Toyota unveils a bold Global Vision 2025, committing to 15 new electric models, a $14 billion North Carolina battery plant now expanded to $22 billion, and launching the Woven City smart city to pioneer autonomous and sustainable mobility.
Toyota, the world’s largest automaker, is aggressively shaping the future of transportation through its Global Vision 2025, a plan centred on innovation, sustainability, and a dynamic approach to electrification and autonomous driving. This vision reflects Toyota’s deep commitment to redefining global mobility while addressing environmental challenges and evolving market demands.
At the heart of Toyota’s strategy is a multi-pathway electrification approach that integrates battery electric vehicles (BEVs), hybrid electric vehicles (HEVs and PHEVs), and hydrogen fuel cell vehicles (FCEVs). This flexible framework allows Toyota to tailor vehicle offerings to diverse regional infrastructures and regulatory landscapes. By 2025, Toyota plans to launch 15 new BEV models, including the bZ4X SUV and the bZ5 crossover, with aspirations to achieve global annual sales of 3.5 million BEVs by 2030. Lexus, Toyota’s luxury arm, is also aiming for full electrification in key markets, underlining the company’s broad commitment to green mobility.
This electrification push is part of Toyota’s ambitious Environmental Challenge 2050, which aims to reduce CO₂ emissions from new vehicles by 90%, transition to zero-emission manufacturing, and ensure comprehensive vehicle recyclability. These targets embody Toyota’s long-term commitment to global sustainability.
A striking element of Toyota’s innovation portfolio is the development of Woven City, a $10 billion smart city project at the base of Japan’s Mount Fuji, scheduled to welcome its first residents by late 2025. Woven City will serve as a testbed for autonomous vehicles (AVs), AI-driven infrastructure, and clean energy solutions, showcasing Toyota’s vision of a fully integrated urban mobility ecosystem. The company’s subsidiary, Woven by Toyota, is pioneering software-defined vehicles and advanced autonomous driving capabilities, with strategic alliances like the one with NVIDIA to advance Level 3+ autonomy. The e-Palette, a modular autonomous electric vehicle designed for shared mobility and urban logistics, further exemplifies Toyota’s innovative urban transportation models.
To support its expanding EV portfolio, Toyota is significantly upgrading its manufacturing infrastructure. The adoption of AI-driven automation, predictive maintenance, and digital twin technologies is expected to enhance production efficiency and reduce defects. Toyota aims to increase its EV production capacity to 600,000 units by 2025. Central to this effort is the strengthening of its battery supply chain. The acquisition of Prime Planet Energy & Solutions (PPES) and the establishment of a substantial $14 billion battery plant in North Carolina, USA—a facility expected to create around 5,000 jobs by 2025—reflect Toyota’s commitment to securing stable battery supplies amid rising global demand. This plant, located near Greensboro, is Toyota’s first dedicated battery production site in North America and is poised to supply lithium-ion batteries critical to Toyota’s goal of selling between 1.5 to 1.8 million electric or hybrid vehicles annually in the U.S. by 2030. This investment was recently doubled by an additional $8 billion, signalling Toyota’s robust confidence in the North American market and the incentives provided by policies such as the Inflation Reduction Act. Despite certain political uncertainties, including criticism and threats to tax credits linked to EVs from political figures like former President Donald Trump, Toyota remains steadfast in executing its electrification strategy in the U.S.
In Europe, Toyota plans to introduce nine fully electric models by 2026 under both Toyota and Lexus brands, reinforcing its presence amid the continent’s rapidly growing EV demand. The rollout will begin in 2025 with three new electric SUVs—updated versions of the bZ4X, Urban Cruiser, and C-HR+—followed by additional models including Lexus’s first RZ SUV. Meanwhile, in the U.S., Toyota is set to begin assembling a large three-row electric SUV in Georgetown, Kentucky, from 2025, reflecting its recognition of the shifting American market toward EVs while continuing to maintain a balanced portfolio that includes hybrids and hydrogen fuel cell vehicles.
Toyota’s leadership transition marks a strong acceleration in this electrification push. Since Koji Sato succeeded as CEO in April 2023, the company has publicly reiterated its multipronged carbon neutrality strategy. Although Toyota faces criticism for historically lagging behind full EV pioneers such as Tesla and BYD, Sato’s tenure signals a spirited pivot with plans to introduce ten new EV models by 2026, a significant increase from the previous two. Despite slower EV sales in certain regions like the U.S. last year, Toyota has achieved record global sales credited to its diverse range of hybrid, plug-in hybrid, fuel cell, and battery electric vehicles currently exceeding 23 million on roads worldwide.
Toyota’s expansion into key markets like China further illustrates its global ambitions. Collaborating with the Shanghai government, Toyota intends to establish a facility in the Jinshan district targeted at producing 100,000 vehicles annually and generating around 1,000 jobs, with Lexus EV production slated to commence in 2027. Financially, Toyota appears to be on a strong footing, with its fiscal third-quarter profit rising 61% to 2.19 trillion yen ($14 billion) and an upgraded profit forecast reflecting recovery momentum and strategic investment returns.
In conclusion, Toyota’s Global Vision 2025 encompasses more than a roadmap; it is a comprehensive, forward-looking strategy designed to tackle environmental imperatives while innovating the automotive and mobility landscapes. By harmonising flexible technological pathways with revolutionary urban projects and robust manufacturing investments, Toyota aims to lead the industry towards a sustainable, smart, and inclusive transportation future. This balanced approach positions the company to navigate the complexities of a rapidly transitioning automotive world, melding tradition with transformative innovation.
Source: Noah Wire Services
Subscribe to Industry Updates
