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Toyota To Stop Building Cars In Australia

Toyota said Monday it will stop making cars in Australia by the end of 2017, spelling a final blow to auto manufacturing in the country, where car companies say high production costs and tough competition have crippled business conditions. Toyota's announcement, which will result in the loss of around 2,500 jobs, was widely anticipated, coming just two months after General Motors Co. said it would end production in Australia by 2017. Ford Motor Co. announced in May that it would cease Australian production in 2016. All told, some 6,600 manufacturing jobs will be lost between the three companies. Mitsubishi Motors Corp. stopped manufacturing in Australia in 2008. Toyota Motor Corp. said its decision was based on a combination of factors including the high Australian dollar, the high cost of manufacturing and competition. "We did everything that we could to transform our business," Toyota Australia CEO Max Yasuda said in a statement. "But the reality is that there are too many factors beyond our control that make it unviable to build cars in Australia." Toyota President Akio Toyoda delivered the news to workers at the company's Altona plant near Melbourne, where he paid tribute to 50 years of Toyota cars being built in Australia. "To now have to deliver this news to the very people we have worked so hard with, to the many people who have supported our production for so many years, is most regretful for Toyota and, for me personally, simply heartbreaking," he said. Toyota, which has been manufacturing cars in Australia since 1963, currently makes the Camry, Camry Hybrid and Aurion in the country. It will become a sales company. Industry Minister Ian Macfarlane said Toyota had not asked the government for any financial assistance in the lead-up to its decision. The government had subsidized auto manufacturing, hoping to keep the industry alive as it supports tens of thousands of jobs in other areas including auto parts. Holden, which is the Australian arm of GM, received 1.8 billion Australian dollars ($1.6 billion) in federal government assistance in the past 11 years. Auto makers in Australia produced about 178,000 cars in 2012, according to the International Organization of Motor Vehicle Manufacturers. Related Gallery AOL Autos Test Drive: 2014 Toyota Highlander Plants/Manufacturing Toyota

Toyota retires robots in favor of humans to improve automaking process

Mitsuru Kawai is overseeing a return to the old ways at Toyota factories throughout Japan. Having spent 50 years at the Japanese automaker, Kawai remembers when manual skills were prized at the company and "experienced masters used to be called gods, and they could make anything." Company CEO Akio Toyoda personally chose Kawai to develop programs to teach workers metalcraft such as how to forge a crankshaft from scratch, and 100 workstations that formerly housed machines have been set aside for human training.
The idea is that when employees personally understand the fabrication of components, they will understand how to make better machines. Said Kawai, "To be the master of the machine, you have to have the knowledge and the skills to teach the machine." Lessons learned by the newly skilled workers have led to shorter production lines - in one case, 96percent shorter - improved parts production and less scrap.
Taking time to give workers the knowledge to solve problems instead of merely having them "feed parts into a machine and call somebody for help when it breaks down," Kawai's initiative is akin to that of Toyota's Operations Management Consulting Division, where new managers are given a length of time to finish a project but not given any help - they have to learn on their own. It's not a step back from Toyota's quest to build more than ten million cars a year; it's an effort to make sure that this time they don't sacrifice quality while making the effort. Said Kawai, "We need to become more solid and get back to basics."

Chrysler, Nissan minivans earn 'dire' crash test results, says IIHS [w/video]

First introduced in 2012, the Insurance Institute for Highway Safety's small-overlap frontal crash test has become the bane of many auto engineers' existence. It's a particularly steep design challenge because it forces just 25 percent of a vehicle's front end to take the brunt of a 40-mile-per-hour impact. The newly released results of four family-minded minivans underscore just how difficult the crash test is: only one scored an Acceptable rating, and the other three did very poorly. The 2008-2015 Chrysler Town & Country and Dodge Grand Caravan, plus the 2011-2015 Nissan Quest, all received Poor ratings in the test, the IIHS' lowest possible score. The three of them showed significant crash intrusion into the driver's area. The dummy in the Nissan actually had to be cut out of the vehicle, with an IIHS spokesperson remarking, "the structure collapsed like a house of cards." In the Fiat Chrysler Automobile vans, the steering wheels moved out of the way, making the airbag less effective and letting the driver's head hit the dashboard. While it was not actually crashed, the agency is also giving the 2009-12 Volkswagen Routan a Poor score because it shares a structure with the FCA models. The newly released results of four minivans underscore just how difficult the small-offset crash test is. The refreshed 2015 Toyota Sienna (shown), conversely, earned an Acceptable rating and is also a Top Safety Pick+ because of its optional forward collision warning and automatic braking system. While the crash test dummy moved around during the impact more than the agency would have liked, sensors showed a low risk of injuries. The IIHS tested the Honda Odyssey last year, and it earned a Good overall score, the agency's best ranking. It's also a Top Safety Pick+ vehicle. The only member of the minivan segment left to test is the latest Kia Sedona, and the Institute is reportedly waiting a little longer for Kia to make changes to improve the model's performance. When reached for comment, Nissan spokesperson Steve Yaeger provided Autoblog with the following statement: "Nissan is committed to vehicle safety and believes that consumers should have information about crash protection so they can make educated buying decisions. Nissan is proud of the 2014 Quest's "good" rating in the IIHS front moderate overlap and side impact tests as well as a "good" head restraint rating.