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Video 650 Toyota sparks buzz after indicating major strategy shift: 'Based on market demand'
Despite Toyota's lofty perch at the top of global vehicle manufacturing, EVs remain at the bottom of the automaker's list, never a priority in a strategy focused on profitability, hybrids, and gradual transition.
However, recent changes at Toyota's Kentucky plant may be an indication of the auto giant's shifting priorities as it heads into 2026.
Following a $1.3 billion investment in the Kentucky plant for electrification, including a battery pack assembly line, Toyota is bringing two new EV SUVs to the forefront while moving production of the Lexus ES to Japan.
Toyota has had immense success with its line of hybrids, though its late entry into the EV market (2022 with the bZ4X) has allowed massive EV brands like Tesla to capture a huge market share in the U.S.
Part of the shift is attributed to President Trump's tariffs, which can be avoided by localizing production. However, the Kentucky plant changes are a clear step toward prioritizing EVs, especially considering SUVs represent Toyota's leading seller in the U.S.
With the new models rumored to be based on the RAV4 and Land Cruiser, that should satisfy a broad consumer base, especially amid growing EV support throughout the country.
Story by Thomas Godwin
#toyota #evs #electricvehicles #kentucky #mattrieck
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