Toyota developing new ultra-low-cost production process

Forbes ^

[Lunatic Fringe]

TOKYO (XFN-ASIA) - Toyota Motor Co is developing a radically different carmaking process that will drastically cut costs across the entire chain of production, President Katsuaki Watanabe said in an interview with the Financial Times.

'The focus is on low-cost technology,' Watanabe said. 'Everything from design to production methods will be radically changed and we are thinking of a really ultra-low-cost way of designing, using ultra-low-cost materials, even developing new materials if necessary.'

Watanabe said the company will review each step in the production process to lower costs for a new model and then to apply the lessons across its line-up.

Asked about the price of a car produced via the new process Watanabe said the company has a rough target of being 'at least' cheaper than the Renault Logan (currently $9,300).

Watanabe also denied media speculation that Toyota (nyse: TM - news - people ) is poised to strike a cooperation agreement with Ford, saying no specifics have been discussed.

[RayChuang88]

Actually, because of the way Toyota used the name, Aygo won't get sued by Apple anytime soon--otherwise, Apple would have sued Toyota at least 18 months ago.

[RayChuang88]

We are due for a vw of the new century...I'd love to see a no frills low dollar high mileage car.. with toyotas record of running 20 years.

That's why the Toyota Aygo could be what we really need. With a little more refinement and a 1.3-liter engine, the Aygo would sell out in no time flat for the USA market to first-time buyers and buyers who want a cheap-to-run car.

[Proud2BeRight]

"Toyota Aygo"

Oh sure, I bet that thing will do real well when it collides with a real vehicle. My family will never ride in a deathtrap like that thing. They will be hosing the remains out of those on the nation's expressways.

[ForOurFuture]

I'll still buy a Chevy or GMC, been lucky with all my trucks.

You have been lucky. The Colts are -7 in the Superbowl. Tell me: will they cover?

[MediaMole]

Mexicans?

Somalians...

[Polybius]

Mexicans?

No. Brits.

[Pro-Bush]

Katsuaki Watanabe

Wasn't he in Star Wars?

[philetus]

[RayChuang88]

I can understand your concerns, but you forget that the EuroNCAP crash testing I mentioned earlier is just as stringent as the Insurance Institute for Highway Safety (IIHS) crash tests. Given the very good EuroNCAP crash test scores, the Aygo will likely protect its passengers even from a much larger vehicle.

[TruthWillWin]

Competition from Hyundai/Kia?

Just a few years ago Hyundai/Kia was known as the inexpensive, poor made, unreliable car with a great warranty. In the last few years they have become the maker of inexpensive, well made, and reliable cars with a great warranty.

The automation and quality control of the Korean car maker has become the envy of the auto industry

It's my guess that Toyata needs to adjust to this new competition.

[SAJ]

Well said, mate! Whether Toyota's ideas will come into play in the short term or not, these ideas (or improved versions of same) **will** be put into practice relatively quickly, by some company or another.

Unless I am much mistaken, there is exactly no example in history of properly executed ''new'' technology and/or processes either being not implemented OR failing, over time.

There are, of course, some hundreds or more of examples of improper and/or inefficient and/or overhyped innovations failing badly.

When a ''new'' tool or process is well-designed to the task at hand, it will succeed, ultimately, or will be supplanted by a still better one.

[PAR35]

I don't car if it has air

You obviously don't live in Texas.

[G-Man 1]

After 10,000 miles instead of changing the oil, you take it in and change cars.

[Fresh Wind]

I'm sorry, I was wrong... the Renault Logan runs about $6100.

You should never use the words "Renault" and "runs" in the same sentence.

[Gone_Postal]

KIT CAR 1929 Mercedes Benz SSK [SSK = Sehr Schnell/Kurz, German for "Very Fast/Short (wheelbase)]

[Lunatic Fringe]

I just bought a Kia Sportage. For the price, it's a nice little compact SUV.

[null and void]

I've seen several of those on the roads here. They look fun to drive.

[Gone_Postal]

these were real popular in the late 70's to early 80's I wanted to get on, just could never afford oner at the time.
The one I pictured, I believed was the most popular, there are many different kits to get.
When I looked at them they kit sold for about 5 to 7 grand and you suppled the frame and drive train, you could use small chevy, ford and or VW frames and drive trains

[N. Theknow]

You buy a big crate and a 1000-page assembly manual.

Assembly manual?

Who needs that? So...got some parts left over there do you?

[Fitzcarraldo]

Nanotechnology?

http://en.wikipedia.org/wiki/Molecular_assembler