Toyota wants more SUVs from Japan and Canada to meet US demand

Article by Christian A., on January 17, 2015

Toyota Motor Corp. plans to produce more SUVs this year at its sites in Japan and Canada to cater to growing demand in the United States. Jim Lentz, chief executive officer of Toyota’s North American operations, remarked that the freeze on building new plants remains until end of March 2016, and the carmaker will have to squeeze more vehicles from its existing sites to meet a surge in demand.

Toyota will continue to expand the output of its SUVs after sales these models jumped 16 percent in 2014 to a new record. Toyota was able to regain its crown as the largest carmaker in the world as it continues to perform very well in the US, as boosted by its SUV models like the RAV4 and the RX.

The Japanese carmaker sells five SUVs while main rival Volkswagen AG only offers two. But Toyota may not stop at five as it is considering smaller SUVs for further growth, according to Lentz.

He remarked that there is no question that the market for smaller SUVs will grow and Toyota is taking a look how that market develops. “That’s going to be the next growth spurt.”

Lentz said that the carmaker can hike output of the RAV4 and RX in Japan and Canada this year. , Bill Fay, a Toyota division group vice president, told Bloomberg in an interview that the company has the opportunity to sell 300,000 RAV4s annually in the US after selling 267,698 units in 2014.

If you liked the article, share on:

Comments

Recommended

Right now, if you check the Mercedes-Benz G Class configurator online, you will be given two options, namely the G500 and the G63. The G500 first came out in January...
by - May 24, 2018
You may have already heard that Jaguar wants to expand its sports car portfolio beyond the current F-Type lineup. But how will the company do it? Well, we have been...
by - May 24, 2018
During the past few years, many automakers have developed a love-hate relationship towards diesel engines because of strict emission standards. Automakers have built a perception that diesel engines are not...
by - May 23, 2018
It was back in 1899 when Fiat was first established in Turin, Italy. It has remained in one form or another for over a century. However, current CEO of the...
by - May 22, 2018
Mercedes-Benz has been working on refreshing its people-hauling V-Class, which has racked up more than 100,000 deliveries since 2014. But before the new model finally goes on sale sometime next...
by - May 22, 2018