Toyota To Team Up With Renault To Make Cars in Colombia
TOKYO (AP) _ Toyota Motor Corp. will produce commercial vehicles in Colombia in a joint venture with a subsidiary of France’s Renault and Mitsui and Co., a major Japanese trading company, officials said.
Japan’s largest automaker said Friday it has signed an agreement with Sociedad de Fabrication de Automotores Renault S.A. and Mitsui and has obtained Colombian authorization for the project.
Under the agreement, Sofasa-Renault will add Toyota’s Land Cruiser and Hilux models to the line of Renault cars it produces in Colombia.
Land Cruiser production is scheduled to begin in October 1991 with an annual output of 4,000 cars. Hilux production is to start in April 1992 with a target of 3,000 vehicles, Toyota said in a news release.
The two models will be marketed through a new Toyota dealership network that Sofasa-Renault will set up.
Hiroshi Hashimoto, a spokesman for Toyota, said the company will make an effort to meet a Colombian government’s desire to export commercial vehicles produced in the country.
Toyota and Mitsui also will acquire stakes in Sofasa-Renault, with Toyota investing $10.5 million for a 17.5 percent stake and Mitsui $4.5 million for 7.5 percent, the release said. Renault owns 74.7 percent of Sofasa-Renault, which produced about 11,000 cars last year.