Toyota executives, dealers laud promotion of Lexus chief Koji Sato to CEO

Toyota Motor Corp.'s promotion of Lexus chief Koji Sato to CEO of the world's largest automaker early Thursday was not a surprise to those who follow the company. And the move of longtime CEO Akio Toyoda to chairman also was anticipated.

Still, the timing of the announcement caught Toyota followers off guard. Here are some of the insider reactions to the changes at the top of Toyota, which take effect April 1.

Bob Carter, recently retired sales chief at Toyota Motor North America:

“I’m a huge fan (of Soto). He’s one of the talented engineers in the entire Toyota system. He has a great personality, and he also has a really good business mind.”

Carter said Soto is the engineer responsible for Toyota’s critically acclaimed GR series of performance vehicles, Supra, Corolla and 86 – all of which are on Car and Driver’s 2023 10 Best list.

“I always felt Akio would take the chairmanship; I’ve always been rooting for him. That wasn’t a big surprise. The only surprise was the timing.”

Jack Hollis, current head of sales for Toyota Motor North America:

“Sato-san is well known to North America and especially to our Lexus dealers ... He actually spoke at our Lexus national dealer meeting this year. So what it means to us is, this is another friend of North America.

"My iPhone was blowing up this morning and every one of the first 10 calls were from Lexus dealers on the East Coast, got the message, and they're like, 'oh, my gosh, this is great.' Oh, the transition is starting and we couldn't be more happy. Oh, they chose the person we hope to have those kinds of things. So that's how it feels."
 
“What’s great for us in North America is that he’s been in the U.S. for about 10 years studying our market. He’s very passionate about dealers, about the franchise model and about product ... A true car guy.”

Steve Gates, Toyota dealer council chairman:

“I certainly do not know (Koji Sato) well, but I've been fortunate over the last couple of years to have had the opportunity to talk to him at both Toyota and Lexus meetings."

“He is engaging. He was so interested in my business and the market in general, but he made it very personal, which made it feel very Toyota-like.”

Under Sato’s tenure as head of Lexus, “we saw the modernization of our product,” Gates said. “We started getting what we had wanted for years: more beautiful, more performance, more style.”

Sato, he said, “helped to transform the brand.”

When Toyota was experiencing recalls and accusations of unintended acceleration, “I was scared to death and I think most dealers were,” Gates said. “Then (Akio Toyoda) came in and spoke to Congress, and he gave all of us confidence. We believed in him, still believe in him.”

Toyoda “is an inspiration. I would run through brick walls for him.”

Looking toward the transition in leadership, Gates said: “I don't think we'll see changes and things will just continue to improve. (Sato and Toyoda) are a great team and great friends. So, I'm thrilled.”

Richard Truett, Larry P. Vellequette and Paige Hodder contributed to this report.