From: Diego's blog in GoChinaAuto

Toyota Motor Corp., the largest automaker in the world, is preparing its restart in China. As the neibough of China Toyota won’t lose the chance of China. But this year, as Nissan and Honda accelerating in China. The big dog of Japanese automakers are struggling. I don’t know what happened to Toyota. Only one year before people took Toyota as a benchmark automaker. But only one year, Toyota sales slapped as a hell and even the CEO has been replaced. Akio Toyoda, Grandson of Toyota Kiichiro, the founder of Toyota, is leading the autu giant from a new start. Akio worked in China as President of Toyota China before he took over Toyota. So he is supposed to know how to develop the new market in his new career.
Toyota’s China plan will start soon according to reports recently.
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Japanese this time brings this new idea and products into China. EFC (Entry Family Car,1.0L-1.3L) from Toyota is expected to boom a new segment in China. Maybe someday people have to call it Toyota segment.
Under the plan Toyota will has to introduce more competitive mini cars into China auto market. “Mini products are critical for China’s development” said one of the executives from Toyota China.
Early reports said the Japanese automaker has designed a mini car especially for China market with fairly a low price. The new car is predicted to has a 1.2L petrol engine and four seats inside.
Toyota is going to make a big market survey assisted by its local dealers in China and the results of the survey (car clinic) will decide the interior/exterior of the new model and the price range.
Beside the new products, Toyota also has a plan to expanding its sales and service capacity in China. It will lift the number of outlet in mainland of China to cover most small and medium cities. At the moment Toyota has over 500 shops in China but most of them are in big cities. In order to meet the huge demand from the second and third tier cities in China, Toyota has to do more smartly. To build showroom or service workshop in small and medium cities is not as in big cities. Lost but high efficiency is the new challenge for Toyota. By the end o this year outlet of Toyota will reach about 600 but this is still far away not enough.
One another challenge is to integrate network of import models and network of JVs. It could be harder for Toyota to build new in China.