Toyota’s General Shareholder’s Meeting for 2023 recently took place in the automaker’s headquarters in Japan. During the two-hour event, a shareholder asked the panel the million-dollar question: “Can Toyota beat Tesla?”
More specifically, following the announcement that Toyota will ramp up its investments in battery plants and start producing EVs in the US in 2025, a curious shareholder questioned whether the company “would be able to keep pace with Tesla”. Not fearing to share their thoughts on the hot topic, Toyota’s high-ranked officials took turns to reply.
Executive Vice President Yoichi Miyazaki spoke first, backing Toyota’s “multi-pathway approach of decarbonizing through diverse options”. Dr. Gill Pratt, Chief Scientist and Executive Fellow for Research in Toyota, supported this claim from a scientific perspective saying that “the optimal strategy for dealing with diverse conditions is to prepare a diverse range of solutions”. For those who don’t follow the news, Toyota plans on pursuing carbon neutrality through a mixture of hybrids, PHEVs, BEVs, FCEVs, hydrogen-powered vehicles, and alternative fuels, although its latest plan is more focused on EVs than ever before.
Read: Toyota Shareholders Back Akio Toyoda, Reject Climate Resolution
The most elaborate answer was given by Takero Kato, who is the president of Toyota’s BEV Factory. The new division was founded in May 2023, dedicated to the development of next-generation fully electric vehicles which are set to hit the market starting in 2026.
Kato said: “I love BEVs. Through BEVs, I want to change the future of cars, monozukuri (‘production’ or ‘making of things’ in Japanese), and work. First, the cars. We will aim for the same cruising range as the hybrid vehicles that have been so popular. This is a big task. We want people to feel Toyota’s unique character in the BEV products we create and deliver. Next, monozukuri. We want to change our vehicle structure and halve the length of our production lines, and reduce or eliminate physically strenuous work, protecting Japanese monozukuri and creating a happy workplace for an aging population.
“Finally, there is the way we work. In the current era, I believe speed is the key. Our team brings together all functions of a company, not just development. Our team shares the same concerns of the ‘genba’ and holds discussions every day. At the same time, working with new partners will enable all of us to come up with new, richer ideas. Everything is new, so we’re very excited! Our excitement and fun doing our jobs will surely be conveyed to everyone. I love BEVs. I said it twice. I wanted to convey this feeling, and with your support, we will do our best”.
With Kato’s comments not saying a word about Tesla, Akio Toyoda who remains the Chairman of the Board, stepped into the conversation by saying: “I don’t know if love can beat Tesla. However, cars made by engineers who love them will move people’s hearts. We hope you’ll look forward to the BEVs that we create”.
Toyota faces strong criticism for the delay in its BEV rollout program, as it is currently lagging behind rival automakers including VW Group. The Japanese automaker admits that Tesla is “often cited as the reference point” so a direct comparison during the shareholders’ meeting is not something totally unexpected.
Toyota promised that its next-gen BEVs will offer double the electric range benefiting from more efficient batteries, while their styling and driving performance will “set hearts racing”. Do you think that this will be enough for Toyota to win the battle against Tesla, or is it already too late for the Japanese giant?
