Toyota CEO Akio Toyoda steps down, changed by Lexus and GR boss

Akio Toyoda, grandson of the automotive maker’s founder, and some of the vibrant automotive bosses in Japan’s current historical past is stepping apart as CEO of Toyota.

He might be changed as president and CEO on April 1, 2023 by Koji Sato, who’s at the moment the top of each Lexus and Gazoo Racing. Sato will stay in command of the luxurious and sports activities manufacturers after changing into the corporate’s boss.

Sato has been with Toyota since he graduated Waseda College in 1992 with a mechanical engineering diploma.

He was appointed because the chief engineer at Lexus in 2016, and his affect on the luxurious marque grew steadily till he was appointed CEO in 2020. Sato is alleged to have lead growth of the well-regarded Lexus LC coupe.

Toyoda will nonetheless play a task within the publicly-listed firm by changing into chairman. Present chairman Takeshi Uchiyamada, often known as the daddy of the Prius, will relinquish his chairmanship however retain a seat on the corporate’s board.

In a web-based press convention in a single day, the outgoing CEO, who’s 66, mirrored: “I’m a automotive maker by way of and thru, and that’s how I’ve remodeled Toyota, however a carmaker is all that I’m. That’s my restrict.”

Toyoda mentioned the brand new CEO was chosen partly as a result of “he loves vehicles”, but additionally for “his youth”. Sato, who’s 53, has been given the “mission to remodel Toyota right into a mobility firm”.

Like many different legacy automakers Toyota has struggled to adapt its product plans in direction of EVs. As a pioneer of hybrid drivetrains, Toyoda and Toyota initially wished a gradual transition from pure inside combustion engines (ICE) to hybrid and plug-in hybrid, after which both EVs or hydrogen gas cell vehicles.

Altering client sentiment, the worsening local weather disaster, and upcoming ICE bans in Europe and a few US states has compelled the corporate to alter tack. The corporate is reportedly contemplating rebooting its EV plans, which at the moment solely forecast annual gross sales of three.5 million by 2030.

Not solely is Toyota enjoying catch-up within the EV house, however gross sales of its first mass-produced devoted EV, the bZ4X, was stopped for a number of months as a way to repair a wheel hub bolt, which can trigger the wheel to fall off.

Toyoda grew to become CEO in 2009 at a very turbulent time within the automaker’s historical past because the agency had simply posted its first ever full 12 months working loss within the wake of the worldwide monetary disaster. 

The next 12 months Toyota confronted claims of unintended acceleration, which resulted in tens of millions of vehicles being recalled and paying out as much as US$1 billion ($1.4 billion) to settle class motion lawsuits. Then in 2011 Japan suffered an earthquake, tsunami and nuclear meltdown on the Fukushima Daiichi energy plant, which severely affected the nation’s manufacturing capabilities.

A few of these points have been blamed on the formidable gross sales targets set by his predecessor Katsuaki Watanabe. 

Not solely did Toyoda gradual issues down so the corporate might deal with reliability, he ordered the event of the brand new TNGA toolkit structure, which not solely sought larger economies of scale however was designed to be “enjoyable to drive, once more”.

Below his management Toyota has roared again into revenue, and has been persistently vying with the Volkswagen Group for the annual world gross sales title.

His background as race automotive driver and eager automotive fanatic led him to greenlight the 86, and Supra, in addition to the mad GR Yaris and GR Corolla. Maybe extra importantly regular Toyotas are much more attention-grabbing to drive than their forebears.