Nagoya, January 26, 2001 -- Toyoda Gosei Co., Ltd. (president: Tokio Horigome) announced today that it will establish TG Safety Systems Czech, s.r.o.(*1) (TGSSC) in the Czech Republic, a joint venture with Toyota Tsusho Corporation, to manufacture steering wheels and airbags for automobiles. The new company will be incorporated in February 2001 with the paid-up capital of 130 million Czech Koruna (390 million yen), 80 percent of which is contributed by Toyoda Gosei and 20 percent by Toyota Tsusho.

TGSSC will be the third European production base for Toyoda Gosei, which has been expanding its global production of automotive parts, including airbag components and steering wheel systems. The other two plants, operating in the United Kingdom, manufacture rubber automotive products. For Toyoda Gosei, the Czech plant will be its first in continental Europe and represents the companyÍs commitment to the establishment of the global production system in four significant markets — Japan, Asia, the Americas, and Europe — to better serve its worldwide customers.

Plans call for the construction of a 48,000 square-foot (4,500 m2) building on the 6.2 acre (25,000 m2) property in the Verun Industrial Park in the city of Crashtretz to be completed in early 2002 and for the plant to be operational in April 2002. TGSSC will have a workforce of 50 at the start of production and plans to expand its employment to approximately 130 by 2004. Annual sales of 300 million yen are predicted for 2002, with a goal of 3.3 billion yen in 2004.

[Note]
(1) s.r.o. (spile_nosts s ru_enÕm omezen_m): Limited Liability Company