Toyota has signed a $2 billion deal to build a wholly-owned electric vehicle plant in Shanghai, as the Japanese automaker strengthens its position in China’s growing EV market during heightened US-China trade tensions.
Japanese automaker Toyota Motor Corporation has signed a $2 billion agreement to establish a fully-owned electric vehicle (EV) plant in Shanghai, state media reported on Tuesday. The announcement comes as trade tensions between the United States and China escalate, with tariffs impacting key industries, including automotive and metals.
Toyota reached the deal with the Shanghai municipal government, aiming to enhance its presence in the world’s largest automotive market. According to Beijing-based Xinhua News, the company will invest a total of 14.6 billion yuan (approximately $2 billion) in the new energy vehicle (NEV) project based in Shanghai’s Jinshan district.
The project will focus on the research, development, production, and sales of Lexus-branded EVs and electric vehicle batteries. It follows a similar move by Tesla, which established its Shanghai Gigafactory in the city.
Tatsuro Ueda, chief executive officer of the China Region and chairman of Toyota Motor (China) Investment, said the initiative would introduce advanced technologies, contributing to a leading carbon neutrality model with global influence.
Construction of the plant is scheduled to begin in June, with production expected to start in 2027. While Toyota did not confirm production capacity details on Tuesday, earlier estimates in February suggested an initial output of around 100,000 units per year. The project is expected to create roughly 1,000 new jobs during its early phase.
The announcement follows Honda Motor’s decision to relocate parts of its production to the United States, as Japanese companies adjust to avoid a 24% tariff imposed by the Trump administration. The tariff policy affects automotive, steel, and aluminum products, while negotiations between Tokyo and Washington continue after a 90-day tariff reprieve for all nations except China.
As the US has raised tariffs on Chinese imports to as high as 245%, Beijing has responded with tariffs reaching up to 125% on American goods.
Iran suggested it would be "unreasonable" to proceed with talks to forge a permanent peace d...
Memorial events were held in Tehran’s main squares on Wednesday (8 April) to mark the 40th day since the ...
A barrage of Russian drones targeted and damaged a critical power substation in Ukraine's southern Odesa re...
NATO Secretary General Mark Rutte said on Wednesday he believes that some ...
Start your day informed with the AnewZ Morning Brief. Here are the top storie...
Major automakers showcased new electric vehicles at the New York Auto Show this week, under the slogan “electrification is the future." However, weakening demand in the United States and intense competition with China are raising questions for markets across the globe, including the South Caucasus.
Japanese automaker Toyota announced on Wednesday that it will manufacture its new battery electric vehicle (BEV) at its plant in Kolín, Czechia — the company’s first all-electric model to be produced in Europe.
An explosion at Chuo Spring Co.'s plant in Toyota, Japan, has resulted in one death and two injuries, officials reported on Thursday.
Toyota Motor sold 10.8 million vehicles in 2024, maintaining its position as the world’s top-selling automaker for the fifth consecutive year despite a 3.7% decline in global sales, the company announced Thursday.
China and Russia vetoed a United Nations Security Council resolution on Tuesday aimed at coordinating defensive efforts to protect commercial shipping in the Strait of Hormuz, leaving no agreed international framework for securing the vital route.
Lebanon’s Hezbollah said it had stopped firing on northern Israel and Israeli forces on Wednesday as part of a two-week ceasefire in the Middle East brokered between the United States and Iran. However, a Hezbollah lawmaker warned that the pause could collapse if Tel Aviv does not adhere to it.
Pakistan’s Prime Minister Shehbaz Sharif said Iran and the United States, along with their allies, have agreed to an immediate two-week ceasefire covering all areas, but Israel says the deal excludes Lebanon. Tel Aviv says the U.S. is committed to achieving shared goals in upcoming negotiations.
Recent U.S. complaints about NATO allies and threats to quit the alliance are pushing European countries to seek alternative security arrangements, Spanish Foreign Minister Jose Manuel Albares said on Tuesday.
Construction has begun on a major new solar power project in Xizang, as China continues to expand its renewable energy capacity and push towards a greener future.
Walt Disney is planning to cut up to 1,000 jobs in the coming weeks, with many of the reductions expected to affect its marketing division, The Wall Street Journal reported on Wednesday, citing sources familiar with the plans.
Major automakers showcased new electric vehicles at the New York Auto Show this week, under the slogan “electrification is the future." However, weakening demand in the United States and intense competition with China are raising questions for markets across the globe, including the South Caucasus.
The U.S. national average retail price of petrol rose above $4 a gallon for the first time in over three years on Monday (30 March), according to GasBuddy data, as the U.S.–Israeli war with Iran continued to roil global energy markets.
Japan and Indonesia will deepen coordination on energy security, Tokyo said, as the U.S.-Israeli war on Iran disrupts vital oil and gas flows to Asia.
China's three largest state-owned airlines have issued warnings regarding their financial outlook for the current year, acknowledging that the eruption of war involving Iran has driven jet fuel prices to unsustainable highs.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment