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Toshiba to Build Drive Motors for Electrified Vehicles in the U.S.

- Wins Major Contract from Ford Motor Company -
23 Jun, 2010

Houston, Texas, June 22, 2010 – Toshiba Corporation (TOKYO: 6502)  will expand manufacturing capacity at its plant in Houston, Texas for production of high-performance drive motors for hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles (PHEVs) and electric vehicles (EVs).

The production will be Toshiba's first overseas manufacturing base for automotive propulsion motors which are currently produced in Mie Prefecture, Japan. The decision follows the awarding of a major contract to supply drive motors for hybrid and plug-in hybrid vehicles for Ford Motor Company.

"Toshiba recognizes the importance of localizing production within North America to ensure long term growth and make a commitment to the North American market," said Shinichiro Akiba, President, Toshiba International Corporation, a Houston-based Toshiba Group company that manufactures and markets motors and industrial equipment, and the base for this expansion program.

"We welcome Toshiba's decision to locate this new production in the United States," said Sherif Marakby, Director, Electrification Programs and Engineering, Ford Motor Company. "This key technology will help build U.S. capacity and supply of components to further enable vehicle electrification in the North American market."

Toshiba will begin construction for the expanded capacity in January 2011 in Houston, Texas, on the site of Toshiba International Corporation. Production of the automotive motors would begin in 2012.

As the automotive industry moves toward a new generation of environmentally friendly vehicles including hybrids, plug-in hybrids and battery electric vehicles, Toshiba is promoting advances in essential automotive technologies, from dedicated on-board control systems to batteries and Intelligent Traffic Systems. The company's development of key components for HEVs, PHEVs and EVs, including inverters and drive motors, is an essential part of Toshiba's strategy in growing this promising business.

Electrified vehicles are attracting increased attention and growing levels of investment from the automotive industry.  Toshiba estimates that the global market for motors for such vehicles, including hybrids, plug-in hybrids and battery electric vehicles, will grow from 50 billion yen in fiscal year 2009 to 1 trillion yen in fiscal year 2020.

The Houston location will allow Toshiba to increase its marketing of automotive systems and components in the United States, establish closer contact and collaboration with automobile manufacturers, and allow auto companies to increase local procurement of key components.

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Information in the press releases, including product prices and specifications, content of services and contact information, is current on the date of the press announcement, but is subject to change without prior notice.

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