Toyota Pondering Building The GR Corolla In The UK Due To Strong Demand

Toyota is considering producing the sporty GR Corolla in the UK to satisfy strong demand in the US. A Reuters report states that the company may invest £41 million to set up a new production line at its Burnaston factory.

The factory already produces the standard Corolla hatchback and wagon for the UK and continental European markets. The new line would allow it to produce about 10,000 examples of the GR Corolla annually for export to the US, according to Reuters.

Reuters adds that Toyota’s Motomachi plant in Japan, responsible for the production of the GR Corolla, GR Yaris and GR86, is currently operating at full capacity. Last year, it built 25,000 cars, about a third of which were Corollas.

Bernaston already has a ready stock of Corolla bodies and accessories, making it a “natural choice” to accommodate additional production of the GR model, Reuters said, citing a Toyota source.

While the plan to increase production of the GR Corolla in the UK was not prompted by US President Donald Trump’s tariffs, the decision certainly benefits Toyota on that front. The US currently levies a 25% tariff on all cars imported into the country from abroad, including Japan. However, the UK recently agreed to negotiate a deal that would see tariffs on its exports reduced to 10%, within a national quota of 100,000 cars. Final details are yet to be confirmed, but currently, Toyota would have to pay less tariffs on UK-built GR Corollas than on Japanese ones.

The UK production story also lends weight to the possibility that the GR Corolla – currently only available in a handful of markets, including the US and Japan – could be launched in Europe. Toyota currently sells the GR Yaris and GR Supra in Europe, while the GR86 has been discontinued in that market (including the UK) due to EU GSR2 safety regulations. The Supra will soon follow.

• Also See: How Many Toyota Cars Are There In The world?