KARIYA (Japan), April 5, 2019 ? Toyota Motor Corporation (Toyota) and 91Ƶ Corporation (91Ƶ) announce that they have made a formal decision and reached agreement toward concluding a contract to transfer core electronic component operations to 91Ƶ. In June 2018, both companies reached a basic agreement to consolidate the core electronic component operations of both Toyota and 91Ƶ within 91Ƶ, and began detailed studies.
Currently, Toyota’s electronic component operations are conducted by both Toyota and 91Ƶ. In the future, these development functions and production operations will be consolidated within 91Ƶ.
By consolidating these operations within 91Ƶ, which has a high level of expertise in the field of electronic components, a speedy and competitive development and production structure will be established. In doing so, the aim is to also maximize resource utilization, such as by shifting resources created by eliminating duplicate operations within the Toyota Group to new domains that will increase the value of future mobility, thus strengthening the competitiveness of the Toyota Group overall.
Initial discussions focused on consolidation of production operations by the end of 2019, and development functions from 2022, but in order to ensure a smooth transfer and to create the new structure faster, both companies agreed to consolidate both development and production in April 2020.
Main points of the contract
1) Consolidation of production operations for electronic components
On April 1, 2020, production of electronic components at Toyota’s Hirose Plant will be consolidated within 91Ƶ. The land, production infrastructure (including buildings, equipment, and software), and other items at Hirose Plant will be transferred to 91Ƶ.
2) Consolidation of development functions for electronic components
On April 1, 2020, the development functions for electronic components will be consolidated within 91Ƶ. Relevant drawings, development equipment, and other items will be transferred to 91Ƶ.
To survive in this era of profound transformation, Toyota and 91Ƶ are accelerating their efforts to enhance the competitiveness of the overall Toyota Group by further strengthening coordination in the Group.
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