BookTitleToyota Tsusho 70-Year History

Summary

Toyota Tsusho 70-Year History

In December 2017, Toyota Tsusho, in collaborationwith Eurus Energy Holdings Corp., won a contract toconstruct, own, and operate a 262.5 MW wind farm(Gulf of Suez Wind Farm). This was an IPP project thatinvolved the operation of the power plant and sale of itsgenerated power for 20 years following the completionof construction. Construction of the wind farm started atthe end of 2017, and commercial operation is scheduledto commence in December 2019.4 Business Development in South AfricaReorganization of the South African OperatingCompaniesIn October 2018, Toyota Tsusho reorganized itsthree core companies in South Africa: CFAO Holding,South Africa (Pty) Ltd, the holding company of ToyotaTsusho’s South African business entities; Toyota TsushoAfrica (TTAF), which conducts business related toautomobile production and is based in Durban; andAfrica Mobility Solutions (Pty) Ltd (AMS), whichsupports car dealerships in the sub-Saharan region. Thereorganization made it possible to respond more flexiblyto South Africa’s black economic empowerment policies,a response that had been strongly demanded by ToyotaSouth Africa Motors (Pty) Ltd (TSAM).Business Development by TTAFTTAF oversees recycling, tire and wheel assembly, andVendor-to-Vendor (V-V) businesses. It is also engagedin a steel blanking business for automobiles throughits subsidiary Toyota Tsusho South Africa Processing(Pty) Ltd (TTSAP) and an airbag and weatherstripmanufacturing business through Toyoda Gosei SouthAfrica (TGSA), a joint venture between Toyota Tsushoand Toyoda Gosei.5 Business Development in NigeriaIn December 2014, Toyotsu Group company CFAOsigned a contract with Yamaha Motor Co., Ltd., toestablish a joint venture in Nigeria to manufacture andsell Yamaha brand motorcycles. This was part of ToyotaTsusho’s efforts to create synergies between the ToyotaTsusho Group and CFAO. In a harsh market environment,the newly minted group company worked hard toimprove production efficiency and product appeal.6 Business Development in Cote d’IvoireIn Cote d’Ivoire, CFAO had long been engaged inbusiness development centered on businesses such asmulti-brand car sales?including Toyota vehicles?andpharmaceutical wholesale. Following Toyota Tsusho’sacquisition of CFAO, that company began promoting newbusinesses in the consumer sector. In 2015, CFAO joinedforces with French multinational retailer Carrefour S.A.to open a large shopping mall, PlaYce, in Cote d’Ivoire’slargest city, Abidjan. Toyota Tsusho thus propelled itselfinto the retail business. In 2017, in a joint venture withthe Dutch company Heineken, CFAO launched a beermanufacturing and sales business at Brassivoire.7 Business Development in CameroonIn June 2015, Toyota Tsusho signed a sole agencycontract with Makita Africa s.a.r.l.a.u. (Makita Africa),the overseas subsidiary of electric tool manufacturerMakita Corp., for Makita products in Cameroon. Thesole agency for Makita products is run in collaborationwith CFAO Equipment Cameroon, CFAO’s Cameroonsubsidiary. To support the expansion of Makita Africabusiness in the region, Toyota Tsusho is responsible fororganizing the shipping of Makita products and parts,and CFAO Equipment Cameroon takes on the role ofdeveloping new markets for and selling Makita products.On June 11, 2015, a showroom and service center forMakita products was opened in Douala, the largest city inCameroon.A wind farm in EgyptYamaha motorcycles produced in Nigeria174