Interestingly, the announcement is part of Toyota’s plan to invest up to $10 billion more than previously expected in U.S. manufacturing through 2030. It also comes shortly after the Trump administration said it would not extend the current trilateral trade pact with Canada and Mexico, and is instead choosing to do annual reviews.
The San Antonio campus already builds the Toyota Tundra full-size pickup, including a hybrid version, as well as the Toyota Sequoia hybrid SUV. Since breaking ground in San Antonio in 2003, Toyota says it has invested $8.3 billion in the site. However, Toyota is not fully leaving Mexico. A company spokeswoman told CNBC that Toyota will keep its Mexican operations as Tacoma production shifts from Tijuana to Texas over the next four years. In addition, the automaker plans to continue making Tacoma pickups at its plant in Guanajuato, Mexico.
Toyota Is Narrowing the U.S. Sales Gap with General Motors
Separately, Toyota is narrowing the U.S. sales gap with General Motors (GM), thanks to strong demand for hybrids and a broader lineup of new models. More precisely, through the first half of the year, Toyota’s U.S. sales rose 0.5% to 1.24 million vehicles, while GM’s sales fell 6.8% to 1.34 million.
