Delta, British Columbia - Canadian Autoparts Toyota, Inc. (CAPTIN), a Toyota manufacturing affiliate that engineers and produces aluminum wheels, broke ground today for a C$39 million/US$31.6 million expansion - the company's sixth expansion in 22 years.
The expansion, announced in June, will boost wheel capacity at the facility by nearly 17 percent to 1.68 million units per year, starting in July 2007. Cumulative investment at CAPTIN will reach C$232.2 million/US$188.1 million.
CAPTIN was incorporated in 1983 by Toyota Motor Corporation (NYSE: TM) and was the first manufacturing investment by a Japanese automaker in Canada. The plant produces 22 wheel models for Toyota's vehicles globally, employing approximately 230 team members. Following the expansion, CAPTIN will employ more than 260 team members.
During the groundbreaking ceremony, Toyota Motor Corporation Managing Officer Masanao Tomozoe said CAPTIN's growth and a new Toyota vehicle plant under construction in Ontario are direct results of the company's strategy to build vehicles where they are sold.
"These two Canadian milestones are further evidence of our intention to localize production. And we intend to sell more in North America, which is good news for CAPTIN," Tomozoe said.
Government officials were equally excited.
"This CAPTIN expansion is exactly the result we have hoped and planned for – and proves that a strong assembly sector creates spin-off benefits in other industries and regions," said David L. Emerson, Minister of Industry. "We expect to hear many more good news stories in other regions of the country."
Added Rick Thorpe, British Columbia Minister of Small Business and Revenue: “CAPTIN is an extraordinary company that many businesses across British Columbia seek to emulate. The sixth expansion of this world-class facility in Delta demonstrates Toyota's commitment to the province of British Columbia and our future.”
Gary Smallenberg, president of CAPTIN, pointed to the dedication of the plant's team members for the expansion: "We appreciate the confidence Toyota Motor Corporation has shown in approving the expansion of this plant. The credit needs to go to our team members; this is a result of their commitment and effort to produce the best aluminum wheels on the market."
Toyota currently has five vehicle-manufacturing plants and six power train and component plants in North America. In addition to the new plant under construction in Woodstock, Ontario, two others are being built in Texas and Tennessee.
By 2008, Toyota will have the annual capacity to build 1.81 million cars and trucks, 1.44 million engines, and 600,000 automatic transmissions in North America. The company's direct employment is 38,000, with direct investment of nearly US$16.3 billion. In addition, Toyota's annual purchasing of parts, materials, goods and services from North American suppliers totals more than US$26 billion. Toyota's North American-produced vehicles include the Avalon, Camry, Corolla, Matrix, Sienna, Solara, Sequoia, Tacoma, Tundra, and the Lexus RX330.
Source:
www.theautochannel.com
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