He was 93.
The date and cause of his death were not immediately available.
Okuda served as president then chairman of Toyota Motor Corp. from 1995 through 2006.
In his 45-year career at Toyota, Okuda is especially remembered for having led the development of the gas-electric hybrid Prius in 1997, a model with the fuel-efficient technology that was ground-breaking at that time.
The Prius became a symbol of the auto industry’s push for green driving.
Okuda was instrumental in helping drive Toyota’s reputation for fuel-efficiency at a time when gas prices were already surging, such as its bestseller Camry, as well as the hybrids.
Born in central Japan, the area where Toyota has its headquarters, Okuda graduated in 1955 from the prestigious Hitotsubashi University in Tokyo, with a degree in business.
Okuda, reputedly outspoken and always ready with a quick laugh, was unusual in not being from Toyota’s founding Toyoda family, as the leadership at the world’s top automaker tended to be.
The former chief executive was key in leading Toyota’s global expansion over his years at the helm, not only in sales, but also production, setting up manufacturing plants in the US and Europe.
Okuda, a black belt in judo, was vocal about his concerns over the possible backlash that Toyota might face, as its growth meant the inevitable dethroning of the American so-called “Big Three” — General Motors, Ford and Chrysler, synonymous for US manufacturing grandeur.
Toyota, as well as other Japanese automakers such as Honda Motor Co. and Nissan Motor Co., were raking in huge profits, while the Americans were sinking into losses.
That helped ring in the “Japan-bashing” sentiments starting in the 1980s.
He was also a proponent of promoting younger management, when that was still relatively rare in Japanese corporate circles, although that usually meant empowering men in their 50s instead of their 60s.
“A company must change when things are going well. There’s no point in trying to change after things start going bad,” he said in 2005. (AP)