Toyota Boshoku reduces dependence on Toyota by getting new client in Europe

Article by Anita Panait, on January 23, 2012

Toyota Boshoku Corp. has won a contract to supply a European automaker with car seats, which it currently does for Toyota Motor Corp., according to Boshoku President Shuhei Toyoda. Toyoda, a relative of Toyota Motor chief Akio Toyoda, said his company aims to cater to automakers in Europe, which includes BMW AG and Volkswagen AG, in order to cut its dependence on the Japanese carmaker.

Boshoku is planning to hike its revenue from non-Toyota clients from the current 7% to around 10% in 2015. The company acquired a number of prominent clients after buying the automotive-interior business of Polytec Holding AG in 2011 for an undisclosed sum.

Toyoda said that although competition is very tough in Asia and other regions, Boshoku is continuously approaching possible clients. Boshoku wants to limit its profit drop to 4.1 percent in the fiscal year ending March 31, 2011 and is targeting a net income of 11 billion yen ($143 million).

The company expects its European operations to post a profit by the fiscal year that ends March 31. The company also expects a boost in sales in the next fiscal year after the Japanese government implemented subsidies and tax breaks for purchases of fuel-efficient cars.

"This shouldn't result in a decrease in the sales volume to Toyota but the company needs to diverse its customer base," Satoru Takada, an auto analyst at Toward the Infinite World research firm, said. Toyoda declined to name the European client or provide details.

If you liked the article, share on:

Topics: toyota, europe

Comments

Recommended

It has been nearly eight years since Toyota entered a new era of sports cars when it officially unveiled the production version of the Toyota 86 – also known as...
by - February 27, 2019
The new Audi TT RS – yes, the top version of the German carmaker’s facelifted TT model series – is now officially here. If you could remember, the range-topping TT...
by - February 18, 2019
Nearly half a year ago when McLaren Automotive unveiled the McLaren 600LT Coupe, the British carmaker is now introducing a version that lets its passengers enjoy the thrill of an...
by - January 25, 2019
German carmaker Volkswagen is now making the latest evolution of the new Volkswagen Golf GTI -- the new Golf GTI TCR. First unveiled as a concept at the annual GTI...
by - January 24, 2019
It has been three and a half years since BMW unveiled the sixth generation of the BMW 7 Series. Thus, it is really about to give the 7 Series a...
by - January 17, 2019