There’s money in cars, isn’t there? Carconnection.com reports:

Toyota Motor Corp. continued its unprecedented profit run by reporting a 39-percent jump in income for first quarter of its new fiscal year. Takeshi Suzuki, TMC senior managing director, said the results, which included a 13-percent increase in revenue from the same period a year ago, were the result on the plans for the growth the company had set in place. “We posted substantial increases in both revenues and profits, achieving record levels. We believe this is a result of the company-side efforts to implement the plans that we set at the beginning of the fiscal year.”

Wow. Over 11billion US dollars profit. I have some thoughts here.

One, how the mighty US car makers have crumbled. GM and Ford have been selling assets to prop up ailing businesses over the last few years. You look at their products and think: too fat, too truck-centered, too thirsty. Then you look at nimble, efficient Toyota. Able to match anyone with trucks, 4wds, big, medium or small cars…hybrids as well. They have the production processes, the speed of design and development and the low cost manufacturing needed to survive down pat. I suspect only a few car companies can compete, possibly only the Koreans, the Chinese and the Indians will have the wherewithal to survive in the global marketplace, with local markets aggregating into perhaps one or 2 European and US manufacturers, propped up with subsidies. Everyone else will go niche or go bust. There’s a lot at stake here, including national pride and loads of jobs.

Which brings me to my next thought. What if global climate change and the effects of rising water levels and fiercer weather can be proven, or at least sufficently so that a case against can be made? Will we see liability cases claiming damages against the big, profitable oil and automotive corporations for continuing to make ridiculously inappropriate products in the face of diabolical climate effects? Does this leave GM and Ford off the hook (as they are unprofitable, or look pretty shaky at best) or will such damages claims actually sink their collective ships?

Maybe Toyota will need its ‘war chest’ of cash to pay some future ‘social responsibility’ claims?