by Toyota’s Investment in American Plants
The Toyota company has announced massive investments totaling $912 million in five of its plants in the United States. This step is aimed at increasing the production of hybrid automobiles and creating 252 new jobs. One of the key changes will be the launch of Corolla Hybrid model production on US territory, which will happen for the first time in the brand’s history.
Distribution of Funds Among Plants
The largest portion of the investments, specifically $453 million, will be directed to the Toyota Motor Manufacturing West Virginia plant in Buffalo. These funds will allow for the expansion of production of four-cylinder engines compatible with hybrid power units, sixth-generation hybrid transmissions, and stators for rear electric motors. It is planned that the new capacities will become operational by 2027, providing 80 additional vacancies.
The Toyota Motor Manufacturing Kentucky plant, which is the largest in the company’s global network, will receive $204.4 million. The investments will be used to create a new processing line for four-cylinder hybrid engines, which is also scheduled to become operational in 2027. This will allow for the opening of 82 new jobs.
Corolla Hybrid Production in America
The Toyota Motor Manufacturing Mississippi enterprise will receive $125 million to organize the production of the Corolla Hybrid. This is a historic moment, as it is the first time the hybrid version of the Corolla will be manufactured on American soil.
Other Plants and Their Development
The Toyota Motor Manufacturing Tennessee plant will receive $71.4 million, which will allow for an increase in the production of hybrid transmission housings and engine blocks for hybrid automobiles. The investments will include the creation of three new production lines and will provide 33 new jobs.
The Toyota Motor Manufacturing Missouri plant will receive $57.1 million to implement a new line for the production of cylinder heads for hybrid vehicles. This will increase the annual production volume by over 200,000 units and create 57 new vacancies.
Management Comments
Customers are choosing Toyota’s hybrid cars, and our production teams in the USA are preparing to meet this growing demand. Toyota’s philosophy is to produce where we sell, and by adding new American jobs and investing in our US presence, we continue to adhere to this philosophy
— noted Kevin Felkel, Senior Vice President of Manufacturing Operations.
Politicians’ Reaction
Interestingly, Toyota published comments from five governors and seven members of Congress who expressed approval regarding the company’s investments. However, their statements did not mention President Donald Trump or his “America First” policy, which, according to reports, is supported by the company’s chairman, Akio Toyoda.
These investments reflect the growing popularity of hybrid technologies among American consumers and Toyota’s desire to strengthen its position in the market. Increasing production capacity directly in the USA will allow the company to respond faster to demand, reduce logistics costs, and support the local economy. Furthermore, the localization of production of hybrid models, such as the Corolla Hybrid, may contribute to a further reduction in their cost, making them more accessible to the general public.
