Toyota Motor Corporation plans to raise group capital spending by 11% to a record 1.1 trillion yen ($US10.2 billion) in the current business year to March 31, on the back of rapidly growing overseas sales, CBS Marketwatch reported, citing the Nihon Keizai Shimbun newspaper.
This reportedly would mark the first time in six years that Toyota ‘s capital investments will exceed 1 trillion yen and is more than double that of rival Nissan Motor ‘s 480 billion yen.
Toyota , which declined to comment on the report, initially planned to spend 990 billion yen this fiscal year, CBS Marketwatch said.
The Nikkei report said most of the money is being earmarked for plants in Japan and the rest of Asia. Domestic plants have not been able to keep up with the sharp rise in exports, so about 600 billion yen will be spent mostly to bolster facilities at production subsidiaries in Japan, it reportedly added.
The Nihon Keizai said Toyota intends to expand assembly lines at group plants in Fukuoka and Iwate prefectures, as well as spend about 30 billion yen to boost output of key components such as automatic transmissions at a Hokkaido factory, CBS Marketwatch reported.