Japan’s Big Three Expands Create More Jobs in Japan |
Those who are in tuned to what is happening in the auto industry know for a fact the current trend concerning U.S.’ Big Three and Japan’s version of the Big Three. While General Motors, the Ford Motor Company, and the Chrysler Group are experiencing tough times, Japanese car manufacturers are enjoying continued success.
Last year, General Motors and Ford declared loosing a substantial amount of money as they struggle to compete with Japanese made vehicles. Chrysler, on the other hand, is steadily loosing money prompting DaimlerChrysler AG to put the American brand in the auction block. The Big Three from U.S. have also been cutting down shifts on their plants and even closing facilities as well as reducing their workforce.
Meanwhile, Japan’s three biggest car manufacturers have been enjoying increased sales in the United States and all over the world. And even as General Motors, Ford and Chrysler are slashing U.S. jobs, Toyota, Honda and Nissan are busy setting up plants in the U.S. and in their home turf as well. The increased attention to constructing and expanding plants in Japan is the result of the increasing demand for luxury models and hybrid vehicles.
Most of those vehicles are made in Japan and that is also where Lexus, Acura, and Infiniti are based. Tsuyoshi Mochimaru, an auto analyst for Deutsche Securities in Tokyo, has this to say about the trend: “It doesn't make sense to produce everything abroad. The idea is that rethinking quality begins in Japan.”
The focus in their homeland by constructing plants in Japan is evident in the planned setting up of production facilities by Toyota, Honda, and Nissan. In 2005, Toyota opened an engine manufacturing plant in southwestern Japan. The said facility is tasked with producing engines for luxury models of the Lexus division.
Recently, the surging car manufacturer announced that they will be expanding the said plant as the demand for luxury vehicles from Lexus increases. The expansion will begin next year and will create additional 500 jobs for the area. The said facility was the first production plant constructed by Toyota in Japan in about 20 years.
Honda, the second largest car manufacturer in Japan, is also planning to construct an assembly plant in Japan. Completion of the said plant is expected by 2010. By constructing the plant, Honda will be providing 2,200 direct jobs and hundreds more indirectly. The said plant will be Honda's first plant to be constructed in Japan in 30 years. This shows the increasing success being enjoyed by Honda. In the U.S., the car manufacturer is now closing in on Chrysler Group in terms of market share.
Nissan, another Japanese car manufacturer with increased sales of hybrid and luxury vehicles in the United States, is also planning to expand their operation in Japan. Last year, the company completed the construction of an engine plant in Japan producing engines for their luxury vehicles under the Infiniti brand, vehicles that are aesthetically sound especially if equipped with Nissan spoilers.
Recently, the company announced that they will be investing in the expansion of their Yokohama plant to produce more engines as the demand for their vehicles in the United States seems to be gradually increasing.
It can be remembered that Japanese car manufacturers constructed plants in the United States to appease Americans who are blaming them for the reduction of the workforce of U.S.’ Big Three. While these Japanese car manufacturers have already plants in the United States, select models are made in Japan and exported to the United States. The Toyota Prius is one concrete example of that.About the Author:
Ryan Thomas is a native of Denver, Colorado. He grew up in a family of car afficionados. He now resides in Detroit where he owns a service shop and works part time as a consultant for a local automotive magazine.You can also visit Nissan spark plug wires for more information. Submitted at: marketplace4writers.com - WebSite Content and Article Directory "...
Last year, General Motors and Ford declared loosing a substantial amount of money as they struggle to compete with Japanese made vehicles. Chrysler, on the other hand,..." |
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