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:

Pin It

Comments

Recommended

Reddit user Jdubbswrx spotted a rather deceptive move coming from the German automotive manufacturer Audi. He posted an image of the supposed exhaust of the new 2018 Audi SQ5 sporting...
by - March 29, 2017
McLaren car owners will be thanking the automotive company as it has decided to roll out new goodies for the 540C, 570S and 570GT sports car line-up. From this series...
by - March 29, 2017
On July 11, Audi is set to reveal its flagship luxury sedan, the all new A8. And at this moment, none of us are sure how this model will look....
by - March 29, 2017
The recent Porsche 911 is definitely considered one of the most elite sports car to grace the roads worldwide. The task of producing its successor is challenging enough for the...
by - March 29, 2017
British startup Zenos, which entered bankruptcy administration earlier this year is now back in business. The Norfolk-based sports car manufacturer was bought by a consortium of investors headed by AC...
by - March 29, 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