Toyota to enter mini-car market

Toyota Motor Corp. will enter the mini-vehicle market in Japan for the first time to meet increasing demand for small cars, becoming the last of the country’s car makers to sell such models. Toyota will sell mini-cars produced by its Daihatsu Motor Co. subsidiary under its own brand, the two companies said. Daihatsu, Japan’s largest mini-vehicle seller by volume currently produces four larger vehicle models for Toyota in Japan. The two partners will team up in the Japanese market using Toyota’s hybrid and electric-vehicle technology. “There is a growing number of customers who are shifting to mini-cars among our customers,” Yoichiro Ichimaru, a Toyota executive vice president, said at a press conference. Mini-vehicles–defined as those having engine capacities of 660 cubic centimeters or less–have become popular among cost-conscious consumers due to their fuel efficiency and lower tax levies. (September 29, 2010)