JAPAN: Toyota eyes new Thai and Indonesian plants
Toyota is considering building new vehicle manufacturing plants in Thailand and Indonesia to meet growing demand in Southeast Asia and limit the negative effects of currency fluctuations.
Toyota's subsidiary Toyota Auto Body will operate the plants in the region, sources told Kyodo News.
The automaker will decide later on details including the size of output and models but it is likely to manufacture models such as the Hiace commercial van, which Toyota Auto Body has know-how for production, the sources said.
Toyota sees Thailand as an attractive location for manufacturing vehicles despite being forced recently to suspend production at its existing plants in the nation due to flooding that has disrupted its supply chain, they said.
The latest move follows an announcement last month that the automaker will build a new plant in Indonesia to produce a new compact car.
Toyota Auto Body, which will become Toyota's wholly-owned unit in January, manufactures commercial vehicles and minivans for Toyota in Japan.