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Toyota Delivers Aggressive Price Cuts (411)

Australia's leading automotive brand Toyota has delivered its customers a happy New Year gift by bringing forward substantial price cuts stemming from planned tax reductions on vehicles imported from Japan.

Toyota's executive director sales and marketing Tony Cramb said the company cut its prices from January 1 - at least two weeks ahead of the official reductions in vehicle import duty negotiated as part of the Australia-Japan free-trade agreement.

"Toyota decided to act from the start of 2015 by lowering prices for customers immediately, rather than waiting for the duty reductions that will start flowing from January 15," Mr Cramb said.

"Prices came down from the start of the year by around $800 on our most affordable Yaris range while some of our more expensive models have attracted reductions as high as $7,630," he said.

"Based on 2014 sales figures, this move is expected to result in lower prices for well over 100,000 Toyota vehicles in the coming year - or more than half Toyota's annual sales in Australia."

The landmark deal, known officially as the Japan-Australia Economic Partnership Agreement, will ultimately slash the duty paid on vehicles imported to Australia from five per cent to zero.

Toyota's biggest-selling models affected by the changes are the LandCruiser family - 200 and 70 Series, Prado and FJ Cruiser - RAV4, Corolla hatch and Yaris.

Camry and Aurion are not included because they are built locally. Australia already has free-trade agreements with Thailand (the production source for HiLux and Corolla sedan) and the United States (Kluger).

Mr Cramb said cutting prices in advance of the duty reductions is a clear signal of Toyota's determination to improve all aspects of its business in the interests of customers.

"Toyota and our dealers are in the process of implementing once-in-a-generation changes to our culture and operations.

"We want to build our brand and sales by ensuring we provide the best possible customer experience - and this aggressive move on price is part of Toyota's renewed commitment to the people who buy our vehicles.

"Toyota knows that true leadership involves much more than being the best-selling automotive brand in Australia for each of the past 12 years.

"We are focused on building on a reputation that has seen Toyota repeatedly named Australia's most trusted automotive company and has made us part of a global company rated as the world's most valuable automotive brand," Mr Cramb said.