Despite posting its third consecutive operating loss last year, Toyota Australia is in negotiations with the Federal Government to receive more funding to help develop a new model.
According to News Limited Toyota is looking to build a third vehicle alongside the Camry four-cylinder and Aurion V6 sedans, and funding discussions are already underway with state and federal governments.
“We want to shore up our volume to make sure we can stay [manufacturing in Australia],” Toyota Australia senior executive director Dave Buttner said.
“We've appraised the government of the plans we have in place to make our manufacturing plant continue.”
Buttner told News Limited Toyota wanted to keep manufacturing in Australia, and any new model would need to have “export potential”.
He also said currency rates were a “key determinant” in the company's profitability, and the exchange rate remained a key challenge for the business.
Earlier this year GM Holden and Toyota both confirmed they might need further financial assistance in 2013, and the Government has continued to block efforts to make details of the funding arrangements public.
News Limited reports the Federal and Victorian governments have contributed almost $100 million to Toyota's manufacturing operations, with $35 million going towards production of the Camry Hybrid and $63 million going towards a engine factory upgrade at Altona.