Friday, January 22, 2010

Toyota Files Voluntary Safety Recall on Select Toyota Division Vehicles for Sticking Accelerator Pedal

TORRANCE, Calif., January 21, 2010 -- Toyota Motor Sales (TMS), U.S.A., Inc, today announced it would recall approximately 2.3 million vehicles to correct sticking accelerator pedals on specific Toyota Division models. This action is separate from the on-going recall of approximately 4.2 million Toyota and Lexus vehicles to reduce the risk of pedal entrapment by incorrect or out of place accessory floor mats. Approximately 1.7 million Toyota Division vehicles are subject to both separate recall actions.

“In recent months, Toyota has investigated isolated reports of sticking accelerator pedal mechanisms in certain vehicles without the presence of floor mats,” said TMS Group Vice President Irv Miller. “Our investigation indicates that there is a possibility that certain accelerator pedal mechanisms may, in rare instances, mechanically stick in a partially depressed position or return slowly to the idle position. Consistent with our commitment to the safety of our cars and our customers, we have initiated this voluntary recall action.”

Toyota’s accelerator pedal recall is confined to the following Toyota Division vehicles:

• 2009-2010 RAV4, • 2009-2010 Corolla, • 2009-2010 Matrix, • 2005-2010 Avalon, • 2007-2010 Camry, • 2010 Highlander, • 2007-2010 Tundra, • 2008-2010 Sequoia

No Lexus Division or Scion vehicles are affected by this recall action. Also not affected are Toyota Prius, Tacoma, Sienna, Venza, Solara, Yaris, 4Runner, FJ Cruiser, Land Cruiser and select Camry models, including all Camry hybrids.

The condition is rare, but can occur when the pedal mechanism becomes worn and, in certain conditions, the accelerator pedal may become harder to depress, slower to return or, in the worst case, stuck in a partially depressed position. Toyota is working quickly to prepare the correction remedy.

In the event that a driver experiences an accelerator pedal that sticks in a partial open throttle position or returns slowly to idle position, the vehicle can be controlled with firm and steady application of the brakes. The brakes should not be pumped repeatedly because it could deplete vacuum assist, requiring stronger brake pedal pressure. The vehicle should be driven to the nearest safe location, the engine shut off and a Toyota dealer contacted for assistance.

Toyota will continue to investigate incidents of unwanted acceleration and take appropriate measures to address any trends that are identified.

Toyota owners who have questions or concerns should contact the Toyota Customer Experience Center at 1-800-331-4331. Also, you can schedule service for your recall at www.toyotaofnorthcharlotte.com.

Thursday, January 21, 2010

Toyota Begins Production of Third-Generation Sienna at Indiana Plant


PRINCETON, Ind. (January 20, 2010) – Production of the all-new 2011 Sienna minivan is underway at Toyota Motor Manufacturing, Indiana (TMMI) in Princeton, Ind. Fully redesigned to meet the needs of consumers, the new Sienna was styled at Toyota’s Calty Design Research Center in Newport Beach, Calif., and developed at the Toyota Technical Center in Ann Arbor, Mich.

Production of the new Sienna, as well as Highlander production that began last October, is welcome news for the Indiana plant as it was underutilized during the current economic downturn.

Staying Afloat During Challenging TimesThe facility’s 4,200 team members are confident that improvements they made during the economic downturn assured a successful Sienna and Highlander launch. Already grappling with the sales impact of escalating gas prices following Hurricane Katrina, the plant faced an uncertain future when the banking and housing crisis brought the economy to its knees and the auto industry with it.

TMMI came to a critical crossroads in mid-2008 as Toyota experienced significant overcapacity in North America. As a partial solution, Toyota consolidated production of the Tundra full-size pickup – originally built at TMMI – into its Texas facility. Toyota also decided to begin building the Highlander mid-size SUV in Indiana by late 2009.

However, prior to the start of Highlander production, TMMI was temporarily left with only two vehicles – the Sienna minivan and the Sequoia full-size SUV – on its pair of assembly lines. The consequence for TMMI was significant over-staffing for more than one year.

“Without a doubt, our team members were worried,” said Wil James, senior vice president of TMMI. “Layoffs were happening all over the auto industry. It would be many months before Highlander production began. As a result, half of our team members were not building vehicles.”

Fixing this problem was important not only to Toyota and its suppliers, who employ thousands of people in Indiana and many other states, but critical for the well-being of the southwestern Indiana community that relies so heavily on the jobs created by TMMI. Investment in Team Members and FacilitiesToyota invested approximately $450 million to upgrade the plant. With the start of Highlander production at TMMI last October, and the recent launch of the all-new Sienna, the plant’s outlook has improved dramatically.

TMMI’s survival story is rooted in the way it treated team members during the downturn, an approach far different from most manufacturers. TMMI and other Toyota plants in North America capitalized upon the skill and know-how of team members rather than conduct layoffs.

“It made more sense to further invest in our experienced team members,” James said. “We refocused our work. When we weren’t building vehicles, we were preparing for a brighter future.”

TMMI implemented a training program where team members gained a deeper understanding of the Toyota Production System and fundamental Toyota auto manufacturing skills. The anticipated result is even stronger application of this knowledge to the production line.

“It’s difficult to roll out such comprehensive training when the line is moving,” James said. “Our company spent a lot of time developing the best way to do every job in the plant, so the downturn was actually a great opportunity to complete this training in order to sharpen our skills.”

Team Members Lead ImprovementsTMMI also encouraged team members to further kaizen, a Japanese term for continuous improvement. No ideas for improving processes and reducing waste were too small; in fact, hundreds of improvements were implemented resulting in an estimated savings of more than $7 million.

Other team member ideas bolstered safety and ensured consistent quality. For example, the installation of the lower front console on the all-new Sienna put the team member in an awkward position. Team members found a small power tool that ensured the console snapped securely in place every time while eliminating an ergonomic issue.

“Our team members know better than anyone else how to do their jobs and they always have the flexibility to change processes in order to improve safety, quality and efficiency,” James said. “Again, big improvements are difficult when the line is running. But the downtime allowed for significant advancements.

“The power of more than 4,000 people working together on this type of activity is incredible. Our decision to fully utilize our team members was expensive, but it’s paying off already. Currently, our quality is much better than it’s ever been and our safety is among the best in Toyota.” Shared SacrificeToyota offset some of the cost by adopting a “shared sacrifice” approach, including the elimination of executive and salaried bonuses, executive pay cuts, production team member bonus reductions, overtime elimination, and a hiring freeze.

“These were responsible, step-by-step measures designed to help us protect employment security and strengthen our company over the long term,” James said. “Now, as the market slowly returns, we are in a great position.” About ToyotaToyota (NYSE:TM) established operations in North America in 1957 and currently operates 14 manufacturing plants. Toyota directly employs nearly 41,000 in North America and its investment here is currently valued at more than $23 billion, including sales and manufacturing operations, research and development, financial services and design. Toyota's annual purchasing of parts, materials, goods and services from North American suppliers totals nearly $25 billion.


Toyota currently produces 12 vehicles in North America, including the Avalon, Camry, Corolla, Highlander, Matrix, RAV4, Sienna, Sequoia, Tacoma, Tundra, Venza and the Lexus RX 350.

Monday, January 18, 2010

Toyota Companies Pledge $500,000 to Haiti Relief Effort

January 15, 2010 - New York, NY – Toyota today announced a total of $500,000 in donations to be divided equally among the American Red Cross, Save the Children and Doctors Without Borders in support of their relief and recovery efforts for earthquake victims in Haiti. In addition, all Toyota companies will match team member and associate contributions to these organizations.

Commenting on the donations, Yoshi Inaba, president and chief operating officer of Toyota Motor North America, Inc., said, “All of Toyota’s nearly 34,000 associates and team members in the United States express their sincere condolences to the victims and families affected by the earthquake in Haiti. Our hope is that Toyota’s support will quickly aid those in need, and we thank all three organizations for their courageous efforts in the region.”

Toyota Unveils Compact Dedicated Hybrid Concept, Reveals Future Plan for 'Prius Family' North American Marketing Strategy


DETROIT, January 11, 2010---Toyota Motor Sales (TMS), U.S.A, Inc., today unveiled the FT-CH dedicated hybrid concept at the North American International Auto Show (NAIAS) in Detroit. The FT-CH is a concept that would address Toyota’s stated strategy to offer a wider variety of conventional hybrid choices to its customers, as it begins to introduce plug-in hybrids (PHVs) and battery electrics (BEVs) in model year 2012, and hydrogen fuel cell vehicles (FCHVs) in 2015 in global markets.

“Within the next 10 to 20 years, we will not only reach peak oil we will enter a period where demand for all liquid fuels will exceed supply,” said Jim Lentz, TMS president. “A century after the invention of the automobile, we must re-invent it with powertrains that significantly reduce or eliminate the use of conventional petroleum fuels. One of many alternatives is through what is commonly called the electrification of the automobile. By far, the single most successful example of this has been the gas-electric hybrid.”

The CH stands for compact hybrid as in compact class and it’s a concept that can best be defined by comparing it with the mid-size class Prius. The FT-CH captures the spirit and functionality of a car that thrives in the inner-city environment; sized right to be nimble, responsive and maneuverable.

“It’s a package Toyota dealers and customers have been asking for,” added Lentz.

The FT-CH was styled at Toyota’s European Design and Development (ED²) center in Nice, France. Compared to Prius, it is 22 inches shorter in overall length, yet loses less than an inch in overall width. In spite of its compact external dimensions, FT-CH was designed for maximum passenger comfort and interior roominess, with an imaginative sense of style.

ED² designers looked to capture the vivid, high-energy appeal of what has come to be called the 8-bit generation. Popularized in the early 80’s, 8-bit microprocessor technology dominated the budding home video game industry. Today, 8-bit is considered a specific retro-style that is embraced by such things as 8-bit genre music and 8-bit inspired art.

The direct reference to the 8-bit generation is meant to be fun and innovative, colorful and stylish, with strong appeal to young buyers. Lighter in weight and even more fuel efficient than Prius, the concept specifically targets a lower price point than Prius, thus appealing to a younger, less-affluent buyer demographic.

Pointing to how Prius has become a universal icon for hybrid technology, Lentz confirmed that TMS is developing a Prius family “marketing strategy” for North America that will take full advantage of the Prius brand equity.

“The strategy is still taking shape and obviously it will require additional models to qualify as a family,” said Lentz. “Among others, the FT-CH is a concept that we are considering.”

In the early 2010s, Toyota plans to sell a million hybrids per year globally, a majority of those in North America. To accomplish this, Toyota will launch eight all new hybrid models over the next few years. These will not include next generation versions of current hybrids; instead, they will be all new dedicated hybrid vehicles, or all new hybrid versions of existing gas engine models.

The heart of hybrid technology is its battery. Since the early 90’s, during the early stages of first-generation Prius development, Toyota has been committed to in-house R&D of advanced nickel-metal hydride batteries. Through three generations
of Prius and a total of seven full-hybrid models, it has systematically reduced size, weight and cost while improving energy density, quality and reliability.

Toyota’s joint venture partnership with Panasonic has been a key element of its success in the advancement of hybrid technology. Later this year, Panasonic EV Energy (PEVE) will have three separate, fully operational production facilities with a combined capacity of more than one million units per year.

Moving the promise of electrification one step further, Toyota recently kicked off its global demonstration program involving approximately 600 Prius plug-in hybrid electric vehicles. Beginning early this year, 150 PHVs will begin to arrive in the U.S. where they will be placed in regional clusters with select partners for market/consumer analysis and technical demonstration.

The Prius PHV introduces Toyota's first generation lithium-ion drive battery. When fully charged, the vehicle is targeted to achieve a maximum electric-only range of about 13 miles and capable of achieving highway speeds of more than 60 mph in electric-only mode. For longer distances, the Prius PHV reverts to “hybrid mode” and operates like a regular Prius. This ability to utilize all-electric power for short trips or hybrid power for longer drives alleviates the issue of limited cruising range encountered with pure-electric vehicles.

All program vehicles will be equipped with data retrieval/communication devices which will monitor activities such as: how often the vehicle is charged and when, whether the batteries are depleted or being topped-off during charging, trip duration and all-electric driving range, combined mpg and so on.

As it becomes available, data from the program vehicles will be posted to a dedicated Web site. This in use, readily available data will help consumers understand how the vehicles are being used and how they're performing.

Toyota believes this demonstration program is a necessary next step in societal preparation in that it allows Toyota the unique opportunity to inform, educate and prepare customers for the electrification of the automobile in general and the introduction of plug-in hybrid technology.

Toyota is moving quickly with the development of PHV technology well beyond this demonstration program. Advanced battery R&D programs with nickel-metal, lithium-ion and “beyond lithium” are underway for a wide variety of applications in conventional hybrids, PHVs, BEVs and FCHVs.

In the early 1990s, Toyota began R&D on building a practical and affordable hydrogen fuel cell vehicle. FCHV technical advancements have moved at a rapid pace. Engineers have made great strides in cost reduction targets in both materials and manufacturing and Toyota is committed to bringing hydrogen fuel cells to global markets in 2015.

Toyota’s latest model, the Toyota FCHV-advanced began its own national demonstration program late last year. Over the course of the three year program, more than 100 vehicles will be placed in an effort to demonstrate the technology’s performance, reliability and practicality in everyday use.

Recently field tested in southern California by two national laboratories at the request of the U.S. Department of Energy, the FCHV-advanced confirmed an estimated single-tank fuel range of 431 miles. In combined city and highway driving from Santa Monica to San Diego the FCHV-adv logged an estimated 68 miles per kilogram of hydrogen, the rough equivalent of 68 miles per gallon. That range is equivalent to a Highlander hybrid at more than double the MPG with zero emissions other than water vapor.

In 1997, Toyota introduced the RAV4 EV battery electric vehicle in California. 1,484 of these 100 mile range large-battery electric vehicles were either sold or leased over the course of the program. Nearly half are still on the road.

Shortly thereafter, Toyota started a modest demonstration program with a small- battery electric urban commuter vehicle, called the e-com. This concept addressed the idea of the “on-demand” city station car similar to the Zip-car business model that is becoming popular in large urban areas. Although shorter in range, the e-com program addressed a specific mobility niche at a much more affordable price than the RAV4 EV.

The RAV4 EV and e-com programs were short lived due to lack of commitment from the market; the consumer and the consumer’s environmental mind set were not ready to commit to battery electric vehicles at that time. Recent increased awareness of environmental issues and the benefits of advanced technology vehicles have reinvigorated an interest in the electric vehicle market. As a result, Toyota will bring a small, urban commuter lithium-ion BEV to market in model year 2012.

Battery technology has progressed significantly in the time since the RAV4 EV and e-com programs. But major challenges still remain. The cost of lithium-ion batteries needs to be reduced significantly, or a more affordable alternative developed.

Like hydrogen fuel cell vehicles, battery electrics will require the creation of infrastructure for recharging on the go. This issue of range is also a challenge to overcome. Even at 100 miles, BEVs as a primary mode of transportation do not yet offer what most consumers see as true mobility.

Toyota believes these are hurdles that will be cleared. For the last decade its focus has been to concentrate on a comprehensive advanced technology strategy including BEVs, PHVs, and FCHVs. Common to all three is the move to electrification, the full commitment to advanced battery technology and how lessons learned from conventional hybrid R&D have given Toyota a leg-up on all three.