Toyotas Engine Plant to live on.

[vztrt]

No matter what you think of them this is good for Australia and our disappearing manufacturing sector.

http://theage.drive.com.au/motor-new...ml?autostart=1

Toyota's $300m engine project to save 30,000 jobs
Steve Colquhoun
September 10, 2010 - 1:05PM

Toyota will invest $300 million building next-generation Camry engines in Melbourne that will save 3300 existing jobs.

Up to 30,000 automotive industry jobs in Australia have been secured by Toyota’s announcement today of a new $300 million engine plant, says Federal Innovation Minster Kim Carr.

The plant will produce engines for both the Camry sedan and its hybrid equivalent from mid-2012 in a move Mr Carr said would anchor Australia’s automotive industry for ‘‘years to come’’.

Mr Carr said it was also expected to deliver ‘‘significant potential’’ to export the four-cylinder engine to countries around the world.

While the announcement brought immediate job security to 320 engine plant workers beyond 2012, Toyota’s 4500-strong local workforce and its network of local suppliers would also benefit from greater certainty, Mr Carr said.

"It will underpin 30,000 jobs in this country. That’s 4500 direct employees times seven, which is the rule of thumb,’’ Mr Carr said.

‘‘We are building today, though this announcement, a long-term commitment to automotive manufacturing in Australia. It’s yet another reminder that the industry is here to stay.’’

Victorian Premier John Brumby said Toyota’s Altona manufacturing base would be in a more tenuous position if the company had not committed to the engine plant and manufacturing the Hybrid Camry, which started production earlier this year.

‘‘I think you would have seen a measureable and gradual decline of this facility over time as more and more components were imported and fewer people were employed,’’ he said.

The federal government will contribute $63 million to the project through its Green Car Innovation Fund, while the Victorian government would add an unspecified ‘‘double-digit’’ figure, Premier John Brumby said.

The new plant will have the capacity to produce up to 110,000 Camry engines per year, including up to 20,000 for the locally built Hybrid Camry.

The new 2.4-litre four-cylinder petrol engine destined for the Hybrid Camry will use 4.5 per cent less fuel and produce 5 per cent fewer tailpipe emissions than the current imported Hybrid Camry engine.

Toyota said the new engine plant would open up ‘‘significant’’ export opportunities, but declined to comment further.

It currently does not export the Hybrid Camry, which was launched earlier this year with a domestic sales target of 10,000 cars - leaving room for exports of up to 10,000 of the hybrid engines. It has exported more than 63,000 non-hybrid Camrys to 20 countries this year.

The engine plant announcement caps a tumultuous week for the world’s leading car maker. On Wednesday, Toyota Australia announced the latest in an embarrassing series of product recalls involving more than 116,000 HiLux utes.

[vztrt]

Green light for $300 million Toyota engine plant

http://www.goauto.com.au/mellor/mell...257799008195EC

Next Camry locked in for Australia as Toyota signs off on new engine factory

10 September 2010

By IAN PORTER

TOYOTA has dispelled any uncertainty surrounding the future of its Altona operations by committing more than $300 million to build a new four-cylinder engine plant.

The new plant will be a world-scale operation making 110,000 engines a year, more than half of which will be exported, adding another string to Toyota’s Australian exports, which have taken a beating recently.

The plant will replace the oldest plant on the sprawling Altona site and demonstrates Toyota’s confidence in the Altona operations.

Sources suggested the new investment was almost derailed twice, first by the global financial crisis and, subsequently, at the height of Toyota’s global recall dramas.

The new plant will make the new-generation 2.5 litre four to be used in regular Camry and a slightly modified version with Atkinson cycle timing for use in the Hybrid Camry.

It will be capable of meeting Euro 5/6 emission standards.

The plant will produce around 110,000 engines a year and – in a significant development – will supply engines for Camrys made in Thailand.

It is believed the exports of engines to Thailand will help better balance Toyota’s import/export ledger between the two markets.

The company aims to produce vehicles and parts in its major markets but the trade balance between Thailand and Australia has been well out of kilter in recent years as hundreds of thousands of HiLux utes and other vehicles have flooded into Australia from Thailand.

The engine exports – high-value parts able to carry the transport costs involved – will help redress this imbalance a little.

The new plant will be one of six around the world that make this engine and will make Toyota Australia a significant part of Toyota’s global supply chain, further securing the future of the Altona operations, which have taken some big hits recently.

First, sales of large and medium cars (Aurion and Camry) were hurt by the global oil price spike of 2007-08 and then the global financial crisis and heavy dumping by Japanese and American manufacturers saw Toyota Australia’s share of its Middle East markets shrink dramatically.

The strong Australian dollar, a result of the minerals boom, has also had an adverse effect on exports as it makes them more expensive.

Toyota Australia president and CEO Mr Max Yasuda welcomed the decision and praised the efforts of Toyota Australia's employees, unions and suppliers in ensuring the project proceeded.

"Securing the investment to produce the next generation engine is a huge vote of confidence for our local manufacturing plant and our employees, who have worked tirelessly to improve operational performance to demonstrate our ability to compete with Asia Pacific counterparts," he said.

"Toyota operations around the world are constantly vying for new investment to ensure local manufacturing operations can participate in the global car making industry."

Toyota Australia acknowledged the strong desire of both the federal and state governments to see new, more environmentally friendly technologies introduced to Australia.

"The support provided by the federal government's Green Car Innovation Fund and the Victorian Government was a major factor in this project proceeding," he said.

"A partnership between local car makers, the government and suppliers is fundamental for ensuring we evolve our industry to deal with the challenges of a carbon constrained world."

Federal innovation, industry, science and research minister Kim Carr said the decision secured the 4500 jobs at Toyota and there would be huge knock-on effect for the components industry.

Mr Carr said the company estimated that for every job inside its plant, seven jobs outside the plant were reliant on Toyota business.

The government chipped in $63 million to help with the construction plant, with the money coming out of the Green Car Industry Innovation Fund.

The new engine plant fulfills a wish by Toyota Australia president Max Yasuda to continue with the next-generation Hybrid Camry.

In a recent exclusive interview with GoAuto, he said he hoped that Toyota Australia would be able to work on localising the Hybrid Camry.

When asked if he had a local content target in mind, he said: “Fifty per cent would be good.”

The new engine will represent about half of the hybrid drivetrain, leaving the electric motors and batteries to be imported.

[vztrt]

http://www.caradvice.com.au/83052/to...-at-melbourne/

Toyota to invest $300 million into new engine production at Melbourne
By Brett Davis | September 10th, 2010

Toyota has announced it will begin making an all-new engine for the Toyota Camry and Hybrid Camry sedans at the Altona plant in Melbourne by 2012.

Toyota has scheduled for 100,000 of the new engines to be produced at the factory and hopes the regime will be in full swing by 2012. No specification-related details of the new engine have been released but Toyota says the engine will produce less carbon emissions and provide further fuel economy over the current offering.

Max Yasuda, Toyota Australia president and CEO, said in a very recent report,

“Securing the investment to produce the next generation engine is a huge vote of confidence for our local manufacturing plant and our employees, who have worked tirelessly to improve operational performance to demonstrate our ability to compete with Asia Pacific counterparts.”

He also mentioned the support from the Australian government and how important such support is in the direction of providing further engine efficiency. Mr Yasuda added,

“The support provided by the Federal Government’s Green Car Innovation Fund and the Victorian Government was a major factor in this project proceeding. A partnership between local car makers, the government and suppliers is fundamental for ensuring we evolve our industry to deal with the challenges of a carbon constrained world.”

The Altona plant with its 320 employees not only makes cars for our local market but also provides for overseas markets. So far in 2010, 63,345 cars have been built at the plant which were then exported to over 20 countries around the world.

[g220ba]

As much as i dislike Toyota this is fantastic news for all australian manufacturing and more importantly the automotive sector.

[mik]

good stuff, its a drop in the ocean but every bit helps.

[Luke Plaizier]

Will the 4 Cyl Cruze engines be made in Australia? Maybe Holden should buy these engines instead.

It's not like we haven't seen Holden badges on Toyota's before right?


Lukeyson

[vztrt]

Originally Posted by Luke Plaizier

Will the 4 Cyl Cruze engines be made in Australia? Maybe Holden should buy these engines instead.

It's not like we haven't seen Holden badges on Toyota's before right?


Lukeyson

The 4cyl engine plant was shut down recently. So no.

[phillyc]

This is excellent news. Can't help but feel they waited for a Labor government to anounce their investment decision. I guess better access to raw materials helped play a part too.

As the countries biggest importer of cars, it is great to see Toyota address some of the imbalance. The likes of which Hyundai have said they never will. Lets face it Hyundai are gunning for top spot by 2020.

Congrats to all the workers who will keep their manufacturing jobs and for those whose jobs rely on those jobs. We shouldn't just be a farm and quarry. We need to value add. Car manufacturing is near the pinnacle for this as it covers so many diverse aspects. Ford is a classic case with the $700M T6 Ranger and $300M Mountaineer SUV spinoff engineering projects.

[vztrt]

Originally Posted by phillyc

Congrats to all the workers who will keep their manufacturing jobs and for those whose jobs rely on those jobs. We shouldn't just be a farm and quarry. We need to value add. Car manufacturing is near the pinnacle for this as it covers so many diverse aspects. Ford is a classic case with the $700M T6 Ranger and $300M Mountaineer SUV spinoff engineering projects.

With the money that Ford has invested here, I'd say there will be lots of design work to come....even if the manufacturing part leaves.

[DRU842]

While I'm happy for the people retaining their jobs here; what is really being made at the plant? Is it just assembly of imported parts or are the castings for the block, heads etc being made here. If that's the case why is the local content target only 50%?