Riffing on the old saying that "if you can't beat 'em, join 'em," Japan's automakers are branching out and setting up shop in their target markets across the globe. Call it an "if you don't want to get hit with tariffs and high shipping costs, invest in your target market" policy. (I know. It's not nearly as catchy.)
The latest news on this front came from Toyota
While media reports state that Toyota intends to produce cars for the Russian domestic market, the company has stated that it anticipates producing primarily Camrys at the new factory. For that reason, I continue to believe that Toyota will be producing at least in part for export from Russia to the more lucrative West European market. My reasoning: The Camry may be considered basic transportation in the U.S. at $18,000 and up, but it sells for well over twice the average new car price prevalent in Russia and is far out of reach of the average car buyer.
Meanwhile, a bit to the south, Toyota rival Honda
Third, and finally, comes Nissan
With all their growth -- both prospective and ongoing -- Japan's automakers are priced for success relative to their U.S. rivals. Read all about it in "Pick a Car Company. Any Car Company."
Fool contributor Rich Smith has no position in any of the companies mentioned in this article.