Toyota drives innovation in the U.S. with its commitment to vehicle electrification and local manufacturing. Starting 2025, an all-new electric SUV will be produced at Toyota Kentucky, powered by batteries from Toyota North Carolina. This move further solidifies Toyota’s dedication towards carbon neutrality.
What’s Happening
In line with its pledge towards vehicle electrification and local production, Toyota is set to manufacture an innovative three-row, battery electric SUV at its Kentucky plant from 2025. This development will mark Toyota’s first U.S.-assembled battery electric vehicle (BEV), drawing power from batteries produced at the company’s new facility in North Carolina. The battery plant, still under construction, is receiving an additional $2.1 billion investment to bolster Toyota’s pursuit of carbon neutrality.
Why It Matters
Toyota is making significant strides in reducing carbon emissions with its decision to produce BEVs in the U.S. The company believes that providing customers with a range of sustainable options is key to achieving this goal. Ted Ogawa, President and CEO of Toyota Motor North America, shares the excitement about the prominent roles both Toyota Kentucky, the largest U.S. plant, and Toyota North Carolina, the newest, will play in driving Toyota’s BEV and battery production ambitions. This move testifies Toyota’s trust in electric vehicles and its commitment to designing, engineering, and manufacturing vehicles that cater to market demands.
Key Points
Toyota Kentucky will be at the forefront of Toyota’s vehicle carbon reduction efforts with the production of the first U.S.–assembled BEV, a 3-row SUV. The North Carolina plant, on the other hand, is set to become Toyota’s hub for lithium-ion batteries. With an investment of $2.1 billion, the facility is slated to start production in 2025 with six battery production lines — four for hybrid electric vehicles and two for BEVs.
The decision to produce a BEV in the U.S. amplifies Toyota’s commitment to the electric vehicle market, marking a significant milestone for Kentucky. Kentucky Governor, Andy Beshear, hailed the news, saying it positions the state at the heart of the electric vehicle sector.
Bottom Line
Toyota, a trailblazer in electrified vehicles with over 23 million hybrids, plug-in hybrids, fuel cell electric and battery electric vehicles globally, is once again setting the pace in the industry. The company is planning an electrified option for every Toyota and Lexus model by 2025. As the company pours billions into its U.S. manufacturing operations to further electrification efforts, the future of automobile production seems bright and undoubtedly electric.
