TRAM Product Planning

Another worrying trend for Toyota could be slipping owner loyalty.

Camry owners who bought another Camry stayed level, at 30 percent,

If Panasonic isn't involved, that will make the factory much more of a challenge,

For its seventh generation, Hyundai says the Sonata has “evolved into a more refined premium vehicle” that “provides a luxury feel of a car from the segment above.”

The Sonata became Hyundai’s top-selling car, with sales topping 200,000 units in 2011, 2012 and 2013. But sales have slowed since fresher competing models such as the Honda Accord, Ford Fusion, Nissan Altima and Toyota Camry hit the market, with sales dipping by 12 percent last year and off another 28 percent through the first two months of 2014.

the NX is slightly smaller than the Acura RDX, and slides between the BMW X1 and X3.

The NX is derived from the Lexus CT platform with some RAV4 underpinnings and goes on sale this fall.

The NX will be manufactured at Toyota Motor Corp.'s Lexus assembly plant in Japan's southwestern island of Kyushu.

He added, however, that Lexus' U.S. dealer council has informed him that such an estimate is too conservative.

When Lexus launched the original RX 300 in 1998, it had the same sales estimate. RX demand quickly jumped above six figures a year, and it became Lexus' best selling product.

The driving force behind the trend will be new government mandates for vehicle-to-vehicle communication technologies that improve safety and enable self-driving features.

2012 in the United States

At that time, about 55 percent of buyers were choosing the TDI engine -- far more than the company had projected.

But with nearly 900,000 more Sonata owners on the road since the outgoing model's debut, and a chance to build a broader, more sustainable following, "We have to be more careful," Zuchowski said.

But Hyundai says the car's suspension and steering have been redesigned for better ride and handling. The interior also is new, with greater use of soft-touch materials and more countermeasures against road noise. Also, high-tech features and advanced safety equipment -- plus a starting price that Zuchowski says won't stray far from the outgoing model's sticker of just over $22,000, with shipping -- will help the Sonata retain the value image that has been a key purchase reason for the sedan, Hyundai says.

With 6.6 million Camrys on the road, Toyota understands well the delicate balance Hyundai is seeking. The Camry's large, loyal following has allowed it -- compelled it -- to stick with safe, modest designs and driving characteristics, generation after generation.

But when the current generation was launched in late 2011, mostly to yawns from auto critics, the sportier SE model became the best- selling trim package. Toyota took the hint.

Every piece of sheet metal except the roof has been changed, as have more than 2,000 part numbers. For some automakers, that constitutes a redesign.

Both products will land in a mid-sized market that has been roiled by intense competition, not only within the segment but also from fast-growing crossovers. At 2.6 million units in 2013, sales in the segment grew just 1 percent from the previous year,

No one feels this more than Toyota, which is fighting to continue the Camry's 12-year streak as America's best-selling car against a strong challenge from the Nissan Altima. Toyota has spent more on Camry incentives, yet had a lower mean transaction price, than its top four competitors -- the Altima, Honda Accord, Ford Fusion and the Sonata -- every month since November 2012, according to TrueCar.

Carter hopes the investment in the new-look Camry will allow Toyota to dial back on incentive spending. "One way to lower incentives is to increase demand, and that's what this car is about," Carter said. But if competitors should raise their incentives, Toyota won't sit still. Said Carter: "This is a competitive market. And we're going to compete."

"With a greater concentration of automotive research, development, talent, supply chain and manufacturing infrastructure than anywhere else in the world, Michigan is the place that should be America's mobility center of excellence."