BookTitleToyota Tsusho 70-Year History

Summary

Toyota Tsusho 70-Year History

accelerated. In March 1968, Toyoda Steel Center Co., Ltd., was established withthe largest distribution center function in Japan to meet the just-in-time needs ofToyota Motor Co., Ltd. In December of the same year, Toyoda Tsusho establishedToroy, a men’s sports casual wear sales company. In 1969, the company foundedToyotsu Gas Center (currently Toyotsu Energy Corp.) in July and, Toyoda KakoCo., Ltd. (currently absorbed by Toyota Boshoku Corp.), an automotive interiorparts processing business in August.This movement continued into the 1970s. Toyoda Tsusho set up Toyoda MetalScrap (currently Toyota Metal Co., Ltd.) in July 1970; Toyotsu Seni Kiki Hanbai(currently Toyotsu Machinery Corp.) in August 1971; Toyotsu Oil Center Ltd.(currently Toyotsu Energy Corp.) in March 1972; Tomifune Kenzai Kogyo (latermerged with Toroy) in April 1972; Toyoda Chemical Engineering Co., Ltd., inMay 1973; and Toyotsu Engineering (currently Toyotsu Machinery Corp.) in1978.In the 1980s as well, Toyoda Tsusho continued to establish affiliated companiesas its business diversified. April 1980 saw the establishment of Toyotsu Housing(currently Toyota Tsusho Facilities Corp.), which conducted maintenance andinspections of condominiums and rental housing and real estate operations forland and buildings. In January 1983, Kyowa Kogyo (currently Toyotsu TekkouHanbai Corp.), which processed and sold various metals was also established;in July 1984, Toyotsu Information Systems (currently Toyotsu Syscom Corp.);in September 1984, Toyotsu Finance (dissolved in February 1996). In December1985, Toyoda Tsusho established Furmoda Sumi (dissolved in July 1991), whichimported raw leather. Furthermore, in June 1988 the now renamed Toyota Tsushoestablished Toyotsu Plastic Corp. (currently Toyotsu Chemiplas Corp.).Affiliated companies were established in line with the company’s diversificationof business, and the Toyota Tsusho (Toyotsu) Group was formed.Towa Sewing Co., Ltd., around 1960Togo Resin3 Enhancing the Distribution FunctionThroughout the 1970s, Toyoda Tsusho worked on improving and expandingthe infrastructure of its distribution function. At that time, the main means ofdistribution was shifting from railways to trucks and other vehicles. All companiessuffered from the increase in transportation costs, creating strong demand forstreamlining distribution. In response to requests from the Toyota Group, whichhad introduced the just-in-time system, Toyoda Tsusho aimed to improve itsregional distribution bases, reducing distribution costs and improving the systemfor immediate delivery of products, parts, and materials.In February 1973, Toyoda Tsusho acquired all the shares of Central Soko, asubsidiary of Toyoda Boshoku Corp., with the aim of enhancing its distributionfunction. In June 1973 Toyoda Tsusho further increased its capital investmentin the firm to 200 million yen and changed its name to Toyotsu Soko (currentlyToyotsu Logistics Service Co., Ltd.). In December 1973, Toyotsu Soko began theconstruction of the Komaki Warehouse in Komaki-shi, Aichi Prefecture; purchasedwarehouse business rights; and opened warehouses in Itami, Fukuoka, Shiga,Nagoya Port, Toyota, Hamamatsu, and Shin Anjo. The company also expandedits business by storing and handling building materials and importing furniture inToyotsu Soko Nagoya Port Office around 1980History69