Toyota Motor Corp. is bracing for possible political and consumer backlash caused by its rapid U.S. growth, according to an internal report obtained by the Free Press.
Toyota executives have publicly downplayed the importance of predictions that the Japan-based company will pass General Motors Corp. this year as the world?s largest automaker. But the Toyota report says the company could face criticism because its U.S. sales are increasing while Detroit?s automakers are losing sales and shuttering plants.
?With recent market-share gains and sales continuing to increase, we are becoming the de facto leader of the industry ? that brings risks and responsibilities,? according to a presentation by Seiichi (Sean) Sudo, president of Toyota Engineering & Manufacturing in North America. ?Our competitors are jealous of our success.?
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The report, left unsecured on computers at the company?s Georgetown, Ky., complex, said Toyota could come under fire for:
? Selling vehicles to U.S. customers with high proportions of foreign-made parts. Less than half of all content of Toyota vehicles sold in the United States is made in the United States or Canada.
? Not including enough minority-owned businesses in its supplier base. The Rev. Jesse Jackson, leader of the Rainbow PUSH activist group, has asked Toyota to improve diversity efforts.
? Leaving a vacuum in U.S. communities as GM, Ford, Chrysler and their suppliers shed plants and workers.
?A Democratic Congress, particularly those members with districts hit by Big 3 and supplier plant closings, may call for further oversight of the industry and Japanese companies in particular,? the presentation said.
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