Toyota US Problems Continue

The United States auto sector is not only difficult for automakers based in the country but also for overseas companies who are encountering problems with the same collapsing demand and low sales. Toyota, who recently revealed that it expects profit next year, is reviewing the company's entire operations in the US, according to the Detroit News, in order to determine whether it is better to close one more factory in the country.

It seems like the plant in discussion is the one in California (NUMMI) but no decision has been made at this point. On the other hand, the Japanese manufacturer delayed the official launch of the new factory in Mississippi. The company has just finished building the facility but at this time, there's no equipment and production lines inside the plant.

As we said, in spite of all these matters, Toyota expects to see profit next year because the United States has already reached the lowest possible level which means it can't get worse than that.

"It's a challenge. I guess I've just set myself a very big goal," Yoshimi Inaba, recently appointed as Toyota Motor Sales USA chairman and CEO, was quoted as saying by just-auto.com. "Our strength is our ability to meet local needs. I don't see how Toyota can be profitable again without being profitable in North America."

"Toyota tried very hard to become number one. It's not that we want to be number one (in the United States), it's because of how things worked out. There is a little pulse in the market. The market can't get any worse. We can still be very excited about this market. We see what many, many of our competitors are doing. They are doing a good job of catching up."