Toyota hikes investment in RP

The Toyota Group has increased its over P20 billion investment in the country as one of its members, Tokai Rika Philippines Inc.(TRP), expanded its production facility and doubled its investment.

“As we increase our production, our suppliers will naturally follow suit,” TMP vice president Rommel Gutierrez told The STAR in an interview.

According to Gutierrez, TRP’s investment is expected to reach P1.2 billion as the company announced it will expand its production facility at its plant inside  the Toyota Industrial Complex in Sta. Rosa, Laguna.

TRP’s new investment will require a total of 5,600 square meters of plant facilities expansion.  The expected completion date of the new building is by November this year.

“This new investment is part of TRP Inc.’s commitment to contribute to the development of the Philippine automotive industry, as well as the regional economy through parts production and exports,” Gutierrez said.

TRP will hold its groundbreaking today. Philippine Economic Zone Authority (PEZA) Director General Atty. Lilia de Lima will lead the groundbreaking ceremony for the new plant.  Expected to attend are Sta. Rosa City Mayor Arlene Arcillas~Nazareno, TMP president Hiroshi Ito, Tokai Rika Japan director Shoji Ishida, TRP Inc. president Kazuo Ito and Toyo Construction vice president Naoyuki  Kiyosue.

Gutierrez explained that the expansion project is needed  to meet the growing demand for its core product line of lever combinations and other automotive switches.

In addition to TRP’s main product line of lever combination and other automotive switches, efforts of production of small automotive switches particularly hazard and courtesy switches will also be doubled. This expansion is expected to increase the company’s current production capacity by two fold, needing an additional 500 personnel.

Customer demand for TRP Inc.’s core product line of lever combination and other automotive switches is growing worldwide. Likewise, there is also a rising demand for TRP’s automotive switches in the ASEAN Region, prompting a joint venture to increase production parts with North America.

Majority of TRP’s products are sold overseas with only 10 percent distributed in the domestic market.

For 2007, TRP’s total exports amounted to $50 million. The company sells to Japan ASEAN member countries, Brazil, South Africa and Australia.