Toyota will invest approximately $3.4 billion in automotive batteries in the United States through 2030. Specifically, the investment is for developing and localizing automotive battery production, including those for battery electric vehicles (BEVs). Toyota Motor North America also announced it will establish a new company and build an automotive battery plant together with Toyota Tsusho in the U.S. Aiming to start production in 2025, the project includes an investment of approximately $1.29 billion until 2031, resulting in the creation of 1,750 new American jobs.
Part of the new company’s activities will include helping Toyota further develop and expand its local supply chain and production knowledge related to lithium-ion automotive batteries. The venture will first focus on producing batteries for hybrid electric vehicles.
While electrified vehicles already account for nearly 25% of Toyota’s U.S. sales volume, that number is expected to rise to nearly 70% by 2030. To meet the growing demand, Toyota continues to steadily expand its lineup of electrified vehicles, including hybrid (HEV), plug-in hybrid (PHEV), fuel cell (FCEV) and BEV, from 55 models today to about 70 models by 2025. The company expects to sell 2 million zero-emission vehicles globally by 2030.