User 324925

If Toyota Is Projecting a Loss, Imagine the Pain Detroit Is in For

Further point, Toyota, in fact, all Japanese auto manufacture's difficulty mainly came from $ to yen exchange rate, which is at $1 to 90 yen now, vs. 120 yen early this year. One could argue that Toyota's rapid expansion was fueled by the unfair exchange ratio. That point seemed lost in the debate.

If Toyota Is Projecting a Loss, Imagine the Pain Detroit Is in For

Agree with jzt absolutely. Toyota is paying the price of unwise expansions, e.g. their pickup plant in Texas. They do not have competitive pickups to compete with Ford or GM, but they thought they could just come to eat Big 3's lunch.
The auto market, like housing market, has been a bubble for the past 7-8 years. There is no question that Toyota benefited most from the bubble. I would not be surprised to see them falling hard as a result of its aggressive expansion. Others such as Ford, who seemed "missed" bubble, could end up to be the winner as it has been restructuring ever since.