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Is Toyota Growing Too Fast?
Toyota, whose U.S. sales are growing faster than its ability to add plants, is wary of expanding manufacturing capacity too quickly, an official says.

"We have to make sure we expand in the right way," said Dan Sieger, a spokesman for the company's manufacturing unit in Erlanger, Ky. "That's why there is so much thought going into when, whether and how to add capacity."

Toyota officials have said they are studying possible sites in the U.S., specifically Southern states, for an eighth North American assembly plant. In the past 12 months, the company announced production ventures in Mexico and Indiana and opened a pickup truck plant in San Antonio, Texas.

A 13 percent increase in U.S. sales in 2006 put further pressure on Toyota to expand. Toyota, Asia's largest automaker, imported a record 1.18 million vehicles to the U.S. from Japan last year to help meet demand.

Quality concerns and a limited pool of manufacturing engineers may mean a new North American plant won't be announced soon, analyst Sean McAlinden said.

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Is Toyota Growing Too Fast?



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james_mayjames_may - 1/5/2007 2:01:11 PM
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I guess it is US auto makers are shrinking too fast...


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1970toyotamarc1970toyotamarc - 1/5/2007 2:08:54 PM
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I guess it wouldn't be a week without some newspaper publishing this story, and without 009 finding it.

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Agent009Agent009 - 1/5/2007 2:22:15 PMView My AgentSpace
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I try.... But the real question is when will it level off?


spiceacespiceace - 1/5/2007 3:09:31 PM
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Answer-> not really.

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528i528i - 1/5/2007 3:46:56 PMView My AgentSpace
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BillBill - 1/5/2007 6:38:42 PM
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Toyota is growing pretty fast, Will. Internationally, domestically, you name it.

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delandelan - 1/5/2007 7:19:47 PMView My AgentSpace
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^Busy sending get well cards to the president who got socked in the face by striking laborers.

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mobiustechmobiustech - 1/5/2007 9:56:42 PM
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GM had a simular issue and quality became an issue. This is becoming an issue with Toyota as well.

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sexi_gay_boisexi_gay_boi - 1/5/2007 11:55:22 PM
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wat wud u rather a shit company like GM to grow more than it has?!?!? all GM is doing is eating itself alive!!! soon it will be dead!!!! I CAN'T WAIT FOR THE B*TCH TO DIE!!!!!!!!

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DieselRulesDieselRules - 1/6/2007 9:11:32 PM
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Toyota makes mostly good cars (even if I find them boring).
So do all the other Japanese makers, although Subaru and Honda probably have better 4-cyl engines, and Nissan's V6 is probably the best in the world.

But Toyota has the BEST Marketing of any company.
They started brain-washing people about "Toyota Quality" in the 1980's ... a time when Detroit was producing the worst garbage on 4 wheels imaginable. Compared to the "Big 3", their cars were much better, and it worked (at least in North America).

They continue to milk that reputation (part of it earned, part of it questionable, especially the practice of telling every customer with a problem: "We've never seen that before -- you must have been abusing the vehicle!" -- look on Edmunds for lots of customers fuming about that).

But by and large, you can lump Toyota and Sony into the same mold ... they are bought by people who are not technologically knowledgable and are worried about buying a "bad product". They are fairly confident that they will get a "better than average" product.

Its a "safe bet", and that works in North America where there are lots of people who know nothing about cars. It doesn't work in the rest of the world where so many people are car nuts, but its the US where they are seeing great gains.

As cars get more complex and the number of truly knowledgable people dwindles, their sales will continue to rise.
There is no end in sight.
Congratulations Toyota, on having the best marketing in the Auto Industry!

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DieselRulesDieselRules - 1/7/2007 8:37:30 PM
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ApexAlex: "my '94 toyota truck has required ZERO dollars to date, to replace failed parts. every "repair" expense has been just for replacement of NORMAL WEAR and TEAR items.

i challenge you to name ANY other brand, REGARDLESS OF PRICE LEVEL, that can claim similar bulletproof reliability."

I have a '92 VW 1-ton crew-cab with the same reliability. Its seen more off-road use than 1000 SUVs combined (as a work-truck installing underground power-lines to house sites BEFORE the roads were even in place, it spent ~1/2 its first few years off-road). My '98 VW TDI Beetle has broken power window switches. Other than that, with over 210,000 kms on it, its only had tires, brakes and the battery replaced ... same clutch, exhaust, and the brakes lasted 200,000 miles (125,000 miles).

The point is, MOST cars are reliable these days (with the exception of low-end Detroit products). So, YES - TOYOTAS are reliable. So are Nissan, Honda, Subaru, Mazda, Hyundai, Audi, VW with a few exceptions in each brand (including Toyota: the Tercel was a piece of crap, and the Matrix isn't much better).


spadog55spadog55 - 1/6/2007 9:47:37 PM
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As Americans waistlines grow so do Toyota sales. Don't get me wrong Toyota makes a great car if you are a bloated soft body. If you are looking for a drivers car look elsewhere.

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DieselRulesDieselRules - 1/7/2007 8:47:39 PM
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ApexAlex: not surprised with your Toyota vs. Ford comparison. But likely the same results could have occurred with a Honda vs. Ford comparison, or Subaru vs. Ford comparison.
Toyotas are good ... but they aren't the only car that is good.

My only point is that their marketing is better, and they've pushed the "quality" image hard for 20 years. But if you got into an argument with Honda fans stating that Toyota builds better cars than Honda (for example) you'd find yourself in a war, with little to back up your side.

Plus, Toyota seems to have pushed product testing onto the consumer lately (to save costs, presumably). That new model Camry a few years back was terrible: rattles under the dash, defective, pulsating brakes, A/T problems, driver's seat slid back when accelerating. Sure Toyota was quick to fix the problems within 1 year, but those 1st Camry's were terrible. Other companies actually test the product before inflicting it on customers. (and I think even Toyota has not repeated that disaster since)

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