We all know that Toyota makes great cars but they also make great profits. For the last 70 years in a row, Toyota hasmade money. Not anymore.
Toyota is forecasting that it will lose money in 2009 because of plunging demand and astrong yen.
“The tough times are hitting us far faster, wider and deeper than expected. This is an unprecedented crisis requiringurgent action.”
{ 1 comment… read it below or add one }
Good morning Mr. Sagama, you wrote in a recent e-Article that “The slowing economy isn’t the only reason that American automakers are drowning in red ink … They: •Made too many promises to their unions, •Bet their future on full-size pickups and gas guzzling SUVs, •And just can’t compete against their lower cost Asian competitors!” Yet, according to 2008 J.D.Power Initial Quality Study, Ford and GM were on top of the leadership position with 11 models that ranked in the top three of their market categories. How does this translate to “can’t compete against their lower cost Asian competitors”? It’s been reported that at the 2009 North American International Auto Show [NAIAS] in Detroit, OUR big three auto companies who got lambasted as dinasours, mfging inferior products that no one wants on their last two trips to Washington with their hands out. I bought into the hype until I took a conscious look at the industry FACTS that confirm Detroit is building vehicles that are safe, fuel-efficient, and full of relevant technology compared to the world automakers. Many of these advances have been unveiled at the 2009 NAIAS. How can you ignore that the facts that America carmakers have the technology and mfg capabilities to turn out TODAY more models stretching out 30+ MPG, new hybrids averaging 41 MPG, electric cars/minivans/sports car, and midsize car designs/MPG that better Toyota Camry, Honda Accord and Nissan Altima? How does this translate to “can’t compete against their lower cost Asian competitors”? The other FACTS I didn’t hear the Senators on Capital Hill addressing nor you, that automakers THIS YEAR have capability to: churn out 137 vehicles that get 30+ MPG; offer AMERICANS 25 hybrid models; offer 38 versions of flex-fuel vehicles; and eight models running on clean diesel. How does this translate to “can’t compete against their lower cost Asian competitors”? From where I sit, as an AMERICAN consumer, it’s time to buy AMERICAN. It’s time for me and my wife to do our part and look at the AMERICAN label that is leading in the categories that drew us to foreign products: style, technology, and fuel economy. By no stretch am I saying US automakers have got it all right but I believe they are at a better place in having made the technology changes than what’s reported in the media. And yes, it’s real bad for US automakers but worse for Asian automakers now that the big three have competitive products to offer the US markets so we can spend our money at HOME. I remember a prophetic saying that if a man will not take care of his family, he is worse than an infidel. It’s time for AMERICANS to start taking care of each other by making the sacrifices and buy AMERICAN.