Toyota to invest US$3.4 billion in the U.S.

Toyota Motor is following the trend set by other leading automakers as it sets out to ramp up investment in electrification. 

The firm announced on Monday that it is set to invest US$3.4 billion in battery development and production in the United States through 2030.

The investment will be facilitated via the Japan-based auto manufacturer’s North American arm. It includes plans for a new US$1.3 billion electric vehicle battery plant which will operate under a new firm alongside its metals unit Toyota Tsusho. 

It is expected that the plant will commence production in 2025 and go through further expansion in the years leading up to 2031. By 2031, the plant will be home to about 1,750 people. The company has declined to reveal the planned location of the plant.

This project is part of a larger plan by Toyota to invest US$13.5 billion across the globe to compete with other auto manufacturers who have already announced huge financial commitments devoted to ramping up battery development and different electrification projects.