Toyota Motor Corporation has announced a $3.6 billion investment to expand its manufacturing operations in Texas by relocating a significant portion of Tacoma midsize pickup truck production from Mexico to the United States.
The investment will transform Toyota's San Antonio manufacturing campus over the next several years, adding a second vehicle assembly line, creating approximately 2,000 new jobs, and increasing annual production capacity from 200,000 to 350,000 vehicles by 2030.
The expanded facility, which currently produces the Toyota Tundra pickup and Toyota Sequoia hybrid SUV, is expected to nearly double in size as Toyota strengthens its North American manufacturing footprint.
The announcement aligns with the automaker's broader strategy to increase domestic investment in the United States. Toyota previously stated it intends to invest up to $10 billion more than originally planned in its U.S. operations by 2030.
While production of the Tacoma will gradually shift from Toyota's plant in Tijuana, Mexico, over the next four years, the company confirmed it will continue manufacturing the pickup at its Guanajuato facility, maintaining a manufacturing presence in Mexico.
Toyota said the expansion is designed to increase production flexibility while meeting growing customer demand for pickup trucks across North America.
"Toyota's continued investment in North America reflects our confidence in the region's workforce, innovation, and long-term growth potential," said Ted Ogawa, President and CEO of Toyota Motor North America. He added that the project reinforces the company's commitment to American manufacturing while supporting sustainable job creation.
The announcement comes shortly after the U.S. administration confirmed changes to its North American trade approach, increasing investor attention on domestic manufacturing strategies adopted by major automakers.
Toyota has steadily expanded its manufacturing operations in Texas since breaking ground on the San Antonio plant in 2003. Including the latest commitment, the company has invested more than $8 billion at the site, which also includes a rear axle manufacturing facility scheduled to begin operations later this year.
The expansion could further strengthen Toyota's competitive position in the U.S. automotive market. Rising demand for hybrid vehicles has helped narrow the sales gap between Toyota and domestic rivals, as consumers continue to balance fuel efficiency with practical vehicle choices.
With increased production capacity and continued investment in both hybrid and electric vehicle technologies, Toyota aims to enhance supply, improve operational efficiency, and reinforce its long-term presence in the U.S. manufacturing sector.
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