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.
U.S. Secretary of State Marco Rubio will begin a two-day visit to Slovakia and Hungary on Sunday (15 February), aimed at strengthening ties with the t...
The Munich Security Conference concludes on Sunday (15 February) with discussions centred on Europe’s role in an increasingly unstable global landsc...
Start your day informed with AnewZ Morning Brief: here are the top news stories for the 15th of February, covering the latest developments you need to...
Australia will spend A$3.9bn to build a new shipyard for AUKUS nuclear-powered submarines, Prime Minister Anthony Albanese has announced, marking a ma...
Britain, France, Germany, Sweden and the Netherlands said on Saturday (14 February) they are convinced that late Kremlin critic Alexei Navalny was poi...
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.
Toyota sold 10.8 million vehicles in 2024, remaining the world’s top-selling automaker for the fifth consecutive year. However, sales in China dropped by 6.9%, and global sales fell by 3.7%, mainly due to challenges in Japan.
American figure skating star Ilia Malinin endured a dramatic collapse in the men’s free skate on Friday night, falling twice and tumbling out of medal contention at the Milan Cortina Winter Olympics as Kazakhstan’s Mikhail Shaidorov surged to a surprise gold medal.
U.S. Ambassador to NATO Matthew Whitaker said China has the power to bring an end to Russia’s war in Ukraine, arguing that Beijing is enabling Moscow’s military campaign.
“Respected and feared globally,” U.S. President Donald Trump told troops at Fort Bragg on Friday (13 February), framing America’s renewed strength against to mounting pressure on Iran amid stalled nuclear talks.
Dubai-based global ports operator DP World said on Friday that its long-serving chairman and chief executive, Sultan Ahmed Bin Sulayem, has stepped down following mounting pressure linked to alleged ties to disgraced financier Jeffrey Epstein.
Speaking at Munich Security Conference, Ukrainian foreign minister Andrii Sybiha calls for decisive steps ahead of expected Geneva talks
Millions of Colombian roses have arrived in the United States just in time for Valentine’s Day, keeping the country on track as the world’s second-largest flower exporter. Between 15 January and 9 February, Colombia shipped roughly 65,000 tons of fresh-cut blooms.
Russia’s car market is continuing to receive tens of thousands of foreign-brand vehicles via China despite sanctions imposed after Moscow’s full-scale invasion of Ukraine in 2022, a journalistic investigation has found.
Türkiye’s national energy company, TPAO, has struck a new cooperation deal with U.S. energy giant Chevron, signing a memorandum of understanding to explore joint oil and gas exploration and production opportunities, the Turkish Energy and Natural Resources Ministry announced on Thursday.
Wall Street ended sharply lower on Tuesday as investors worried about artificial intelligence (AI) creating more competition for software makers, keeping them on edge ahead of quarterly reports from Alphabet and Amazon later this week.
U.S. stock markets finished mixed on Wednesday (28 January) as investors reacted calmly after the Federal Reserve left interest rates unchanged, a decision that had been widely expected and largely priced in.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment