Toyota Expands EV Lineup, Invests $800M in Czech Plant

Toyota, the world's largest automaker, is investing $800 million to expand its Czech plant and build a new EV, its first electric vehicle produced in Europe. The upgrades will include a new paint and welding shop, a dedicated battery assembly facility, and a new EV battery assembly plant. The new EV will be part of Toyota's plan to expand its lineup and stay competitive in Europe, where Chinese EV makers are gaining ground. Production is expected to start as early as 2028.

Toyota, the world's largest automaker, has announced plans to invest $800 million in expanding its manufacturing plant in the Czech Republic. The investment will include the construction of a new battery electric vehicle (BEV) assembly plant and other upgrades, making it the first European facility to produce such vehicles [1].

The expansion, which will increase the plant's size from approximately 1.63 million square feet to roughly 1.86 million square feet, is part of Toyota's strategy to achieve carbon neutral operations in Europe by 2024 [1]. The new BEV, set to be produced at Toyota Motor Manufacturing Czech Republic (TMMCZ) in Kolin, will be a significant milestone for both the company and the Czech Republic.

The Czech government has invested up to $74 million to support the building of the facility, with Toyota contributing approximately $740 million [1]. The expansion will create 245 new job opportunities in the region, further boosting the Czech automotive industry, which accounts for around 10% of the country's GDP [1].

The new EV will be part of Toyota's plan to expand its lineup and stay competitive in Europe, where Chinese EV makers are gaining ground. Production is expected to start as early as 2028 [1].

Toyota's investment signals a further roll-out of its multi-pathway strategy designed to achieve its objective of carbon neutral operations in Europe by 2040 [2]. The new BEV production will enhance Toyota's presence in the European market and contribute to more efficient transportation.

The Czech Republic's Prime Minister, Petr Fiala, expressed his gratitude for securing Toyota's investment, stating that it is crucial for the future of the Czech automotive industry and for transitioning the economy to higher added value [2]. Minister of Industry and Trade, Lukáš Vlček, also emphasized the importance of the investment, highlighting the country's strong infrastructure, skilled workforce, and stable business environment [2].

Toyota's commitment to sustainable mobility and innovation is evident in this project. The company has a history of investing in TMMCZ, with previous investments totaling approximately $1.32 billion since 2002 [2].

References:
[1] https://www.upi.com/Top_News/US/2025/09/03/eu-toyota-to-build-new-czech-ev-battery-plant/2131756907806/
[2] https://media.toyota.co.uk/toyota-announces-a-new-battery-electric-vehicle-to-be-produced-in-europe/