2023 Prius Prime on display, April 6, 2023.
Scott Mullin | CNBC
toyota motors on Tuesday announced plans to invest $912 million in U.S. manufacturing plants in five southern states as part of a previously announced plan to invest up to $10 billion in the country by 2030.
The investment announced on Tuesday is primarily aimed at helping Toyota increase production of hybrid vehicles, which it leads with more than 51% market share through the third quarter of this year, according to Motor Intelligence data. The majority of the investment is expected to be completed by 2027.
The largest investment announced Tuesday is Toyota’s $453 million investment in its Buffalo, West Virginia, plant to ramp up assembly of four-cylinder hybrid-compatible engines.
Other investments include $204.4 million for a four-cylinder hybrid-compatible engine plant in Georgetown, Kentucky, and $125 million to expand Corolla production in Blue Springs, Mississippi to include hybrid models.
The investment is expected to create 252 new jobs, according to Toyota, which ranks second in the U.S. for new car sales. general motors.
“Customers are embracing Toyota’s hybrid vehicles, and our U.S. manufacturing teams are preparing to meet that growing demand,” Kevin Volkel, Toyota Motor Corporation’s senior vice president of North American manufacturing operations, said in a release. “Toyota’s philosophy is to build where we sell, and we will continue to stay true to that philosophy by adding more jobs in the U.S. and investing across our U.S. footprint.”
Tuesday’s news comes less than a week after the Japanese automaker confirmed plans announced last month by President Donald Trump to invest up to $10 billion more in the United States over the next five years than previously expected.
It also comes days after Toyota scion and chairman Akio Toyoda reportedly wore a “Make America Great Again” hat and T-shirt featuring Trump and Vice President J.D. Vance while hosting a racing event at Japan’s Fuji Speedway.
Automotive News on Sunday reported that Toyota, a racer and car enthusiast, welcomed U.S. Ambassador George Glass to the event, which included comments about tariffs.
“I’m not here to debate whether tariffs are good or bad. Every country’s leader wants to protect their country’s auto industry,” Toyoda was quoted as saying. “We’re looking for ways to make tariffs a winner for everyone. The person we most want to be the winner is our customers.”
Toyota and the entire auto industry are trying to navigate production plans in the wake of regulatory changes affecting fully electric vehicles and the Trump administration’s flurry of tariffs on new cars and auto parts this year.
