The World's largest carmaker Toyota told its 4,200 local staff in Australia that it would no longer make cars in the country after 2017.
SYDNEY - Toyota will stop manufacturing cars in its Australian branches after 2017.
Victoria and South Australia, Toyota's biggest manufacturing hubs, will particularly feel the impact of the recent decision.
Toyota, which employs 4,200 local staff in Australia, first began makings cars in the country in 1963.
“The decision was not based on any single factor. The market and economic factors contributing to the decision include the unfavorable Australian dollar that makes exports unviable, high costs of manufacturing and low economies of scale for our vehicle production and local supplier base,” according to a statement by Toyota Australia.
"We did everything that we could to transform our business, but the reality is that there are too many factors beyond our control that make it unviable to build cars in Australia,” Toyota Australia President and CEO, Max Yasuda said.
"However, various negative factors such as an extremely competitive market and a strong Australian dollar, together with forecasts of a reduction in the total scale of vehicle production in Australia, have forced us to make this painful decision."
In 2013, Australia's Ford and General Motors also announced plans to stop their car production.
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