Toyota and FAW Group begin production of Prius in China

Toyota announced that production of the third-generation Prius model has begun in China. Sichuan FAW Toyota Motor, the joint venture with China’s FAW Group, is manufacturing the Prius at the Changchun plant in Jilin Province. To keep the price competitive, Sichuan FAW Toyota Motor will use more local components. Toyota President Akio Toyoda said that the company wants to localize hybrid system components by 2015. “We’ve decided to develop vehicles equipped with hybrid powertrains that are made in China and will try to start production and sales at our Chinese joint ventures in 2015,” he said. The company is also building a US$689 million R&D center at Changshu, which will be its largest R&D center. The center will have a 5.2 kilometer test track and a staff of 1,000. They key goal of of the R&D center is localizing key components like batteries, motors and control systems. (December 20, 2011)