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They should lower the price of the ES. The car is now being built in the US, they must be saving huge on shipping costs.
Originally Posted by spwolf
pricing is set based on marketing decisions, not based on how much it costs to produce that vehicle.
Besides, with Yen being so low, I doubt it is actually cheaper for them right now. But they are playing the long game.
Originally Posted by chikoo
Stockholders will tear them apart if they pass on their savings to customers instead of them. Capitalism rules.
If costs of production and delivery to the dealer is indeed cheaper, instead of dropping prices, they should increase value by adding more standard equipment and features -- drop the entry-level infotainment system, for instance, and make the up-level one, with nav, standard.
When I took my ESh in for service last month, I had a base-level ES 350 as loaner, with the entry-level display audio. It felt so cheap without the up-level one that I have.
With a high volume car like the ES, I'm sure a large percentage of potential buyers won't be aware of where it's now made so it shouldn't deter sales much at all.
the two key components that will test the es reliability factor is going to be the worker at the plant and the quality of the parts from the american vendors.
the two key components that will test the es reliability factor is going to be the worker at the plant and the quality of the parts from the american vendors.
but workers at the plant and vendors don't work without checks and balances and qa.
more important is training, incentives, and management.
They should lower the price of the ES. The car is now being built in the US, they must be saving huge on shipping costs.
The relocation isn't to save on shipping costs - it's to protect against exchange rate fluctuations and that is why producing cars where they're sold is part of TMC's global strategy.
Costs of shipping a car across the Pacfiic are nominal relative to MSRP. They can stuff nearly 10,000 vehicles on the biggest car carrier ships, and TMC will pay wholesale rates. On average, it costs TMC less to ship a car from Japan to the US than the destination charge.
The relocation isn't to save on shipping costs - it's to protect against exchange rate fluctuations and that is why producing cars where they're sold is part of TMC's global strategy.
Costs of shipping a car across the Pacfiic are nominal relative to MSRP. They can stuff nearly 10,000 vehicles on the biggest car carrier ships, and TMC will pay wholesale rates. On average, it costs TMC less to ship a car from Japan to the US than the destination charge.
And also taxes as well - Washington did threaten import tariffs back in the 1990s. However, Ford brings over the Transit Connect as a full van from Spain and Turkey but they gut it out as soon as it makes it over to America, the chicken tax is why(and why the Tacoma and Tundra are made in the US).
And on a related note, while Toyota wants to build where they sell they will be winding down their Australian plants - as well as Ford and GM. It's too expensive to manufacture in Australia.
. It's not the machine or design.....its the worker that makes the different. Their craftsmanship & work ethic is just higher.
That is a LOAD of B.S.
It's the design and engineering that makes the difference. If the car is built to a certain design spec, then the new ES will be fine.
I have had many Toyotas and Lexus models over the years, the only vehicle that has left anyone standed in my family was my sisters IS350. $4500 in repairs in less than 6 months.
My 04 Runner while reliable has a heated seat that is not working, a seat belt/air bag issue and just yesterday the arm in the rear wiper broke at the motor pivot.
My American Toyotas were not as nicely built, but they did not have the problems the Japanese built cars have had.
IMO, its the design and engineering that makes the difference
I do not see Japan made Toyotas having frame recalls, its just the Tundra and Tacoma, how could you blame that on the workers???
I remember the 1998 camry. That's when toyota built some in japan, and some in america.
On the car lot, the american made one had bigger body gaps, particularly where the bumper met the headlight.
I guess american blue collars don't have as much pride as japanese blue collars.
I do not see Japan made Toyotas having frame recalls, its just the Tundra and Tacoma, how could you blame that on the workers???
I agree that workers are usually not to blame for vehicle problems...at least not today, though that WAS sometimes true in the past.
On the issue of frame recalls, though, you may (?) be comparing apples and oranges, since no American-market Tundras and Tacomas are built in Japan. They are produced in U.S. and Mexican plants.
It's not the machine or design.....its the worker that makes the different. Their craftsmanship & work ethic is just higher
Originally Posted by LexsCTJill
That is a LOAD of B.S.
It's the design and engineering that makes the difference. If the car is built to a certain design spec, then the new ES will be fine
It is far more complex and nuanced. The final product is the result of so many things, the design, the tech used to built it, the people, and intangibles that can't easily be put into numbers. For all those reasons and more Japanese built cars are simply better, maybe not light years better but that extra few percent marks the difference between really good and stellar.
There is also the fact that U.S. built models get components sourced from different suppliers versus Japan built. Example: struts made for North American produced Camry's were complete crap compared to Japan sourced, the Japan parts lasted 5 times longer if they wore out at all. U.S. built in 100,000 miles the struts were completely gone and the coils were breaking.
japanese vs american "work ethics"....all one has to do is look up the documentary on the NUMMI plant when it was in operation in fremont,ca. the stuff that went on their will shock you.
japanese vs american "work ethics"....all one has to do is look up the documentary on the NUMMI plant when it was in operation in fremont,ca. the stuff that went on their will shock you.
.............Yet good vehicles still came out of that plant. The Corollas and Geo/Chevy Corolla-twins produced there (Nova, Prizm, etc...) were as good as the Japanese-built ones.
Not a squeek inside. I've been impressed.
