Toyota (7203.T) announced Thursday that it would invest $328 million in a plant in Guanajuato, Mexico, to adjust its production processes for a new hybrid Tacoma pickup truck.
“The new version of the ‘Mexican pickup’ will be hybrid electric, which means Guanajuato will now form part of the company’s electrification production strategy,” Toyota said.
It said that the cash would assist in adapting new Tacoma manufacturing for North America.
It said that since announcing the facility, Toyota had invested nearly $1.2 billion in Guanajuato and created over 2,500 jobs.
Guanajuato governor Diego Sinhue visited Japan before the announcement.
As pollution restrictions tighten to combat climate change, carmakers are switching from internal-combustion engines to electric vehicles.
Mexico, a major automaker, exports many electric vehicles to the US because drivers in much of the country lack charging stations, making them too expensive and impractical.
Mexico has 1,100 charging stations, largely in large cities, limiting long-distance EV journeys. Industry analysts suggest hybrids until EVs receive more funding.
Tesla said in March that it would establish a “gigafactory” in Nuevo Leon to boost worldwide production.
At this year’s COP27 climate meeting, Mexico, the Americas’ third-largest greenhouse gas emitter, vowed to sell 50% zero-emission automobiles by 2030 and double its clean energy capacity.
Comment Template