Toyota Australia has lost A$700m in three years but is negotiating for even more taxpayer dollars to build a new model locally, a newspaper reported.
A senior company insider has revealed to Adelaide’s The Advertiser the size of the loss, which equates to about $3500 for every car Toyota exported to the Middle East over the past three years.
Go deeper with GlobalData
In the same period, the federal and Victorian state governments contributed almost $100m to Toyota’s manufacturing operations – $35m towards local production of the Camry Hybrid and a further $63m towards a $330m upgrade of Toyota’s engine factory at Altona, the paper said.
The Advertiser said Toyota Australia senior executive director Dave Butter had confirmed the automaker was looking to build a third vehicle alongside the Camry four-cylinder and Aurion V6 sedans and that discussions had begun with state and federal governments for taxpayer support.
“We have the capability and capacity to build another model,” Buttner said.
“We want to shore up our volume to make sure we can stay (manufacturing in Australia). We’ve apprised the government of the plans we have in place to make our manufacturing plant continue.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataDespite the strong dollar affecting profitability, with no currency relief in sight, Toyota has said it is trying to improve economies of scale by increasing the output at Altona from its low of 94,000 cars a year.
