Toyota (NYSE: TM) has rolled out the first car under its new cost savings program. Not only is the car cheaper to make, but the largest Japanese car maker claims it is safer to drive.
According to Reuters "Toyota began work three years ago on the ambitious plan, called "VI" for Value Innovation, which seeks to lump some of the tens of thousands of car components together to form modules and systems." Toyota is already known for its ability to make cars more cheaply than its counterparts in Detroit.
Every new model Toyota brings to market from now on will be based on bring down costs under the new program. Detroit needs to get one of these cars into a garage and start taking it apart. Who knows what they will find?
Douglas A. McIntyre