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Toyota will build its ninth plant in Shanghai2020-09-10

Unlike most joint venture brands that have been affected by the downturn in the overseas market but are in the Chinese market, Toyota North and South has encountered the biggest challenge since entering the Chinese market this year. The year-on-year decline in performance has forced the outside world to re-examine this Japanese giant.

When discussing Toyota's performance in the Chinese market in 2009 with an insider of Toyota China, the person said that many of the main products are in a period of replacement, and the slow response to policies is the main reason for the decline in Toyota's performance so far in 2009.

In addition, the person also revealed that Toyota has gradually adjusted its strategy in China. One of the key layouts is that Toyota will add new territory in China in the next few years. The current plan is to establish a joint venture in the Yangtze River Delta in 2011. The ninth factory was initially selected in Shanghai, which will serve as an important base for Toyota to enter the Yangtze River Delta and East China regional markets.

The battle of the Yangtze River Delta is directed at GM and Volkswagen

At present, Toyota has two joint ventures: FAW and GAC. Among them, Toyota and FAW own 5 joint venture plants including Changchun FAW Fengyue, Sichuan Toyota, and Tianjin FAW Toyota’s first, second and third plants. With 6 factories, FAW Toyota has 6 joint venture factories. Covering the three major regional markets of Southwest China, North China and Northeast China.

Another Toyota joint venture in China, GAC Toyota, in addition to the first plant for the production of Camry and Yaris, as early as the third quarter of 2008, the second plant of GAC Toyota was put into operation. According to industry analysts, Toyota chose GAC mainly because of the huge consumer group in South China that favors Japanese.

Guangzhou, Chengdu, Tianjin, and Changchun, Toyota's hinterland in China has radiated in four major directions, north, south, west, northeast. However, East China represented by Shanghai headquarters with Shanghai GM, Shanghai Volkswagen, and SAIC as the protagonists is still the most developed domestic economy. In the regions of Shanghai, Shandong, Jiangsu, and Zhejiang, all major auto companies have a very important strategic share in the breakdown of sales reports. Take the Audi brand as an example. In addition to the five major regions in the east, west, south, north and northeast, a separate region directly under Zhejiang has been established in Zhejiang. The sales volume here accounts for about 10% of the Audi brand's annual sales.

Toyota has taken a fancy to Shanghai and the market consumption power of East China. This is the fundamental reason why Toyota intends to build its No. 9 plant in China in Shanghai. In fact, Changchun and the Yangtze River Delta region competed fiercely on the location of FAW Toyota's sixth plant last year. Toyota has conducted serious research on the establishment of a new plant in the Yangtze River Delta, but due to the strong wishes of the FAW Group, it finally agreed to expand the FAW Fengyue plant in Changchun.

Directly at the Shanghai nest of GM and Volkswagen, don’t be surprised when the Toyota flag is raised in front of a building in the suburbs of Jiading two years later.

New plant will produce economical cars, positioning lower than Yaris

Toyota's models in production or about to be put into production, from SUV to MPV, from A0-class to C-class sedans, from hatchbacks to sedans, have fully covered 80,000-700,000 of the market space. The Toyota Shanghai No. Which models will be put into production in the ninth factory in the future? In late August, the Japanese counterpart media had already made relevant disclosures.

According to a report by the Nihon Kogyo News Agency on August 24, many emerging markets including China, India, and Brazil have strong demand for low-cost small cars, and this market demand will continue to heat up in the next few years. Toyota Motor Corporation plans to produce low-priced cars for China and Thailand starting in 2012. The reporter said that Toyota will set the annual output of this "entry-level family car" at 150,000.

According to relevant personnel of Toyota China confirmed to NetEase Auto, Toyota's low-end products in China are currently undertaken by the Yaris produced by GAC Toyota. After the Shanghai plant is completed, more cost-effective and economical vehicles will be introduced. The author predicts that the initial product planning of Toyota's new plant in Shanghai will be positioned lower than that of Yaris. From the perspective of Toyota's existing entry-level models overseas, the highly sought-after Aygo in Europe and North America is likely to be the first to be introduced, and the iQ minicar