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Toyota To Move Production Of Its Tacoma Pickup Out of US to Mexico

Toyota To Move Production Of Its Tacoma Pickup Out of US to Mexico
As a part of its business restricting process in North America, Japanese auto major Toyota has said that it will shift of production of its Tacoma midsize pickup to Mexico from Texas. The company is also set to invest $13 billion through next year in development of manufacturing operations in the United States.
The shift will not result in any job losses in the US, Toyota says. The plan also includes shifting the production of the Sequoia SUV to the San Antonio plant by 2022. Since 2010, the Tacoma has been manufactured at the Texas factory of the company – where the Tundra full-size pickup is also assembled.
It was about a month ago that Toyota had started production of the Tacoma at new plant in Central Mexico. It made the announcement just now. The Tacoma pickup truck is also manufactured at another factory of the company in Tijuana in Mexico since 2004. While Toyota had previously announced its plans for manufacturing the Tacoma at the new plant in Mexico, it had not mentioned anything about stopping production of the vehicle in the United States. 
This announcement by Toyota assumes importance because it was just a day ago that the formal announcement of the United States-Mexico-Canada Agreement on trade was approved by the US Senate. It now just requires the approval of US president Donald Trump.
Two years ago, Toyota was criticized by Trump for its plans of construction of the plant in Mexico which was expected to manufacture the Corolla cars of the company at that time.
“Toyota Motor said will build a new plant in Baja, Mexico, to build Corolla cars for U.S. NO WAY! Build plant in U.S. or pay big border tax,” Trump had tweeted back then criticizing the Japanese company.
And just a few months after trump’s tweets, Toyota had announced that it would be manufacturing the Corollas cars in a joint venture with Mazda at a new facility in Alabama while the new Mexican factory would be used for producing additional Tacoma vehicles. The company once again changed its plans last year, this time to announce that it would assembly work for an SUV will be done at the new Alabama plan. The company expects the plant to start production in 2021. It had also simultaneously announced that the Corollas will be manufactured at its facility in Mississippi.
The aim of the company behind the changes in production plans is to groups its production facilities in North America on the basis of a shared platform and common architectures which would help the company reduce costs significantly while enhancing the operational speed and competitiveness.
“Part of Toyota’s tremendous success in North America is building vehicles where we sell them,” Christopher Reynolds, chief administration officer, manufacturing and corporate resources for Toyota’s North American operations, said in a press release. “Our $1.3 billion investment at TMMI is further proof that our Hoosier workforce is rededicated to producing safer, high-quality vehicles our customers love to drive.”

Christopher J. Mitchell

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