Toyota CEO: More than 5 Million Jobs will be Lost

Toyota CEO: More than 5 Million Jobs will be Lost

Akio Toyoda, CEO of Toyota, assures that due to electric cars the automotive sector will destroy up to 5.5 million jobs in Japan alone. Read on.

Akio Toyoda, CEO of Toyota, assures that due to electric cars the automotive sector will destroy up to 5.5 million jobs in Japan alone. Read on.

The electric car seems the only viable option for the future for the automobile industry. However, this change will have a high cost for the sector and not everyone welcomes its arrival. Toyota CEO Akio Toyoda believes that the electric car will destroy jobs in Japan.

Electric vehicles will become a solution that will completely eliminate pollutant particulate emissions and help the sector achieve carbon neutrality for decades to come. Despite this, it can have a very negative economic impact.

The electric car seems the only viable option for the future for the automobile industry.

Akio Toyoda heads one of the world's largest automotive companies, Toyota Motor Corporation. He is also the president of the Japan Automobile Manufacturers Association, making him a person whose opinions are highly respected in the Asian country.

While speaking as president of the Japan Automobile Manufacturers Association, Toyoda explained that a radical shift towards electric cars could cripple the company's manufacturing industry. This comes as Japan tries to achieve CO₂ emissions neutrality by 2050.

"Japan is a country that depends on exports," Toyoda said. "Therefore, carbon neutrality amounts to an employment issue for Japan. Some politicians are saying that we have to convert all cars to electric vehicles or that the manufacturing industry is outdated." Production would be seriously damaged.

The Asian country manufactures around 10 million cars a year, of which 50% is destined for export. It is believed that by 2030, Japan will continue to produce 8 million combustion-engine cars a year, including hybrids and plug-in hybrids.

"Japan is a country that depends on exports," Toyoda said.

"This means that production of more than 8 million units would be lost and the auto industry could risk losing most of the 5.5 million jobs," said Toyota's chief executive officer.

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