Toyota Tacoma vehicles on the gross sales lot at Metropolis Toyota on Feb. 28, 2024, in Daly Metropolis, California.
Justin Sullivan | Getty Photographs
Toyota Motor on Monday introduced that it’s investing $3.6 billion to maneuver manufacturing of the Tacoma midsize pickup truck from a plant in Mexico to its San Antonio, Texas, manufacturing campus.
The funding is predicted to create 2,000 U.S. jobs on the facility, add a second automobile meeting line and roughly double the dimensions of the two.7-million-square-foot plant by 2030, the automaker mentioned. It would increase the plant’s annual capability from roughly 200,000 to 350,000 items, Toyota mentioned.
The announcement is a part of Toyota’s said plans to make investments as much as $10 billion greater than beforehand anticipated domestically within the U.S. by 2030. It comes lower than per week after the Trump administration confirmed it might not lengthen its trilateral commerce pact with Canada and Mexico, as an alternative opting to conduct annual evaluations.
A Toyota spokeswoman mentioned the corporate is “sustaining its operations in Mexico” as Tacoma manufacturing transfers from Tijuana to Texas over the subsequent 4 years, however she declined to share extra particulars. The corporate plans to proceed to supply Tacoma pickups at one other Mexican plant in Guanajuato, she mentioned.
“This funding expands Toyota’s manufacturing capability and enhances our broader North American manufacturing community,” she mentioned in an e mail to CNBC.
The transfer comes greater than six years after Toyota confirmed it might shift Tacoma manufacturing from the Texas plant to the Toyota Motor Manufacturing de Guanajuato plant in Mexico.
The Texas plant at present produces the Toyota Tundra full-size pickup truck, together with a hybrid variant, and the Toyota Sequoia SUV hybrid. Toyota beforehand introduced it was investing $531 million in a 500-million-square-foot rear axle plant on the campus that’s slated to start manufacturing within the fall.
Potential plans to increase the San Antonio plant, codenamed Mission Orca, had been first reported in Might by Automotive Information.
“Toyota’s continued funding in North America is a testomony to our confidence within the area’s workforce, innovation and long-term development potential,” Toyota Motor North America CEO Ted Ogawa mentioned in a launch. “By increasing our San Antonio plant, we’re deepening our dedication to American manufacturing, creating significant and sustainable jobs, whereas advancing our mission to ship high-quality autos that meet the altering wants of consumers at present and into the long run.”
Toyota, which employs 48,000 folks within the U.S., says it has invested $8.3 billion within the San Antonio plant since its groundbreaking in 2003.
The elevated funding and manufacturing capability may help Toyota — the world’s largest automaker — in turning into the No. 1 carmaker in U.S. gross sales.
Toyota is forecast to slender the hole in U.S. gross sales with America’s largest automaker, Normal Motors, this 12 months as hybrids get extra fashionable and all-electric autos sputter, based on Cox Automotive.
The Japanese automaker’s gross sales had been up 0.5% by the primary half of the 12 months in contrast with 2025, to 1.24 million. GM, in the meantime, reported a 6.8% decline throughout that point, to 1.34 million autos bought.
Toyota’s features come because the automaker has rolled out new fashions, together with all-electric autos, whereas persevering with to double down on its hybrid autos, the place it has been a pacesetter for many years.
GM, in the meantime, closely invested in all-electric autos as an alternative of hybrids, many occasions referring to them as a transitional expertise. The Detroit automaker’s sole hybrid is a Corvette, whereas it presents a full lineup of EVs for luxurious model Cadillac in addition to many fashions for different manufacturers.
