The Toyota Camry is produced at the automaker’s plant in Georgetown, Kentucky.
Provided by: Toyota
toyota motors announced Monday that it will invest $1 billion in two U.S. factories as part of a plan to invest up to $10 billion domestically over the next five years.
The new investment includes $800 million in a plant in Georgetown, Kentucky, to increase production capacity for the company’s Camry sedan and RAV4 crossover. The remaining $200 million will be used to increase production capacity for the Toyota Grand Highlander SUV at the company’s Princeton, Indiana, plant.
“Toyota’s investment in the U.S. is long-term and tied to our philosophy of making where we sell and buying where we make,” Mark Templin, Toyota Motor Corporation North America chief operating officer, said in a statement.
In November, Toyota confirmed plans to invest up to $10 billion in U.S. factories by 2030. This came about a month after President Donald Trump said in a speech that such investments would come from Japanese automakers.
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Toyota and the entire auto industry are trying to navigate production plans amid tariffs and other regulatory changes.
Changes in trade agreements and tariffs have been a major challenge for automakers under the Trump administration, costing many companies billions of dollars a year in additional costs. Toyota had previously warned that U.S. tariffs were expected to cost the automaker 1.4 trillion yen in losses in the fiscal year ending at the end of this month.
Akio Toyoda, chairman of Toyota, which employs about 48,000 people in the U.S., has been trying to win Trump’s support, wearing a red “Make America Great Again” hat and a T-shirt emblazoned with Trump and Vice President J.D. Vance at an event for U.S. officials in Japan in November.
Toyota is also the first Japanese automaker to commit to a plan to export U.S. cars to Japan following changes to Japan’s auto import rules agreed through a trade deal with the Trump administration last year.
