1. Commercialization of Electrical Components

In July 1937, Takaichi Suzuki was summoned by Kiichiro Toyoda and was met with unexpected words: “I thought we should manufacture electrical components in-house, but it seems much more challenging than I anticipated. Despite having brought people in and made various preparations, I'd like to stop at this point. Given the current state of the country, we can't just think about Toyoda alone.” That same year, the Second Sino-Japanese War broke out, leading to the requisition of vehicles, especially trucks, which nearly disappeared from civilian use. As a state policy company, Toyoda created a strong production increase plan. However, due to the emergency situation, all electrical components were to be sourced from Hitachi.

Suzuki was so astonished that he could not even respond. He spent restless days contemplating the future of the 40 employees involved in electrical components, without revealing the situation to anyone. Nonetheless, they were on the brink of completion after much struggle. It seemed too much of a waste to give up now. Resolving to continue, Suzuki met with Kiichiro and explained the status and direction of the prototypes in detail, earnestly pleading, “I desperately want to continue. Please postpone the decision to abolish this for just one more month.” Kiichiro accepted this plea. Thus, with a one-month deadline, Suzuki and all the personnel involved in electrical components continued their efforts with all their might.

Gradually, they prepared for in-house production, eventually reaching a point where they could produce products for engine assembly. Subsequently, in 1937, Toyota Motor Corporation was separated and became independent from Toyoda Automatic Loom Works. In 1938, the main production moved to the Koromo Plant, but the electrical components division, which is the predecessor of our company, remained in Kariya to establish a full-scale production system there. Additionally, the radiator division, another predecessor of our company, also moved from Tokyo to Kariya in 1938.

The decision not to move the electrical components to the Koromo Plant was rooted in Kiichiro's fundamental philosophy regarding the automotive business. He believed that electrical components, akin to the nervous system in a human body, were crucial and required specialized research. For this reason, it was better to enhance the technology in a specialized manner in Kariya rather than integrating it into the larger Toyota organization.

By around 1940, the production volume of electrical components and radiators began to increase. Consequently, the in-house production of dedicated jigs and mass-production machinery also grew, and the machinery division was gradually organized. The production of electrical components and radiator businesses, which are the predecessors of our company, began to take off in earnest.