By on November 10, 2015

2016-Toyota-Rav4-Hybrid-2

Toyota will build the next generation RAV4 and RAV4 Hybrid on its new global platform in Cambridge, Ontario, Canada near the Lexus RX in 2019, the automaker announced Tuesday.

The plant, which recently lost production of the Corolla to Mexico, would receive a significant upgrade to the Toyota New Global Architecture line that could be used to produce other cars in the future. In a statement announcing the RAV4’s production, Toyota executives touted the Cambridge and Woodstock plants as the “North American hub for sport utility vehicles.”

Toyota unveiled this year its C-HR compact crossover concept that would be built on TNGA architecture, and would likely come to North America as a Scion-branded crossover. Toyota hasn’t announced where the C-HR would be built.

In addition to the C-HR, Toyota is likely to produce the Highlander on TNGA architecture. In addition to the Highlander, Automotive News has speculated that the Camry, Corolla and Yaris would likely move to the platform in the near future. The automaker also uses the platform for its next-generation Prius.

A spokeswoman for Toyota wouldn’t comment on whether Cambridge or Woodstock would produce future models beyond the next-generation RAV4.

“One of the beauties of TNGA is that it gives us a lot more flexibility in our manufacturing line so that we can easily adapt to build other kinds of vehicles,” said Suzanne Baal, a spokeswoman for Toyota Motor Manufacturing Canada.

So you’re telling me there’s a chance.

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17 Comments on “Toyota To Build Next-gen RAV4 in Ontario, Other Cars To Follow?...”


  • avatar
    DeadWeight

    The Canadian Dollar (CAD) was as high as $1.05 to the U.S. Dollar as recently as 2013, but is now down an incredible 30% (roughly) in a relatively brief 24 month period, and is now around 0.75 to the USD.

    If Canada has ANY HOPE of reviving & sustaining a decent chunk of its manufacturing sector, which is needed more than ever when commodity prices are low, look for the CAD to fall to as low as 0.58 CAD to the USD, a figure not last seen since 30 years ago.

    • 0 avatar
      statikboy

      You mean $.58 US to the Canadian dollar?

    • 0 avatar
      PRNDLOL

      Actually the Australian dollar has fallen more than the Canadian $ relative to the US$, and Australia is an oil importer. Also, the Canadian dollar has never been worth 58 US cents, .62$ US is the lowest in January 2002 when the US was at war.

    • 0 avatar

      “If Canada has ANY HOPE of reviving & sustaining a decent chunk of its manufacturing sector, which is needed more than ever when commodity prices are low, look for the CAD to fall to as low as 0.58 CAD to the USD”

      The phrasing of this makes it sound as though Canada is artificially (and rather dramatically) controlling its own dollar, which I don’t believe is the case at the moment. Canada can affect the manufacturing industry through tax breaks and big investments (as it has before), but I think the dollar is a more “come what may” aspect to that. Commodity prices, as with Australia, is what is going to affect that.

    • 0 avatar
      ect

      “If Canada has ANY HOPE of reviving & sustaining a decent chunk of its manufacturing sector, which is needed more than ever when commodity prices are low, look for the CAD to fall to as low as 0.58 CAD to the USD, a figure not last seen since 30 years ago”

      Exchange rates matter, but the success of a given economic sector relies on many factors. In Canada’s case, the value of manufacturing output has gone up every year since 2009 (just as it has in the US), so the sector is far from dead. In fact, it is the second-largest component of Canada’s GDP – bigger than energy, forestry and mining.

      As one example, exports of aerospace products to the US rose from US$6 billion in 2009 to over US$10 billion in 2014 – notwithstanding the strength of the C$ during this period. Products include aircraft systems, components, engines and aerostructures – high-tech stuff.

      In a sophisticated economy, a low exchange rate strategy is not going to work. Both Canada and the US rely for success on an educated, highly productive workforce and a strong technological base. We should focus on building on this advantage.

    • 0 avatar
      DeadWeight

      Other things than currency exchange rates matter, but currency exchange rates are one of the most critical factors – especially for EXPORT dependent nations – in any emerging or developed nations toolbox for growing its economy.

      And this is precisely why the base to debase currencies is a huge & hot topic right now, especially for export-dependent nations such as China, Japan, South Korea, Germany (beholden to the € value, which is now 1.06 to the USD where once upon a time one € would buy 1.58 U.S. Dollars), Mexico (has been on a tear debasing its currency from 8 pesos the the USD to the current 16 pesos to the USD), etc.

      For all the talk of trade agreements and pacts to avoid intentional debasing of currencies, nothing will stop the race to debase, especially for nations with GDPs/GNPs having a huge % comprised of exported goods.

    • 0 avatar
      MoDo

      I still don’t understand the emphasis on manufacturing jobs. I worked in southern Ontario and none of those jobs paid anything you could ever actually live off of. I worked for a few different auto suppliers back then (97-02) and even living at home rent free I could barely survive off the $10.50 – $12.50/hr they all paid.

      Why not just get a job selling clothes or shoes at the mall? Min wage + a little commission + hot chicks everywhere, not “Bob” in greasy overalls.

      The jobs everyone wanted were at Toyota, Ford, GM, Chrysler etc but were very hard to get, and you usually had to know somebody to get in. And then you’re stuck on an assembly line for 12hrs a day, for $22.50 (back then) – no thanks!

      • 0 avatar
        MoDo

        I remember near the end working for a tier 3 supplier in Waterloo (long gone now), there were old guys COMMUTING from the London / St Thomas area for that garbage money because it was all the experience they had from the factories that had recently closed down there, 4-5 of them would share a small apartment during the week and drive home for the weekends – the sound of them bitching in the lunch room was enough to push me into college and where I am today.

        I still remember the one guy, telling me everyday “This is not a good business to be in”

      • 0 avatar
        DeadWeight

        Service sector economies are not robust, durable nor do they lead to growing wealth equality over time (just the opposite, especially in an era of automation).

        As it has been, it will be, no matter what presstitutes will proclaim; nations that build things that the globe wants to buy, and can be exported with relative ease and at a healthy profit, will thrive.

        The store, restaurant, hotel, and retail/service sector jobs you speak of depend massively on the wealth of a nation, which is concentrated to a huge degree in manufacturing high value goods.

        • 0 avatar
          ect

          Your thinking was state of the art in 1915. Since then, the world has changed and we’ve learned a lot.

          Services account for more than half of US GDP, and are also a substantial source of export income – to the tune of over $700 billion per year. This is very robust.

          • 0 avatar
            DeadWeight

            Heed my words: Manufacturing & production, especially of high demand, technically difficult to produce goods, having proprietary worth (e.g. optics, semiconductors, advanced vehicles, advanced materials, etc.) is the true mark of a wealthy nation, and always will be.

            The service sector economy can only thrive when the that manufacturing & production economy is healthy.

            The nations that manufacture and produce such goods/things as mentioned, and manufacture them better them most or all other nations, will thrive and be wealthy. The nations that don’t, regardless of the size of their service sectors, won’t.

            In 100 years, these goods may be androids/humanoids or flux capacitors or cold fusion reactors or self-picking crops.

            Finite.

  • avatar
    86er

    Hey, yeah, we are due for a turnaround based partly on the exchange rate, aren’t we?

  • avatar
    Pricha33

    Don’t worry I have faith that our inept Premier with the ever increasing Hydro rates will be able to make up the exchange advantage and drive all large manufacturers out of Ontario.

    • 0 avatar
      nrcote

      You were recently working in Alberta, right? Lost your job when the price of oil went down, right? Moved back to Ontario, couldn’t find any job, right? It’s all Kathleen Wynne’s fault, right?

    • 0 avatar
      mikey

      Oh yeah , The Hydro rates , are a huge factor. Kudos to Toyota for at least making a commitment . Ford , Honda and FCA , have all got some solid plans in place for Ontario.

      • 0 avatar
        DeadWeight

        Ford is asking the UAW to vote to allow them to move production of ALL Ford cars (i.e. non-SUVs, non-CUVs, non-pickup trucks) outside of the U.S.

        It was in today’s Crain’s Detroit.

        ‘Murica.

  • avatar
    Reicher

    I’ve known this may happen for a while. Helps when you work for a preferred manufacturer for their trim parts I guess. We are still making Carolla parts for the new Carolla refresh though….not sure if all its manufacturing is completely leaving Canada.


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