Toyota Motor Corp., on Friday said the company has completed work to increase its annual production capacity in Argentina to 92,000 units from 65,000 units.
The Japanese automaker said the increase in production capacity aims to meet strong demand for IMV (Innovative International Multi-purpose Vehicle) Project* series vehicles in Latin America.
Production capacity expansion of the Zarate Plant finished last month, with annual vehicle production capacity increased to 92,000 units from 65,000 units.
The production increase represents an additional investment of approximately 126 million U.S. dollars and the creation of approximately 650 new jobs at TASA.
Argentina’s economy is heading to its ninth year of growth after Cristina Fernandez and her late husband and predecessor, Nestor Kirchner, boosted public spending to generate jobs and raised pensions and wages to fuel domestic consumption.
Gross domestic product in the three-months through September rose 9.3 percent from a year earlier, compared with 8.6 percent in the same quarter of 2010, President Cristina Fernandez de Kirchner said.
Annual inflation that economists estimate is 23%, double the official rate, has helped fuel demand for autos, real estate and dollars, as investors look to preserve their savings.
Toyota has been actively expanding its production capacity in South America and Asia, expecting market growth in emerging economies.