Toyota Overhauls Daihatsu Motor's Operational Structure
Portfolio Pulse from Shivani Kumaresan
Toyota Motor Corp (NYSE:TM) is restructuring Daihatsu Motor Co., Ltd's operations to focus on mini vehicles and mobility, dissolving the Emerging-market Compact Car Company. Toyota will now oversee Daihatsu's overseas business from development to certification, with Daihatsu focusing on development. The move aims to prevent procedural irregularities and strengthen the partnership between the two, following a pause in Daihatsu's vehicle shipments due to safety certification issues.

April 08, 2024 | 11:07 am
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Toyota Motor Corp is overhauling Daihatsu's operational structure to focus on mobility and mini vehicles, aiming to enhance quality and prevent procedural irregularities.
The restructuring of Daihatsu's operations under Toyota's oversight is likely to streamline processes, enhance product quality, and prevent future procedural irregularities. This strategic move could improve investor confidence in Toyota's management capabilities and its subsidiary's future performance, potentially leading to a positive short-term impact on TM's stock price.
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