Toyota To Invest $1.3 billion

The world’s largest automaker, Toyota has mapped out plans to invest $1.3 billion  to build new plants in China and Mexico. This move is aimed at boosting its production capacity by some 300,000 units a year in a bid to better compete with global rivals. The new plants in China and Mexico are expected to be opened in 2018 and 2019 respectively.

The Chinese factory will be built in the city of Guangzhou, where Toyota has a joint venture with Guangzhou Automobile Group, producing the Yaris subcompact. The plant will have a yearly output capacity of 100,000 cars. In Mexico, Toyota’s factory which will be built in the state of  Guanajuato will have a maximum output capacity of 200,000 cars a year. Toyota last year recorded sales of 10.23 million vehicles, outpacing General Motors and Volkswagen. When the plants are set up Toyota’s worldwide production capacity will reach 11 million vehicles.