Toyota Hybrid Vehicle, company to invest $373.8M in five plants
Toyota Motor Corp has announced that it would invest $373.8 million in five manufacturing plants in the United States to produce its first American-made hybrid powertrain, as it looks to build more vehicles in the market which it sells.
The projects are set to begin this year and would be operational in 2020, Japan’s biggest auto company said.
The automaker said the investment would also be used to roll out Toyota New Global Architecture (TNGA) strategy at its Alabama plant, an initiative that aims to reduce the cost of developing new vehicles, partly by using more common components
The company would also start production of hybrid vehicle transmissions at its Buffalo, West Virginia facility and expand its 2.5-liter engine capacity at Georgetown, Kentucky, Toyota said.
“This latest wave of investment represents our efforts to localize production of hybrid powertrains to the U.S.,” said Jeff Moore, senior vice president, manufacturing.
Toyota will modify its plant in Jackson, Tennessee to accommodate production of vehicle transmissions while its Huntsville, Alabama plant would undergo an upgrade enabling it to build engines complementing its strategy, the company said.
According to the company, the total investment of $373.8 million will be distributed as follows:
● Toyota Motor Manufacturing, KY – $120,960,000
● Bodine Aluminum Jackson, TN – $14,500,000
● Toyota Motor Manufacturing, WV – $115,300,000
● Toyota Motor Manufacturing, AL – $106,000,000
● Bodine Aluminum Troy, MO – $17,050,000
In January, Toyota’s North America CEO Jim Lentz said the company would invest $10 billion in the United States over the next five years to meet demand and upgrade plants to build more fuel-efficient models.