Toyota to Raise Prices on Most Models

The Detroit Free Press reports that Toyota is raising prices, effective May 1, on nearly all vehicles offered by its three brands, by up to 2.2 percent, to reflect higher raw material costs and the continuing strength of the Japanese yen.

The price hikes range from as modest as 0.4 percent, or $65, on the Scion xD hatchback – now with a suggested price of $15,910 – to a substantial 2.2 percent, or $900, increase on the Toyota Sequoia SUV.  Prices on Lexus models will rise by $650 to $900.

Toyota division spokesman Greg Thome said the company decided to raise prices before the earthquake, but he acknowledged that higher material costs and the strength of the Japanese yen were factors in the increases.  The yen has remained strong against the U.S. dollar before and after the earthquake.  That shrinks the profits on vehicles built in Japan and sold in the U.S. because it takes more dollars to equal the same number of yen.

Separately, Honda said Thursday it will resume limited production at its crucial Sayama and Suzuka assembly plants on April 11.

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http://www.freep.com/article/20110401/BUSINESS01/104010345/Toyota-raise-prices-most-models