Toyota's Press "Leave No Stone Unturned in Drive Forward"

By Melissa Anderson

AIADA Communications and Web Content Mgr.

Charismatic Leader Says “Plug-In” Hybrids, Flex-Fuel Vehicle Program Maybe Next for Automaker

Toyota wasn’t always the juggernaut it is today.

There was a time early on in its almost 70 year history when the automaker nearly went bankrupt following the dismal U.S. introduction of the Toyopet Crown – a boxy sedan which was “badly underpowered and drove like a tank,” joked Toyota Motor North America President Jim Press Tuesday during a luncheon at the National Press Club.

According to Press, the Japanese automaker’s dramatic about-face was as a result of the company’s vision “to enrich society through building cars.” Two other key principles played a role; namely, Toyota’s respect for people, and its observance of the Japanese principle of kaizen, or the drive for continuous improvement.

In what many view as a sign of true accomplishment, Press, a veteran of the auto industry and a Toyota associate since 1970, took the lectern at the National Press Club in Washington, D.C. – a post taken up by some of the world’s most influential speakers including, but not limited to: Winston Churchill, Nelson Mandela, and nearly every President of the United States since Theodore Roosevelt more than 90 years ago.

Before a packed ballroom of his peers and other executives from the business, the newly reigned TMNA president described Toyota’s extreme dedication to the U.S. – the world’s most powerful market – citing 9 major vehicle and parts plants here already, the 10th on its way in San Antonio, TX, added Camry production soon-to-come, and 1,000 new jobs at a Subaru plant in Indiana.

Today, Toyota can proudly tout its commitment to manufacturing vehicles that resonate with drivers, claiming stake on the No.1-selling passenger car in America, the Camry; the No.1-selling gas/electric hybrid, the Prius; the world’s best-selling passenger car of all time, the Corolla; and, America’s top-selling luxury brand, Lexus.

Last year alone, the automaker sold 2.3 million vehicles in the U.S. As the company approaches its 50th anniversary in the U.S., it is likely to take over Chrysler as the third best-selling automaker in the U.S. behind GM and Ford.

Toyota’s kaizen has really helped them reap the benefits of the current market for autos, which Press claims is “vibrant” and on a healthy pace. “…Market drivers are on our side… Our gross domestic product is growing, consumer spending is positive, jobs are increasing and productivity is rising.” Coming off of the third best year in history, Press says the U.S. auto industry is well-positioned to sell 17 million vehicles in 2006.

He provided keen insight into the growing market; his demographic observations were abundant:

q Baby boomers won’t reach their peak spending power until 2009.

q By 2010, generation Y will be buying one out of every four cars.

q Seven vehicles – more than half of the 13 cars the average American buys over a lifetime, are purchased after the head of the household turns 50.

So, what’s next for Toyota?

While Press says the automaker remains committed to hybrid technology, claiming it’s “absolutely essential to the future success of this industry,” he says Toyota is working to provide American consumers flex-fuel vehicles, and “plug-in” hybrids, capable of running longer on the highway before needing the help of the gas engine.

Taking an avenue somewhat eschewed in recent company history, Press says Toyota is already developing vehicles that can operate in ethanol-rich Brazil and hope to do the same in the U.S. These vehicles are able to run on gasoline or ethanol-gas mixtures with as much as 85 percent alcohol derived from corn and sugar, for the most part.

Any potential mergers?

Ripe with the news of a possible GM-Renault-Nissan alliance, Press offered: “Companies are re-structuring and re-deploying resources to meet the needs of markets all around the world.”

When asked about Toyota’s interest in pursuing alliances of its own, Press said Toyota had enough to worry about in making sure of its own success, but that the company has and always will be open to discussing partnerships and the like.