Toyota has announced some production changes in response to the rapidly changing needs of auto buyers in the U.S. The company will look to address rising interest in its Prius hybrid sedan by beginning production of that vehicle at its plant in Blue Springs, Mississippi. North American Prius production will begin sometime in late 2010.

While the Prius prospers, large Toyota trucks and SUVs continue to struggle along with their competitors in the segment. Due to that huge slackening in demand, Toyota plans to shuffle around some production, moving the Tundra line from Indiana to the San Antonio, Texas facility in the spring of 2009, and shifting Highlander from its planned Mississippi production to Indiana.

Perhaps more telling than the manufacturing musical chairs is the announcement, buried at the bottom of the Toyota press release that the automaker will suspend production of both the Sequoia and the Tundra starting on August 8. Production will resume sometime in November. Check out the full Toyota release below.

Toyota to build Prius in U.S.
Highlander to Indiana; all Tundra to Texas
07/10/2008

July 10, 2008 – Erlanger, KY - Toyota is responding to changes in consumer demand and improving the production efficiency and stability of its North American operations by adjusting production mix at three plants. The changes include the addition of the Prius hybrid sedan to its North American lineup.

The changes are as follows:
- Prius will be built at a plant under construction in Blue Springs, Miss. Production is scheduled to begin in late 2010. Prius, which will join the Kentucky-built Camry Hybrid as the second Toyota hybrid built in North America, enables Toyota to better respond to increased consumer demand for hybrid vehicles.

- The Highlander mid-size SUV, originally scheduled to be built in Mississippi, will now be manufactured in Princeton, Ind., beginning in Fall 2009.

- Production of the Tundra full-size pick-up truck, currently built in Indiana and Texas, will be consolidated at the San Antonio plant in Spring 2009.

In addition, Toyota will temporarily suspend Tundra and Sequoia production beginning August 8 due to the declining overall market for full size trucks and SUVs. Production is scheduled to resume in early November. Team members at both facilities, as well as the Huntsville, Ala. plant that builds Tundra and Sequoia engines, will continue to be provided work.

"The truck market continues to worsen, so unfortunately we must temporarily suspend production. But this good news about production mix demonstrates our long-term commitment to our North American operations and to our team members, supplier partners, and communities where our plants are located," said Jim Wiseman, vice president/external affairs for Toyota Motor Engineering & Manufacturing North America (TEMA). "By using this downturn as an opportunity to develop team members and improve our operations, we hope to emerge even stronger."

Toyota (NYSE:TM) established operations in North America in 1957 and currently operates 13 manufacturing plants. In addition, new plants are under construction in Ontario and Mississippi. Toyota directly employs over 43,000 in North America and its investment here is currently valued at more than $21 billion, including sales and manufacturing operations, research and development, financial services and design. Toyota’s annual purchasing of parts, materials, goods and services from North American suppliers totals more than $30 billion per year. For more information about Toyota, visit www.toyota.com.