Been meaning to an op-ed on this and why it's a big win for car enthusiasts worldwide. Yesterday, Akio Toyoda retained his position as chairman of the board at Toyota, a company his grandfather founded 85 years ago.
Toyota shareholders voted to reject a climate resolution, which would have compelled the company to produce more electric vehicles (EVs) and reduce its carbon emissions. This resolution was brought forth by activist investors namely California Public Employees' Retirement System (CalPERS) and the Office of the New York City Comptroller, two of the largest US pension funds and Danish pension fund AkademikerPension.
Toyoda's skepticism towards EVs, is a refreshing perspective in an industry that often seems to blindly embrace new technologies without considering their practicality and feasibility. Going head long and forcing EVs down the public throat is a recipe for disaster. Toyota has been a dominant force in the automotive industry for decades, and its commitment to quality, reliability, and customer satisfaction is unrivaled. Mr. Toyoda's skepticism towards EVs is not a rejection of sustainable transportation or environmental concerns, but rather a pragmatic approach to adopting new technologies. In short, common sense prevailed yesterday.
As a car enthusiast, I appreciate Toyoda's stance on EVs because it ensures that at least one automaker will remain focused on developing vehicles that meet the needs and expectations of drivers. To create vehicles that are fun and aren't appliances. In addition, not putting all their eggs in one basket. Any investor would tell you to diversify, yet the auto industry seems committed, to do the opposite and go all in on EVs. Toyoda's skepticism towards EVs ensures that Toyota will continue to develop high-performance and reliable vehicles that deliver thrilling driving experiences and meet the demands of car enthusiasts and non-car enthusiasts alike.
Mr. Toyoda is "our guy" as he was directly responsible for bringing back fun cars such as the A80 Supra and establishing Gazoo Racing, Toyota's current high performance brand for cars.
Akio Toyoda's retention of his position as chairman of the board and his skepticism towards EVs is a big win for car enthusiasts and is a big blow to activist investors who don't have the welfare of companies in their heart and are only there to push their agenda. So for now, Toyota dodged the "get woke, go broke" bullet and hopefully this will be a turning point for other automakers to walk back some of their EV commitments and use common sense and look at all technologies. Expect Vanguard, Blackrock, CaLPERS, ONYCC, AkademikerPension and State Street to divest from Toyota in response to punish this move as they are big proponents of ESG and this was a big public loss. #cars #carstr #carchain #carnews #grownostr
