Toyota delays US electric car plans as sales slow
The Japanese car maker has become the latest industry giant to scale back its EV ambitions
- Published
Toyota is pushing back the start date for electric vehicle (EV) manufacturing in the US, as global demand for battery-powered cars continues to soften.
The Japanese motor industry giant was aiming to start production in late 2025 or early 2026.
Toyota now expects to launch its US EV operation at an unspecified time in 2026, a company spokesperson told ³ÉÈË¿ìÊÖ News.
Several other major car makers, including Volvo and Ford, have recently scaled back their EV plans.
"We’re still focused on our global [battery electric vehicle] target of 1.5M vehicles by 2026," said Toyota spokesperson Scott Vazin, adding that in the next two years it plans to introduce "5 to 7 [battery electric vehicles] in the US market."
Earlier this year, the firm announced it was investing $1.3bn (£980m) in its Kentucky factory as part of plans to build a three-row, electric sport utility vehicle (SUV) there.
The company has also announced plans to build another electric model at a plant in Indiana.
To support these goals Toyota is ramping up its lithium-ion battery production with a factory in North Carolina, which it expects will come online next year.
Toyota's announcement came as the global car industry continues to struggle with weakening demand for electric vehicles in some major markets.
On Wednesday, Tesla's quarterly figures missed Wall Street expectations, putting leading EV maker at risk of its first-ever decline in annual deliveries.
Last month, Volvo abandoned its target to produce only fully electric cars by 2030, saying it now expected to be selling some hybrid vehicles by that date.
The company blamed changing market conditions for its decision to give up a target it had announced only three years ago.
In August, Ford announced that it is shaking up its strategy for electric vehicles, scrapping plans for a large, three-row, all-electric SUV and postponing the launch of its next electric pickup truck.
Chief financial officer John Lawler said the firm was adjusting its plans in response to "pricing and margin compression".