Toyota likely to enhance the efficiency of its assembly units to save on cost

Toyota likely to enhance the efficiency of its assembly units to save on cost

Toyota Japanese auto maker, is keen on increasing it's assembly line efficiency. The Japanese auto mobile giant is finding ways and making strategies to increase the efficiency of its assembly line ups. According to sources, Toyota Motor Corp is planning to increase the efficiency of the engine assembly lines across globe which will help in cutting output cost and is planning to make smaller assembly units a profitable venture. As per the reports in the industry, Toyota, the auto maker has already invested 20-30 billion yen in the current assembly lines which has a manufacturing capacity of almost 200,000 cars at present. The new assembly lines having a capacity to manufacture 100,000 vehicles have been built with an investment of 10-15 billion yen. By 2012 end, the industry speculates that Toyota Motors will double the company's hybrid cars as it will launch 11 new models in Japan. It is also expected that, in the last quarter of the year, few of the assembly lines at Toyota's Shimoyama unit will be advanced and will start manufacturing the vehicles. In the developing auto markets of India, China and Brazil, to start a new state of the art assembly lines requires massive investments which is a major concern as it increases the fixed cost for increasing manufacturing capacity of the plant. As per the sources, Toyota Motors wishes to evaluate the depreciation cost which will increase by putting new engine assembly lines. Toyota Motors holds a global presence in the auto industry. The company hopes to expand in the Indian auto market and is soon coming with an all new car Toyota Etios. The new car will be launched firstly as a sedan model later to be followed by the hatchback which will come in the three months that follow sedan's launch. As per the industry insiders, the car will be a big bet for the company and will compete with the already established cars in this segment. After the launch of this car, Toyota will complete its second stage of investment in the market.

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