Toyota Motor Corporation came to life in 1933, after the Japanese government moved the producer of automatic loom machines for the textile industry to pursue a second venture in the automotive sector.

As the Japanese car industry was still in its infancy, and Japan desperately needed a large amount of vehicles to sustain the war against China, the government had begun a program of persuading large industrial companies active in other sectors to refocus their attention on automotive production.

Under the guidance of Kiichiro Toyoda, soon of Toyota Loom Works founder Sakichi Toyoda, Toyota Motor Corporation produced its first gasoline engine in 1934, the 3.4L Type A straight six. Kiichiro-san had already taken time out to study automotive technology in Europe and the United States in 1929, followed by a detailed study of the design principles of a gasoline engine in 1930.

The Type A straight six. The Type A straight six.

In 1936, the Type A found a home in the first Toyota production vehicle, the Type AA. Although this car was still marketed under the family name of Toyoda, the company would quickly change this into Toyota, as the katakana character for Toyota consisted of eight pen strokes, which was considered a lucky number.

In the years that followed the supposedly lucky number looked to be an illusion, as Japan entered into a full-scale war with the United States of America in 1942. Toyota’s factories were working overtime producing extremely simple military trucks for the Imperial Japanese Military, but as soon as the war was over, demand inevitably dried up. By 1950, Toyota was on the brink of collapse, producing only 300 trucks that year.

The 1936 Toyoda AA The 1936 Toyoda AA

Toyota’s workers staged a revolt, locking down the factories and starting a strike that would last two months. In the end the differences between employees and management were resolved with pay cuts and layoffs on one side, and the resignation of founder Kiichiro Toyoda.

His replacement, Loom Works executive Taizo Ishida, proceeded to invest heavily in improving the production processes and equipment of Toyota’s factories, and more importantly managed to secure a very lucrative order from the occupying American forces for 5000 vehicles to be used in the ongoing Korean War, saving the company in the process.

Rugged and dependable machines like the first-generation Land Cruiser saved Toyota from oblivion. Rugged and dependable machines like the first-generation Land Cruiser saved Toyota from oblivion.

On April 28, 1952, Japan’s sovereignty was restored following the San Francisco Peace Treaty of 1951. Finally, the country’s rapidly growing industrial complex was free to start exporting its products overseas. Thanks to Taizo Ishidia’s investments, Toyota had a considerable edge over chief rival Nissan, allowing them to lead the charge and dominate the market.

At the start of the 1960’s Toyota became an immensely prosperous organization, which freed up time, money and manpower to think of more frivolous things. As luck would finally have it, Japan’s industrial prowess coincided with a massive sporting revolution.

Kei-cars racing the 1st Japan Grand Prix, Suzuka 1963 Kei-cars racing the 1st Japan Grand Prix, Suzuka 1963

At long last, the people of Japan discovered the noble art of motorsport. In 1963, Honda’s test track Suzuka hosted the first international race meeting on Japanese soil. The 1st Japan Grand Prix featured races for sports and touring cars, and provided the spark that ignite a furious obsession with motor racing.

After some initial strife with funding, Fuji Speedway was completed in 1965 with help from Mitsubishi. Originally destined to be a huge oval intended for NASCAR-style racing, the financial struggle had necessitated a switch to a road course, to the delight of Japan’s burgeoning racing scene. As tracks and teams popped up all over the country, and Nissan received a great deal of publicity for one of its Fairlady 1500 models winning the Touring Class, Toyota felt it had to join in on the craze.

1-2-4 finish for Toyota's 2000 GT and Sports 800 at the 1967 Fuji 24 Hours. 1-2-4 finish for Toyota's 2000 GT and Sports 800 at the 1967 Fuji 24 Hours.

Looking to capture the same halo-car appeal of European sports cars like the Mercedes 300SL and particularly the Jaguar E-Type, Toyota produced the dainty 2-cylinder Sports 800 in 1965, followed by the much larger straight-six powered 2000GT in 1967. Both cars were stunning pieces of design, with the 2000 GT even able to convince a stubbornly traditional man such as James Bond of its incredibly beauty.

Aside from being a looker, the 2000 GT doubled as Toyota’s weapon in the raging war for supremacy on the newly-built tracks. The 3M straight six perfectly adhered to the Japanese Automobile Federation’s 2.0L displacement limit, and at 150 horsepower was already very potent in stock form.

Prince's R380 moved Toyota to take a different approach. Prince's R380 moved Toyota to take a different approach.

However, by the time the car found its way to the grid, it was already lagging behind. Pure mid-engined sport prototypes like Porsche’s 906 and, more painfully, rival firm Prince’s R380 were already light years ahead in terms of raw speed. A third place at the 3rd Japan Grand Prix in the hands of Zomohiro Hosaya was all the Toyota could manage, while Prince took a convincing 1-2 to be the first Japanese manufacturer to win a major race.

Through reliability and consistency, the car was able to claim victory in the Suzuka 1000 Kilometers, proving that it at least had merit as an endurance racer. But since this discipline lacked the prestige of the famous sprint-style Japan Grand Prix, and the 2000GT would surely be outgunned very soon by improved versions of the mid-engined cars, Toyota elected to follow in their footsteps.

The first prototype of the Toyota 7. The first prototype of the Toyota 7.

Thankfully, the profile of Japanese motorsport had risen drastically in the rest of the world, up to the point the Federation Internationale de l’Automobile decided to get involved. As it adopted the JAF in its ranks, the FIA annulled the restrictive 2L formula, in favor an entirely new set of rules known as FIA Group 7 to be introduced in the 1968 season.

On the other side of the Pacific Ocean, this category was better known as Can Am, short for Canadian American Challenge Cup. Within this framework, the Japanese manufacturers were suddenly afforded all the freedom in the world. Under Group 7, virtually anything was allowed. There were no restrictions on weight, size, engine displacement, aerodynamic aids or even the amount of engines used.

Thanks to this, Toyota could develop the new sports prototype in any way it saw fit. Leading the project was 2000GT-designer Jiro Kawano, who had seen his car go on to win the Fuji 1000 KM, and Fuji 24 Hours in 1967. As archrival Nissan had taken over Prince at the end of 1966, he had his work cut out for him for 1968.

Kawano-san designed a tubular aluminium spaceframe similar to that of the Prince/Nissan machine, which he built around a new dual-overhead camshaft V8, which promised to deliver a great deal more power than the old straight six. Curiously though, the engine measured only 3.0 liters in displacement, a far cry from the huge engines used overseas, and only half the size of the V12 Nissan was rumored to be working on.

The 7 arriving for its first track test, Suzuka 1968. The 7 arriving for its first track test, Suzuka 1968.

The result of this was a slightly disappointing 300-330 horsepower at 8500 rpm, making the car more in line with Group 6 prototypes like the Porsche 908 and Alfa Romeo Tipo 33. A total eight of just 680 kg (1499 lbs) helped soften the blow somewhat, though the little Toyota would be in for a tough fight.

Fully independent dual wishbone suspension supported by coil springs on all four corners was used, complemented by disc brakes. A five-speed transmission ensured the power reached the rear wheels.

The chassis was built at Toyota’s technical partner Yamaha, while the automotive giant worked feverishly to complete the complicated V8. As an interim solution, the first chassis was fitted with a 2000GT unit so track tests could commence.

The airbox was swiftly abandoned. The airbox was swiftly abandoned.

The initial version of what was internally known as 415S had a very smooth, aerodynamic looking body, with little in the way of aerodynamic aids. A large airbox was also used on the prototype, but when the V8’s Indycar-esque hot-V layout (with the exhausts exiting out the top) turned out to need more cooling, the scoop was abandoned in favor of a large gaping hole.

Kawano-san had decided on this layout to enable the engine to sit deeper into the chassis, as a traditional setup would occupy vital room now used for the rear suspension components. To facilitate this, two smaller intakes were located on the bonnet to feed the intakes situated beside the hot exhaust, and a further set of ducts in the sides of the car, supplied cold air to the rear brakes.

The unusual hot-V layout made the engine easier to package. The unusual hot-V layout made the engine easier to package.

Toyota produced three examples of 415S, which were simply renamed 7 after the category they were designed for. The cars were ready for the 5th running of the Japan Grand Prix, this time taking place at the treacherous Fuji Speedway.

Owing to its NASCAR origins, the track’s first corner featured huge banking, which was preceded by a blind crest which the cars took at over 300 kph (186 mph). As the cars powered over the hill, they suddenly dropped down into the banking, dangerously unsettling the car at top speed. Nevertheless,Toyota sent three heroes to brave the killer bank at Fuji. Yukio Fukuzawa, Hiroshi Fushida and E. Otsuka were given the honors of representing Toyota in the first Group 7 race on Japanese soil.

The 7 had by then been tweaked further with wider wheelarches housing much beefier tires, a ducktail spoiler, larger intakes for the brakes, a gurney flap on the rear and on some models a fully exposed exhaust system. The car bore strong similarities to the Lola T70 Spyder which won the inaugural Can Am season in the hands of the multi-talented John Surtees, but had decidedly less power.

The 7's waiting for their chance to shine, Fuji 1968. The 7's waiting for their chance to shine, Fuji 1968.

Two such T70 Spyders were present at Fuji, along with a Mk3 GT coupe version, further competition came from Porsche’s venerable 906 and the new 910. But none of these cars mattered very much to Toyota’s executives. The armada of six Nissans was far more concerning. Nissan had sold its three 2.0L R380-II’sto privateers, and used that money to begin construction of the R381.

This impressive machine which was to be powered by a 6.0L behemoth of a V12, fashioned out of two straight sixes from the earlier car. However, this engine wasn’t done in time, so the otherworldly active-aero equipped car now sported a 5.6L Chevrolet V8 similar to that found in the Lolas. Nissan’s designer Shinichiro Sakurai had been forced to fly to the US and ship the engines back to Japan at the last second to prevent his company from missing the race.

Nissan's bewinged monstrosity easily outgunned the hapless Toyota. Nissan's bewinged monstrosity easily outgunned the hapless Toyota.

The R381’s square lines and reliance on the newly discovered downforce made the conservatively designed Toyota look like a relic, and its 450 horsepower muscle was more than enough to leave the little 7 in the dust. Unsurprisingly, at the start of the Grand Prix, that was exactly what happened.

From the front row, two R381’s driven by Moto Kitano and Yoshikazu Sunako stormed off, chased closely by Kunimitsu Takahashi in the Lola T70 Mk3 GT. From that point on, the Nissan’s were untouchable, as Takahashi’s span out of the race, and the rest of the field simply couldn’t keep up

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The race was an unequivocal embarrassment for Toyota. Mechanical problems forced Yukio Fukuzawa to park his car, although he was still classified 14th. The remaining machines of Hiroshi Fushida and E. Otsuka were left to pick up the pieces. Otsuka crossed the line in a dismal 8th place, with Fushida following behind in 9th.

Despite the abject horror at the GP, Toyota could save face in the endurance races of the 1968 season, since Nissan had built its cars solely for the annual sprint race. As with the 2000GT, the small but sturdy 7 managed to rack up a number of wins due to sheer dependability over raw speed.

Hiroshi Fushida and Mitsumasa Kanie climbed the top step of the podium at the 1000 KM event at Fuji, with Shimohi Hosoya and Yoshio Ohtsubo taking the win at the Suzuka 12 Hours, before Yoshio Fukuzawa and Hiroshi Fushida were again victorious at the 1000 KM event at the same venue.

The series of triumphs was great for morale, but the project was still on loose screws. Toyota’s bitter defeat at the hands of Nissan cast an enormous shadow on the endurance successes of the little 7.

Can Am finally came to Fuji at the end of the season. Can Am finally came to Fuji at the end of the season.

At the tail end of the season, the slow but steady 7 would get a valuable lesson about the merits of raw power. Can Am came to to town for the inaugural World Challenge Cup Fuji 200.

The biggest, baddest and most powerful machines found their way to the land of the rising sun, including the McLaren M6B, Lola T160 and Caldwell D7, all powered by Ford and Chevrolet V8-engines up to 7.0L in displacement.

Al Unser (USA) pushing aside Hiroshi Fushida with his Lola T160 Chevrolet. Al Unser (USA) pushing aside Hiroshi Fushida with his Lola T160 Chevrolet.

Disregarding the 250 horsepower advantage of the Detroit-powered brutes, Toyota entered five 7’s as an apparent experiment. Now they could finally see how much slower their cars really were. The result was certainly troubling. As a testament to their by then bulletproof reliability, all five cars reached the finish.

And with Fukuzawa in 4th, Ohtsubo 5th, Hosoya 6th, Fushida 8th and Minoru Kawai 9th out of eleven finishers, the Toyota squad seemed to have done unexpectedly well. The only problem was the fastest three cars had finished a devastating seven laps behind the winning McLaren M6B Ford of Peter Revson (USA). Fushida was eight laps down, with Kawai classified 9th despite dropping 14 laps behind the McLaren.

Minoru Kawai darting out of the way of Peter Revson (52) and Mark Donohue (6) in their 7.0 Ford-powered McLaren M6B's. Minoru Kawai darting out of the way of Peter Revson (52) and Mark Donohue (6) in their 7.0 Ford-powered McLaren M6B's.

With their debut season done, Toyota could look back at a campaign with several ups and downs. The new car had failed to grab the major glory the company had been looking for, as it was torn to pieces by the much more capable Nissan-Chevrolets in Japan’s most prestigious event.

Even though the car then went on to dominate the endurance races, the absence of their chief rival at these events made the series of victories feel incredibly hollow for Toyota. As no one else was building sports prototypes of this caliber at the time, the 7 faced only outdated customer Porsches and an assortment of privately entered GT and Touring cars. But whenever it met one of its own kind, the weak little three liter had to cower in fear.

Having learned his lesson, Jiro Kawano started work on a five-liter version of the V8, which would be integrated into a much sturdier frame clad in a dramatic wedge-shaped bodyshell. With this plan, he hoped to fix all of the car’s issues in one fell swoop.

With help from British universal soldier “Quick” Vic Elford, the man who could drive anything very fast indeed, Kawano-san was confident he’d be able to finally find a stick big enough to give Nissan a big bloody nose.

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