First off, let me say that if my earlier posts made it sound like I'm "bashing" the 05+ Taco, that wasn't my intention. I'm sure those of you who have your 05+ Tacos like them just fine, and I certainly see a lot of them out and about. So I hope nobody took offense at that.
Second, it seems to me that what's been happening in the car market is that as the American marques fade, Toyota and Honda have been moving steadily "up market." IOW they are making their vehicles more expensive and adding more features. Things that used to be options become standard, that sort of thing.
What does that do to the truck market? Well, IMO it creates a vacuum at the "bottom" end of the market (especially since the bargain-basement Ranger is slated to be taken out of production after 2009.)
So the million $$ question is, who fills that vacuum? I think if Toyota was smart they'd import some no-frills Hiluxes or come out with a no-frills truck to compete, but that may not be viable. Hyundai or Kia could come in with a stripped down, no-frills truck and undercut Toyotas price and I think they would do very well, especially if they offered it with a fuel-sipping 4 cyl and a simple 5 speed and regular 4wd setup. It wouldn't be a speed demon but it would work, and more importantly it might get the same 25mpg that my 85 Toyota pickup routinely returned. Combine that with a price in the mid- to high-teens for a 4wd and I think they'd have a real hit on their hands.
Another possibility is Mahindra coming in with a small truck.
I think it may be difficult for younger people to understand, but Toyota didn't enter the market as the 800lb gorilla they are now. They entered the market as a niche-filling maker of small, efficient cars. That niche still exists, even if Toyota's now too big to fill it.