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Toyota Boosts Capacity in China, Debuts SUV
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Toyota Motor Corp, the world's biggest automaker by market value, said it increased the capacity of its venture in China with FAW Group Corp by 15 percent and began making a new model as it looks to increase its share of the world's third-largest vehicle market.

 

Sichuan FAW Toyota Motor Co boosted its total capacity to 23,000 units from 20,000 units, and yesterday began making Land Cruiser Prado GX sport utility vehicles at its plant in the southwestern city of Chengdu, Toyota said in an e-mailed statement to Bloomberg News. The Prado GX, which went on sale yesterday, costs 558,000 yuan (US$70,000).

 

Toyota, which currently holds about 5 percent of China's passenger car market, is speeding up expansion in the country to compete with rivals General Motors Corp and Honda Motor Co. The latest increase raises the Japanese automaker's total capacity in the country to 343,000 units a year. It eventually plans to make 690,000 units a year in China.

 

Sichuan FAW Toyota, which was set up in November 1998 and renamed in July 2005, was Toyota's first venture assembly in China. The venture, which also has a factory in the northeastern city of Changchun, makes Land Cruiser Prados, Coaster vans and Prius gasoline-electric hybrids.

 

FAW Group, China's biggest automaker last year in terms of sales, owns 50 percent in the venture, with Toyota holding the rest.

 

(Shanghai Daily June 13, 2006)

 

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