Toyota focuses on EV batteries, will invest $5.6 billion
Several automakers around the world have been increasingly focusing on battery production for their future range of electric vehicles. Toyota too, is no different, and the Japanese automaker has decided to invest $5.6 billion in Japan and the US to boost the production of batteries for electric vehicles.
The automaker on Wednesday said that production is set to start between 2024 and 2026. In Japan, a $3 billion investment will go into the Himeji Plant of Prime Planet Energy and Solutions Co., as well as in Toyota plants and property. In the US, about $2.5 billion will be invested in Toyota Battery Manufacturing in North Carolina, claimed the automaker.
Similar CarsFind More Cars
Being one of the major players in the greener powertrain solutions, Toyota has scored success with the Prius and other hybrid models as well. However, despite being successful with hybrid vehicles, Toyota lagged on the electric vehicle front. Now, as the global demand for electric vehicles is rising and expected to grow in the coming years significantly, the automaker doesn't want to stay behind in the race. The plan of investment in EV battery manufacturing comes as part of that strategy.
Earlier this week, Japanese auto major Honda Motor Co. announced with major South Korean battery maker LG that they were investing $4.4 billion in a joint venture in the US to produce batteries for Honda electric vehicles in the North American market, with mass production of advanced lithium-ion battery cells to start by the end of 2025.