Engineering news
The investment will improve competitiveness and will promote UK supply chain efficiencies, the company said.
Starting this year, the Burnaston plant will be upgraded with new equipment, technologies and systems. This will enable production of vehicles on the Toyota New Global Architecture (TNGA) platform, which builds cars using standardised platforms, powertrains and major components, to make cars that require fewer resources to build.
The move is part of a global programme to upgrade its manufacturing sites to produce TNGA-based vehicles. By 2020, the majority of Toyota’s global models will be built using TNGA platforms. TNGA underpins the new, fourth generation Prius and the all-new, Toyota C-HR crossover, which is built in Turkey.
The UK government is supporting Toyota with an award of up to £21.3 million for training, research and development and further enhancements of the plant’s environmental performance.
In January, the government awarded Nissan £49.7 million to support the growth of its Sunderland car plant.
“We are very focused on securing the global competitiveness of our European plants,” said president and chief executive of Toyota Motor Europe Johan van Zyl. “The roll-out of TNGA manufacturing capability is part of this plan.
"Continued tariff-and-barrier free market access between the UK and Europe that is predictable and uncomplicated will be vital for future success."
The Burnaston factory and Toyota’s engine plant in Deeside, North Wales, were established in 1989 as the company’s first major production sites in Europe. Since start of production in 1992, the plants have built more than four million vehicles and about five million engines and engine sets in the UK.
Business secretary Greg Clark said: “This is fantastic news. By investing this money the plant becomes one of the world elite hubs equipped to make the next generation of vehicles, so it’s a backing of the efficiency of this plant, of the workforce, and shows what a bright future it is not just for the employees here, but for the suppliers and tens of thousands of people who work in supplying this plant around the country.”
The plants have benefited from Toyota investment totalling more than £2.5 billion and together employ more than 3,000 people. The Burnaston plant makes the Auris and the Avensis models.
"It's essential that investment continues in plants across the UK to maintain our global competitiveness and put us in the best position to secure new models in the future," adds the Society of Motor Manufacturers and Traders chief executive Mike Hawes. “After a decline in investments in the sector last year, government must continue to collaborate with industry and, as we leave the EU, deliver a deal that safeguards as many of the trading benefits we currently enjoy."