According to reports, after the former Toyota executives joined Aisin Seiki as the president, they have begun to rectify the Aisin Seiki business to enhance the company's competitiveness.
Yasumori Ihara was previously responsible for the emerging markets business at Toyota Motor Corporation. Since June 2015, he has been the president of Aisin Seiki. The company has inspected 82 offices and factories of Aisin Seiki in the United States, China, and South America, and believes that excessive waste still exists and the business needs to be streamlined.
Aisin Seiki will finalize the rectification plan by the end of 2015 to integrate the company and its 180 subsidiaries. The company may cooperate or merge with local companies in overseas markets, and may even withdraw some of its business.
At the end of 2014, Aisin Seiki began to restructure its business, including integrating its brake business with Denso and Sumitomo Electronics, and taking over the development and production of automatic transmissions from Toyota Motor Corporation.
Toyota and other Japanese car companies have begun to exert pressure on their suppliers, hoping that suppliers can enhance their competitiveness. With the decline of Japan’s domestic auto market, automakers have started to expand their overseas business and establish relationships with local suppliers in overseas markets, and hope that their suppliers can also take the same measures.
In addition to supplying Toyota, Aisin Seiki also provided gearboxes for Fiat and GM, but Toyota still holds 64% of its overall business.
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