Toyota announced today it would invest US$3.4bn (JPY380bn) in automotive batteries in the United States by the end of 2030.
The investment is for developing and localising automotive battery production, including those for battery electric vehicles, and is part of the global total of $13.5bn (JPY1.5 trillion) set aside for investment in battery development and production announced last month.
Toyota Motor North America will establish a new company and build an automotive battery plant together with Toyota Tsusho in the US. Aiming to start production in 2025, the project includes an investment of $1.29bn until 2031, which includes funds that will be used to develop land and build facilities, resulting in the creation of 1,750 new jobs.
“Toyota’s commitment to electrification is about achieving long-term sustainability for the environment, American jobs and consumers,” said Ted Ogawa, CEO, Toyota Motor North America. “This investment will help usher in more affordable electrified vehicles for US consumers, significantly reduce carbon emissions, and importantly, create even more American jobs tied to the future of mobility.”
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. The venture will focus first on producing batteries for hybrid electric vehicles.
Further details of the project will be announced later.