Toyota Motor Corp. will consolidate its North American operations into a new corporate headquarters in Plano, Texas, in a move the automaker says will better serve customers and set up the company for long-term growth.
Under the plan, Toyota will move operations from Torrance, Calif.; Erlanger, Ky.; and New York, N.Y. The move affects about 2,000 employees at Toyota Motor Sales in California, 1,000 employees at Toyota Motor Engineering and Manufacturing in Kentucky, and certain employees at Toyota Motor North America in New York. Toyota Financial Services will remain in Torrance until 2017, when 1,000 employees will move to Texas.
The moves will begin this summer, Toyota announced April 28.
"With our major North American business affiliates and leaders together in one location for the first time, we will be better equipped to speed decision making, share best practices, and leverage the combined strength of our employees," said Jim Lentz, Toyota's CEO for the North America region. "This, in turn, will strengthen our ability to put customers first and to continue making great products that exceed their expectations."
As part of the reorganization, Toyota will expand operations at the Toyota Technical Center in York, Mich., by moving direct procurement from Kentucky. Toyota will also build a new facility at Toyota Motor Manufacturing Kentucky in Georgetown, Ky., for 300 production engineering positions.
After the move, Toyota will have about 2,300 employees in California and 8,200 employees in Kentucky, including 750 new jobs in Georgetown for production of the Lexus ES beginning in 2015.