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Automotive Intelligence News

News of  January 31, 2001


 


Toyota to Build Lexus Engines and Transmissions in West Virginia

Buffalo, W. Va. - Toyota announced that it will bring production of engines and transmissions for the popular Lexus RX 300 sport utility vehicle to its Buffalo, W. Va. plant.

"This will mark the first time Lexus has produced engines outside of Japan," said Tag Taguchi, president and CEO of Toyota Motor North America. "This decision shows the high level of confidence Toyota has in the outstanding West Virginia team members."

Last year, Lexus was the number one selling luxury brand in the United States for the first time ever. Timing for Lexus engine and transmission production will coincide with the RX 300 vehicle production move to Toyota’s Cambridge, Ont. plant in 2003.

Toyota will invest an additional $50 million for equipment and tooling to accommodate Lexus V6 engine and automatic transmission production, as well as to expand capacity of the four-cylinder line at the Buffalo plant by 40,000 engines annually. The four-cylinder line will add production for Toyota’s new Matrix, just introduced at the Detroit auto show, and for the GM Vibe, to be produced at New United Motor Manufacturing. Combined four-cylinder and V6 engine capacity will grow to 540,000 annually.

With today’s announcement, employment is projected to climb to 1,000 by 2003 and investment will grow to $950 million. Before today’s announcement, maximum employment was projected to be 800. This is the third time Toyota has expanded TMMWV since the original plant was announced in 1996. Current employment at the Buffalo plant is 725.

U.S. Senator Jay Rockefeller, who has participated in every TMMWV announcement to date, talked about the excellent relationship West Virginia has developed with Toyota, the world’s third largest automobile manufacturer.

(Jan. 26, 2001)

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