MANILA, Philippines - Toyota Auto Parts Philippines Inc. (TAP), a subsidiary of Toyota Motor Philippines (TMP), is planning to reduce the output in transmission plant due to the slowdown in the global demand for automobiles.
In an interview, Toyota vice chairman Alfred Ty said they might decrease the production of transmission due to a drop in demand in key export markets.
Last year TAP has invested P5.4 billion to double the production capacity of its transmission plant in Laguna.
The transmission plant in Sta. Rosa Laguna is already operating at full capacity with a total output of 180,000 units per year.
The multi-billion Sta. Rosa facility is Toyota‘s 4th R-Type Transmission production plant in the world in addition to Aisin AI Japan, Aisin AI Thailand and ToyotaKirloskar AutoParts in India.
From the time TAP was established in 1990, it has produced G-Type Transmissions and Constant Velocity Joints.
Meanwhile, Ty said that Toyota is targeting a flat growth this year. “We would like to maintain the same volume.”
Ty said their plan is to introduce new models in order to push automobile sales. In fact, they will be bringing in the first commercially available environmental friendly cars in the country by July.
“We just received the approval from the head office. We will bring the Prius in middle of this year,” he said.
According to Ty, there is a market for hybrid vehicles here even if these environmentally friendly cars are pricier than normal vehicles.
“We will start with the Prius first. We have a go signal for this,” Ty noted.
Ty said they have not yet determined the price of the Prius or how many they will import here to sell. “There is no price range yet.” The Toyota website stated that starting price for the 2009 Prius is $22,000.
However, the price here may differ given importation charges and various taxes which will add to the cost of the car. Ty said they will ask for incentives from the government to at least lessen the taxes.