Toyota May Shift Camry Production For S Korea To US From Japan -Nikkei

By Tokyo Bureau
Published September 25, 2011
Dow Jones Newswires

TOKYO -(Dow Jones)- Toyota Motor Corp. (7203.TO) has started considering shifting production to the U.S. from Japan of its export Camry model for the South Korean market, as part of steps to cope with the yen's strength, the Nikkei reported Monday.

The auto maker is looking into producing the new Camry mid-sized sedan model for the South Korean market at its Kentucky plant, the Nikkei reported, quoting Toyota sources. The company plans to start marketing the new model in South Korea from 2012.

The Nikkei reported that the strong yen means it would still be cheaper to produce the cars for South Korea in the U.S. despite the higher shipping costs. The report also cited the future ratification of a U.S.-South Korea trade pact that will lead to the scrapping of an 8% tariff imposed on finished car imports.

Toyota currently produces the existing Camry model for South Korea at its plant in Toyota city in central Japan.

Toyota sold about 5,000 vehicles in South Korea in 2010.

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