. But even so, Toyota has made a promise to retain a minimum level of production in Japan to protect manufacturing.

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

The Shooting Brake is probably the least rendered body shape in the automotive world. But it’s also the most sought after design among car nuts for its unique, old-fashioned charm....
by - January 23, 2017
Perhaps to make the upcoming Valentine’s day more special, Tinder dating app and Ford UK have cooked up a special blind date for all the single blokes and chicks in...
by - January 23, 2017
2017 is undeniably a very busy year for BMW. After introducing the new 4-Series, the German automaker has just released several new updates. In relation to this, BMW is also...
by - January 23, 2017
The renowned Shelby Super Snake is now 50 years old! As we greet the Super Snake a “happy birthday” or a “happy anniversary,” Shelby itself is celebrating half a century...
by - January 23, 2017
Nearly a year after the Subaru XV Concept was unveiled at the 2016 Geneva Motor Show in Switzerland, this SUV study is making its North American debut at the 2017...
by - January 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries