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Old 11-29-2006, 08:40 AM   #1
Scooby Guru
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Default Toyota Plans New Line at Japan Engine Plant

Toyota Plans New Line at Japan Engine Plant


TOKYO (Reuters) - Toyota Motor Corp., Japan's biggest auto maker, will invest 20 billion to 30 billion yen ($170-$260 million) to double output capacity at one of its domestic engine plants to 400,000 units, the Nihon Keizai business daily reported on Wednesday.

The paper said a new line could begin operations in 2008 and would be built next to an engine plant in the town of Kanda on the southern island of Kyushu. The plant is operated by Toyota unit Toyota Motor Kyushu Inc.

Toyota is striving to make Kyushu a second domestic engine production center after Aichi prefecture, where the auto maker has its headquarters, the paper said.

A Toyota spokeswoman said the auto maker was always looking for ways to increase production capacity to meet growing vehicle demand, but added that no decision had been made.

The new line would make 3-liter V-6 engines for cars such as the Harrier sports utility vehicle and Toyota may also export the engines, the paper said.

($1=116.09 Yen)
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