Toyota Motor Corp. (TM) has announced plans to invest up to $10 billion more than previously expected in the U.S.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Toyota said it will invest an additional $10 billion in its American operations over the next five years. The announcement was made as the Japanese automaker said it has started production on a new $13.9 billion battery plant located in North Carolina.
Toyota’s management team did not provide details about the increased investment other than to say that it is a “pivotal moment” in the vehicle manufacturer’s history. The new North Carolina facility is Toyota’s first in-house battery plant to be situated outside of Japan. It was first announced in 2021 and will make batteries for hybrid and all-electric vehicles.
Boosting U.S. Manufacturing
Toyota’s American investments come as U.S. President Donald Trump pushes to revive and expand manufacturing in the country. In fact, it was Trump who first mentioned last month that Toyota planned to increase its U.S. investments by as much as $10 billion over the next five years.
Like other automakers, Toyota has been trying to navigate an environment of shifting regulations that impact electric and hybrid vehicles, as well as U.S. tariffs on new vehicles and automotive parts. Toyota’s American sales through the third quarter of this year were up 10% to more than 1.3 million vehicles.
Is TM Stock a Buy?
Most Wall Street analysts don’t cover Toyota’s U.S.-listed stock. So instead, we’ll look at the three-month share price performance. As the chart below shows, the stock of Toyota Motor Corp. has risen 6.62% in the last three months.
