Jarno Truli during the Japanese Grand Prix. Photo: AP/Shuzio Kambayashi
Toyota shocked the Formula One community today announcing that they are withdrawing from Formula One citing profit losses and a need to re-focus on their core businesses.
Toyota is the world’s largest auto manufacturer, and while there had been talk about the company reviewing its commitment to the sport in 2010, it was still a surprise to many. Earlier this year however the company reported significant operating losses in the region of 437 billion yen and further losses are expected to be reported later this week. The USA branch reported a 5.8 percent sales loss by volume for the month of October compared to last year, and declining sales are a trend most other manufacturers have reversed this year. www.toyota.com/about/news/corporate/2009/11/03-1-sales.html
Toyota has done fairly well in Formula One and many people were excited about their debutant driver, Kamui Kobayashi, who showed incredible skill in his last two outings replacing an injured Timo Glock. Glock and Truli, Toyota’s first pick drivers, are apparently secure for positions next year in other teams. However, Kobayashi’s future is not certain right now.
(Toyota president, Akio Toyoda, answers questions from the media during a press conference earlier today. Photo: AP/Junji Kurokawa)
Toyota president Akio Toyoda, in an emotional press conference, confessed the decision was his alone. The company, he claimed, could not continue to run in the world’s most expensive sport while the rest of the company was suffering losses. Toyota said the withdrawal would be complete and they would not be supplying engines to other Formula One teams, case in point being Williams, who have sourced Cosworth engines next year and beyond.
(Toyota's Formula One team principal Tadashi Yamashita can't hold back tears during the media conference today. Photo: AP/Junji Kurokawa)
The withdrawal of Toyota, is a familiar tune which saw fellow Japanese team Honda withdraw from the sport around this time last year, and a few months ago BMW announced it was not seeking to enter a team in the 2010 series.
Formula One will of course be poorer for it, as the competition between manufacturers, keeps the competition tight and public interest high. The decision may open the door for the Sauber team, formerly owned by BMW, to enter their team in next year’s competition.
For more info: www.formula1.com http://www.toyota-f1.com/en/index.html www.speedtv.com
Comments
It is rather tragic that Toyota is pulling out of Formula 1, but after 8 years of tremendous and valiant effort, they just could not pull off the elusive win, in roughly 125-140 F1 races. Honda suffered the same fate for several years when they came back to F1.
The F1 grid will miss their presence and competitiveness.
Ervin O. Raab
Thanks Ervin, it's a bitter disappointment for all concerned and gives an indication of where Toyota is at financially. Hopefully it's just a temporary set back and hopefully too Jean Todt, the new FIA chief in conjunction with Fota, can work out ways to reduce the costs associated with formula one so that the major manufacturers can continue to pursue it in some capacity....
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