Canadian Manufacturing

Toyota spending $100-million, expanding Lexus production in Canada

Target date of early 2014 for addition of 30,000 SUVs to be built at Cambridge, Ont., facility



Cambridge, Ont.—Toyota is investing more than $100-million and plans to hire approximately 400 employees as it looks to increase Lexus production at its Cambridge, Ont., facility.

The company announced production of its midsize Lexus RX SUV will increase by 30,000 vehicles to 104,000 units, including 15,000 RX450h vehicles—the hybrid-electric version of the popular Lexus.

The investment will take Toyota’s annual production capacity in Canada to 500,000 units.

This is the second major investment announcement for Toyota’s Canadian manufacturing operation this year, with the company announcing an $80-million investment in its Woodstock, Ont., facility in March.

The announcement increases Toyota’s direct job creation in Canada this year to 800 new jobs for a total of 7,300.

“For almost nine years now, Canada has had the only Lexus production outside of Japan,” Toyota Motor Manufacturing Canada chairman Ray Tanguay said in a statement. “New jobs, along with new technology, is great news for Canada.”

Toyota is targeting early 2014 for expanded Lexus production, according to the company.

In 2011, the Governments of Canada and Ontario partnered with Toyota on a multi-project suite of initiatives designed to sustain and grow Toyota’s manufacturing footprint in Canada and encourage the production of greener, more fuel-efficient vehicles.

“Our government’s top priority is creating jobs, growth and long-term prosperity, and we are pleased to see Toyota expanding production at its Cambridge facility,” Minister of Industry Christian Paradis said. “Canada is a great place to build vehicles, and we will continue to encourage investment by providing tax relief, eliminating tariffs on machinery and equipment and creating an environment that promotes innovation, research and development.”

Toyota has been building vehicles in Canada for more than 25 years, with the Corolla, Matrix, RAV4 and RAV4 EV vehicles and the Lexus RX model assembled at the southwestern Ontario plants.

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