Toyota announced today in Japan that it will invest $3.4 billion (¥380B) in automotive batteries in the United States through 2030. The capital spending is for developing and localizing automotive battery production, including those for battery electric vehicles. It is part of the global total of $13.5 billion (¥1.5T) for spending on battery development and production announced last month by TMC. Globally, Toyota has sold more than 18.7 million electrified vehicles, including 4.5 million in the US. (Toyota JV Will See SUV EV Branded Subaru Solterra in 2022)
Toyota Motor North America also announced today that it will establish a new company and build an automotive battery plant together with Toyota Tsusho in the US. Production is expected to start in 2025, the project includes an investment of approximately $1.29 billion until 2031, which includes funds that will be used to develop land and build facilities, resulting in the creation of 1,750 new American jobs.
“Toyota’s commitment to electrification is about achieving long-term sustainability for the environment, American jobs and consumers,” said Ted Ogawa, Chief Executive Officer, Toyota Motor North America. “This investment will help usher in more affordable electrified vehicles for U.S. consumers, significantly reduce carbon emissions, and importantly, create even more American jobs tied to the future of mobility.” (Suzuki, Subaru, Daihatsu, Toyota and Mazda form JV on Technical Specs for Next-Gen Vehicle Communications Devices; Isuzu, Hino, Toyota to Quicken Carbon Neutrality with Commercial Vehicle JV)
Part of the new company’s activities will include helping Toyota to further develop and expand its local supply chain and production knowledge related to Lithium-ion automotive batteries. It will first focus on producing batteries for hybrid electric vehicles. Toyota claims the move is expected to help further the company’s goals to create a net positive impact on the planet and society, including advancing its efforts towards carbon neutrality in a sustainable and practical way. Further details of the project, including details on a site, production capacity, business structure, will be shared at a future time.