Toyota Motor Manufacturing Indiana Plans Princeton Electric Vehicle Production
The new $803 million investment will equip the Princeton manufacturing line for two new electric vehicles, one Toyota and one Lexus, officially introducing the Lexus line to TMMI. The investment will also support employee training and supplier re-tooling at supplier facilities. Production of the new vehicles is expected to begin mid-to-late 2023, state officials noted.
The project marks TMMI’s third major expansion in the last four years, following investment announcements in 2020 and 2017 to invest a combined $1.3 billion in its Princeton operations and create 550 new jobs. Toyota’s total investment in the Princeton site has reached $6.6 billion and the company now assembles more than 420,000 vehicles each year.
“Over the past 20 years, Toyota has led the way with more electrified vehicles on the road than all automakers combined,” said Ted Ogawa, president and CEO of Toyota Motor North America. “This investment and new vehicle line-up will only allow us to continue our work with electrification, expand our portfolio to around 70 models globally by 2025, and meet the needs of our customers while allowing us to accelerate toward a net-zero carbon future.”
As an incentive, pending approval of the Indiana Economic Development Corporation (IEDC) board of directors, the IEDC will offer Toyota Motor Manufacturing Indiana up to $7.25 million in conditional tax credits and up to $1 million in conditional training grants based on the company's plans to create up to 1,323 jobs by the end of 2023. The IEDC also offered up to $6.75 million in conditional tax credits from the Hoosier Business Investment tax credit program based on the company's planned capital investment in Indiana. All of these tax credits are performance-based, meaning the company is eligible to claim incentives once Hoosiers are hired and investments are made.
“Toyota has been an incredible partner to the state of Indiana for nearly 25 years, and we're thrilled to continue that partnership in order to drive our economy forward,” said Governor Eric. J. Holcomb. “Indiana is proud to be home to the highest concentration of manufacturing jobs in the nation, while providing a skilled workforce that is contributing to the success of companies across a variety of industries. I can’t thank Toyota enough for the role they play in the strength of our manufacturing sector.”
According to IEDC, the two all-new vehicles join Toyota’s electrified product portfolio and will help the company get another step closer to its global commitment toward carbon neutrality by 2050. The automaker aims to achieve this goal with not only the type of vehicles produced but also the production process itself. TMMI’s environmental team has invested more than $4 million in carbon dioxide reduction projects with another $2.7 million committed for the coming year.
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