Toyota Readies Aggressive U.S. Incentive Offer
DETROIT - Toyota Motor Corp. will roll out an aggressive incentive program for U.S. consumers in March, including zero-percent financing for five years and two-year free maintenance, a source briefed on the matter told Reuters.
The new incentives, which will start today and run through March, come as the world's biggest automaker attempts to connect with U.S. consumers after a storm of safety recalls that have damaged its reputation and cut into sales.
Toyota will offer zero-percent financing for 60 months on some 2010 model year vehicles, including its Camry and Corolla sedans and other vehicles involved in safety recalls, the source told Reuters.
Returning Toyota customers will also receive a complimentary two-year "Toyota Auto Care Premium Package" that includes oil changes and other maintenance services, the source said. Cash rebates ranging from $500 to $3,000 will also be offered depending on vehicles, the source added.
The person declined to be identified because the information has yet to be announced by Toyota.
On Monday, in what Toyota said was not a safety recall but a "limited service campaign," the automaker told dealers that an oil hose may leak on some vehicles with V-6 engines, including late-year models of the Toyota Camry, Avalon and RAV 4 as well as the Lexus 350 ES and 350 RX.
Owners will be told to bring their cars to dealers for a fix.
A Toyota spokeswoman said the company planned to announce a new incentive program when it releases its U.S. sales figures for February today. She declined to comment on the specifics.
The February sales results are expected to show Toyota took a significant hit from the safety crisis that has led to a recall of more than 8.5 million vehicles worldwide and suspension of sales on some models in the key U.S. market.
February Toyota U.S. sales will show a fall of 25 percent or more, according to Jesse Toprak, of Truecar.com. Edmunds.com forecast a 10 percent decline.
Toyota's U.S. sales dropped 16 percent in January, to the lowest level in more than a decade, after it shut down sales of about half of its inventory of vehicles including the Camry and Corolla.
Toyota saw its U.S. market share fall to 14 percent in January -- its lowest level since January 2006 -- from 17 percent for full-year 2009.
More Industry

Auto Prices Ride May Moderation
Flat ATPs and asking prices clocked in below long-term averages for the month, though some segments saw significant price gains, reported Cox Automotive.
Read More →
Auto Retail Families Get Out While the Getting’s Good
Kerrigan Advisors’ first-quarter Blue Sky Report shows a sharp uptick in buy-sell deals as more retailers take advantage of handsome values while seeking to escape market risk.
Read More →
Holman Opens New Lexus Dealership
Located in the heart of Clark County, Lexus of Vancouver features a multi-level showroom, more than 30 service bays, an indoor drive for drop-off and pick-up and a fleet of courtesy vehicles.
Read More →
Ownership Priorities are Shifting
A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.
Read More →
Pump Price Jump Calculated
ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.
Read More →
Black Book: Weekly Market Update
Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.
Read More →
Arkansas Auto Group Acquires First Indiana Rooftop
Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.
Read More →
Stellantis to Dive Into U.S. Lending
The multinational maker of Chrysler, Dodge, Jeep, Ram and multiple other brands received conditional approvals for a Utah-based industrial bank.
Read More →
New-Vehicle Prices Rise
With April sales down, higher prices on in-demand large vehicles helped inflate the overall ATP, though increases were under long-term averages, Cox Automotive reported.
Read More →
Black Book: Weekly Market Update
Last week in the wholesale automotive market proved to be a mixed bag, analysts reported.
Read More →