Particle.news
Download on the App Store
38 ARTICLES
·
last wk.

Toyota to Spend $3.6 Billion to Expand San Antonio Plant, Move Most Tacoma Production From Mexico

Toyota cites rising U.S. tariffs on Mexican-made vehicles as the reason for an expansion meant to shift Tacoma output to Texas.

Newly assembled vehicles are seen at a stockyard of the automobile plant Toyota Motor Manufacturing of Baja California in Tijuana, Mexico, April 30, 2017. REUTERS/Jorge Duenes/File Photo
Image
A $3.6 billion investment will add a second vehicle assembly line to the South Side plant to transfer production of the Tacoma truck from Mexico to Texas.
Image

Overview

  • Toyota announced Monday that it will invest $3.6 billion to add a second assembly line at its San Antonio campus and to return most Tacoma production from its Baja California plant to Texas.
  • The project will roughly double the plant footprint by 2030, add about 2,000 U.S. manufacturing jobs, and boost annual capacity at the site from roughly 200,000 to about 350,000 vehicles.
  • Toyota plans a gradual, roughly four-year transfer of most Tacoma assembly from Tijuana to San Antonio while continuing some Tacoma production at its Guanajuato, Mexico plant.
  • Company officials say the move is intended to lower exposure to U.S. duties on vehicles imported from Mexico and to align with a broader plan to invest more than $10 billion in U.S. operations through 2030.
  • The expansion is supported by state incentives including a $20 million Texas Enterprise Fund grant and a new rear-axle plant is set to begin production this autumn, but Toyota has not announced what will replace lost Tacoma output at the Baja facility.