There have just been some new updates regarding the Daihatsu safety scandal. Toyota and Daihatsu have announced their decision to reform the two companies’ overseas business structure.
With this, Toyota in a press release stated that it aims to make Daihatsu a “mobility company centred on mini vehicles” (i.e. kei cars) moving forward. As a result, the Emerging-market Compact Car Company (EMCC), which spanned the organizations of both Toyota and Daihatsu until now, will be dissolved.
Just in case you didn’t know, the EMCC also involves national carmaker Perodua as well as the Toyota Vios development teams in Thailand and Indonesia. Toyota says an implementation structure will be established to “thoroughly” prevent the recurrence of “procedural irregularities” at Daihatsu.
Product planning for ASEAN markets which were handled by the EMCC in the past will be shifted to the Toyota Compact Car Company. “As Toyota Compact Car Company will be the contractor of Daihatsu, Toyota will take responsibility for overseas businesses from development to certification. Daihatsu will be commissioned to handle the actual development”, the carmaker said in a statement. Toyota says this change will be made sequentially, following model changeover schedules.
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The business and product management previously handled by EMCC will also be transferred to Toyota’s Business & Sales Unit. Other areas related to subcontracting, including resource management and optimization, will also be reported to Toyota to strengthen the partnership.
Toyota Daihatsu Engineering & Manufacturing (TDEM) and Toyota Motor Asia Pacific (TMAP) will become the Asia Regional Headquarters. Belonging to the Asia Region of Toyota, the division will be renamed “Toyota Motor Asia (TMA).” Based on the upcoming structural change, Toyota aims to make the two companies in the Asia region more self-reliant and increase their collaboration.
All in all, this structural shift will mark the current generation (fourth-gen) Toyota Vios as the last to have been developed by Daihatsu. More interestingly, what will this mean for Perodua moving forward? Well, only time will tell.
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