Toyota Wants To Build EVs In America Starting In 2025

According to a new report from Japan's Nikkei business magazine, Toyota reportedly wants to begin production of all-electric vehicles at its Georgetown, Kentucky, manufacturing facility as early as the summer of 2025.

The Kentucky plant currently builds the Toyota Camry, RAV4, and Lexus ES. The automaker's transition to EVs has been slower than many of its rivals, drawing the ire of environmental groups and investors. Late last month, however, Toyota surprisingly announced Akio Toyoda would be stepping down from his role as CEO and passing to baton to Koji Sato, who has served as President of Lexus and Gazoo Racing. Toyoda will assume the role of Chairman, and Sato will take charge on April 1, already confirming the carmaker will adopt a "BEV-first mindset."

Assuming the report is accurate, then Sato's long-term BEV strategy is already in progress. Furthermore, Toyota has plans to build a battery factory in nearby North Carolina sometime in 2025 as well. Like other automakers such as Ford and Hyundai, having a battery plant in close proximity to the main vehicle production plant is critical. Toyota wants to start producing 200,000 EVs in the US annually from 2026 with a larger goal of supplying one million EVs or so globally by then as well. EVs will also be manufactured in Japan, China, and India, but those manufactured outside of the US will not be eligible for tax credits, which may also be fore of thought in the decision to manufacture EVs locally.

As for US production, Toyota will be joining the EV sport utility bandwagon. Initially, 1,000 units will be built monthly, and this will expand to roughly 10,000 per month by 2026.