Toyota Says Small-Car Exports Not Feasible Given Yen

Toyota Motor Corp., the biggest exporter of autos to the U.S., is trying to cut production costs for Yaris and Corolla cars as the yen’s advance toward a 15-year high against the dollar makes it unprofitable to build economy cars in Japan for sale abroad.

“Given the current exchange-rate situation, it isn’t feasible, in terms of a business model, for us to produce Corolla or Yaris in Japan and export them,” Atsushi Niimi, executive vice president for global manufacturing, said in an interview in San Antonio on Aug. 6. “We’re working very hard to reduce costs to maintain the appeal of these cars.”