On Wednesday morning, Toyota Motor Corp. confirmed that the company has planned to scale back the auto plant in Mexico. The top officials of the company have indicated that this decision took place according to the market requirements and it shouldn’t be considered any type of political move. Point to be noted that the investment commitment of $1 billion for Guanajuato plant was announced in 2015 and set to be running in 2019, but it fall to $700 million. The company also mentioned that the annual production will decrease to half at 100 thousand. The initial plan was to manufacture 200 thousand Corolla subcompacts per year. But, the Executive Vice President, Didier Leroy said in a press interview at the Tokyo Motor Show Corolla that the production of Corolla vehicles will move to a new plant in collaboration with Mazda Motor Corp. in the United States.
Point to be noted that the timing for the opening on this new plant hasn’t yet been disclosed. He also indicated that Mexico plant will manufacture Tacoma Trucks to fulfill its increasing demand. It has been considered a part of overall re-alignment of North American production from Toyota. He also denied that this move took place to please anyone, especially the U.S President Trump. He confirmed that the company will not be a part of any political game to please anyone. He stressed that the current decision took place to enhance the efficient production of the company and we are doing our best for the company. It is important that Toyota and other Japanese companies have moved their production to North America due to they have much cooperative community.