Toyota plans $1.4B investment for new U.S. EV production site

29 Apr, 2024

Toyota plans $1.4B investment for new U.S. EV production site

Toyota Motor Corp announced on Friday a hefty $1.4 billion investment in its Indiana factory, slated to begin electric vehicle (EV) production by 2026, marking the company's second EV manufacturing hub in the United States alongside its Kentucky plant. With plans to hire up to 340 new employees, Toyota aims to roll out three-row, all-electric SUVs at this facility. Batteries for these EVs will be sourced from Toyota's upcoming battery plant in North Carolina. Meanwhile, the Kentucky plant is set to commence production of a distinct three-row SUV model by 2025.

This expansion underscores Toyota's strategic move to bolster its EV production capabilities in the U.S., aligning with the criteria for the federal tax credits program initiated by President Joe Biden's administration. To qualify for these incentives, EVs must be manufactured in North America, prompting heightened investment activity across the automotive sector within the region.

Presently, the Indiana factory manufactures various models, including the Sienna minivan and the Highlander SUV. Toyota's substantial investment signals a significant step toward its commitment to advancing electric mobility and catering to the evolving demands of the American market.