In a bid to fulfil its commitment towards electrification of its fleet, the Japanese carmaker Toyota announced that it will invest $ 383 million in four of its US manufacturing plants that build engines for new Toyota and Lexus vehicles.
According to a communication from the carmaker, the new investment will support the production of four-cylinder engines, including options for hybrid electric vehicles, at its Alabama, Kentucky, Missouri and Tennessee plants.
At its Alabama plant, it will create a new four-cylinder production line with the capacity to produce engines for both combustion and hybrid electric powertrains.
Furthermore, the plant's size will be expanded by 114,000 square feet, marking the plant's sixth building addition since 2003, the release added.
Toyota Alabama has the capacity to build 900,000 engines annually and represents a nearly $ 1.5 billion investment, the company said.
While the Kentucky plant is expanding the flexibility of the four-cylinder engine line, announced last fall. With this, the plant will be better positioned to meet customer demand. The plant's powertrain facility can produce up to 600,000 units annually, the release added.
It must be noted that the Kentucky facility is its largest plant globally, producing seven Toyota and Lexus models and four-cylinder and six-cylinder powertrains. Overall, the plant represents an $ 8.5 billion investment.
Toyota Missouri's investment offers new equipment for producing four-cylinder engine heads on three different production lines.
The plant, which represents a $ 564 million investment, has the potential to produce more than three million cylinder heads each year.
While Toyota Tennessee will update equipment to build new four-cylinder engine blocks, the plant can produce more than two million engine blocks annually and represents a $ 425 million investment.
In addition to the improvements to its manufacturing facilities, the company is investing in the future workforce. It recently announced Driving Possibilities, a $ 110 million initiative to support PreK-12 education and beyond to improve communities and get young people excited and prepared for the job market.
Norm Bafunno, Senior Vice President, Unit Manufacturing and Engineering, Toyota, said, 'These investments allow us to meet customer needs and quickly respond to an evolving market. We are committed to investing in the US, and our teams are ready to take on this new challenge.'
The company last year announced new investments totalling $ 5.1 billion into its US manufacturing operations to support electrification efforts, demonstrating its commitment to building where it sells and supporting local economies.
Toyota's US plants produce half of the vehicles it sells in the US, and its North American assembly facilities produce more than 76% of the vehicles it sells in the US.