Toyota to Exit Australia by 2017

By | February 10, 2014
Last week, Ford Motor Company announced that it will be cutting Australian production before its exit in 2016. General Motors has also revealed plans to exit Australia by 2017, which would leave Toyota as one of the few remaining manufacturers in the country. This week, Toyota announced that it will also be leaving the country by 2017. Automakers have been pulling out of the country due to high costs and a strong currency, and Toyota Motor Corp. President Akio Toyoda said in a statement that "We believed that we should continue producing vehicles in Australia, and Toyota and its workforce here made every effort. However, various negative factors such as an extremely competitive market and a strong Australian dollar, together with forecasts of a reduction in the total scale of vehicle production in Australia, have forces us to make this painful decision." Toyota has been producing vehicles in its Australian plant for over 50 years and employs almost 4,000 workers. On top of the plan to leave the country, Toyota is also considering reducing the size of its development base there, although a plan hasn't been officially announced. The automaker will continue to work with its employees, local communities, and others to make sure this is as smooth a transition as possible for this situation.
Toyoda went on to say that although they were stopping production of new vehicles in Australia by 2017, that "TMCA will change into a sales and distribution company, but Toyota's commitment to continue to provide great cars and services to the Australian people-something we have done for 50 years and will do for the next 50 years-will not change." Source: Toyota