Toyota rethinks US BEV production amid low sales

Toyota intends to delay the production of battery electric vehicles (BEVs) in the US until H1 2026, according to a 3 October 2024 article by Nikkei. The automaker previously invested US$1.3bn in its Kentucky facility to manufacture a three-row electric SUV starting in late 2025.

The publication stated that poor regional EV sales growth and design adjustments were the primary motivating factors. In addition, Toyota is reportedly backtracking on its plan to manufacture Lexus SUVs in the US—these will be exported from Japan instead—and reducing its 1.5-million-unit 2026 global BEV manufacturing target by 500,000.