According to www.cnbc.com, Toyota Motor is investing $3.6 billion to relocate production of its Tacoma midsize pickup truck from a plant in Tijuana, Mexico, to its manufacturing campus in San Antonio, Texas.
Plant expansion and capacity increase
The investment will expand the San Antonio facility’s annual production capacity from roughly 200,000 to 350,000 units by 2030. The plant — currently 2.7 million square feet — will be nearly doubled in size, and a second vehicle assembly line will be added. Toyota expects the project to create 2,000 U.S. jobs at the site.
The San Antonio plant already produces the Tundra full-size pickup (including a hybrid variant) and the Sequoia SUV hybrid. Toyota previously committed $531 million to build a rear axle plant on the same campus, scheduled to begin production in the fall.
Strategic North American realignment
This move is part of Toyota’s broader commitment to increase domestic U.S. investment by up to $10 billion more than previously expected through 2030. Since the plant’s groundbreaking in 2003, Toyota has invested $8.3 billion in the San Antonio campus alone.
A Toyota spokeswoman confirmed the company is “maintaining its operations in Mexico” while shifting Tacoma production over the next four years. She clarified that Tacoma production will continue at Toyota’s plant in Guanajuato, Mexico, and emphasized:
“This investment expands Toyota’s manufacturing capacity and complements our broader North American production network.”
The relocation reverses a decision made more than six years ago, when Toyota moved Tacoma production from Texas to Guanajuato. The new initiative, internally codenamed Project Orca, was first reported by Automotive News in May.
Market context and competitive positioning
Toyota Motor North America CEO Ted Ogawa stated:
“Toyota’s continued investment in North America is a testament to our confidence in the region’s workforce, innovation and long-term growth potential. By expanding our San Antonio plant, we are deepening our commitment to American manufacturing, creating meaningful and sustainable jobs, while advancing our mission to deliver high-quality vehicles that meet the changing needs of customers today and into the future.”
The automaker employs 48,000 people in the United States. Its U.S. sales rose 0.5% in the first half of 2026, reaching 1.24 million vehicles — narrowing the gap with General Motors, which sold 1.34 million vehicles during the same period, a 6.8% decline year-over-year. This shift reflects Toyota’s sustained emphasis on hybrid vehicles amid slower-than-expected adoption of all-electric models.
Source: CNBC
Compiled from international media by the SCI.AI editorial team.
