Toyota is amping up its U.S. production, doubling the size of its Texas plant by 2030.
Nearly five years after it moved all its midsize truck production to Guanajuato, Mexico, Toyota announced this week it would bring most of that production back to the United States as part of a $3.6 billion expansion of its San Antonio, Texas plant. This move comes after the world’s current largest automaker said back in November it would pour $10 billion into its American operations by 2030.
The multi-billion dollar investment will add a second assembly line at the San Antonio facility. In the process, Toyota says it will add 2,000 jobs to the local economy, as well as boost its overall production output by 150,000 units annually. The company currently builds the full-size Tundra pickup and Sequoia SUVs at the plant, which drove the late 2021 move to allocate Tacoma production down to Mexico. Now, days after the U.S. declined to extend the key United States-Mexico-Canada agreement (USMCA), the company announced its effort to shift production back from Baja California.
The current trade deal, barring alterations or annual negotiations breaking down as all three countries work toward a long-term renewal, is still in force for another 10 years.
“By expanding our San Antonio plant, we are deepening our commitment to American manufacturing, creating meaningful and sustainable jobs, while advancing our mission to deliver high-quality vehicles that meet the changing needs of customers today and into the future.”
Since breaking ground on its Texas facility in 2003, Toyota says it has invested $8.3 billion into the current 2,000-acre site. With this latest expansion, the plant may ultimately grow to 6,000 workers, supported by 23 on-site suppliers as the automaker centralizes its popular midsize and full-size truck offerings, along with its three-row, body-on-frame SUV.
Even with the move, Toyota says it remains “committed to its operations” throughout North America, including Canada and Mexico. To that end, it will still build some Tacoma trucks at the Guanajuato plant, though it appears those trucks would not be produced for sale inside the U.S. Instead, trucks meant for the American market will come from San Antonio, though Toyota says the full transition will take roughly four years to complete.
