Automotive giant Toyota announced plans to dramatically increase its electric vehicle battery capacity in the U.S., with an additional $8 billion investment in its North Carolina battery production plant. With the new announcement, the company’s commitment to the facility grows to nearly $14 billion, marking one of the largest-ever investments in U.S. EV battery capacity.
Toyota announced an initial $2.3 billion investment in the North Carolina facility announced last year as part of a $5 billion initiative to increase its EV battery production capacity in the U.S. and Japan, and earlier this year allocated another $2.1 billion to increase planned capacity for the site, aimed at creating a hub for developing and producing lithium-ion batteries for its expanding portfolio of electrified vehicles.
With the additional capital investment, the facility will now feature ten BEV/PHEV battery production lines, compared to the two lines previously announced, in addition to four battery lines for Hybrid Electric Vehicles (HEVs).
Total capacity at the site is anticipated to reach 30 GWh annually, with production increased over time through 2030.
Sean Suggs, President of Toyota North Carolina, said:
“Today’s announcement reinforces Toyota’s commitment to electrification and carbon reduction, bringing jobs and future economic growth to the region. We are excited to see the continued energy and support of this innovative manufacturing facility.”
Toyota’s announcement marks the latest in a series of large-scale vehicle electrification investments in the U.S. aimed at dramatically ramping EV and battery capacity in the country and follows an executive order by President Joe Biden in 2021 mandating that zero-emissions vehicles make up half of new vehicle sales in the U.S. by 2030, as well as the allocation of $7 billion from the U.S. Bipartisan Infrastructure Law aimed at strengthening the U.S.’ domestic battery supply chain.
Toyota said that its new investment will add 3,000 jobs at the North Carolina site, bringing total job creation for the facility to 5,000.
North Carolina Governor Roy Cooper said:
“Through the last few years of building relationships, including my most recent trip to Tokyo and meeting with President Sato, our partnership with Toyota has become stronger than ever, culminating in this historic announcement. North Carolina’s transition to a clean energy economy is bringing better paying jobs that will support our families and communities for decades to come.”