The move will make decision-making on Toyota's China operations more timely and efficient, and allow management to better respond to market changes, reported China Youth Daily.

The relocation started last year when Toyota dispatched Shinji Kitada, deputy chief of its China operations management office, to be based in Beijing, and also made him president of Toyota Motor (China) Investment Co., according to the Beijing-based daily newspaper

Last year, Toyota also hired Dong Changzheng, a Chinese national who was previously an executive of Beijing Benz Automotive Co.

Dong was made executive vice president of Toyota Motor (China) Investment Co., becoming the first Chinese executive Toyota has hired for its China operations, according to the newspaper.

Toyota CEO Akio Toyoda has authorized Akira Sasaki, head of Toyota's China business, to make all decisions about the automaker's operations in the country.

In the past, those decisions were made jointly by Toyota's Japanese managers in China and Japan, the daily newspaper reported.

Last year, Toyota and its two joint ventures in China sold 848,317 vehicles in China, up 5 percent from 2010, according to LMC Automotive.