Toyota Pumps Brakes on EV Production in the U.S.
Toyota has delayed its plans to build a three-row electric SUV in the U.S.
According to a Nikkei report, the automaker had originally intended to begin building the vehicles in 2025 at its plant in Kentucky, where it invested another $1.3 billion earlier this year. But now it looks like that won’t happen until 2026, a development that could be blamed on slowing U.S. demand.
Toyota confirmed the delay to Reuters, with a spokesperson saying, “We've always said it would be late 2025 and it could creep into 2026 and it does look like it's going to creep into 2026."
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Despite the delay, Toyota reaffirmed its plans to roll out five to seven new EV models in the U.S. over the next two years.
Toyota has also reportedly canceled plans to start building an electric Lexus in the U.S. by 2030, electing instead to build them overseas and then ship them over.
The changes in Toyota’s plans have impacted the automaker’s production goals. The company previously said it wanted to make 1.5 million EVs globally by 2026 but, according to the report, that number could wind up closer to 1 million.
In June, Toyota North America reported first half 2024 U.S. sales totaling nearly 1.2 million vehicles, up 14.3 percent. During that same time period, Toyota’s U.S. electrified vehicle sales totaled 454,197, up 67.9 percent.
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