Toyota CEO: Good rates make me sad



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Toyota CEO Akio Toyoda says the idea that imported Japanese cars pose a threat to US national security makes him "sad".

Toyoda was questioned about the possibility of car rates at an Economic Club event in Washington, DC on Friday.

President Trump has threatened to put in place tariffs based on national security.

"I just do not know why they call it a threat to national security. It makes me really sad. I hope that this kind of conversation will fade, "Toyoda said through an interpreter.

Toyoda noted that about 50% of all Toyota vehicles sold in the United States are manufactured in the United States.

On Thursday, the Japanese automaker announced that it would increase its investment in the United States to $ 13 billion, against $ 10 billion over five years, which would create nearly 600 jobs in the manufacturing sector. Toyota has announced plans to expand facilities or expand production capacity in Alabama, Kentucky, West Virginia, Missouri and Tennessee.

Jim Lentz, CEO of Toyota Motor North America, told reporters that the company wanted to understand the findings of the Commerce Department's investigation into whether motor vehicle imports were a threat to national security.

"I think the 137,000 members of our team, from design to engineering, manufacturing, sales and service, are eager to understand if they are threatening national security," said Lentz.

The auto industry has lobbied the administration to not levy tariffs on imported cars. Spare parts would add thousands of dollars to the cost of cars and could hurt the economy by cutting jobs.

Jessica Smith is a Yahoo Finance reporter based in Washington, D.C. Follow her on Twitter at @ JessicaASmith8.

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