Toyota lifts hopes of rise in UK output
Thursday 23 January 1997
The plan puts Toyota's pounds 1bn Burnaston factory in Derbyshire in prime position to build a third model to compete in the small car sector of the market against the likes of the Nissan Micra.
However, Toyota executives cautioned that the chances of the investment coming to Britain would be seriously jeopardised if Britain's increasingly Eurosceptic stand hampered its relationships with the rest of Europe.
Output from the Burnaston plant is due to increase from 117,000 this year to 200,000 a year from late 1998 when it starts production of a second Corolla-type model alongside the existing Carina E.
The increase in production will see the workforce rise from 2,300 now to 3,000. But if Burnaston is selected for a third model it would mean at least another 700 jobs and further investment of pounds 200m or more and come as a further vote of confidence in the British motor industry following Nissan's decision to build a third model in the North-east.
Alan Marsh, vice-chairman of Toyota Motor Europe, said: "We would like to develop the product range to include a Micra-sized car and ideally we would like to grow Burnaston but a company like Toyota never closes the door. We are always evaluating the European market and it is in our interests to look at other sites." The Burnaston plant is identical in configuration to Toyota's Kentucky plant in the US where production of the Camry and a people carrier called the Sienna is running at 400,000 a year.
Toyota's plan is to build 60 per cent of the cars it sells in Europe locally compared with 30 per cent at present.
Last year about 130,000 of the 412,000 cars it sold in Europe were built locally, nearly all of them Carina E cars from Burnaston.
The company, Japan's biggest car maker, plans to increase European sales to 600,000 by the turn of the century and wants more of those cars built in the same location as they are sold.
Further Japanese investment would help make up for Ford's decision to axe production of the Escort at its Halewood plant on Merseyside with the loss of 1,300 jobs.
Ford blamed the cuts partly on overcapacity but senior Toyota executives rejected this reasoning. "In terms of our sales plan we have a shortage of capacity," said Tatsuo Takahashi, managing director of Toyota Motor Europe.
However, Britain's relationship with Brussels will be a key factor as the timing approaches for a decision on where to locate the new plant.
Mr Marsh said: "If the Eurosceptics win the day and drive us to a referendum on Europe and the public vote to stay out that would have very severe consequences for a manufacturing company like Toyota."
The Japanese car maker declined to become embroiled in the row over the support given by leading British businessmen to key Labour policies.
Board creates magnetic field to achieve lift
Follow the latest events from this Champions League fixture
Like Madonna, Sister Cristina Scuccia's video is also set in Venice
Singer says the track was 'force-fed down people's throats'
techThe original free dating app will remain the same, developers say
- 1 Jack the Ripper: Scientist who claims to have identified notorious killer has 'made serious DNA error'
- 2 Banksy arrest hoax: Internet duped by fake online report claiming artist's identity has been revealed
- 3 Drink alcohol and eat meat to improve male fertility - but cut down on coffee, studies suggest
- 4 Former East 17 frontman Brian Harvey turns up at Downing Street and 'demands to speak to Prime Minister'
- 5 The inventor of the Facebook 'like' button says he never made a 'dislike' button because he feared the 'unfortunate consequences'
Ukraine crisis: Donetsk 'tactical missile' explosion at factory sends blast wave across rebel-held city
Jack the Ripper: Scientist who claims to have identified notorious killer has 'made serious DNA error'
Oscar de la Renta dead: Legendary US fashion designer dies after long cancer battle aged 82
Banksy arrest hoax: Internet duped by fake online report claiming artist's identity has been revealed
Super-sized ships arrive in Britain: How big can they get?
Cameron is warned 'no possibility' of UK reducing immigration and that bid to bring in quota on migrant workers would be illegal
Residents should throw a street party and mix with immigrant neighbours, councils told
Russell Brand threatened with arrest after filming outside Fox News headquarters
London bus driver 'kicks gay couple off for kissing'
Lord Freud: Tory welfare minister apologises after saying disabled people are 'not worth’ the minimum wage
Lord Freud hangs on as MPs of all parties 'call for his head' over disability comments
iJobs Money & Business
£23000 - £26000 Per Annum: Clearwater People Solutions Ltd: Our client is curr...
£25 - 30k: Guru Careers: A Corporate Actions Administrator / Operations Admini...
£18 - 23k + Benefits: Guru Careers: We are seeking a Customer Service Executiv...
£60 - 65k + Benefits: Guru Careers: We are seeking a ASP.NET Web Developer / ....