Toyota Quits F1?
November 3, 2009 by Negative Camber
Filed under Parc Fermé, Prime & Option, Top Story
Joe Saward, the terrific F1 journo and Delphic Oracle of rumors such as these, says that Toyota’s board has made a decision on F1. They are quitting effective immediately. This is being reported in the Japanese paper Mainichi Shimbun.
So Tokyo has brought us two damning stories in as many days with Bridgestone’s shock announcement and now, although not shocking, Toyota’s final curtain call. As Saward points out, the board members were to meet this month to determine budgets for 2010 and the F1 teams fate was certainly in the balance. The news of their exit is not the most shocking of news as Toyota has failed to achieve their goals after a decade in the sport.
Reality could be leveraged against the team as they were most likely drawn into the sport by Honda’s presence and it could be argued that Honda’s exit left little for Toyota to prove from a Japanese car manufacturer’s standpoint. This is indeed sad news as Toyota had their best year in 2009 from a pace standpoint and looked to be moving in the right direction. It also is equally sad as the team may have found the long-lost Japanese driver that actually has pace in Kamui Kobayashi.
Like BMW, Toyota’s building blocks were coming together but unlike the German marque, it took seven additional years to get it right. I am saddened by the news as Toyota, to me, has relevancy in F1. Why do you ask? Because Toyota is the worlds largest automaker and they have certainly felt the credit crunch like everyone else. Additionally I offer a brand equity issue they face.
They have a large presence in the US and several plants that employ many Americans. They have a good product yet the juggernaut that has been the Camry has lost it’s pizazz in the US. It isn’t the go-to car like it used to be and their involvement in NASCAR hasn’t done much to pump up their image as there is nothing “stock” about the stock car series. The only thing Toyota related is the body shape. I think Toyota has become the Oldsmobile of the US market…cars for older people.
I still think Toyota has a lot to prove but alas, it won’t be in F1 and I don’t think NASCAR is the best fit for them. The NASCAR truck series, however, is relevant to me as their trucks have done very well in the States. Please understand, I think Toyota makes a terrific product and this news saddens me to the core. Particularly for all the men and woman working in Cologne but there is little one can do to convince a board that staying in F1 is a good idea when your main competitor has bowed out, a top German car maker has bowed out to be more “green” and the image you want the entire world to see is an electric car named Prius for the guilt-ridden smugness it both sates and offers. In this light; loud, gas guzzling F1 cars may not attract the eco-conscience of the discriminating and idealistic world citizen.
The next question? Will there be homes for the displaced Cologne workers or will Toyota find a buyer for the team? One considers the Hinwill-based teams need for a slot on the 2010 grid and perhaps the two can work together to form one terrific team from two quitters. Perhaps this news will allow Dr. Mario Thiessen to sleep tonight.
UPDATE: According to iStock Analyst-
Toyota Motor Corp. will withdraw from Formula One at the end of the current season, joining a number of other Japanese automakers leaving major motor racing events due to the tough business environment, sources close to the matter said Wednesday.
The move to pull out of F1 comes as Japan’s top automaker decided that it would be difficult to continue bearing the costs of joining the F1 race, as it anticipates remaining in the red for the second consecutive year in fiscal 2009 through next March, the sources said.
With Japan’s second-largest automaker, Honda Motor Co. (NYSE:HMC) , having also exited F1 at the end of the 2008 season after carmakers were hard-hit by the global slump in auto demand, Toyota’s decision erases the presence of Japanese teams in the F1 race circuit.
Toyota aims to cut its F1-related spending as its annual cost amounts to several tens of billions of yen, the sources said, adding that Toyota is expected to look for a buyer for its F1 team.
The Aichi Prefecture-based automaker is expected to make a formal announcement later Wednesday.
Toyota joined F1 in 2002 to enhance its technological capacity and boost its image in Europe. Toyota ranked fifth out of 10 teams in the F1 constructor championship for the 2009 season.
In July, Toyota’s subsidiary Fuji International Speedway Co. said it will stop hosting Formula One Japanese Grand Prix races at its circuit in Shizuoka Prefecture from 2010, citing sour business conditions.
For fiscal 2008, Toyota reported a consolidated operating loss of 461.01 billion yen, the first operating loss since fiscal 1937. For the current business year, it anticipates an operating loss of 750 billion yen — its worst-ever on record.
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One more question: The Camry once had “pizazz?”
Seriously, though, I suggested this would be coming when Toyota failed to secure a driver (Kimi) who could arguably bring them to the next level. Kamui showed some great signs, and I think a Kimi-Kamui combo would have been great for Toyota.
Now, though, as Todd says: Mario should be feeling better. He just needs to clear up the concern about his new bosses at the team formerly known as BMW.
Update: Rumor has it that Jarno has “photographic” evidence showing Toyota should stay in F1 and re-sign him. [Kidding.]
Here is a translation of the Mainichi Shimbun story:
http://translate.google.com/translate?js=y&prev=_t&hl=en&ie=UTF-8&u=http%3A%2F%2Fmainichi.jp%2Fselect%2Ftoday%2Fnews%2F20091104k0000m020105000c.html&sl=auto&tl=en&history_state0=
Blimey… This is not nice at all. It’s also a shame for Toyota who so nearly had it nailed this season (double diffuser or no), especially in the early going. It really felt like they could taste success, at last.
And they may be set to bail just as a truly promising Japanese youngster emerges. What a pity. I’m still hoping it’s not true. (I know, I know – wake up, Mark.)
I’m sure Kamui will find a home. I read his Q&A on the official Formaula 1 website yesterday. He said that at the moment he lives in France but as of next year he has no racing budget and would be returning home to work in his father’s Sushi restaurant!
Imagine this:
2009: Team Ex-Honda wins WDC & Constructor’s c’ship
2010: Kamui joins combined Ex-BMW Sauber/Ex-Toyota hybrid super-team
2011: Newly crowned WDC Kamui Kobayashi and WDC runner-up team mate Nick Heidfeld take team to Constructor’s c’ship
January 2012: Japanese car industry commits hari kari and BMW puts Luger 9mm to head and blows brains out
Hate to say it–yet through the wonders of the Internet, I will–but Toyota was a cancer in American open wheel racing. Their behind-the-scenes machinations led to the other manufacturers fleeing from the CART series. Then they also managed to scare away all manufacturers except Honda away from IndyCar. American open wheel racing is now left in ruins and for sure Toyota played its part.
Toyota’s first years in F1 were abysmal from a driver management standpoint. I think they managed to screw over five drivers in their first two seasons in F1.
Peace out, Toyota. I, for one, will not be sorry to see them leave.
I hate to recognize a thing: having lost honda, bmw and toyota, (and maybe soon also renault) maybe this mean that Mad Max wasn’t so fool about budget cap..
I was against his view and behaviour and crazy rules and way of ruling, but he predicted manifacturers departure. I was against having team without history this year, but now i’m happy Fia has invented the way of having some new team, because without the new team we would had 16 or less car next year….
good bye Toyota, and welcome again to Sauber if their money are true…
“I think Toyota has become the Oldsmobile of the US market…cars for older people.” That’s wrong, really. Okay, I have two of them (one with a plastic badge to identify it has leather seats – Lexus) and I’m not young. But the point is, Toyota are known for reliability. And Toyota USA are getting creamed by Acura (Honda) on the racecourse and off. There is no way they want to be out of motor sports or sports cars. Something will break pretty soon…
What made them quit?
Max. Max killed them and as they leave FOTA is down another vote. He’s wringing his hands. MaxTodt will, surely, reward him with the czar-ship of F1 very soon… watch this site.
KERS, no KERS, change this, change that, every damn year… their staff, by their early 2009 press release, increased by 50 people to cope with the changes. Changes that SERVED NO DESIGN OR DEVELOPMENT PURPOSE WHATSOEVER. Toyota’s and Honda’s racing budgets came from their R & D budgets (see their annual reports). They were old-fashioned that way. Ferrari’s comes from Ferrari/Fiat overall.
The timing on the Lexus LFA — is that the right moniker of their new super car — seems a bit poor with this news, certainly.
I have argued before that in America Toyota (and Honda) are more about reliability and fuel efficiency than speed and racing. Honda dropped its S2K and Toyota hasn’t had a racey car since they killed the Celica.
Maybe that’s arguable, but I don’t think Toyota = racing the way Ferrari = racing or even Mazda = racing.
I agree with you here.
The only reason Honda is racing is Acura… and those sports cars sell. And remember that Toyota has the Lexus sportscars too. Maybe Toyota F1 needed simply to change to Lexus F1?
So, here’s the big question. Now that VW own controlling interest at Porsche, are we set to see VW Porsche back at F1? I doubt it. Le Mans is too successfuly for them. I think we’ll se Toyota/Lexus there soon too. Maybe F1 is doomed… good lord I’m depressed already.