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Toyota's Texas move could boost state's economy by $7.2B in 10 years

They say everything is bigger in Texas, and apparently that includes the Toyota's effect on the economy. The giant Japanese automaker's new headquarters in Plano, TX, will add an estimated $7.2 billion to the state over the next 10 years, according to a new study commissioned by the city and cited by Bloomberg.
The benefits appear to be an absolute steal compared to the direct incentives that Plano and the state are giving Toyota. The report finds that by the time the automaker's campus is complete in 2018, it could have 3,650 full-time workers there at an average salary of $104,000. The city has prepared $6.75 million in grants, plus property tax discounts, according to Bloomberg. In addition to that, the state is offering the business $40 million in incentives from its Texas Enterprise Fund. This is still a fraction of what Toyota is estimated to bring in.
Toyota announced in April that it would move its US operations to Plano after being headquartered in California since 1957. The move affects thousands of employees from the sales and engineering divisions. The first workers will arrive there this fall, but Toyota will eventually have a whole campus in Plano by late 2017. The move is expected to save it huge amounts in taxation and offer employees a lower cost of living. Toyota North America CEO Jim Lentz also says that the Texas location puts the headquarters closer to more of the business' factories in the south. Texas certainly appears to be showing it some southern hospitality.

How many Toyotas are potentially affected by seat fabric problem?

When we reported yesterday on Toyota's stop-sale order of certain 2013 and 2014 models due to an issue with the fabrics on models with heated seats not conforming to flammability regulations, one of our many questions was how many vehicles were affected? More importantly, how many of those cars have already found homes?
Kelley Blue Book has the troubling statistics. Every 2013 and 2014 Avalon features heated seats. 6.2-percent of 2013 and 4.5-percent of 2014 Camry sedans, meanwhile, were sold with heated seats. That doesn't seem as bad as 100-percent of the larger Avalon, until you consider the Camry's huge volume - the 5.6-percent average still accounts for a lot of cars. Sienna minivans are heavily affected as well, with a total of 37-percent of 2013s and 46-percent of 2014s fitted with butt warmers. The stop-sale only affects 7-percent of 2014 Corolla models, but like the Camry, that number is rather misleading due to the sheer volume of cars Toyota moves. You can see the entire breakdown of percentages by clicking on the inset image.
According to Karl Brauer, a senior analyst for KBB, this problem comes at the worst possible time. "Given that much of the US is currently in the grips of a record cold snap, there's sure to be high demand for models with seat heaters," Brauer notes. The stop-sale order is a good first step, but it doesn't do anything to inform consumers who currently own the affected models and may, in these frosty temperatures, want to use their seat heaters. "Should owners of those vehicles stop using the seat heaters?" Brauer asked.

Suzuki will road-test EVs in India, start production with Toyota in 2020

NEW DELHI — Japan's Suzuki Motor Corp will start testing prototypes of electric vehicles in India by October, its chairman said on Friday. "We will start road-running tests using a fleet of 50 EV prototype vehicles in India from next month in order to develop safe and easy-to-use EVs for Indian customers," Osamu Suzuki said at the Global Mobility Summit at New Delhi. The company would then launch EVs in India around 2020 in cooperation with Toyota, he added. However, Suzuki said that for EVs to become popular in India, there had to be well-developed charging infrastructure. "In this regard, we look forward to proactive leadership from the Indian government," he said. The government of Prime Minister Narendra Modi has a plan to electrify all new vehicles by 2030, a target many experts call ambitious. EVs are expensive due to the high cost of batteries which are still not manufactured in India, and carmakers say a lack of charging stations could make the proposition unviable. Suzuki, parent of India's top-selling automaker, Maruti Suzuki, would start production of lithium-ion batteries for automobiles at its plant in western India from 2020, Suzuki said. India is one of the world's fastest-growing car markets, but EV sales are negligible compared with millions of petrol and diesel cars sold every year. Suzuki said to meet India's environmental challenges, the government would have to look at hybrid and CNG (compressed natural gas) vehicles also.Related Video: