Toyota to improve car quality for larger China market

Shanghai, July 15 (Gasgoo.com) Toyota Motor Corp., Japan's largest automaker, said yesterday that the company will rely on its vehicle quality improvement for expansion and growth in the Chinese auto market, after recent recalls and labor disputes, Xinhua News reported today.

"We have set up a Global Quality Special Committee that aims to improve product quality so that consumers can use our products with fewer worries," Etsuo Hattori, China representative of Toyota Motor, said during an auto exhibition in Changchun, capital of northeast China's Jilin province.

Earlier this month, Toyota announced its recall of Lexus vehicles in Japan, the U.S. and China, after recalling over 8 million vehicles globally for problems of accelerator pedals, floor mats and brakes since last autumn, including more than 75,500 RAV4 vehicles sold in China.

Meanwhile, Toyota Motor (China) Investment Co. said the company could properly handle labor disputes as Chinese workers become more vocal about their interests. Toyota production in China halted last month due to strikes at supplier plants by workers demanding higher wages.

Through its local venture, Toyota is seeking more growth in China. FAW Toyota's first-half sales jumped 44% year on year to about 240,000 units and aims for 500,000 units for the full year, while sales at Guangqi Toyota soared 68% to top 130,000 units during the same period.

Toyota also plans to further expand its business in northeast China. A new plant there with joint investment by Toyota Motor and its local partner FAW Group is expected to start operation in the first half of 2012.