Toyota planning to shift more production of its four-cylinder engines to Alabama

Article by Christian A., on August 26, 2010

In order to make use of excess engine-making capacity at its US factory, Toyota Motor Corp. will shift some of its production of four-cylinder engines from Japan to Alabama. The transfer will cost $147 million and will add 216,000 four-cylinders each year to the mix at Huntsville, Ala., where it already makes V6 and V8 light-truck engines.

It's good news to workers in Huntsville as 240 workers will be hired for the expansion. The four-cylinder engines, which will go into Camrys built in Indiana and RAV4s assembled in Woodstock, Ontario, had been coming in from Japan.

This move is part of Toyota' target to cut $9.42 billion in global costs in the current fiscal year that began April 1.

A net loss of $7.7 billion for the January-March quarter was reported by the company, which added that the result was worsened by a steep rise in the yen's value against the sinking dollar.

Apparently, the exchange-rate shift makes building engines and other components, as well as vehicles, in the United States more attractive.

Another reason that Toyota has for the move is that a part of the US plant has been unused due to the collapse of its Toyota Sequoia SUV and Tundra pickup segments. This prompted Toyota to merge two V-8 engine lines at Huntsville.

If you liked the article, share on:

Comments

Recommended

Volkswagen of America has a nice surprise for potential customers of the new VW Tiguan (2018 model year). The latest iteration of the Tiguan – set to arrive in the...
by - May 25, 2017
Toyota Camry is many things but exciting isn’t one of its frequent descriptions. That’s why throughout the years, Toyota has been stepping up its game for the said model in...
by - May 25, 2017
Volkswagen intends to leave the crowd in awe at the Worthersee Meeting (Wortherseetreffen) – the largest VW and Audi car show in Europe – with its new GTI Worthersee concept. ...
by - May 25, 2017
The much-hyped 2018 Dodge Challenger SRT Demon certainly has attracted a lot of attention, and possibly many potential buyers. Now, here is good news for interested customers: Dodge has finally...
by - May 25, 2017
An RHD (right hand drive) BMW M4 DTM Champion Edition has been listed to be for sale by Romans International, UK’s leading supercar dealership. The first owner of this rare...
by - May 24, 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