Toyota to manufacture EV SUVs at US Kentucky plant

Toyota Motor will start making two battery-powered sport utility vehicles at its U.S. Kentucky plant, as part of a move to improve manufacturing efficiency and better serve market demand, the Japanese automaker said.

The company will assemble two new three-row battery electric SUVs it plans to make at Toyota Kentucky, Toyota Motor North America said in a statement, adding it is “strategically transitioning” production across its Kentucky and Indiana plants.

“Toyota Indiana will continue to assemble the Grand Highlander in its west plant and add assembly of the vehicle to its east plant to accommodate increased production volume,” the company said in the emailed comment to Reuters.

The electric vehicles it plans to build in Kentucky will be based on the RAV4 and the Land Cruiser, said a person familiar with the matter, speaking on condition of anonymity because they were not authorised to speak publicly.

Toyota will end production of the ES sedan of its luxury Lexus brand at the Kentucky plant, the person said. The next-generation version of the model, due next year, will be manufactured in Japan, as the company announced in 2021.

In the U.S., Toyota currently makes Lexus ES sedans at its Kentucky plant and Lexus TX sport utility vehicles at its Indiana facility.

On Tuesday, the Nikkei newspaper reported Toyota would consolidate production of Lexus brand cars in the U.S. to a single location in the face of high tariffs imposed by the Trump administration.

In response to that report, Toyota said the information was not something announced by the company, adding that it continually reviews its production structure as part of efforts to make ever-better cars.

Source: Reuters

- Agencies