Toyota announces $1.4bn investment for new electric SUV production in Indiana
Toyota is set to further expand its U.S. manufacturing capabilities with a substantial $1.4 billion investment at its Princeton, Indiana facility. This investment aims to support the assembly of an all-new, three-row battery electric SUV, marking a significant step in Toyota’s commitment to enhancing its electric vehicle (EV) lineup and reinforcing its investment in U.S. operations.
The new investment brings Toyota’s total commitment to the Indiana facility to $8 billion, highlighting the company’s long-term dedication to its U.S. manufacturing base and its strategy to embrace electrification. The expansion is also expected to create up to 340 new high-quality jobs, offering long-term stability and fostering local economic growth.
Tim Hollander, president of Toyota Indiana, emphasized the company’s focus on quality and employment stability, “Our team members are the heart of Toyota. We take great pride in producing quality products while providing long-term, stable employment no matter the changes in our industry. Our team is committed to delivering this new product with the same quality and performance that Toyota customers expect.”
The Princeton facility is a critical hub for Toyota, with over 7,500 team members currently assembling models such as the Toyota Sienna, Highlander, Grand Highlander, and the Lexus TX. The new investment will not only enhance the plant’s infrastructure to support the assembly of the new battery electric vehicle (BEV) but will also include a new battery pack assembly line. These batteries, crucial to the BEV’s operation, will use lithium-ion technology supplied by Toyota Battery Manufacturing North Carolina, which itself is a part of a $13.9 billion initiative slated to begin production in 2025.
Governor Eric J. Holcomb praised Toyota’s ongoing partnership with Indiana, “Indiana and Toyota share a nearly 30-year partnership that has cultivated job stability and economic opportunity in Princeton and the surrounding southwest Indiana region for decades,” highlighting the state’s conducive business environment and skilled workforce.
This announcement is part of Toyota’s broader $18.6 billion investment in its U.S. manufacturing operations since 2021 to enhance its electrification efforts, showcasing Toyota’s proactive approach to adapting its product line in response to the evolving automotive market demands.
This significant investment not only underscores Toyota’s commitment to innovation and quality in the automotive industry but also its confidence in the future of electric vehicles and their production in the United States.