Toyota Australia will begin manufacturing a hybrid Camry sedan at its Altona plant from the beginning of 2010.

Toyota Motor Corporation President Mr Katsuaki Watanabe reported the decision to introduce hybrid manufacturing to Australia to the Honourable Kevin Rudd, MP, Prime Minister of Australia at a meeting in Nagoya, Japan earlier today.

Toyota Australia plans to produce 10,000 hybrid Camry vehicles each year for the domestic market. This will add to the existing four-cylinder Camry and six-cylinder Aurion vehicles produced at the Altona plant located in Melbourne's west.

The hybrid Camry is currently produced in Japan and the United States.

Toyota Australia President and CEO Mr Max Yasuda said he was delighted to have secured production of Australia's first local hybrid, believing that customers would welcome the introduction of an Australian hybrid Camry.

Toyota's decision is the culmination of an intensive study conducted during the past year which included discussions with the Federal and Victorian governments.

"We acknowledge that the Federal and Victorian governments have a strong desire to see new, environmentally friendly technologies introduced to Australia.

"Both governments continue to provide strong support to the Australian automotive industry and can share in this historic announcement which is positive for Toyota, local car manufacturing and the Australian community," Mr Yasuda said.

Toyota Australia is Australia's largest car manufacturer and market leader. This year, the company celebrated the production milestone of 2.5 million vehicles, and in 2007 exported a record 98,000 vehicles to more than 20 countries, mainly to the Middle East.