It was an autumn morning in 1937; Kiichoro Toyoda, son of Sakichi Toyoda, was contemplating the journey that led him to this pivotal moment. What pivotal moment? The establishment of Toyota. However, the story of Toyota doesn’t begin with cars or any type of automobile, but with the loom. Sakichi Toyoda, the founder of the legendary Toyoda Group, invented the world’s first automated loom in 1924, revolutionising the textile industry in the process. So much so that in 1929, a British company named Platt Brothers paid a hefty sum of around 100,000 British pounds to acquire the technology and bought the loom’s patent from Sakichi Toyoda. But Sakichi, ever the visionary, didn’t want to rest on his laurels and wanted to do something more. This was when he started encouraging his son to explore the field of automobiles, a field that was still not very prominent in Japan but was gaining traction in the West.
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Infancy of Toyota Motors
After selling his patent to the Platt Brothers, Sakichi Toyota continued in the textile industry and sent his son, Kiichoro Toyoda, to the USA and Europe to study the emerging automobile business. After spending some time overseas and studying the industry in great detail, Kiichoro returned to Japan with an ambitious goal: to build a wholly Japanese car that could compete with the best cars in the world. In 1993, he established an automobile division within his father’s loom company.
The next step was to develop a working engine. On September 25, 1933, Toyoda developed his first engine, the Toyota Type A Engine, and the company’s first-ever prototype sedan, the A1. However, due to inexperience in the automobile field, the company first started building trucks. The company’s first truck, the G1, was introduced in 1935. This ended up being a success, as they went on to sell 379 G1 trucks. This helped them develop their very first production car, the Model AA, in 1936.
The success of these companies fuelled Kiichoro’s determination to establish an independent automobile company, and as a result, the Toyota Motor Company was born on August 28, 1937. The company is named Toyota, not the family name of Toyoda, because it was easier to write in Japanese Katakana script. Moreover, writing Toyota in Japanese takes 8 brush strokes, which is considered a lucky number in Japan.
Although the Model AA was not an immediate hit, it was still considered a success. This success allowed Toyota to establish its first manufacturing plant in Koromo in 1938, which later became the company’s global headquarters. However, the world was about to change forever, and no one expected Japan’s role in that change. Just as Toyota was gaining traction, World War II happened, and Japan took part in it with its excess powers. As a result, Toyota’s focus shifted from consumer cars to military trucks and other equipment.
Post-WWII Revival
World War II left Japan in ruins. The economy was crippled, the landscapes were destroyed, and Toyota was in dire straits. However, Kiichiro came up with the idea of building a small and cheap consumer car, not much unlike the Volkswagen Beetle. The model was named SA. This car was a modest success and was the first step towards the resurgence of Toyota. However, the defining moment of Toyota came in the form of Crown. Launched in 1955, the Toyota Crown was the first ever car to be fully designed and manufactured in Japan. Not only this, but the Crown was also the first Japanese car ever to be exported to the US, taking the Toyota name to the global automotive market. The success of Crown in the American market paved the way for future models like the Corolla, which went on to become the best-selling car by Toyota.
A Full-Fletched Global Automotive Giant
By the 1970s, Toyota had established itself as one of the best automakers in the world. And the launch of their next car only cemented their legacy. In 1978, Toyota dropped a bomb on the global automotive scene in the form of Toyota Supra. This car made Toyota a legendary brand, and the rest is history. However, Toyota wasn’t content with stopping there. In 1989, Toyota launched its sub-brand, Lexus. A high-end car manufacturer under the Toyota umbrella. With Lexus, Toyota created perhaps the best-sounding car ever made, the Lexus LFA. This was a halo car by Lexus and quickly became one of the most desired cars in the history of the world.
Toyota’s success wasn’t limited to Japan or the US. The company also expanded aggressively in the European and Asian markets, establishing manufacturing plants and a sales network throughout the globe. By the early 2000s, Toyota had surpassed General Motors to become the most valuable car company in the world, a moniker it held for most of the 21st century until it was dethroned by electric car manufacturer Tesla.
An Electric Future
For Toyota, innovation has been the name of the game. The company saw the growing demand and need for electric vehicles and introduced a few hybrid and all-electric cars into its lineup. In 2021, Toyota announced its plans to become carbon-neutral by 2050. The foundation stone for this was laid in 1997 when Toyota launched the world’s first-ever hybrid car, the Prius. Moreover, in 2010, Toyota made an electric SUV with Tesla, which was also a success. That being said, Toyota’s focus has always been more on hybrids because of their indulgence in the World Endurance Championships.
