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Toyota Invests $912 Million Into Hybrid Production

Toyota expands hybrid capacity across five U.S. plants as demand grows, adding jobs and new production lines to support its latest investment in American manufacturing.

Toyota manufacturing employee assembling hybrid powertrain components on the factory floor as part of the company’s expanded U.S. hybrid production investment.

A Toyota team member works on hybrid powertrain components as the automaker invests nearly $1 billion across five U.S. plants to expand hybrid production and add more than 250 jobs.

Photo: Toyota

3 min to read


Toyota is increasing its U.S. manufacturing capacity for hybrid vehicles as part of its broader plan to invest up to $10 billion in the country over the next five years. The company announced a $912 million investment across five U.S. plants, creating 252 new jobs and adding hybrid-electric Corolla production to its lineup.

“Customers are embracing Toyota’s hybrid vehicles, and our U.S. manufacturing teams are gearing up to meet that growing demand,” said Kevin Voelkel, senior vice president of manufacturing operations.

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The new funding expands Toyota’s powertrain and hybrid-component capacity at plants in West Virginia, Kentucky, Mississippi, Tennessee, and Missouri. The announcement follows Toyota’s long-standing approach to “build where we sell” by reinvesting profits into U.S. operations.

Breakdown of Investments by State

Toyota West Virginia – $453 million, 80 jobs
The Buffalo, West Virginia plant will expand assembly of 4-cylinder hybrid-compatible engines, sixth-generation hybrid transaxles, and rear motor stators. Production on the new operations begins in 2027. The facility currently assembles more than one million engines, transmissions, and hybrid transaxles annually and represents a $3.3 billion total investment.

Toyota Kentucky – $204.4 million, 82 jobs
Toyota’s Georgetown, Kentucky plant will add an all-new machining line for 4-cylinder hybrid-compatible engines. Production on the new line begins in 2027. With the capacity to assemble up to 700,000 units annually, the facility employs nearly 10,000 people and is Toyota’s largest global plant.

Toyota Mississippi – $125 million
Toyota’s Blue Springs, Mississippi plant will begin producing the hybrid-electric Corolla—the first time the electrified model will be assembled in the U.S. The plant employs 2,400 workers.

Toyota Tennessee – $71.4 million, 33 jobs
The Jackson, Tennessee casting plant will add three production lines to increase output of hybrid transaxle cases, housings, and engine blocks. The expansion increases capacity by nearly 500,000 units annually, with production starting in 2027 and 2028. The plant represents a $497 million investment to date.

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Toyota Missouri – $57.1 million, 57 jobs
Toyota’s Troy, Missouri casting plant will add a new cylinder head production line for hybrid vehicles. The line, launching in 2027, will boost capacity by more than 200,000 units annually. The plant’s total investment now stands at $629 million.

Supporting U.S. Electrification and Workforce Development

Toyota’s latest investments support its goal of allocating up to $10 billion toward U.S. manufacturing over five years. Today, North American plants assemble more than 75% of the vehicles Toyota sells in the United States.

Nearly half of Toyota’s U.S. sales now come from electrified models, including hybrids, plug-in hybrids, and battery-electric vehicles.

“We’re proud of our plant’s continued growth and honored to help lead Toyota’s transition into a mobility company,” said Alivia Luikart, team member at Toyota West Virginia.

Toyota is also investing in future workforce development. Through its $110 million Driving Possibilities initiative, the Toyota USA Foundation is expanding STEM-focused programs and resources for PreK–12 students, aiming to help close educational gaps and support future mobility careers.

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