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Toyota Motor Corporation
Native name
トヨタ自動車株式会社
Toyota Jidōsha kabushikigaisha
Public
Traded as
  • TYO: 7203
  • NAG: 7203
  • NYSETM
  • LSETYT
  • Nikkei 225 component (TYO)
  • TOPIX Core30 component (TYO)
ISIN ISIN: [https://isin.toolforge.org/?language=en&isin=JP3633400001 JP3633400001]
Industry Automotive
Founded August 28, 1937; 87 years ago (1937-08-28)
Founder Kiichiro Toyoda
Headquarters 1 Toyota-chō,
Toyota City, Aichi
,
Japan
Area served
Worldwide
Key people
  • Akio Toyoda (Chairman)
  • Shigeru Hayakawa (Vice Chairman)
  • Koji Sato (President & CEO)
  • Simon Humphries (Chief Designer)
Products Automobiles
Production output
  • Decrease 8,694,032 (FY23)
Services Banking, financing, leasing
Revenue
  • Decrease ¥27,214,594 million
  • Decrease US$256.7 billion (FY21)
Operating income
Decrease ¥2,197,748 million (FY21)
Increase ¥2,282,378 million (FY21)
Total assets
  • Increase ¥62,267,140 million
  • Increase US$562 billion (FY21)
Total equity Increase ¥24,288,329 million (FY21)
Owner Toyota Group through cross ownership:
Number of employees
Increase 375,235 (FY23)
Divisions
Subsidiaries
  • Daihatsu
  • Denso (25%)
  • FAW Toyota (China, 50%)
  • GAC Toyota (China, 50%)
  • Hino Motors
  • Subaru Corporation (20%)
  • Toyota Argentina
  • Toyota Australia
  • Toyota Auto Body
  • Toyota Financial Services
  • Toyota Kirloskar Motors
  • Toyota Motor Europe
  • Toyota Motor East Japan
  • Toyota Motor Kyushu
  • Toyota Motor Manufacturing Indonesia (95%)
  • Toyota Motor North America
  • Toyota Motor Pakistan
  • Toyota Motor Philippines
  • Toyota Motor Thailand (86%)
  • Toyota South Africa Motors
  • Woven Planet Holdings
Footnotes / references
Fiscal Year 2021 (FY21) is April 1, 2020, to March 31, 2021.
References:

Toyota Motor Corporation, often just called Toyota, is a huge Japanese company that makes cars. Its main office is in Toyota City, Aichi, Japan. Kiichiro Toyoda started the company, and it officially began on August 28, 1937. Toyota is the biggest car maker in the world, building about 10 million vehicles every year.

The company first started as a part of Toyota Industries, which made machines. That company was founded by Sakichi Toyoda, Kiichiro's father. Both companies are now part of the Toyota Group, one of the world's largest business groups. While still part of Toyota Industries, the company made its first product, the Type A engine, in 1934. Its first passenger car, the Toyota AA, came out in 1936.

After World War II, Toyota learned a lot from American car makers. This helped create The Toyota Way (a way of managing the company) and the Toyota Production System (a way to make things efficiently). These ideas helped the small company become a leader in the car industry.

In the 1960s, Japan's economy grew very fast. Toyota used this chance to sell cars to more people. This led to the creation of the Toyota Corolla, which became the world's best-selling car ever. The strong economy also helped Toyota grow around the world. It became one of the biggest car makers and the largest company in Japan. By 2012, Toyota was the first car maker to produce over 10 million vehicles in a year. By September 2023, it had made 300 million vehicles in total.

Toyota was known for making fuel-efficient hybrid electric vehicles. It started with the original Toyota Prius in 1997. Now, the company sells over 40 different hybrid models worldwide. More recently, some people have said Toyota has been slow to make all-electric cars. Instead, it has focused on hydrogen fuel cell vehicles, like the Toyota Mirai. This technology is more expensive and not as widely used as electric batteries.

As of 2024, Toyota Motor Corporation makes vehicles under four brands: Daihatsu, Hino, Lexus, and Toyota itself. The company also owns parts of other car companies like Subaru Corporation (20%), Mazda (5.1%), Suzuki (4.9%), and Isuzu (4.6%). Toyota is listed on major stock exchanges in London, Nagoya, New York, and Tokyo.

Toyota's Journey: A Look at Its History

Early Days: From Looms to Cars (1920s–1930s)

Toyota Loom Mass Production Bertel Schmitt
The mass-produced Toyoda automated loom, displayed at Toyota Museum in Aichi-gun, Japan

In 1924, Sakichi Toyoda invented the Toyoda Model G Automatic Loom. This machine had a special feature called jidoka. It meant the machine would stop by itself if there was a problem. This idea later became a key part of the Toyota Production System. In 1929, the patent for this loom was sold to a British company. The money from this sale helped start the car development.

Under the leadership of Sakichi's son, Kiichiro Toyoda, Toyoda Automatic Loom Works started an Automobile Division in 1933. They announced plans to make cars in 1934. Their first engine, the Toyota Type A engine, was ready in September 1934. The first prototype car, the A1, was finished in May 1935. Kiichiro didn't have much experience with cars, so he first focused on trucks. The company's first truck, the G1, was completed in August 1935. It was shown in Tokyo in November and became their first car to be sold.

In April 1936, Toyoda's first passenger car, the Model AA, was finished. It was cheaper than cars from Ford or GM. In July, the company sent its first trucks to China. In September 1936, the Japanese government officially recognized Toyoda Automatic Loom Works as a car manufacturer.

1936 Toyoda Model AA 03
The 1936 Toyota AA, the first vehicle produced by the company while it was still a department of Toyota Industries

Cars were first sold under the name "Toyoda." This came from the founder's family name. In September 1936, the company held a contest for a new logo. The winning design used three Japanese katakana letters for "Toyoda" in a circle. However, Rizaburo Toyoda, who had married into the family, preferred "Toyota." He liked it because it took eight brush strokes to write in Japanese, which is a lucky number. It also looked simpler and sounded clearer.

The word toyoda means "fertile rice paddies." Changing the name to Toyota also helped the company sound more modern. The new name was trademarked, and the company started as Toyota Motor Company Ltd. on August 28, 1937. Rizaburo Toyoda became the first president, with Kiichiro as vice-president.

Rebuilding and Growth (1940s–1950s)

Japan was badly damaged in World War II. Toyota's factories, which were used for the war, were also hit. After the war, the U.S. forces in Japan stopped passenger car production. But car makers like Toyota could build trucks to help rebuild the country. The U.S. military also hired Toyota to fix its vehicles.

By 1947, the Cold War began between the Soviet Union and the U.S. The U.S. changed its focus to helping Japan's economy grow. In 1949, Japanese car makers could make passenger cars again. But a new economic plan caused money problems for the car industry. The Bank of Japan had to help Toyota, and the company had to make big changes.

As the 1950s began, Toyota was smaller. It closed factories and let go of workers. Then the Korean War started. The U.S. Army ordered 1,000 trucks from Toyota. This order greatly helped the company. In 1950, Toyota leaders, including Kiichiro's cousin Eiji Toyoda, visited the United States. They learned from Ford Motor Company and other U.S. factories. What they learned, along with their experience making looms, led to The Toyota Way and the Toyota Production System. These ideas made Toyota a leader in manufacturing.

1955 Toyopet Crown 03
Toyopet Crown, the first vehicle fully designed and built by Toyota

Toyota started making its first complete passenger car, the Toyopet Crown, in 1952. Before this, Toyota had others design and build car bodies. This project was a big test for Toyota. They needed to build bodies and a new chassis that was comfortable but strong enough for Japan's muddy roads. The car went on sale in August 1955 and was well-liked.

After the Crown, Toyota started selling cars in other countries. It entered Saudi Arabia in 1955 and Yemen in 1956 with its Land Cruisers. In 1958, Toyota opened its first factory outside Japan, in Brazil. Toyota also entered the United States market in 1958 with the Toyopet Crown. But the car was too expensive and not powerful enough for U.S. buyers. So, Toyota stopped selling the Crown in the U.S. in the early 1960s. Instead, they focused on the Land Cruiser and the Tiara.

Booming Sales and Global Reach (1960s–1970s)

Toyota 2000GT 1968 (4120827306)
Toyota 2000GT (1967–1969)

In the early 1960s, Japan's economy was booming. More people could afford cars, and the government improved roads. Toyota and other car makers started offering affordable cars like the Toyota Corolla. This car became the world's best-selling car ever.

Toyota also did well in the United States with the Toyota Corona compact car in 1965. This car was changed for the American market with a stronger engine. The Corona helped Toyota's U.S. sales triple by 1966. By 1967, Toyota was the third best-selling imported car brand in the U.S. Toyota's first factory investment in the U.S. was in 1972. They worked with Atlas Fabricators to make truck beds in Long Beach. This helped them avoid a high tax on imported trucks.

The 1970s energy crisis changed the American car industry. Before, big, heavy cars were popular. After the crisis, people wanted small, fuel-efficient cars. American car makers struggled, but foreign companies like Toyota were ready. This led to talks in the U.S. Congress about limiting imported cars to protect American jobs.

In the 1960s, Japan also started to open its car market to foreign companies. To make Japan's car industry stronger, Toyota bought parts of other Japanese car makers. This included Hino Motors, which makes trucks and buses, and Daihatsu, which makes small cars. This started a long partnership. Daihatsu would make small cars for Toyota to sell, and Toyota would sometimes make bigger cars for Daihatsu.

Expanding in North America (1980s)

1987 Toyota Corolla (AE82) CS sedan (2015-11-11) 01
By the 1980s, the Toyota Corolla was one of the most popular cars in the world and became the world's all-time best-selling automobile.

After success in the 1970s, Toyota invested more in North America in the 1980s. In 1981, Japan agreed to limit the number of cars it sent to the U.S. each year. This led Toyota to build factories in North America. The U.S. government also closed a tax loophole that allowed Toyota to pay lower taxes by building truck beds in America.

In 1981, Eiji Toyoda stepped down as president and became chairman. Shoichiro Toyoda, the founder's son, became president. In 1982, Toyota's sales and production groups merged to form the Toyota Motor Corporation.

In 1984, Toyota made a deal with General Motors (GM) to build a car factory together. It was called NUMMI in Fremont, California. GM wanted to learn about The Toyota Way. Toyota wanted its first factory in North America to avoid future taxes on imported cars. The first Toyota car made in America, a white Corolla, rolled off the line at NUMMI on October 7, 1986.

Lexus LS 400 UCF10 I
The Lexus LS 400 went on sale in May 1989 and was seen as being largely responsible for the successful launch of Lexus.

Before the 1980s ended, Toyota launched Lexus. This new brand was created to sell luxury cars in other countries. Toyota had been secretly developing Lexus since 1983, spending over $1 billion. The LS 400 luxury sedan came out in 1989 and sold very well. It was a big reason for Lexus's success.

New Models and Hybrid Cars (1990s)

1994 Toyota Supra Sport Roof in Red, front left
The Toyota Supra (JZA80) is one of the most recognized Japanese sports cars.
1998 Toyota Prius NHW10 Silver Strara Metallic (front)
Toyota Prius, first generation (NHW10 1997–2000)

In the 1990s, Toyota started making more than just small cars. They added bigger and more luxurious vehicles. This included a full-sized pickup truck, the Toyota T100 (and later the Toyota Tundra). They also added several SUVs and a sportier version of the Camry, called the Camry Solara. New versions of their sports cars, like the MR2, Celica, and Supra, also came out.

In December 1997, Toyota introduced the first-generation Toyota Prius. This was the first mass-produced gasoline-electric hybrid car. For the first two years, it was only sold in Japan.

Toyota also grew its presence in Europe. It set up Toyota Motor Europe Marketing and Engineering (TMME) to help sell cars there. Two years later, Toyota opened a base in the United Kingdom (TMUK) because its cars were popular with British drivers. New bases were also set up in Indiana, Virginia, and Tianjin.

Toyota also bought more of Daihatsu. By 1998, Toyota owned over half of Daihatsu, making it the main owner. On September 29, 1999, Toyota listed its shares on the New York Stock Exchange and London Stock Exchange.

Challenges and Innovations (2000s)

R&D Center of Toyota Susono Shizuoka
Toyota East Fuji Research and Development Center

In August 2000, the Prius started being sold in other countries. In 2001, Toyota bought Hino Motors, its long-time partner that made trucks and buses. In 2002, Toyota started competing in Formula One races. It also created a car-making partnership in France with French car makers Citroën and Peugeot. In 2003, a new brand for young buyers in North America, Scion, was launched.

In 2007, Toyota updated its large truck, the Tundra. It was made in two American factories. The 2007 Toyota Camry was named "Car of the Year." Toyota also started building two new factories, one in Canada and one in the USA.

Toyota was the number one car seller in the world for the first part of 2008. But the global financial crisis of 2008 hit Toyota hard. In December 2008, they predicted their first yearly loss in 70 years. In January 2009, they closed all their Japanese factories for 11 days to reduce unsold cars.

Between 2009 and 2011, Toyota recalled millions of vehicles. This was because some drivers reported that their cars suddenly sped up without them pressing the pedal. The recalls were to fix floor mats that could trap pedals and to correct sticky accelerator pedals. Toyota paid a large amount of money to settle lawsuits and a penalty to the U.S. government. This was for not sharing information about safety problems.

Akio Toyoda
Akio Toyoda was named President of Toyota in 2009, pictured in 2011.

During this time, Katsuaki Watanabe stepped down as president. Akio Toyoda, the grandson of the company's founder, became president on June 23, 2009. Akio had worked at Toyota since 1984. His promotion meant a member of the Toyoda family was leading the company again after 10 years.

Modern Era and Future Focus (2010s–Present)

In 2011, natural disasters affected Toyota and other Japanese car makers. The 2011 Tōhoku earthquake and tsunami disrupted parts supplies. Flooding in Thailand also affected factories there. Toyota lost production of many cars due to these events.

On February 10, 2014, Toyota announced it would stop making vehicles and engines in Australia by the end of 2017. This was because exporting cars from Australia was too expensive. The company planned to keep its office functions in Melbourne.

In August 2014, Toyota said it would cut spare-parts prices in China. This was in response to an investigation by China's government. In November 2015, the company announced it would invest $1 billion in artificial intelligence and robotics research. In 2016, Toyota invested in Uber.

In August 2016, Toyota bought all remaining parts of Daihatsu. This made Daihatsu a fully owned part of Toyota. In October 2019, Toyota supported a proposal to change car emissions standards in the U.S. This caused some concern about Toyota's image as a "green brand."

SZ 深圳 Shenzhen 寶安區 Bao'An 歡樂港灣商場 OH Bay Baoan Shopping Mall shop Toyota car showroom July 2023 Px3 01
Toyota Showroom in Shenzhen, China

By 2020, Toyota was again the largest car maker in the world, even with a drop in sales due to the COVID-19 pandemic. In April 2020, BYD and Toyota started a new company together to develop electric vehicles. In March 2021, Toyota, Hino, and Isuzu formed a partnership to develop fuel cell and electric light trucks.

In June 2021, Toyota defended its donations to some U.S. politicians. These politicians had voted against confirming the results of the 2020 presidential election. Toyota later stopped these donations for a short time.

In December 2021, Toyota announced big plans for electric vehicles. It will invest $70 billion by 2030 and launch 30 new electric models. It aims to sell 3.5 million electric vehicles per year by 2030.

In June 2022, Toyota recalled some of its first all-electric vehicles because their wheels could come off. In August 2022, Toyota promised up to $5.6 billion for electric vehicle battery production. In 2022, Toyota was the world's best-selling car maker for the third year in a row.

In January 2023, Toyota CEO and President Akio Toyoda announced he was stepping down. Koji Sato, who ran Lexus, became the new CEO. In 2023, Toyota also gave its employees the biggest wage increase in 20 years after talking with unions.

Toyota's Vehicles: What They Make

Best-selling Toyota and Lexus
nameplates/series globally, FY2023
Rank
in Toyota
Model Sales
(thousands of units)
1 Toyota Corolla 1,538
2 Toyota Yaris 900
3 Toyota RAV4 847
4 Toyota Hilux 648
5 Toyota Camry 642
6 Toyota Highlander 379
7 Toyota Tacoma 260
8 Toyota Levin 195
9 Toyota Fortuner 177
10 Toyota Avanza 175

Toyota makes about 70 different models under its main brand. These include sedans, coupes, vans, trucks, hybrids, and crossovers. Many models are passenger sedans, from the small Toyota Yaris to the mid-size Toyota Camry and large Toyota Avalon. Minivans include the Innova, Alphard/Vellfire, and Sienna. Some small cars were sold under the Scion brand.

SUVs and Crossovers: Popular Choices

Toyota C-HR
Toyota RAV4

Toyota's line-up of SUVs and crossovers has grown quickly. This is because more people want SUVs. Toyota crossovers range from small ones like the Yaris Cross and C-HR to mid-size ones like the Harrier/Venza and Kluger/Highlander. Other crossovers include the Raize and Urban Cruiser. Toyota SUVs range from the mid-size Fortuner to the large Land Cruiser. Other SUVs include the Rush, Prado, and 4Runner.

Pickup Trucks: Built for Work and Play

Toyota Hilux (global)
Toyota Tacoma (US/Canada)

Toyota started making pickup trucks in 1947 with the SB. In 1968, they launched the compact Hilux. The Hilux became known for being very strong and reliable. Toyota still makes them today with different sizes and engines.

In North America, the Hilux was very popular. This led Toyota to launch the Tacoma in 1995. The Tacoma was based on the Hilux but designed for North American buyers. It became the best-selling compact pickup in North America.

Toyota also entered the full-size pickup market. This market was mostly controlled by American car makers. Toyota introduced the T100 in 1993. It had a large bed but a smaller engine than American trucks. Sales were not great. In 1999, Toyota replaced the T100 with the larger Tundra. The Tundra was built in the U.S. with a V8 engine and looked more like other American full-size trucks.

Luxury Cars: The Lexus Brand

2018 Toyota Crown 2.0 RS
Toyota Crown RS (fifteenth generation, S220; 2018)

In Japan, Toyota has two main luxury models: the Crown sedan and the Century limousine.

In the 1980s, Toyota wanted to sell more luxury cars. But its Japanese luxury models were not popular globally. So, Toyota created Lexus to sell luxury vehicles outside Japan. They developed the brand and cars secretly since 1983, spending over $1 billion. The Lexus LS luxury sedan came out in 1989. It sold very well and helped launch the Lexus brand successfully. Lexus now offers sedans, coupes, convertibles, and SUVs.

The Lexus brand was introduced to Japan in 2005. Before that, all Lexus cars sold internationally were called Toyota in Japan.

Buses: Moving Many People

The Toyota Coaster is a minibus that started in 1969. It can seat 17 passengers. The Coaster is used a lot in Japan, Singapore, Hong Kong, and Australia. It's also used in many developing countries for public transport.

Toyota's Advanced Technologies

Hybrid Electric Vehicles: Saving Fuel

2023 Toyota Prius Limited AWD in Cutting Edge Silver, Front Right, 07-04-2023
The Toyota Prius, flagship of Toyota's hybrid technology, is the world's best-selling hybrid car.

Toyota is the world leader in selling hybrid electric vehicles. It was one of the first companies to make hybrid cars popular around the world. Toyota was also the first to sell these cars to many people, starting with the XW10 Toyota Prius in 1997. The company's hybrid technology is called Hybrid Synergy Drive. It was later used in many other Toyota cars and in the luxury Lexus brand.

As of January 2020, Toyota Motor Corporation sells 44 different Toyota and Lexus hybrid car models in over 90 countries. The company has sold over 15 million hybrid vehicles since 1997. The Prius family is the world's top-selling hybrid car model. It sold almost 4 million units worldwide by January 2017.

Hydrogen Fuel-Cell Vehicles: A Different Kind of Power

Toyota Mirai (JPD20) IMG 5303
The Toyota Mirai fuel-cell vehicle
Tobus Toyota SORA Fuel Cell Buses at Fukagawa Dept 01
The Toyota SORA fuel-cell bus

In 2002, Toyota started testing the Toyota FCHV. This was a hybrid hydrogen fuel cell car based on the Toyota Highlander SUV. Toyota also built a fuel cell bus. Toyota has made several test versions of fuel cell cars since 1997. The Toyota FCV-R fuel cell concept car was shown in 2011. Toyota planned to launch a fuel cell car around 2015.

Toyota's first hydrogen fuel-cell car sold to the public was the Toyota Mirai (which means "future" in Japanese). It was shown in November 2014. Sales in Japan began in December 2014. Toyota plans to increase production of the Mirai. In 2015, Toyota made 5,600 patents for hydrogen fuel-cell technology free to use until 2020. This was to help spread the technology globally.

Since the mid-2010s, Toyota has focused more on hydrogen-powered trucks. In 2017, they showed a heavy-duty semi-truck. In 2023, they announced a kit to change diesel truck engines to use hydrogen.

Plug-in Hybrids: More Electric Range

Toyota Prius Prime WAS 2017 1584
Second-generation Toyota Prius Plug-in Hybrid

The Prius Plug-In Hybrid Concept was shown in 2009. After that, 600 test cars were used in a global program. These cars were leased to companies and governments. They helped Toyota track the car's performance. The car was based on the third-generation Toyota Prius. It had two extra lithium-ion batteries for more electric-only driving.

The production version of the Toyota Prius Plug-in Hybrid came out in September 2011. It could go up to 62 mph on electric power alone. The U.S. Environmental Protection Agency (EPA) said it could go about 11 miles in mostly electric mode. Toyota made about 75,400 of these cars between 2012 and 2016.

The second-generation Prius Plug-in (called Prius Prime in the U.S.) was shown in 2016. This model was designed with the fourth-generation Prius. This allowed Toyota to increase its electric range to about 25 miles. It could also go up to 84 mph without using the gasoline engine. Sales of the second-generation Prius Plug-in started in late 2016.

A second plug-in hybrid, the Toyota RAV4 PHV (RAV4 Prime in the U.S.), was shown in December 2019. It has an EPA-estimated 42 miles of all-electric range. It also has 302 horsepower, making it Toyota's second-fastest car in production. Sales started in mid-2020.

Battery Electric Vehicles: The Future of Driving?

2022 Hakone Ekiden Headquarter car bZ4X (cropped)
Toyota bZ4X

Toyota has been criticized for being slow to add battery electric vehicles to its cars. It has been unsure about battery-electric cars. Instead, it focused on hybrid and hydrogen fuel cell vehicles. Toyota has also lobbied against government rules that require a switch to zero-emissions vehicles.

As of 2023, only a small number of the cars Toyota sells are battery electric. This has led to criticism from some environmental groups. The company plans to sell 3.5 million electric vehicles per year by 2030. However, Toyota believes other technologies, like hybrids and hydrogen fuel cells, will still be important.

Toyota made the first Toyota RAV4 EV (Electric Vehicle) in the late 1990s. This was because California required car makers to offer a zero-emissions vehicle. About 1,484 were leased or sold in California. A second version of the RAV4 EV was made in 2010 with Tesla. This version had a limited production run of just under 3,000 vehicles.

In late 2012, Toyota said it would step back from fully electric vehicles. The company's vice chairman, Takeshi Uchiyamada, said electric cars didn't meet society's needs yet. He mentioned range, cost, and charging time.

By 2017, Toyota changed its mind. It said it would introduce "more than 10" battery-electric vehicles worldwide by the early 2020s. In April 2019, Toyota launched the C-HR EV, its first mass-produced pure electric car in China.

In December 2020, Toyota CEO Akio Toyoda said electric cars were too "hyped." He argued that in Japan, they might not reduce carbon emissions because electricity often comes from burning coal and natural gas. He also said that switching completely to EVs would cost billions and millions of jobs.

In April 2021, Toyota showed the bZ4X. This electric SUV is the first car built on a special electric platform called e-TNGA. It will be the first model in the bZ ("beyond Zero") of battery electric vehicles. Toyota plans to launch seven "bZ" models by 2025.

In December 2021, Toyota announced plans for 30 battery-electric models by 2030. It will invest $70 billion in electric cars. Its luxury brand Lexus will be 100% battery-operated in North America, Europe, and China by 2030.

Toyota has been working with Panasonic to develop solid-state batteries. Toyota hopes this technology can make electric vehicles 30% more efficient and reduce battery costs.

Autonomous Vehicles: Cars That Drive Themselves

Toyota e-Palette
Toyota e-Palette

Toyota is also working on smart car technology. It showed its first self-driving test car in 2017. Toyota has its own self-driving technology called "Chauffeur" (for full self-driving) and "Guardian" (a driver assist system).

By 2018, Toyota had a big research and development effort. It spent almost $4 billion to start an autonomous vehicle research center in California. It also spent money on a similar center in Tokyo.

Toyota has also partnered with and bought companies that develop self-driving technology. It bought the self-driving division of Lyft for $550 million. It also invested $1 billion in Uber's self-driving division.

In December 2020, Toyota showed the 20-passenger "e-Palette" shared autonomous vehicle. It was first used at the 2020 Summer Olympics in Tokyo. Toyota plans to have this vehicle available for businesses before 2025.

Since February 2021, Toyota has been building the "Woven City" near Mount Fuji. It's a "175-acre high tech, sensor-laden metropolis." When finished in 2024, it will be used to test self-driving vehicles for deliveries, transport, and mobile shops. People living there will be part of this experiment.

Toyota's Other Ventures

Aerospace: Beyond Cars

Toyota owns a small part of Mitsubishi Aircraft Corporation. This company will make the Mitsubishi Regional Jet. Toyota has also looked into making small planes. In 2002, they worked with Scaled Composites to build a test aircraft, the TAA-1.

Pleasure Boats: On the Water

In 1997, Toyota created "Toyota Marine." They build private motorboats, currently sold only in Japan. These luxury boats are called the "Toyota Ponam" series. In 2017, a boat was also sold under the Lexus brand name.

Robotics: Helping People and More

Toyota Robot at Toyota Kaikan
Toyota trumpet-playing robot

In 2004, Toyota showed its trumpet-playing robot. Toyota has been making robots that can do many tasks. These robots are for elderly care, manufacturing, and entertainment. One example is the Brain Machine Interface. It lets a person control an electric wheelchair with their mind. The wheelchair can go left, right, and forward very quickly. Toyota also helped develop Kirobo, a 'robotic astronaut'.

In 2017, the company introduced T-HR3, a humanoid robot. This robot can be controlled remotely and copy a person's movements.

Sewing Machines: A Family Connection

Aisin, another company in the Toyota Group, uses the same Toyota logo for its home sewing machines. Aisin was founded by Kiichiro Toyoda after he started Toyota Motor Corporation. He liked the first sewing machine so much that he decided to use the Toyota brand for it.

Environmental Efforts: A Greener Future

Toyota says it wants to be carbon neutral by 2050. This means it aims to have no net carbon emissions. It also wants to reduce its total carbon emissions by 90% by 2050 compared to 2010 levels.

The company has invested a lot in solar energy. It plans to put solar panels on all its dealerships worldwide by 2050. Toyota also works with renewable energy companies to promote wind and solar power.

Toyota has a program called "Global Environmental Challenge 2050." This plan aims to reduce Toyota's impact on the environment. It has six goals, including cutting carbon emissions, using less water, and recycling more materials. Toyota also tries to have zero waste at its factories.

Toyota's Business and Locations

Headquarter of Toyota Motor Corporation 4
Principal headquarters building of Toyota

Toyota's main office is in Toyota City, Japan. This city was named Koromo until 1951, when it changed its name to match the car maker. Toyota City is in the Aichi Prefecture of Japan. Toyota's main headquarters building is described as "modest."

Around the headquarters are the Toyota Technical Center and the Honsha plant. Toyota and its related companies have 17 factories in Aichi Prefecture and 32 factories in Japan. Toyota also has offices in Tokyo and Nagoya.

Worldwide Presence: Toyota Around the Globe

Top 10 Toyota and Lexus vehicle sales
by country, 2022
Rank
in Toyota
Location Vehicle
sales
1  United States 2,108,460
2  China 1,940,590
3  Japan 1,289,132
4  GCC 390,294
5  Indonesia 330,498
6  Thailand 288,810
7  Australia 238,139
8  Canada 200,205
9  Brazil 191,653
10  Philippines 174,106

Toyota has factories in many parts of the world. It builds cars in Argentina, Belgium, Brazil, Canada, France, Indonesia, Mexico, the Philippines, Poland, Russia, South Africa, Thailand, Turkey, the United Kingdom, the United States, and Venezuela.

The company also has factories that are joint ventures or licensed in China, France, India, Malaysia, Pakistan, Taiwan, and Vietnam.

North America: A Big Market

2018 Toyota Camry (ASV70R) Ascent sedan (2018-08-27) 01
The Toyota Camry is assembled in several facilities around the world including Australia, China, Taiwan, Japan, Malaysia, the Philippines, Russia, Thailand, India, Vietnam, and the United States.

Toyota Motor North America has its main office in Plano, Texas. It handles all of Toyota's business in Canada, Mexico, and the United States. Toyota started its operations in North America on October 31, 1957.

Toyota has a large presence in the United States. It has six major factories in Alabama, Kentucky, Indiana, Texas, West Virginia, and Mississippi. In 2018, Toyota and Mazda announced a new factory together in Alabama.

Toyota also makes larger trucks, like the new Tundra, for the full-size pickup market in the United States. Toyota is also promoting hybrid electric vehicles in the U.S., such as the Prius and Camry Hybrid.

Toyota Canada Inc. handles sales and distribution in Canada. Toyota Motor Manufacturing Canada has three factories in Ontario. In 2006, Toyota's company Hino Motors opened a truck factory in Woodstock, Ontario.

Europe and Western Asia: Growing Presence

Top 10 Toyota and Lexus vehicle production
by country, 2022
Rank
in Toyota
Location Vehicle
production
1  Japan 2,656,009
2  China 1,839,772
3  United States 1,129,988
4  Thailand 659,252
5  Canada 433,077
6  Indonesia 268,150
7  Mexico 267,775
8  France 255,936
9  Brazil 224,272
10  Turkey 215,798

Toyota Motor Europe is based in Brussels, Belgium. It manages all of Toyota's business in Europe and western Asia. Toyota started in Europe in 1963. Toyota has nine factories in Europe, including in the Czech Republic, England, France, Poland, Portugal, Russia, and Turkey. Toyota also has a factory with Citroën and Peugeot in France.

Australia: Production Ends

In 1963, Australia was one of the first countries to build Toyotas outside Japan. However, in February 2014, Toyota announced it would stop making cars in Australia. The factory closed on October 3, 2017. It had made a total of 3,451,155 vehicles. At its busiest, Toyota made 15,000 cars a month in Australia.

How Toyota Works: Company Strategy

Toyota Plant Ohira Sendai
New Toyota factory in Ohira, near Sendai, Miyagi Prefecture, Japan.

The Toyota Way: A Guiding Philosophy

The Toyota Way is a set of ideas and actions that guide how the company is managed and how it makes products.

Toyota has been developing its company philosophy since 1948. As the company grew globally, leaders officially wrote down The Toyota Way in 2001. It has two main parts: continuous improvement and respect for people. Continuous improvement includes: challenge (having a long-term goal), kaizen (always making things better), and genchi genbutsu ("go and see" the process to make good decisions). Respect for people includes: respect and teamwork.

In 2004, a professor named Dr. Jeffrey Liker wrote a book called The Toyota Way. He said it's "a system designed to provide the tools for people to continually improve their work." He listed 14 principles of The Toyota Way. These principles focus on a long-term view, good processes, developing employees, and solving problems to learn.

Toyota Production System: Making Things Efficiently

The Toyota Way also shaped how the company makes things. Toyota was one of the first to use what is now called lean manufacturing. The Toyota Production System has two main parts: just-in-time (making only what is needed, when it's needed, and in the right amount) and Jidoka (automation with a human touch).

The exact start of the Toyota Production System is debated. Some say it came from studying a grocery store's distribution system in 1950. Others say it came from the ideas of W. Edwards Deming.

After developing this system for its own factories, Toyota started teaching it to its parts suppliers in the 1990s. Other companies were interested, so Toyota began offering training. The company also gives this training to non-profit groups to help them work better.

Logo and Branding: What Toyota Looks Like

Toyota Sign Development Bertel Schmitt
Employee at the Toyota Automobile Museum explains development of Toyota name and brand.

In 1936, Toyota held a contest for a new logo for its first passenger car. The winning design led to changing the company name from "Toyoda" to "Toyota." The new name sounded better and had eight brush strokes in Japanese, which is a lucky number. The first logo was a stylish version of the Japanese katakana letters for Toyota.

As the company grew internationally in the late 1950s, they added the English word "TOYOTA" in capital letters to their logo.

Toyota introduced a new worldwide logo in October 1989 to celebrate its 50th year. This logo also helped separate it from the new luxury Lexus brand. The logo has three ovals that form the letter "T" for Toyota. Toyota says the two inner ovals show the good relationship and trust between the customer and the company. The larger oval around them shows Toyota's growth around the world and its future potential. The new logo started appearing on all materials and most cars in 1990.

In countries that use traditional Chinese characters, Toyota is known as "豐田." In countries using simplified Chinese characters, it's "丰田." These are the same characters as the founding family's name "Toyoda" in Japanese.

Toyota Tacoma TRD Pro P4250811
Some new vehicles, like this Tacoma, still use the heritage TOYOTA wordmark.

Toyota still uses the katakana character logo as its company symbol in Japan. Some special edition cars still use the "TOYOTA" wordmark on the front grille to show respect for the company's history.

Sport Sponsorships: Supporting Teams and Events

Toyota Center satellite view
Satellite view of the Toyota Center in Houston, Texas, with the logo on top of the roof

Toyota sponsors many sports teams and has bought the naming rights for several sports places and competitions. These include:

  • Toyota Alvark Tokyo, a basketball team
  • Toyota Arena, in Ontario, California
  • Toyota Cup (a football competition)
  • Toyota Center, in Houston, Texas
  • Toyota Field, in San Antonio, Texas
  • Toyota Park, in Bridgeview, Illinois
  • Toyota Sports Center, in El Segundo, California
  • Toyota Stadium, in Frisco, Texas

As of 2017, Toyota is a sponsor of Cricket Australia, the England and Wales Cricket Board, and the AFL. In March 2015, Toyota became an official sponsor of the Olympic Games. It provides vehicles and communication between vehicles until 2024.

Images for kids

See also

Kids robot.svg In Spanish: Toyota para niños

  • Automotive industry in Japan
  • List of Toyota engines
  • List of Toyota manufacturing facilities
  • List of Toyota transmissions
  • List of Toyota vehicles
  • Nagoya Grampus, formerly the company's football club and still sponsored by them
  • Toyota model codes
  • Toyota Verblitz, the company's rugby team
  • Toyota War, a conflict between Libya and Chad which saw a heavy use of Toyota's pickup trucks.
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