File photo taken in December 2021 shows then Toyota Motor Corp. President Akio Toyoda explaining the automaker’s electric vehicle strategy in Tokyo. (Kyodo)
Toyota Motor Corp. said Thursday it will delay the start of electric vehicle production in the United States, with sources saying the schedule will be pushed back by several months to 2026 in an effort to ensure the quality of its products.
The world’s largest automaker by volume had originally planned to begin producing three-row electric sport utility vehicles at its Kentucky plant in 2025. The delay comes as Toyota has reviewed its EV global output target for 2026 amid slow demand for the all-electric vehicles.
In a statement, Toyota said the schedule for the start of EV production in North America “has been delayed from the initial plan” as it reviewed the timing in the hope “to deliver better products” to consumers.
Toyota said in February it will invest $1.3 billion in the Kentucky factory. It also plans to produce EVs in Indiana from 2026 with an investment of $1.4 billion, making it the company’s second EV production site in the United States.
Joining other global automakers that reconsidered their strategy due to decelerated sales of EVs, Toyota also lowered its global production target for EVs for 2026 by around 30 percent, saying it now aims to produce around 1 million units, sources familiar with the matter said earlier.
The global EV market initially experienced explosive growth thanks to popular models made by Tesla Inc. and China’s BYD Co. But sales in the segment have slowed partly due to high costs and a lack of charging stations.
Toyota is also renewing its focus on quality control after a series of vehicle certification misconduct cases were uncovered at its group earlier this year, ranging from data rigging to using testing standards not approved by the Japanese government.
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