Toyota to Build Prius in the U.S. from 2010, Tundra & Sequoia Production Suspended

Changes in consumer demand in the U.S. have "forced" Toyota to take the decision to build the Prius in the U.S. at a new plant under construction in Blue Springs, Mississippi. Toyota said that production is scheduled to begin in late 2010, meaning that the Japanese carmaker is referring to the third generation Prius that is due out next year as a 2010 model. Currently, the Prius is manufactured in Japan and China.

Toyota’s decision to build the Prius in Mississippi has also led to the adjustment of the Japanese automaker’s production mix at three U.S. plants. The Highlander mid-size SUV, originally scheduled to be built in Mississippi, will now be manufactured in Princeton, Indiana, beginning in fall 2009 while production of the Tundra full-size pick-up truck, currently built in Indiana and Texas, will be consolidated at the San Antonio plant in Spring 2009. -Continued

Moreover, Toyota announced that it will temporarily suspend Tundra and Sequoia production beginning August 8 due to the declining overall market for full size trucks and SUVs. Production is scheduled to resume in early November. Fortunately, Toyota said that team members at both facilities, as well as the Huntsville, Ala. plant that builds Tundra and Sequoia engines, will continue to be provided work.

"The truck market continues to worsen, so unfortunately we must temporarily suspend production. But this good news about production mix demonstrates our long-term commitment to our North American operations and to our team members, supplier partners, and communities where our plants are located," said Jim Wiseman, vice president/external affairs for Toyota Motor Engineering & Manufacturing North America (TEMA). "By using this downturn as an opportunity to develop team members and improve our operations, we hope to emerge even stronger."