Toyota Motor is preparing larger-than-usual price hikes for its vehicles in the US market around October when its model year in production changes, company officials told Kyodo News.
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The move is seen as part of its efforts to cooperate with struggling US competitors such as General Motors to prevent a re-emergence of the trade friction seen between the United States and Japan in the 1980s.
Automakers operating in the United States customarily raise prices for many of their vehicles when model years are changed. Toyota plans to bring about the hikes at the timing of the change in model year, the officials told the news agency.
Toyota is likely to put increases in the cost of steel sheets and other materials on its producer’s price for dealers to make this year’s hikes somewhat larger than in usual years, they said.
A senior official told Kyodo News that the company will explain the price hikes as a result of rises in material costs, because ”it is difficult to say to dealers that the hikes are to help US automakers.”
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By GlobalDataJapanese automakers have grabbed about a 30% share of the US auto market this year, stirring concerns about trade friction, the news agency noted.
Toyota chairman Hiroshi Okuda has recently repeatedly suggested price hikes of Toyota vehicles.
