Toyota Revamps US Approach: Increased Hybrids, New Electric Vehicles, Reduced Lexus Sedan Offerings
Written by Emily J. Thompson, Senior Investment Analyst
Source: Benzinga
Toyota's Manufacturing Adjustments: Toyota is restructuring its U.S. manufacturing by halting production of Lexus sedans in Kentucky to focus on electric SUVs, while consolidating Lexus operations in Indiana and Canada.
Impact of Tariffs on Production: The company is responding to increased tariffs on imported vehicles, which has led to a reassessment of supply chains and production strategies, despite expecting luxury Lexus models to remain profitable when exported from Japan.
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About TM
Toyota Motor Corp is a Japan-based company mainly engaged in the automotive business, as well as financial services and other businesses. It operates through three business segments. The Automotive segment designs, manufactures, and sells automobiles, including sedans, minivans, compact cars, sport utility vehicles (SUVs), and trucks, as well as related parts and accessories. The Financial Services segment provides financing and vehicle leasing services to complement the sales of automobiles and other products manufactured by itself and its affiliates. The Other segment engages in information and communications services. It also oversees manufacturing and sales companies, conducts public relations and research activities, oversees financial companies, and develops various mobility products, primarily software.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
