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Toyota looking to increase its assembly line efficiency to cut costs.

New Delhi, Nov. 20 -- The troubled Japanese automobile giant which is also the number one in the world, Toyota Motors, is looking for ways to increase its assembly line efficiency. According to Reuters, Toyota Motor Corp will upgrade engine assembly lines worldwide to cut output cost and make even the smaller assembling units profitable, the Nikkei the Japanese business daily has reported.

The report said that Toyota has spent about 20-30 billion yen on current assembly lines with production capacity of at least 200,000 units till date. New assembly lines that have a production capacity of 100,000 units may have apparently come up at an investment of 10-15 billion yen.

The report also mentioned that Toyota plans to double its hybrid offerings by launching 11 models in Japan by the end of 2012. By the end of the year, some of the lines at the auto giant's Shimoyama plant will be upgraded and brought onstream.

In China, India and Brazil, deploying conventional assembly lines that require massive investments have become a major issue as it increases fixed costs for lifting production capacity. The company hopes to check depreciation cost increases by installing new engine assembly lines gradually, the report said.

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Publication:Wheels Unplugged
Geographic Code:9JAPA
Date:Nov 20, 2010
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