BookTitleToyota Tsusho 70-Year History

Summary

Toyota Tsusho 70-Year History

Chapter 3The Promotionof ManagementDiversificationSection 1 Strengthening the Company’s Foundationas a General Trading CompanyToyotsu Oil Center Ltd.1 Accelerating DiversificationHaving made a fresh start as Nisshin Tsusho shortly after the war ended, thecompany worked to diversify its products as the Toyota Group’s general tradingcompany. From 1959, the tendency toward diversification was particularlyremarkable, and non-textile businesses, such as steel, metals, machinery, vehicles,and fuel, grew rapidly. It was after the 1960s that the renamed Toyoda Tsushobegan its journey to becoming a full-scale general trading company, handlingvarious products while continuing to serve as the Toyota Group’s general tradingcompany.From 1966, the company further strengthened its foundation as a general tradingcompany. It established affiliated companies; expanded its distribution channels,branches, and local offices; enhanced its overseas bases; and engaged in overseasjoint ventures. Based on this foundation, in addition to its conventional businesses,Toyoda Tsusho diversified its businesses and products and established affiliatesone after another.The number of buses on the road increaseddramatically around 1950Nitto Cardboard around 19852 Formation of the Toyota Tsusho GroupThe first affiliate was Taiho Sangyo, which was established after ToyotaSangyo’s dissolution from the Vehicle Finance Division. Later, Taiho Sangyo wasdissolved by transferring the vehicle finance business to Toyota Motor Co., Ltd.,and Toyota Motor Sales Co., Ltd., and transferring the insurance business to theInsurance Section of Toyoda Tsusho’s Accounting Department.In May 1955, Towa Sekiyu (currently Toyotsu Sekiyu Hanbai KK) wasestablished as a wholly owned subsidiary. It operated gasoline service stationsin various locations as a special dealer for Shell Sekiyu (currently Showa ShellSekiyu) and sold various petroleum products. Toyoda Tsusho then establishedTogo Resin in March 1961; Towa Sewing Co., Ltd. (currently Toyotsu VehitecsCo., Ltd.), which sews work clothes, in April 1961; and Nisshin Sekiyu in April1962. In June 1963, the company made a capital investment in Nitto Cardboard(currently Toyotsu Newpack Co., Ltd.), which manufactures cardboard. Inaddition, it established Meiho Bussan (later dissolved) in October 1963 and, inApril 1966, Sanpo Shoji (currently Toyota Tsusho Facilities Corp.).In the late 1960s, Toyoda Tsusho’s establishment of affiliated companies68