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Toyota Australia has begun shipping its locally produced engines to Thailand and Malaysia, growing its export program to new markets following the opening of its brand-new Altona engine plant in Victoria.

Both hybrid and conventional petrol versions of the new-generation AR-series 2.5-litre four-cylinder engine will head to the Southeast Asian nations in what is the first time Toyota Australia has sold standalone engines to Thailand and Malaysia.

Toyota Australia plans to export 18,000 engines to the two new markets in 2013, representing one-sixth of total production.

Toyota Australia executive director of manufacturing and purchasing Chris Harrod praised the company’s local workforce, which he said worked hard initially to secure investment for the new engine plant and now continues that mentality to produce quality engines that are sought after by other markets.

“The fact that we were able to secure new export markets in Thailand and Malaysia is testament to the quality of our work and the positive reputation Toyota Australia has amongst our affiliates,” Harrod said.

“It also shows good cooperation and support from the Toyota group within the ASEAN (Association of Southeast Asian Nations) region, which has allowed us to further expand our engagement and linkage to the Toyota global network.”

Australia is one of only four countries in the world that produces the new 2.5-litre engine, which it is building at a ratio of 85 per cent petrol and 15 per cent hybrid. Roughly 450 engines roll off the assembly line each day over two production shifts.

The other 90,000 engines to be produced at the plant in 2013 will be fitted to Camry and Camry Hybrid vehicles in Australia for domestic sale and export. Toyota Australia exports vehicles to New Zealand, South Pacific Islands, Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates and Yemen.

Toyota’s new Altona engine plant was the result of a $330 million co-investment program, which included $63 million from the Federal Government and additional support from the Victorian Government.




  • Asdfasdf

    When they say the engine’s made in Aus, are they referring to just only the engine block that’s cast in Aus? Everything else like the cylinder head, timing chains, crankshaft, bearings, engine management system / computer, fuel pump, etc around the engine are imported?

    • Phunken

      Interesting… But at least they hiring locals to produce it… Now if only Toyota create and design interesting and more expressive cars to put those excellent engine in… I’m looking at u the new Camry!

    • $29896495

      Assembling not so much anything else. Still better than nothing. 90,000 cars is nothing to be sneezed at. So the question is, if Toyota can do it, why not Ford and Holden?

      • Mick

         Holden do export engines, in some configurations that aren’t even used in Australia. Ford can’t really export the inline-6 as it struggles to meet emission standards. The engine has significant room for improvement, but these improvements aren’t likely to be done due to cost. They simply don’t make enough to justify spending money on improving it. Remember the Toyota engine is produced in 3 other plants around the world, and the Holden engines are produced overseas as well. The Ford Australia inline-6 is unique, and has a fraction of the sales of the other engines. It’s unfortunate though, as if the inline-6 got these improvements it would be the best 6 cylinder engine in Ford’s arsenal. Even now it is the best that Ford has (the overseas 3.5 V6 isn’t as good).

        Imagine a 4 litre flat 6 (boxer type engine), twin turbo, Beare head, that would have some power! Good thing with that is that it is modular. You could have a 2.7L 4 cylinder, 4.0L 6 cylinder, 5.4L 8 cylinder, all basically the same. The Beare head completes the modularity, no camshafts etc to worry about between the different number of cylinders. You could have low volume production of these 3 engines and still be profitable. I’m sure you would gain a massive export market.

        • gtrxu1

          Good points made Mick ,enjoyed reading your blog.
          Well done to Toyota supporting Australian jobs.

        • Force-15

          Good to see someone else who knows about the opposed-piston ‘Beare head’ engine design. But wouldn’t a boxer-6 configuration make for a very wide engine (unless it has a small stroke)? Another option may be to have an opposed-piston inline-6 lying on its side.

    • Zaccy16

      yep i think they just assemble it here 

      • Shak

        Better to assemble and pump some money into our economy, than import the whole thing and have basically no money flow through our economy. Good Job Toyota.

  • Jacob

    So where are the idiots that claim “wages are too high in AUS”. 

    If that were true, Toyota wouldnt export cars from AUS. 

    • $29896495

      Exactly right!

    • Springvale Boi

      You forgot the subsidies, either directly or indirectly under the “green car program”.

  • Al Tungupon

    I’d much rather than Holden buy V6 engines from Toyota to fit in the Commodore. Their own unit is inefficient and unreliable.

    • Dennis

      The V6′s are imported….