Toyota Motor and Daihatsu Motor, which is owned by Toyota, are going to team together for emerging markets. The new company, creatively called the Emerging-market Compact Car Company (ECCC), will focus on emerging markets with Toyota-Daihatsu-made vehicles tailored to those markets.
The new internal company’s objective is to establish “work processes” that are “untethered” by “conventional practices” and to introduce competitive cars based on Daihatsu’s approach to manufacturing affordable, high-quality products. In other words, when safety and other considerations aren’t required by law, they’ll be ignored. Such is the case with vehicles in India and some former Soviet satellites.
Three new internal divisions and the renaming of Toyota Motor Asia Pacific Engineering will take place as part of the combination, adding Daihatsu to the mix (see graphic). Daihatsu President Masanori Mitsui is to be appointed chairman and Toyota Managing Officer Shinya Kotera is to be appointed president of the new internal company.