Toyota opens U.S. battery plant, confirms $10 billion in new investments
The Toyota display was seen at the New York International Auto Show on April 16, 2025.
Danielle DeVries | CNBC
Toyota Motor It announced Wednesday that it had started production at a new $13.9 billion battery factory in North Carolina and confirmed plans to invest up to $10 billion more in the U.S. over the next five years than previously expected.
The Japanese automaker hasn’t released details about the increased investment, except that Toyota Motor North America CEO Tetsuo Ogawa called it a “pivotal moment” in the company’s history with the new battery factory.
The facility is Toyota’s first in-house battery factory outside Japan. It was first announced in December 2021, amid the Biden administration’s push for onshore battery production for hybrids and all-electric vehicles.
Since then, market conditions for electric vehicles have worsened, while demand for hybrids continues to grow exponentially. These changes are positive for Toyota, which was the U.S. leader in hybrid sales with more than 51% market share in the third quarter of this year, according to Motor Intelligence data.
It’s unclear how much of the investment is already planned but has not previously been publicly disclosed, but the announcement follows President Donald Trump’s announcement last month. Toyota will invest 10 billion dollars in the USA
Toyota and the entire auto industry are trying to navigate production plans amid regulatory changes affecting EVs and Trump’s string of tariffs on new vehicles and parts.
Toyota’s U.S. sales rose 9.9% in the third quarter of this year, selling more than 1.3 million vehicles.
