Toyota plans to stop using partner Subaru to help it meet demand for the Camry.
The manufacturing alliance between Japanese giant Toyota and little Subaru is apparently coming to an end.
Toyota has notified its partner that it will stop producing its long-popular Camry model at the assembly plant Subaru operates in Lafayette, Indiana once their five-year contract expires in late 2016. The move is not expected to end other joint ventures, however, such as the one that led to the development of the sports car sold in the U.S. as both the Scion FR-S and Subaru BRZ.
And Subaru officials are saying they’re optimistic the Indiana plant not only will be able to maintain but even increase its current staffing levels.
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“Based on changes in Toyota’s production plans, they have decided that the award-winning Camry production contract will not be renewed,” said Tom Easterday, executive vice president at Subaru of Indiana.
The plant was originally opened in 1989 as part of an earlier joint venture pairing Subaru and Isuzu. The latter maker abandoned the venture in 2001 and subsequently pulled out of the American market, leaving the facility entirely to Subaru.