Toyota to produce continuously variable transmissions in China
Toyota Motor Corp. has established a transmission-production company in the Changshu Southeast Economic Development Zone in Jiangsu Province, China. Production at Toyota Motor (Changshu) Auto Parts Co., Ltd. (TMCAP) is scheduled to start in September 2014 with a planned, initial production capacity of 240,000 units a year.
TMCAP will primarily produce continuously variable transmissions (CVTs) that Toyota uses on gasoline-engine vehicles with small engine displacement to improve driving performance while achieving high fuel efficiency. Toyota decided to begin CVT production in China in preparation for the expected demand for small-engine vehicles.
โBy producing CVTs in China, we will be able to provide high-performance, fuel-efficient cars to even more consumers in China,” said TMCAP President Hirokazu Yase.
Approximately US$285 million is being invested towards this endeavor. The new company is expected to create 850 jobs.
TMCAP’s plant, with a total area of approximately 140,000 square meters, will be located about two kilometers northwest of the Toyota Motor Engineering & Manufacturing (China) Co., Ltd. (TMEC) R&D site currently being constructed in Changshu.