Automotive Fleet
MenuMENU
SearchSEARCH

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.

Ad Loading...

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.

Ad Loading...

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.

More Vehicle Research

2027 Ram ProMaster City
Vehicle Researchby StaffAugust 31, 2026

2027 Ram ProMaster City Starts Under $40K

Ram is returning to the smaller commercial van market with a new ProMaster City aimed at delivery, service, trade, and passenger applications. Starting at $39,995 with destination, the 2027 van offers up to 2,000 pounds of towing capacity, more than 2,000 pounds of payload, and multiple cargo and passenger configurations.

Read More →
An AF news recap blue and white thumbnail
Vehicle Researchby Faith HowellAugust 28, 2026

New Tariff Threats & a Leadership Change at Wheels | AF News Recap

A new tariff threat is creating more uncertainty for fleet ordering, Wheels has named a new president, and we’re asking whether certification is really worth the investment.

Read More →
A certification symbol with text over it
Vehicle Researchby Faith HowellAugust 28, 2026

Certification: What’s in It for the Fleet Manager?

From smarter fleet decisions to stronger career credibility, certification can give fleet managers knowledge they may never gain inside a single operation.

Read More →
Ad Loading...
Graphic for the new Wheels president with Matthew Cole's headshot on the left
Vehicle Researchby News/Media ReleaseAugust 27, 2026

Wheels Names Matthew Cole President

Cole brings more than 30 years of automotive and technology experience to the fleet management company, including leadership roles at Aptiv, Visteon and Johnson Controls.

Read More →
An AF news recap thumbnail
Vehicle Researchby Faith HowellAugust 22, 2026

AI is changing what fleet managers can build & 849,000 vehicles recalled | AF News Recap

Fleet managers are learning how to build their own AI-powered tools, Stellantis is recalling nearly 849,000 vehicles, and this year’s Fleet Manager of the Year finalists have been revealed. Additionally, we’re examining how to identify repairs that warrant a second look. Here’s what you need to know this week.

Read More →
Geotab idling report graph
Vehicle Researchby StaffAugust 21, 2026

Geotab Study Finds $105M Opportunity in Reducing Fleet Idling

A study of more than 2.6 million commercial vehicles found that targeting the worst-performing fleet vehicles could save 24.2 million gallons of fuel annually.

Read More →
Ad Loading...
a Ram 1500 on the road
Vehicle Researchby StaffAugust 18, 2026

Stellantis Recalls Nearly 849,000 Vehicles for Rearview Camera Issue

Nearly 849,000 Chrysler, Dodge, Jeep, and Ram vehicles are affected by a software issue that can prevent the rearview camera image from appearing. Stellantis plans to address the issue through an over-the-air software update.

Read More →
The 2026 Jeep Grand Cherokee
Vehicle Researchby News/Media ReleaseAugust 18, 2026

2027 Jeep Grand Cherokee Adds Upland, Trailhawk and Overland Trims

The 2027 Grand Cherokee lineup adds new trim options, updated standard technology and a choice of V6 or turbocharged four-cylinder powertrains.

Read More →
AF news recap
Vehicle Researchby Faith HowellAugust 14, 2026

The Tools Are Smarter, but Are Your Fleet Strategies? | AF News Recap

From a fleet manager’s critical first 90 days to why more technology doesn’t automatically mean better safety, this week is all about turning tools into results.

Read More →
Ad Loading...
City of Carlsbad public works superintendent sits across from publisher for Automotive Fleet Chris Brown
Vehicle Researchby StaffAugust 14, 2026

Beyond the Hype: How AI Can Make Fleets More Productive

How can AI actually make fleets more efficient?

Read More →