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[BUSINESS] · Japan, China · 2 sources

Toyota pushes Japanese automakers to standardize parts to counter Chinese competition

Toyota deputy chair Koji Sato, also chief industry officer of the group and president of the Japan Automobile Manufacturers Association (JAMA), urged Japan’s major carmakers to adopt a common “Japan Standard” for invisible components such as wiring harnesses, connectors, steel and plastic‑based sub‑assemblies. The proposal, backed by executives at Nissan and other firms, aims to cut the more than 70,000 variant parts currently produced for each brand, boost productivity ten‑fold and free billions of euros for software development, electric‑vehicle technology, ADAS and autonomous‑driving systems. Under the plan, Toyota, Honda, Nissan, Mazda, Subaru, Mitsubishi and Suzuki would collaborate with suppliers to harmonise specifications for these low‑visibility parts, reducing waste and accelerating product development. Sato warned, “If nothing changes, we will not survive,” highlighting the pressure from rapidly expanding Chinese automobile manufacturers that are gaining market share in key segments, especially EVs. The initiative seeks to streamline supply chains, lower costs and preserve the competitiveness of Japan’s auto industry against the Chinese threat.