Toyota to invest at least $1.6 billion to revamp Thai plant for hybrids
According to foreign media reports, a few days ago, Toyota Motor Chairman Toyoda Akio and Thai Prime Minister Paetongtarn Shinawatra has a meeting at the Thai Government House, Toyota Akio has promised that Toyota will continue to Thailand as its important production base in Southeast Asia, and will invest 55 billion baht (about 1.6 billion U.S. dollars) in Thailand in order to expand the production of hybrid vehicles
Thai Industry Minister Akanat Promphan said the investment will be used to revamp the Thai plant so that it supports the production of internal combustion engines and electric motors for hybrid vehicles. The investment will also bring jobs, technology and human resources to Thailand, said Akio Toyoda.
Paetongtarn Shinawatra reiterated that the Thai government plans to align its policies with the needs of the Thai automotive industry in order to strike a balance between the economic interests of automakers and consumers. The Thai government and Toyota agree that it is important to formulate policies and measures that meet the needs of Thai automobile users and businesses, especially in the production of hybrid vehicles. At the same time, Thailand wants to implement policies that will promote the sustainable growth of the electric vehicle industry, and the Thai government is working to advance its green energy initiatives.
Akio Toyoda thanked Paetongtarn Shinawatra and the Thai government for their longstanding support of Thailand's automotive industry. Currently, Toyota has been operating in Thailand for more than 60 years and Thailand has become an important production center for Toyota. Meanwhile, Akio Toyoda emphasized that the quality and standards of Toyota Motor's auto parts made in Thailand are comparable to those made by the company in Japan.
As a result of Toyota's strategy of focusing on hybrid vehicles, the company is reported to have sold a record 10.3 million vehicles globally in FY2024 (April 2023 to March 2024), of which 3.5 million were hybrids, a 31% increase year-on-year, while sales of electric vehicles were relatively low.
Additionally, Toyota recently slashed its 2026 global EV production target by a third. The company initially aimed to produce 1.5 million electric vehicles globally in 2026, while it is now aiming to produce about 1 million.