Automotive industry in Japan
Encyclopedia
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
ese automotive industry is one of the most prominent industries in the world. Japan was the world's largest vehicle manufacturer in 2008 but lost one rank in 2009 to current leader China (although the automotive industry in Japan still remains unrivalled by quality standards). It is home to a number of companies that produces cars, construction vehicles, motorcycles, ATVs, engines, etc.
Japanese automotive manufacturers include Toyota, Honda
Honda
is a Japanese public multinational corporation primarily known as a manufacturer of automobiles and motorcycles.Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest manufacturer of internal combustion engines measured by volume, producing more than...
, Daihatsu, Nissan, Suzuki
Suzuki
is a Japanese multinational corporation headquartered in Hamamatsu, Japan that specializes in manufacturing compact automobiles and 4x4 vehicles, a full range of motorcycles, all-terrain vehicles , outboard marine engines, wheelchairs and a variety of other small internal combustion engines...
, Mazda
Mazda
is a Japanese automotive manufacturer based in Fuchū, Aki District, Hiroshima Prefecture, Japan.In 2007, Mazda produced almost 1.3 million vehicles for global sales...
, Mitsubishi
Mitsubishi Motors
is a multinational automaker headquartered in Minato, Tokyo. In 2009 it was the fifth-largest Japan-based automaker and the 17th-largest in the world measured by production...
, Subaru
Subaru
; is the automobile manufacturing division of Japanese transportation conglomerate Fuji Heavy Industries .Subaru is internationally known for their use of the boxer engine layout popularized in cars by the Volkswagen Beetle and Porsche 911, in most of their vehicles above 1500 cc as well as...
, Isuzu
Isuzu
, is a Japanese car, commercial vehicle and heavy truck manufacturing company, headquartered in Tokyo. In 2005, Isuzu became the world's largest manufacturer of medium to heavy duty trucks. It has assembly and manufacturing plants in the Japanese city of Fujisawa, as well as in the prefectures...
, Kawasaki
Kawasaki Heavy Industries
is an international corporation based in Japan. It has headquarters in both Chūō-ku, Kobe and Minato, Tokyo.The company is named after its founder Shōzō Kawasaki and has no connection with the city of Kawasaki, Kanagawa....
, Yamaha
Yamaha Motor Company
, is a Japanese motorized vehicle-producing company. Yamaha Motor is part of Yamaha Corporation and its headquarter is located in Iwata, Shizuoka. Along with expanding Yamaha Corporation into the world's biggest piano maker, then Yamaha CEO Genichi Kawakami took Yamaha into the field of motorized...
, and Mitsuoka
Mitsuoka
is a small Japanese automobile company. They are noted for building cars with unconventional styling, some of which imitate British vehicles of the 1950s and 1960s. It is primarily a coachbuilder, taking production cars like the Nissan March and replacing the bodywork with its own custom designs...
.
Early years
In 1904, Torao Yamaha produced the first domestically manufactured bus, which was powered by a steam engine. In 1907, Komanosuke Uchiyama produced the Takuri, the first entirely Japanese-made gasoline engine car. In 1911, Kwaishinsha Motorcar Works (later to evolve into Nissan MotorsNissan Motors
, usually shortened to Nissan , is a multinational automaker headquartered in Japan. It was a core member of the Nissan Group, but has become more independent after its restructuring under Carlos Ghosn ....
) was established and later began manufacturing a car called the DAT.
Cars built in Japan before World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
tended to be based on European or American models. The 1917 Mitsubishi Model A
Mitsubishi Model A
The Mitsubishi Model A is the only car built by the Mitsubishi Shipbuilding Company, a member of the Mitsubishi keiretsu which would eventually evolve into Mitsubishi Motors, and the first series production automobile manufactured in Japan...
was based on the Fiat
Fiat
FIAT, an acronym for Fabbrica Italiana Automobili Torino , is an Italian automobile manufacturer, engine manufacturer, financial, and industrial group based in Turin in the Italian region of Piedmont. Fiat was founded in 1899 by a group of investors including Giovanni Agnelli...
A3-3 design. (This model was considered to be the first mass-produced car in Japan, with 22 units produced.) In the 1930s, Nissan Motors
Nissan Motors
, usually shortened to Nissan , is a multinational automaker headquartered in Japan. It was a core member of the Nissan Group, but has become more independent after its restructuring under Carlos Ghosn ....
' cars were based on the Austin 7
Austin 7
The Austin 7 was a car produced from 1922 through to 1939 in the United Kingdom by the Austin Motor Company. Nicknamed the "Baby Austin", it was one of the most popular cars ever produced for the British market, and sold well abroad...
and Graham-Paige
Graham-Paige
Graham-Paige was an American automobile manufacturer founded by brothers Joseph B. Graham and Robert C. Graham , and Canadian Ray Austin in 1927. Automobile production ceased in 1940, and its automotive assets were acquired by Kaiser-Frazer in 1947...
designs, while the Toyota AA
Toyota AA
The A1 was the first prototype passenger car built by the company that became Toyota. It was redesigned and put into production as Toyota's first production cars, the AA sedan and the AB cabriolet...
model was based on the Chrysler Airflow
Chrysler Airflow
The Chrysler Airflow is an automobile produced by the Chrysler Corporation from 1934-1937. The Airflow was the first full-size American production car to use streamlining as a basis for building a sleeker automobile, one less susceptible to air resistance...
. Ohta
Ohta Jidosha
was one of the largest Japanese automotive manufacturing companies in the 1930s. The company was established in 1922, and produced cars from 1934 until 1957, when it was acquired by the Kurogane truck company and ceased auto production....
built cars in the 1930s based on Ford models.
The Ford Motor Company
Ford Motor Company
Ford Motor Company is an American multinational automaker based in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford and Lincoln brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK...
of Japan was established in 1925 and a production plant was set up in Yokohama. General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
established operations in Osaka in 1927. Chrysler
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....
also came to Japan and set up Kyoritsu Motors. Between 1925 and 1936, the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
Big Three
Big three
Big Three is a term used colloquially to refer to the three most prominent entities in any given grouping or subject.It may refer to:- People :* The leaders of the three major Allies of World War I: David Lloyd George, Georges Clemenceau, and Woodrow Wilson...
automakers' Japanese subsidiaries produced a total of 208,967 vehicles, compared to the domestic producers total of 12,127 vehicles. In 1936, the Japanese government passed the Automobile Manufacturing Industry Law, which was intended to promote the domestic auto industry and reduce foreign competition. By 1939, the foreign manufacturers had been forced out of Japan. Vehicle production also was shifted in the late 1930s to truck production due to the Second Sino-Japanese War
Second Sino-Japanese War
The Second Sino-Japanese War was a military conflict fought primarily between the Republic of China and the Empire of Japan. From 1937 to 1941, China fought Japan with some economic help from Germany , the Soviet Union and the United States...
.
For the first decade after World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, auto production was limited. Japanese car designs also continued to imitate or be derived from European and American designs.
1960s to today
During the 1960s, Japanese automakers launched a bevy of new kei cars in their domestic market. These tiny automobiles usually featured very small engines (from 360cc to 600cc) to keep taxes much lower than larger cars. The average person in Japan was now able to afford an automobile, which boosted sales dramatically and jumpstarted the auto industry toward becoming what it is today. The first of this new era, actually launched in 1958, was the Subaru 360Subaru 360
The Subaru 360 was the first automobile mass-produced by Fuji Heavy Industries' Subaru division. A number of innovative features were used to design a very small and inexpensive car to address government plans to produce a small "people's car" with an engine no larger than 360 cc when most in...
. It was known as the "Lady Beetle", comparing its significance to the Volkswagen Beetle
Volkswagen Beetle
The Volkswagen Type 1, widely known as the Volkswagen Beetle or Volkswagen Bug, is an economy car produced by the German auto maker Volkswagen from 1938 until 2003...
in Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
. Other significant models were the Suzuki Fronte
Suzuki Fronte
The Fronte automobile was first introduced in March 1962 as a sedan version of the Suzulight Van. The nameplate remained in use for Suzuki's Kei car sedans until replaced by the Alto name in September 1988....
, Mitsubishi 500
Mitsubishi 500
-History:The Mitsubishi 500 was the first passenger car produced after the Second World War by Shin Mitsubishi Heavy-Industries, Ltd, one of the companies which would become Mitsubishi Motors. First shown at the 1959 Tokyo Motor Show, it became available in 1960 at a cost of ¥390,000...
, Mazda Carol
Mazda Carol
The Mazda Carol is a name used by Mazda for its kei cars from 1962 until 1970. It was revived again with Mazda's 1989 reentry into the Kei car class.-Carol :...
, and the Honda N360
Honda N360
The Honda N360 is a kei car, designed and built by Honda and produced from March 1967 through 1970, while its larger N600 brother lasted three more years. After a January 1970 facelift, the N360 became the NIII360 and continued in production until 1972...
.
Rapidly increasing domestic demand and the expansion of Japanese car companies into foreign markets in the 1970s further accelerated growth. Passenger car exports rose from 100,000 in 1965 to 1,827,000 in 1975. Automobile production in Japan continued to increase rapidly after the 1970s, as Mitsubishi (as Dodge
Dodge
Dodge is a United States-based brand of automobiles, minivans, and sport utility vehicles, manufactured and marketed by Chrysler Group LLC in more than 60 different countries and territories worldwide....
vehicles) and Honda began selling their vehicles in the US. Even more brands came to America and abroad during the 1970s, and by the 1980s, the Japanese manufacturers were gaining a major foothold in the US and world markets.
With Japanese manufacturers producing very affordable, reliable, and popular cars throughout the 1990s, Japan became the largest car producing nation in the world in 2000. However, its market share has decreased slightly in recent years, particularly due to old and new competition from South Korea
South Korea
The Republic of Korea , , is a sovereign state in East Asia, located on the southern portion of the Korean Peninsula. It is neighbored by the People's Republic of China to the west, Japan to the east, North Korea to the north, and the East China Sea and Republic of China to the south...
, China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
and India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...
. Nevertheless, Japan's car industry continues to flourish, its market share has risen again, and in the first quarter of 2008 Toyota surpassed American General Motors
General Motors
General Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
to become the world's largest car manufacturer. Today, Japan is the third largest automobile market and, until China recently overtook them, was the largest car producer in the world. Still, automobile export remains one of the country's most profitable exports and is a cornerstone of recovery plan for the latest economic crisis.
1900-1970
- 1907 - Hatsudoki Seizo Co., Ltd. established
- 1911 - Kwaishinsha Motorcar Works established
- 1917 - Mitsubishi MotorsMitsubishi Motorsis a multinational automaker headquartered in Minato, Tokyo. In 2009 it was the fifth-largest Japan-based automaker and the 17th-largest in the world measured by production...
' 1st car - 1918 - IsuzuIsuzu, is a Japanese car, commercial vehicle and heavy truck manufacturing company, headquartered in Tokyo. In 2005, Isuzu became the world's largest manufacturer of medium to heavy duty trucks. It has assembly and manufacturing plants in the Japanese city of Fujisawa, as well as in the prefectures...
's 1st car - 1920-1925 Gorham/Lila - auto production established (merged into DatsunDatsunDatsun was an automobile marque. The name was created in 1931 by the DAT Motorcar Co. for a new car model, spelling it as "Datson" to indicate its smaller size when compared to the existing, larger DAT car. Later, in 1933 after Nissan Motor Co., Ltd...
) - 1924-1927 Otomo built at the Hakuyosha Ironworks in Tokyo
- 1931 - Mazda MazdagoMazda MazdagoThe Mazdago was a three-wheeled open "truck" first produced in 1931 that resembled a motorcycle with an open wagon or truck bed. It was steered with handlebars and powered with an air-cooled 1-cylinder engine/transmission combination unit. It was sold by Mitsubishi in Japan.It was considered to...
- by Toyo Kogyo corp, later MazdaMazdais a Japanese automotive manufacturer based in Fuchū, Aki District, Hiroshima Prefecture, Japan.In 2007, Mazda produced almost 1.3 million vehicles for global sales... - 1934-1957 OhtaOhta Jidoshawas one of the largest Japanese automotive manufacturing companies in the 1930s. The company was established in 1922, and produced cars from 1934 until 1957, when it was acquired by the Kurogane truck company and ceased auto production....
begins auto production - 1936 - Toyota's 1st car (Toyota AAToyota AAThe A1 was the first prototype passenger car built by the company that became Toyota. It was redesigned and put into production as Toyota's first production cars, the AA sedan and the AB cabriolet...
) - 1952-1966 Prince Motor CompanyPrince Motor CompanyPrince Motor Company was a Japanese automobile manufacturer from 1952 until its merger with Nissan in 1966. Prince began as the Tachikawa Aircraft Company, a producer of the famous Japanese Zero fighter planes used in WWII...
(integrated into Nissan) - 1953-1967 Hino MotorsHino Motors-External links:Global* * * Overseas offices****.*.***.*.* - Philippines**...
starts auto production (merged into Toyota) - 1954 - SubaruSubaru; is the automobile manufacturing division of Japanese transportation conglomerate Fuji Heavy Industries .Subaru is internationally known for their use of the boxer engine layout popularized in cars by the Volkswagen Beetle and Porsche 911, in most of their vehicles above 1500 cc as well as...
's 1st car (Subaru P-1Subaru; is the automobile manufacturing division of Japanese transportation conglomerate Fuji Heavy Industries .Subaru is internationally known for their use of the boxer engine layout popularized in cars by the Volkswagen Beetle and Porsche 911, in most of their vehicles above 1500 cc as well as...
) - 1955 - SuzukiSuzukiis a Japanese multinational corporation headquartered in Hamamatsu, Japan that specializes in manufacturing compact automobiles and 4x4 vehicles, a full range of motorcycles, all-terrain vehicles , outboard marine engines, wheelchairs and a variety of other small internal combustion engines...
's 1st car (SuzulightSuzukiis a Japanese multinational corporation headquartered in Hamamatsu, Japan that specializes in manufacturing compact automobiles and 4x4 vehicles, a full range of motorcycles, all-terrain vehicles , outboard marine engines, wheelchairs and a variety of other small internal combustion engines...
) - 1957 - Daihatsu's 1st car (Daihatsu MidgetDaihatsu MidgetThe Daihatsu Midget is a single-seat mini-truck made by Japanese automaker Daihatsu. Several distinct vehicles have borne the Midget name over the years, but all have had in common a single-seat utilitarian design, with an enclosed or semi-enclosed cab....
) - 1963 - HondaHondais a Japanese public multinational corporation primarily known as a manufacturer of automobiles and motorcycles.Honda has been the world's largest motorcycle manufacturer since 1959, as well as the world's largest manufacturer of internal combustion engines measured by volume, producing more than...
's 1st car (Honda S500Honda S500The S500 was the first production car from Honda, released in 1963, following the T360 truck into production by four months. It was a larger displacement variant of the S360 roadster which, though developed for sale in 1962, was never produced....
) - 1966 - One of the best selling cars of all time, the Toyota CorollaToyota CorollaThe Toyota Corolla is a line of subcompact and compact cars manufactured by the Japanese automaker Toyota, which has become very popular throughout the world since the nameplate was first introduced in 1966. In 1997, the Corolla became the best selling nameplate in the world, with over 35 million...
, is introduced - 1967 - Japan Automobile Manufacturers Association (JAMA) is founded
Since 1970
- 1982 - Honda AccordHonda AccordThe Honda Accord is a series of compact, mid-size and full-size automobiles manufactured by Honda since 1976, and sold in a majority of automotive markets throughout the world....
becomes the first Japanese car built in the United StatesUnited StatesThe United States of America is a federal constitutional republic comprising fifty states and a federal district... - 1982 - MitsuokaMitsuokais a small Japanese automobile company. They are noted for building cars with unconventional styling, some of which imitate British vehicles of the 1950s and 1960s. It is primarily a coachbuilder, taking production cars like the Nissan March and replacing the bodywork with its own custom designs...
1st car (BUBU shuttle 50) - 1983 - HoldenHoldenGM Holden Ltd is an automaker that operates in Australia, based in Port Melbourne, Victoria. The company was founded in 1856 as a saddlery manufacturer. In 1908 it moved into the automotive field, before becoming a subsidiary of the U.S.-based General Motors in 1931...
and Nissan form a joint venture in Australia - 1984 - Toyota opens NUMMINUMMINew United Motor Manufacturing, Inc. was an automobile manufacturing plant in Fremont, California, opened in 1984 and closed in 2010. On October 27, 2010 it reopened as a 100% Tesla Motors-owned production facility, known as the Tesla Factory...
, the first joint ventureJoint ventureA joint venture is a business agreement in which parties agree to develop, for a finite time, a new entity and new assets by contributing equity. They exercise control over the enterprise and consequently share revenues, expenses and assets...
plant in the United StatesUnited StatesThe United States of America is a federal constitutional republic comprising fifty states and a federal district...
with General MotorsGeneral MotorsGeneral Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010... - 1984 - Voluntary Export RestraintsVoluntary Export RestraintsA voluntary export restraint or voluntary export restriction is a government imposed limit on the quantity of goods that can be exported out of a country during a specified period of time....
limit exports to United StatesUnited StatesThe United States of America is a federal constitutional republic comprising fifty states and a federal district...
to 1.68 million cars per year, but Japanese competition only increases - 1986 - AcuraAcuraAcura is the luxury vehicle division of Japanese automaker Honda Motor Company. The brand has been available in the United States and Canada since March 1986, marketing luxury, performance, and near-performance vehicles. It was introduced to Hong Kong in 1991, Mexico in 2004, and China in 2006...
is launched in the US by Honda - 1988 - Daihatsu enters the US making it the first time all nine Japanese manufacturers are present
- 1989 - LexusLexusis the luxury vehicle division of Japanese automaker Toyota Motor Corporation. First introduced in 1989 in the United States, Lexus is now sold globally and has become Japan's largest-selling make of premium cars. The Lexus marque is marketed in over 70 countries and territories worldwide, and has...
is launched in the US by Toyota - 1989 - InfinitiInfinitiis the luxury division of automaker Nissan. Infiniti officially started selling vehicles on November 8, 1989 in North America. Marketing operations have since grown to include the Middle East, South Korea, Russia, Taiwan, China, Ukraine and the United Kingdom. Infiniti began sales in additional...
is launched in the US by Nissan - 1989 - United Australian Automobile IndustriesUnited Australian Automobile IndustriesUnited Australian Automobile Industries was a firm founded in Australia in 1989 as the result of an agreement between Holden and Toyota. For Holden, it replaced the earlier Holden-Nissan joint venture that had existed since 1983.UAAI produced three vehicles: the Holden Apollo, Holden Nova and...
(UAAI) founded in Australia as a joint venture between Toyota and HoldenHoldenGM Holden Ltd is an automaker that operates in Australia, based in Port Melbourne, Victoria. The company was founded in 1856 as a saddlery manufacturer. In 1908 it moved into the automotive field, before becoming a subsidiary of the U.S.-based General Motors in 1931... - 1996 - UAAI joint venture dissolved
- 2003 - ScionScion (car)Scion is a brand of vehicles produced by Toyota Motor Corporation for the North American market. Founded in 2002, Scion's long-term goal is to appeal to Generation Y consumers. The first Scion models, the xA hatchback and xB wagon, went on sale in California in 2003, followed by a sports coupe, the...
is launched by Toyota - 2008 - Toyota surpasses General MotorsGeneral MotorsGeneral Motors Company , commonly known as GM, formerly incorporated as General Motors Corporation, is an American multinational automotive corporation headquartered in Detroit, Michigan and the world's second-largest automaker in 2010...
to become the world's largest car manufacturer - 2010 - 2009–2010 Toyota vehicle recalls2009–2010 Toyota vehicle recallsThree separate but related recalls of automobiles by Toyota Motor Corporation occurred at the end of 2009 and start of 2010. Toyota initiated the recalls, the first two with the assistance of the U.S. National Highway Traffic Safety Administration , after reports that several vehicles experienced...
- 2011 - Tohoku earthquake affects production.
Production volumes
The following are vehicle production volumes for Japanese vehicle manufacturers, according to the Japan Automobile Manufacturers AssociationJapan Automobile Manufacturers Association
Japan Automobile Manufacturers Association, or JAMA, is a trade association with its headquarters in Tokyo, Japan. It was founded in April 1967 and serves as a platform for the automakers of Japan to share technological developments and management practices. There are currently 14 member...
(JAMA).
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