Bloomburg - June 27th Toyota to Produce 40% More Cars in Emerging Markets June 27 (Bloomberg) -- Toyota Motor Corp., the world's largest carmaker by stock market value, said it will increase 2006 output by about 40 percent in emerging markets to meet growing demand for its minivans and pickup trucks. Toyota will make 700,000 Innova minivans and other models designed for markets including Argentina, Indonesia, Thailand and South Africa, up from an initial target of more than 500,000, said Katsuaki Watanabe, Toyota's new president. He also told reporters at a Tokyo press conference that an announcement related to a new Canadian factory will be made soon. Watanabe, promoted on June 23 to lead Toyota, based in central Japan's Aichi Prefecture, wants to raise global production by 11 percent this year to a record 7.54 million units. The producer of Corolla cars has said it wants to raise its share of global auto sales to 15 percent in the next decade, up from about 11 percent, a level that would pass that of General Motors Corp., the world's largest carmaker. ``Toyota has been accelerating production abroad, responding to a strong demand for vehicles in the bigger markets like the U.S. as well as the emerging markets,'' said Koji Endo, an analyst at Credit Suisse First Boston, after hearing Watanabe speak at a press conference today in Tokyo. Toyota, which makes cars and components in more than 60 factories in 27 countries, is poised to open plants in Texas, Canada and Russia to protect it from currency fluctuations and enable quicker response to local market trends. Toyota's shares fell 1.5 percent to 3,880 yen in Tokyo. The carmaker, with a market value of 14 trillion yen ($128 billion), is Asia's largest company by capitalization. Its market value surpasses the combined worth of General Motors, Ford Motor Co., DaimlerChrysler AG, Volkswagen AG and PSA Peugeot Citroen. Canada Plans An announcement on a new Canadian assembly plant, Toyota's seventh auto factory in North America, will be coming ``very soon,'' Watanabe said, without elaborating. Canadian newspapers including the Globe and Mail and the Woodstock Sentinel-Review have reported that an announcement on the factory, expected to be located in Woodstock, 163 kilometers southwest of Toronto, will be made as early as June 30. Victor Vanov, a spokesman for Toyota's North American manufacturing unit in Erlanger, Kentucky, declined to confirm whether an announcement was planned for Thursday. Toyota builds Corollas, Matrix hatchbacks and Lexus RX 300 sport-utility vehicles at a factory in Cambridge, Ontario. IMV Project Watanabe, 63, was promoted from executive vice president, where he was responsible for Toyota's Innovative International Multi-Purpose Vehicle project, or the IMV. The IMV project makes vehicles in emerging markets to take advantage of tax breaks to accelerate production and cut development costs. Watanabe also was responsible for a cost cut program that helped Toyota post its third record profit in the year ended March 31. Toyota, which cut 230 billion yen in costs in each of the past three years, will probably pass General Motors as the world's biggest carmaker in the next decade, analysts said. Toyota needs to ``strengthen its production ability,'' Watanabe said today in Tokyo, in his first press conference as president. Toyota also needs to ``reform employees' minds and speed up'' communication within the company, he said. China, Technology Toyota appointed eight executive vice presidents during Watanabe's term, up from six previously, and added positions to oversee its business in China and develop technology. ``The emphasis is clearly on China and technology development,'' said Watanabe. ``Increasing the number of executive vice presidents in these areas underscores our strategy'' to bolster those businesses. The automaker is currently working with its purchasing and production divisions to look into consolidation of its group companies, he said. Toyota, the first automaker to sell gasoline-electric cars, aims to sell 1 million units of the so-called hybrids annually, Watanabe said, without giving a time frame. Fuel-saving hybrids combine a conventional gasoline engine with an electric motor. Toyota is ``keeping an eye out on oil price'' as there are concerns that could lead to increase in costs and possible impact on vehicle sales, Watanabe said. Crude oil reached a record in New York for a third day on Friday, approaching $61 a barrel today. New Appointments Toyota appointed Yoshimi Inaba, 59, to run China operations, while Tokuichi Uranishi, 63, will oversee other overseas operations. Inaba, who moved to Toyota's U.S. sales company in 1993, has helped Toyota post record sales in the world's biggest auto market, while Uranishi has led Toyota to post record sales in Europe. Toyota's Kazuo Okamoto, 61, will be in charge of product development, design and motor sports, while Masatami Takimoto, 59, will oversee fuel cell and gasoline-electric vehicle projects, the company said. Takeshi Uchiyamada, 58, will continue to direct production and environment. Akio Toyoda, 49, will be in charge of purchasing, product management and information technology. Toyoda, who was in charge of China and other parts of Asia outside Japan, has led the automaker to ``be able to survive in China,'' Watanabe said. Kyoji Sasazu, 61, will continue to oversee Japan operations, while Mitsuo Kinoshita, 59, will be in charge of finance and accounting, corporate planning and housing.