Toyota to invest $243m in its Brazilian plant to produce new model

Toyota Motor Corporation has announced today that Toyota do Brasil Ltda (TDB), Toyota's Brazilian sales and manufacturing subsidiary, has formalised its plan to invest R$ 1 billion (US$ 243 million / Rs 1,731 crore) in its Sorocaba Plant in Sao Paulo, Brazil.

The plant, which opened in 2012 and already produces the Etios and Yaris models, will be responsible for the manufacture of a new model in the Brazilian market scheduled for commercialisation in 2021.

Toyota says the choice of the Sorocaba plant was due to the initial project of the unit, which already provided for the possibility of expansion, as well as the logistics ease of suppliers. To start production of this new vehicle, Toyota plans to hire 300 new employees.

Masahiro Inoue, CEO of Toyota Latin America & Caribbean and Chairman of TDB said: "Toyota's commitment to the development of the Brazilian automotive industry and to Brazil is only possible with a strong partnership between the various stakeholders of the company. This announcement of another investment we make in Brazil is the result of the joint work of our employees, suppliers, dealers, unions and the government and reinforces our long-term vision in the country."

Details on the new vehicle, engine, and exact release date will be shared at a later date.

Today's new investment announcement comes a day after Toyota announced an investment of $391 million (Rs 2,795 crore) at its San Antonio, US truck assembly plant. Once complete, the plant's total investment will exceed $3 billion (Rs 21,450 crore). This is part of a broader commitment from Toyota to invest $13 billion (Rs 92,950 crore) in its U.S. operations over five years through 2021.