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Toyota Group to Reinforce Initiatives in Indonesia

Toyota City, Japan, Nov 10, 2012 - (ACN Newswire) - Toyota Motor Corporation (TMC) and five other members of the Toyota Group(1): Toyota Auto Body Co., Ltd. (Toyota Auto Body), Toyota Tsusho Corporation (Toyota Tsusho), Aisin Seiki Co., Ltd. (Aisin Seiki), DENSO Corporation (DENSO), and Daihatsu Motor Co., Ltd. (Daihatsu) announce that they will reinforce their initiatives for the automotive industry of Indonesia.

The Toyota Group has been engaged in the automotive business in Indonesia for over 40 years, starting in the 1970s. Considering the remarkable growth of the market in recent years, the group is determined to make a concerted effort to boost its business in Indonesia to enable the continued provision of automobiles that exceed the expectations of Indonesian consumers.

TMC's Indonesian vehicle-producing subsidiary PT. Toyota Motor Manufacturing Indonesia (TMMIN) is to purchase 150 hectares of land near its two plants in Karawang to build a new engine plant to strengthen local procurement and to respond to future demand increases expected with the growth of the Indonesian market. Additionally, TMMIN's No. 1 Karawang Plant will increase its annual production capacity from 110,000 vehicles to 130,000 and employ 190 new workers by September 2013 to reinforce supply of IMV(2) series vehicles.

Toyota Auto Body is to begin vehicle production in December 2012 at PT Sugity Creatives PT, its joint-venture vehicle and parts manufacturing company in Bekasi Regency formed with TMMIN and Toyota Tsusho.

Last month, Daihatsu began operation at its Karawang Plant - its second local production base following its Sunter Plant (established in 1992) in northern Jakarta. Construction of Daihatsu's second test track and design center outside Japan will also begin at its Karawang Plant within the year.

Likewise, Toyota Tsusho, Aisin Seiki and DENSO are to strengthen their activities for the development of related industries in Indonesia.

With TMC and Daihatsu vehicle production in Indonesia, and Toyota Auto Body starting production of vehicles there this December, the Toyota Group is positioned to offer a wide variety of vehicles matched to Indonesian consumer needs.

Aisin Seiki, DENSO and Toyota Tsusho engage in component production and marketing, contributing to the development of related industries. As these companies integrate their efforts with the Toyota Group, TMMIN has achieved 75 percent local procurement for its major vehicle model. The Toyota Group will continue such efforts to further increase the rate of local procurement.

Over four decades, TMC, Toyota Auto Body, Toyota Tsusho, Aisin Seiki, DENSO and Daihatsu have made investments in Indonesia worth over a total of approximately 27 trillion rupiah (of which TMC accounts for 9.49 trillion), and presently employs more than 32,000 people (7,400 by TMC). With today's announcement, the companies plan to newly invest 13 trillion rupiah and aim to increase employment to up to approximately 41,000 people over the next five years.

The Toyota Group will continue its efforts to contribute to the greater growth of the automotive industry in Indonesia to satisfy consumers and enrich local communities.

(1) Group comprising 16 companies: Toyota Industries Corporation; Aichi Steel Corporation; JTEKT Corporation; Toyota Auto Body Co., Ltd.; Toyota Tsusho Corporation; Aisin Seki Co., Ltd.; DENSO Corporation; Toyota Boshoku Corporation; Towa Real Estate Co., Ltd.; Toyota Central R&D Labs., Inc.; Toyota Motor East Japan, Inc.; Toyoda Gosei Co., Ltd.; Hino Motors, Ltd.; Daihatsu Motor Co., Ltd.; Toyota Housing Corporation; Toyota Motor Corporation
(2) Based on an optimal worldwide production and supply system to quickly offer attractive vehicles at an affordable price to consumers around the world, the Innovative International Multi-purpose Vehicle (IMV) series consists of five vehicles - three pickup trucks, a minivan, and an SUV - specially developed in 2004 for introduction to over 140 countries and regions.

About Toyota

Supported by people around the world, Toyota Motor Corporation (TSE: 7203; NYSE: TM), has endeavored since its establishment in 1937 to serve society by creating better products. As of the end of March 2012, Toyota conducts its business worldwide with 50 overseas manufacturing companies in 27 countries and regions. Toyota's vehicles are sold in more than 160 countries and regions. For more information, please visit www.toyota-global.com. For more information, please visit www.toyota-global.com.

Source: Toyota

Contact:
Toyota Motor Corporation
Corporate Communications Department
Public Affairs Division
Tel: +81-3-3817-9150




Copyright 2012 ACN Newswire. All rights reserved.

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