Toyota’s U.S. investments, confirmed plans, and unconfirmed speculation.
Toyota is investing billions in U.S. manufacturing and EVs, but rumors continue to swirl about even bolder future products. Separating fact from speculation matters for both buyers and industry insiders.
Why does this matter right now?
Toyota is not dabbling in electrification; it is betting billions. Toyota Battery Manufacturing North Carolina is scheduled to open soon with fourteen lines for hybrid and battery output. The site covers more than 1,800 acres, carries a price tag of nearly 13.9 billion dollars, and is expected to employ about 5,100 people. The factory will feed batteries to U.S.-built hybrids and EVs for both Toyota and Lexus, forming the backbone of Toyota’s electrification strategy in America.
Two new three-row EVs are confirmed. The Kentucky plant in Georgetown will assemble Toyota’s first U.S.-built battery electric vehicle starting soon. A 1.3 billion dollar investment adds battery pack assembly to the facility, tying production directly to the North Carolina supply chain. In Indiana, Toyota has committed another $1.4 billion to prepare its Princeton plant for a separate three-row electric SUV. Together, these programs signal that Toyota is not just selling EVs in the U.S. But it is building them here.
How does it compare to rivals?
Rivals have already planted their flags. Tesla operates a vertically integrated model from Nevada to Texas. Hyundai’s metaplant in Georgia is scaling up for EVs across several of its brands. Toyota’s plan is different: decentralized, multi-state, and methodical. By splitting battery, pack, and vehicle assembly, Toyota spreads risk, uses existing facilities, and leverages its hybrid expertise while competitors chase scale in single mega-plants.
For now, Toyota’s current models like the Crown Signia also play a different game. The Signia is hybrid only, with 240 horsepower, standard all wheel drive, up to 2,700 pounds of towing capacity, and 38 mpg combined efficiency. Its pricing just above 44,000 dollars slots it neatly between mainstream SUVs and Lexus territory. By focusing on hybrids with premium touches, Toyota continues to exploit an efficiency gap while rivals rush into full battery electric territory.
Who is this for, and who should skip it?
If you are an industry professional, this story underlines where Toyota is putting its real money. For consumers, it clarifies what is available now, the Crown sedan and Signia SUV, and what will be available soon, namely, Toyota’s first U.S.-built EVs. Enthusiasts and speculators, however, will want to lean into the second half of this story: the rumors Toyota is not confirming.
And Now for the Speculation: Toyota is not confirming.
This is where things get interesting. Industry chatter often fills the vacuum left by Toyota’s conservative announcements. Some speculation is logical, some fanciful, and all of it has been downplayed by Toyota spokesperson Nathan Kokes, who has emphasized that only announcements made by Toyota should be considered fact. Kokes went on to tell us, “To improve manufacturing efficiencies and better serve customers based on market demand, Toyota is strategically transitioning production across our plants in Kentucky and Indiana”.
Kokes went on to say, “As previously announced, Toyota plans to produce two all-new, three-row battery electric SUVs in the U.S. Toyota will now assemble both vehicles at Toyota Kentucky.” And “Toyota Indiana will continue to assemble the Grand Highlander in its west plant and add assembly of the vehicle to its east plant to accommodate increased production volume”. Finally, Kokes gave some insight into Toyota’s commitment to its workforce by saying, “We remain committed to providing long-term job stability for our team members.”
But the speculation from some persists. One frequent rumor is the name of Toyota’s three-row EV. Outlets often label it the “bZ5X,” following Toyota’s bZ (beyond zero) naming convention. Others expect a Lexus version called the “TZ.” Toyota has never confirmed these names, and official channels continue to describe the projects simply as future three-row battery electric SUVs.
The Crown line is another hotbed of rumor. In Japan, the Crown family includes sedan, crossover, sport, and estate body styles. Some observers expect Toyota to expand the U.S. Crown line beyond the sedan and Signia SUV, potentially with a larger three-row premium vehicle or a sportier fastback. At this time, Toyota has not confirmed such plans, but marketing material in the U.S. clearly positions Crown as a “family” of models, hinting at long-term potential.
Trucks and off-roaders draw even more speculation. At the 2023 Japan Mobility Show, Toyota revealed the EPU concept, a compact electric pickup with a footprint similar to a Ford Maverick. Many expect this to morph into a U.S. product, but Toyota has never confirmed American production. Similarly, Toyota showed the Compact Cruiser EV, a boxy small SUV in the vein of an FJ or Bronco Sport rival. Rumors continue that Toyota could launch a rugged EV or hybrid under the Land Cruiser or FJ nameplates, but again, no confirmation exists. The only rugged revival officially on the books is the Land Cruiser hybrid, which is already in American showrooms.
There are even whispers of a new sub-brand dedicated to electrification. Commentators suggest Toyota could spin off its EVs into a distinct nameplate, following the path of Lexus in the 1980s or Prius in the 2000s. Toyota has never acknowledged this idea, and so far, the closest evidence is the consistent branding of “bZ” on its vehicles.
What is the long-term significance?
The long-term view is two-sided. On the one hand, the confirmed investments are enormous and concrete. North Carolina, Kentucky, and Indiana will become the core of Toyota’s American electrification strategy, and the Crown family already plants Toyota’s premium flag between Toyota and Lexus. On the other hand, the speculation illustrates the appetite for Toyota to do more: a compact truck to take on Ford, a rugged EV to challenge Bronco, or a broader Crown brand to pull buyers away from Acura and Infiniti. For now, those remain rumors, and Toyota has made it clear that only official announcements are the truth.
