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Even with the $5,000 difference between the Prius and non-hybrid Toyotas, there was a time when Toyota lost money on the car. Even when the car entered the black, and even though they halved the cost of the hybrid system from one generation to the next, Toyota still didn't make the margins on it that they did with their go-to sedans. Yet with plans to start making batteries for the Hybrid Synergy Drive in the U.S., Toyota says it should be able to halve costs again, and bring the next-gen Prius profit to near parity with the Corolla.

Toyota doesn't know where or when it will start building batteries in the States. The company says "it's difficult to make the main parts of batteries outside of Japan," but didn't explain why that was the case. From 2010, the Prius will be manufactured in Toyota's Mississippi plant, however, that doesn't mean the battery plant will be nearby.

Toyota moved up the date to offer the plug-in Priuses to government and fleet operators to the end of 2009. Right now, Toyota says the Prius gets 13 miles on battery power alone. If the plug-in Prius does arrive in a year or so, and with a substantially higher range -- and that is a ginormous "if" -- then it has a chance of upstaging the Chevy Volt, which appears to be what Toyota is aiming for.

[Source: Automotive News, sub req'd]

Toyota to build hybrid batteries in North America originally appeared on Autoblog on Mon, 08 Sep 2008 17:33:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>batterieshybrid batteriesHybridBatteriespriusprius batteriesprius batteryPriusBatteriesPriusBatterytoyotatoyota planttoyota plantstoyota priustoyota prius hybridtoyota prius touringToyotaPlantToyotaPlantsToyotaPriusToyotaPriusHybridToyotaPriusTouringMon, 08 Sep 2008 17:33:00 EST<![CDATA[Prius production heading to Mississippi, Tundra to Texas]]>http://www.autoblog.com/2008/07/10/prius-production-heading-to-mississippi-tundra-to-texas/http://www.autoblog.com/2008/07/10/prius-production-heading-to-mississippi-tundra-to-texas/http://www.autoblog.com/2008/07/10/prius-production-heading-to-mississippi-tundra-to-texas/#commentsFiled under: , , , , , ,



Toyota's got some changes and rearranges underway with its North American facilities to better serve the demands of the market. The biggest news is that Prius production will be coming Stateside, which will help unkink the supply pipeline, if not also lower costs. A new facility in Blue Springs, Mississippi is being readied for the battery-pack-mobile, though the location was initially meant to turn out Highlanders. With consumer desires shifting with the rise of fuel prices, cranking out more Priuses is a higher priority, and beginning in fall 2009, the Highlander will shuffle off to Princeton, Indiana. With the Highlander elbowing its way into the Princeton plant, the vehicle currently produced there, the Tundra, will see its production move under a single roof in San Antonio, Texas.

The big-truck moves are of little consequence when the plants are scheduled to be idled beginning August 8th due to lack of demand. Huntsville, Alabama will also hold up on cranking out V8 engines. While Toyota is putting some plants in neutral, it pledges to provide employment to affected team members during the shutdown. All of this shuffling is an attempt by Toyota to avoid sustaining humongous hits as the market for new cars takes a dump, as well as ensuring that the products it remains building match up with consumer desires. Always a good thing to make the things people want.

[Source: Toyota/Open Road]

Prius production heading to Mississippi, Tundra to Texas originally appeared on Autoblog on Thu, 10 Jul 2008 11:01:00 EST. Please see our terms for use of feeds.

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Toyota's rise to the number one position in the global car industry hasn't been without its setbacks. The carmaker is starting to feel growing pains following its rapid expansion over the past few years, and the issue has got some if its top brass very concerned. The Detroit Free Press is reporting that execs are worried they've built too many factories in the U.S. and that they're considering slowing things down. The problem Toyota faces is if demand drops, it'll be stuck with a whole lot of idle assembly lines. GM, Ford and Chrysler feel your pain, man. A weakening yen also means that Toyota is better off building cars in Japan and shipping them over, and there's no forecast that things are set to change any time soon.

To put a damper on its rapid expansion in North America, Toyota's board is planning a strategic shift in policy that will likely result in no more factories being built for now. According to the Journal, Toyota has already scaled back plans for its $1.3 billion Mississippi assembly plant. If by any chance demand does outstrip supply, Toyota would likely fast-track the installation of additional assembly lines at existing plants rather than setting up new ones.

[Source: Detroit Free Press]

Toyota may slow U.S. factory expansion originally appeared on Autoblog on Wed, 20 Jun 2007 13:32:00 EST. Please see our terms for use of feeds.

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