2008 Toyota Limited on 2040-cars

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Toyota prepped to spend $1.3B on plants in Mexico and China

Toyota is getting set to expand its manufacturing operations in a big way, with a pair of sources reporting to Reuters that the company was preparing to make a roughly $1.3-billion investment to add two new factories in China and Mexico. If Reuters sources turn out to be correct and the company's upper management decides to greenlight the two new factories, Toyota's annual output would grow by 300,000 units per year. Two-thirds of the capacity would come from the new Mexican factory, where the company may produce the next-generation Corolla, due in 2019. That facility would be in the state of Guanajuato, in the central part of the country, the sources told Reuters. The Chinese factory, meanwhile, would likely be built in Guangzhou, and may become a source of Yaris production sometime in 2018.

Toyota and Lexus recalling 235,000 hybrid CUVs and sedans over separate issues

When it rains, it pours. Toyota has announced a pair of separate but voluntary North America recalls covering approximately 235,000 vehicles built between 2006 and 2011. The larger of the two recalls targets Toyota's hybridized crossovers, the Lexus RX400h and Toyota Highlander Hybrid. 133,000 units, including 2006-2010 Highlander and 2006-2008 RX crossovers are covered in the campaign. The other recall affects 102,000 IS350 sedans, IS350C convertibles and GS350 sedans built between 2006 and 2011.
With the CUVs, the faults in the parallel circuits of the transistors can cause heat damage in the inverter assembly, triggering an abundance of warning lamps and sending the vehicle into limp mode. The Lexus sedans are being recalled due to loose bolts on the variable valve timing controller. Detected by unusual underhood sounds on startup, the issue can cause the engine to stop while driving. The inverter issue is also triggering similar recalls in Japan and Europe.
At the moment, it's unclear if any of these issues have caused any crashes or injuries. Toyota says it plans to notify owners of the recall via snail mail. Additional information for owners can be found on the recall sites for Toyota and Lexus or by calling Toyota's customer service line, at 1-800-331-4331. Scroll down for the complete recall notice from Toyota.

Toyota exec arrested in Japan for violation of drug laws

Julie Hamp (pictured above), Toyota Motor Corporation's recently promoted global chief communications officer and top female executive, has found herself behind bars after allegedly running afoul of Japan's strict prescription drug laws. Tokyo police claim that Oxycodone was sent to her from the US and discovered by Japanese customs. Hamp was arrested at her hotel on June 18. While it might look bad at first blush, the case currently appears to center on Hamp's misunderstanding of Japan's rules. According to Japanese police, she didn't think that there was anything wrong with importing the medication. NHK reported the package sent to her allegedly contained 57 pills, according to Automotive News. Even with a prescription, it's illegal to bring many drugs into Japan from the US. Some over-the-counter medications here, like allergy medications, are prohibited there, as well. Toyota is aware of Hamp's arrest, but has no other information to share. "We are confident, however, that once the investigation is complete, it will be revealed that there was no intention by Ms. Hamp to violate any law," the company said in a statement to Automotive News. Hamp became chief communications officer for all of Toyota in April. Before her promotion, she held that title at Toyota Motor North America. In the past, she has been included on Fortune's list of the most powerful women in the auto industry.