Toyota officials, including Toyota Motor Corporation honorary chairman Dr. Shoichiro Toyoda and president Katsuaki Watanabe, joined Texas Governor Rick Perry and other local officials to witness production of the first two all-new Tundra pickup trucks. (Photo Courtesy of Toyota)

Toyota celebrated the opening of Toyota Motor Manufacturing, Texas (TMMTX), the company's new $1.28 billion plant in San Antonio. Toyota officials, including Toyota Motor Corporation honorary chairman Dr. Shoichiro Toyoda and president Katsuaki Watanabe, joined Texas Governor Rick Perry and other local officials to witness production of the first two all-new Tundra pickup trucks.
 
To commemorate the event, Toyota announced a $600,000 donation to the National Center for Family Literacy (NCFL) to establish the Toyota Family Literacy Program in three schools in San Antonio's Southwest Independent School District.

Toyota's San Antonio plant was announced in February 2003, and construction began later that year. When the plant reaches full operations next spring, it will have the capacity to produce 200,000 Tundra full-size pickup trucks and employ 2,000 team members.

The plant's investment was originally estimated at $800 million, but grew to approximately $1.28 billion because of a capacity expansion for 50,000 more trucks; rising material costs, especially for steel; and additional infrastructure needed for the on-site suppliers.

Additionally, the 2,000-acre site houses 21 suppliers who produce parts and components and ship them directly into the plant. The on-site suppliers include seven minority-owned joint ventures, will employ 2,100 at full production, and have cumulatively invested approximately $300 million.

"As Toyota moves forward into a new era, this new plant is a dynamic symbol of our bright future," said Mr. Watanabe. "Here in Texas, we have assembled a great team of people, a great plant, and a great truck. Along with great people, this is one of the most advanced automotive plants on the earth. It has the latest in technology and is using the best production and environmental techniques learned from 60 plants we operate around the world."

"Today is the culmination of nearly four years of hard work and dedication by all the members of Team Texas," said Hidehiko "T.J." Tajima, president of TMMTX. "It would have been impossible to reach this day without the strong partnership of our team members, construction partners, suppliers, and all those in the government and community. We now begin the next stage in what will be a very long and very successful partnership with San Antonio, Bexar County and Texas."

"The full-size pickup truck market is, by far, the single-largest opportunity for Toyota's future growth plans in the U.S.," said Don Esmond, senior vice president of automotive operations, Toyota Motor Sales, U.S.A., Inc. "Thanks to this highly-efficient plant, the in-house suppliers and all the team members, we plan to take full advantage of that opportunity. The new Tundra will arrive in showrooms in February. Our production and sales goals are ambitious, yet realistic, and reflect our confidence in the product."

"When Toyota announced it would build a plant in Texas, it was the shot in the arm we needed to transform our economy and begin creating jobs in Texas again," said Texas Governor Rick Perry. "Today employment is at an all-time high, we have a record state surplus and the Texas economy is leading the nation. Toyota is an important part of the Texas economic revival because their investment means thousands of jobs and millions of dollars in wages for Texas families."

Toyota (NYSE:TM) established operations in North America in 1957. By 2008, Toyota will have the annual capacity to build about 2 million cars and trucks in 15 plants across North America. There are more than 1,700 Toyota, Lexus and Scion dealerships in North America, which sell more than 2.5 million vehicles a year. Toyota directly employs nearly 40,000 people in North America. Toyota's investment in North America is valued at more than $17.6 billion, and annual purchasing from North American suppliers totals more than $29 billion.