Toyota Boosts North American Capacity for Four-Cylinder Engines

ERLANGER, Kentucky — Toyota on Friday said it will add capacity at its engine plant in Huntsville, Alabama, to boost North American production of four-cylinder engines, a further sign of increasing demand by consumers for more fuel-efficient powertrains.

The plan is for Toyota Motor Manufacturing Alabama to produce 216,000 four-cylinder engines per year for the Toyota Camry and RAV4. The automaker said production on the four-cylinder engines will begin by summer 2011. The move will boost employment by 240 people, with new investment totaling $147 million, Toyota said.

Inside Line says: The recession must be petering out if Toyota is slowly adding jobs and investment to these parts.

Toyota is looking to produce 216,000 four-cylinder engines a year for the Camry sedan (pictured) and RAV4 (below). (Photo by Kurt Niebuhr)