Toyota plans electric vehicle venture in Shanghai, North Carolina

Toyota is launching a new electric vehicle venture in Shanghai, partnering with the Shanghai government to establish a company focused on electric vehicles and battery technology under its Lexus brand. This initiative will introduce Lexus’s first factory in China, aiming to produce 100,000 EVs annually by 2027 and create approximately 1,000 jobs. The automaker is also investing in a $14 billion battery manufacturing facility in North Carolina to support its North American models, highlighting its aggressive push in the electric car sector amid criticism for falling behind rivals like Tesla and BYD. Toyota’s strategic move comes as it seeks to enhance its presence in China, where sales have declined, and to contribute to the country's carbon neutrality goals by 2060. Despite challenges, including a recent certification scandal and global sales drops, Toyota reported a significant profit increase, indicating a recovery in its operations. This venture marks a pivotal step for Toyota in the luxury electric vehicle market and aims to resonate with Chinese consumer preferences.