1. Home
2. Supplier Database
3. Major Suppliers
4. Toyota Industries Corporation
5. Toyota Industries Corporation Business Report FY ended Mar. 2018

Toyota Industries Corporation Business Report FY ended Mar. 2018

Overall
-In the fiscal year ended March 31, 2018, sales and profit increased thanks to active marketing efforts, groupwide cost-cutting activities, and currency translation effects despite an increase in material costs and personnel costs.

Automotive Division
-Business results worldwide improved y/y because of a steady increase mainly in Europe and China.

Chassis Business
-Sales decreased 1% y/y because of a decline in the unit production of the Toyota Vitz.

Engine Business
-Sales increased 10% y/y because of greater sales of AR-type gasoline engines and GD-type diesel engines.

Automotive air-conditioner compressor business
-Sales increased 5% y/y due to an increase in sales in Japan, North America and China.

Electronic Equipment, Cast Products, and Others
-Sales increased 12% y/y because of an increase in the sales of electronic equipment and cast products.

Contracts

-The Company announced that its new automotive air-conditioner electric compressor and in-vehicle battery charger have been adopted for Toyota Motor Corporation's new Prius PHV. The Company is aiming to increase its intake of orders by offering its newly developed products for plug-in hybrid, electric, and other electrified vehicles. The new electric compressor is the first mass-market model to have a "gas injection function." The Company has reduced vibrations, and improved heating capacity in cold environments by 30%. The electric compressor is integrated in air-conditioners developed by Denso Corporation. The newly developed battery charger is installed under rear seats. Its power output is 1.7 times higher than that of conventional ones. While the battery capacity for the new Prius PHV is twice the capacity for the previous model, recharge time is as short as 2 hours and 20 minutes (with a 200-volt power source) due to improved power output. The battery charger has a built-in ECU, and yet its size is one half of conventional devices. It supports voltages between 100 and 240 volts, and ensures stable charging. (From an article in the Nikkan Jidosha Shimbun on February 17, 2017)

Joint Ventures

-The Company announced that it is considering participation in a joint business for automotive prismatic batteries between Toyota Motor Corporation (Toyota) and Panasonic Corporation (Panasonic). Toyota has signed an agreement to study the feasibility of a joint automotive prismatic battery business with Panasonic, with the aim of accelerating the electrification of vehicles. The Company will consider a number of options to make an entry into the automotive battery business. (From an article in the Nikkan Jidosha Shimbun on December 22, 2017)

Recent Development Outside Japan

-President Akira Onishi of the Company said it will produce electric compressors outside Japan. Until now the Company has produced all of its electric compressors, which are mainly supplied to clients in Japan, at its Kariya Plant in Kariya City, Aichi, Japan. The need for the compressors from non-Japanese automakers is expected to increase with the popularization of electric-powered vehicles. The Company expects that it can capture demand and increase cost competitiveness by curtailing distribution costs. The Company is planning to raise its global share of car air conditioning compressors to 50% from the current 43% by expanding its overseas operations. The Company produces car air conditioning compressors at 10 factories in five countries. President Onishi noted that a foundation for overseas production of electric compressors has already been established. (From an article in the Nikkan Jidosha Shimbun on October 30, 2017)

-Sales by segment are amounts sold to external customers

>>>Financial Forecast for the Next Fiscal Year (Sales, Operating Income etc.)

Initiatives under Vision 2020

Industrial Vehicles
-Expand and enhance the logistics business globally through collaboration among Japan, the USA, and Europe.

Europe:
-Advance initiatives in growing markets through close collaboration with the Forklift Sales Headquarters.

Japan, Oceania, Asia, Others:
-Expand the business by working in close collaboration with Vanderlande Industries Holding B.V.

North America:
-Expand the business by maximizing the synergy effects of Bastian’s system-development capabilities and Vanderlande’s capabilities in creating large-scale, product proposals.

Compressors
-Future vision of mid-term business growth
Achieve top market share in the world (50%) of automotive air-conditioner compressors.

-Create a Full Production Range
Develop products for engine-mounted vehicles, HVs, PHVs, EVs, and FCVs.

-Strengthen Development Capabilities to Create First-in-the-World Products
Development of a new, electric compressor with a gas-injection function, for the redesigned Toyota Prius.

-Strengthen Production Operations outside Japan
While conducting overseas production operations near customers, have Japan supply products when necessary to supplement gaps in production.
*Based on the Company’s own study.

R&D Facilities

-The Company has established a technology for manufacturing plastic back windows that are 40% lighter than glass-made products. The new technology enables integral injection molding for back windows with curved surfaces and other complicated shapes, and thereby contributes to substantial weight reduction while improving design flexibility. An enhanced coating on the plastic surface protects the window surface from scratches and discoloration from direct sunlight. This ensures a satisfactory field of view for drivers. The Company will formally begin activities to market the new technology, initially aiming for adoption of it for luxury models. (From an article in the Nikkan Jidosha Shimbun on November 21, 2017)

Product Development

Automobile

• Diesel engines
• Electric compressors for hybrid vehicles, plug-in hybrid vehicles, and electric vehicles
• Next-generation compressors
• Power-supply equipment, especially for hybrid vehicles

Charging Stands for PHVs and Electric Vehicles
-On June 12 the Company announced that it has developed a new hybrid unit for construction equipment. The Company will utilize the engine and motor technologies that it has accumulated in automobile and industrial vehicle fields and enter the construction machinery field. The new hybrid unit will be incorporated in a hybrid hydraulic excavator that will be launched by Hitachi Construction Machinery Co., Ltd. in September 2017. The Company intends to ensure a stable supply of the new product, which complies with stricter emission regulations set to come into force in Japan. At the same time, the Company will feed technological information acquired in this new field back to product development for fields like automobiles. (From an article in the Nikkan Jidosha Shimbun on June 13, 2017)