Toyota scared of US backlash concerning GM and Ford
June 8th, 2005 Leave a comment Visited 56 times, 1 so far today
Toyota scared of US backlash concerning GM and Ford
A lot is happening in the American Auto market with Japanese companies giving American auto giants hard time. Ford and General Motors are two big names, which represents America in a big way in this industry. And both the companies are facing issues with sales and customer satisfaction.
Markets have put their bonds under junk status and the latest news in was that GM was considering another round of massive job cuts. In addition, they are also planning to close down some manufacturing plants.
This news should generally make their Japanese competitors happy. However, chairperson of Toyota Motor Corp. Hiroshi Okuda has expressed fear about the patriotic nature of the American people. Hiroshi Okuda said in a statement: “Many people say the car industry wouldn’t revisit the kind of trade friction we saw in the past because Japanese auto makers are increasing local production in the United States, but I don’t think it’s that simple. General Motors Corp. and Ford Motor Co. are symbols of U.S. industry, and if they were to crumble, it could fan nationalistic sentiment. I always have a fear that that in turn could manifest itself in policy decisions.â€
Toyota is the world’s second biggest automaker after General Motors and is expanding massively their American operations.
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November 19th, 2005 at 10:32 pm
Hiroshi Okuda’s concern is rooted in the nationalistic way in which the Japanese automaker views the industry. He is well aware that the US import laws are very condusive to Toyota conducting business in the states while the Japanese laws associated with importing GM, Ford, and Chrysler to Japan are much bigger obstacles for the big three. Perhaps his real concern should be how long Americans will tolerate Japan’s one-sided trade policies, and the potential effects US trade policies more similar to Japan’s might exert on Toyota and, in turn, the whole of the Japanese economy.
November 23rd, 2005 at 9:53 pm
Since Chin’s murder in 1983, Toyota’s market share in the US has been expanded. Toyota has therefore not suffered the backlash about which top banana Okuda recently expressed a concern. While he is, presummably, sympathetic to the potential of hate crimes against Asian Americans, his comments have to do specifically with the way in which Americans might view Toyota, should it eventually overtake GM as the worlds number one. He believes Toyota risks alienating itself from the very same American buyers who, in the past few decades, have been the primary cause of Toyota’s worldwide success. My point was that American car shoppers couldn’t care less about GM’s world ranking when it comes to what kind of car they will buy. They’ve proved it year after year going back to the eighties. Congress, on the other hand, may not share their view. It’s not necessary for me to cite sources for the disadvantages Japan’s foreign trade policy inflicts on the Big Three. The proof of them is self-evident in Okudas’s comments. He is worried that American foreign trade policy legislators might choose to level the playing field here in the US, where Toyota stands to lose the most. I don’t believe Okuda intended to include racism or hate crimes against Asian Americans as a component of the backlash he’s referring to. Okuda’s job, after all, has everything to do with the future of Toyota’s profits, not the social implications they may have on American society.
November 23rd, 2005 at 9:54 pm
Since Chin’s murder in 1983, Toyota’s market share in the US has been expanded. Toyota has therefore not suffered the backlash about which top banana Okuda recently expressed a concern. While he is, presummably, sympathetic to the potential of hate crimes against Asian Americans, his comments have to do specifically with the way in which Americans might view Toyota, should it eventually overtake GM as the worlds number one. He believes Toyota risks alienating itself from the very same American buyers who, in the past few decades, have been the primary cause of Toyota’s worldwide success. My point was that American car shoppers couldn’t care less about GM’s world ranking when it comes to what kind of car they will buy. They’ve proved it year after year going back to the eighties. Congress, on the other hand, may not share their view. It’s not necessary for me to cite sources for the disadvantages Japan’s foreign trade policy inflicts on the Big Three. The proof of them is self-evident in Okudas’s comments. He is worried that American foreign trade policy legislators might choose to level the playing field here in the US, where Toyota stands to lose the most. I don’t believe Okuda intended to include racism or hate crimes against Asian Americans as a component of the backlash he’s referring to. Okuda’s job, after all, has everything to do with the future of Toyota’s profits, not the social implications they may have on American society.
November 30th, 2005 at 9:12 pm
Claire,
I am also writing a paper on the racialization of car ownership and the resulting anti-Asian sentiment in the United States, and I would love to speak with you and compare notes. I am excited to hear of other people doing similar research. My email is regimeow at hotmail. Thanks!
November 30th, 2005 at 9:48 pm
Regina,
I’m curious. When you and others refer to “anti-Asian sentiment in the United States”, what exactly do you mean – Anti-Asian sentiment as in racism, or as it relates to foreign trade policy here in the US? The original subject, remember, has nothing to do with racialization of car buying. The reason I ask is that, in my opinion, there are those who have, for some reason, inferred an element of racism that isn’t there.