Toyota no longer profitable in North America

[TinmanMS6]

Toyota has been wildly successful in the North American market over the last several years, but the Japanese automaker announced on Monday that its North American operations are no longer profitable. The news comes just months after Toyota announced its first-ever full year operating loss.

Yoshimi Inaba, CEO of Toyota Motor Sales USA, revealed on Monday that despite the automakers drastic cost cutting measures, the company is no longer profitable in the North American market. Toyotas U.S. sales were down 38 percent through the first six months of the year, outpacing the overall market decline of 35 percent.

Inaba said he expects Toyotas North American operations to return to profitability by the next fiscal year set to kick off in March 2010 but several major changes could be in store between now and then. Toyota is seriously considering shuttering its NUMMI factory in Fremont, California and could even abandon its newly-built plant in Tupelo, Mississippi. Toyotas Tupelo plant was completed earlier this year but has yet to be fitted with any tooling or machinery.

Although the downtrodden economy is undoubtedly behind some of Toyotas sales decline, Inaba also blames the companys lineup of boring cars. Toyota is a good car but not exciting. Those are the comments we usually (or) always get, Inaba told The Detroit News. Inaba says Toyotas future vehicles will be more exciting and more nimble.

 

[GoFast]

dumping too much into nascrap

 

[1sty]

dumping too much into nascrap

Without a halfway interesting car to back it up.

Corolla and Camry are boring to tears and the scions are not going ot get it done. odd styling and crap performance....(deadhorse

 

[GoFast]

I think their big problem is that they were riding the wave on their trucks and when the gas thing happened followed by a horrible economy, they were screwed. If you ask me they put all their eggs in one basket and got burned. Atleast they realized their mistake BEFORE going into bankruptcy and plan on revamping their image.

 

[soccom2005]

just dont get rid of the rav, i dont know if the sales are down but it's prolly the most number of suv i see evryday... given also we have 2

 

[genericuser]

Make boring and ugly cars, this is what you get.

Kill the nascar program (hicks won't buy foreign anyway) and make better cars.

 

[Donas64]

There is not a single car in the current Toyota lineup I would consider purchasing. Not a one.

No exciting products at all. It would be awesome if they had an Ralliart, MS3, WRX competitor.

 

[coolmazda5]

Sounds like a remake of the big 3 story (especially Chrysler and GM) although less magnified and less reckless though:

"Let's make huge boring looking, soulless gas guzzling SUVs, fugly sedans and wagons (Matrix?) , then let's try to hit every single market target available and produce crap like crazy, then see what happens, people will buy, no worries..."

 

[TinmanMS6]

There is not a single car in the current Toyota lineup I would consider purchasing. Not a one.

No exciting products at all. It would be awesome if they had an Ralliart, MS3, WRX competitor.

Well, they do have the XRS versions, which are supposed to be sporty, but they kinda fall flat. The old one had the Celica GT-S drivetrain and was actually pretty sporty, but it never really got marketed and nobody knew about it. The new one just has the 2.4L from the Scion tC/base Camry/whatever else. It makes pretty decent torque, but it's not a screamer like the 2ZZ/6MT combo. Definitely not a competitor to the current crop of budget sporty cars.

So, yeah, in short...umm...werd.

 

[TinmanMS6]

just dont get rid of the rav, i dont know if the sales are down but it's prolly the most number of suv i see evryday... given also we have 2

If there's no good diesel option on the market (Forester please!) the RAV4 has a pretty good shot at replacing my current Forester. The V6 makes great power and looks like it has a ton of cargo space, along with decent towing capacity, but still gets 19mpg city/26mpg hwy. Tough to beat.

 

[JCell]

bring the supra back

 

[Rogue]

If there's no good diesel option on the market (Forester please!) the RAV4 has a pretty good shot at replacing my current Forester. The V6 makes great power and looks like it has a ton of cargo space, along with decent towing capacity, but still gets 19mpg city/26mpg hwy. Tough to beat.

You'll already replacing the Forrester?

 

[tunersteve]

Wow, this seems like he figured out the problem. Boring cars from Toyota?!? Nah!

That said, I'd like to see some sportiness from Lexus carried down into Toyota over the next few years. TRD needs to make a full fledged comeback.

 

[genericuser]

Lexus has replaced Buick as the octogenarian's vehicle of choice.

If you want to fall asleep while driving, buy a Lexus.

 

[mikeyb]

I think Toyota offers bland vehicles here in the states.

 

[Donas64]

Lexus has replaced Buick as the octogenarian's vehicle of choice.

If you want to fall asleep while driving, buy a Lexus.

IS350 and ISF are no joke though. I'm pretty sure I'd be happy with either of those.

 

[TinmanMS6]

You'll already replacing the Forrester?

Not for a couple years. I'm always shopping though. (dunno)

 

[tunersteve]

Problem with the IS350 and F are that they can't put a drivers oriented transmission in them. The masses have been asking for a manual for years and they keep getting snubbed. I really think the F could stand to benefit from a 6-spd, as it would be more on par with the M3 if it had one...

 

[GoFast]

Problem with the IS350 and F are that they can't put a drivers oriented transmission in them. The masses have been asking for a manual for years and they keep getting snubbed. I really think the F could stand to benefit from a 6-spd, as it would be more on par with the M3 if it had one...

+100 That car would be phenomenal with a 6 speed

 

[tunersteve]

+100 That car would be phenomenal with a 6 speed

After driving one, the car constantly wants to find a gear when you're not stomping on it. It has a lot of great abilities, but that gearbox kills a lot of it.