Toyota Delays Planned EV Production In The U.S.

Another day, another automaker with delayed EV production. It should be familiar by now, given the fact that setbacks have regularly plagued manufacturers like Ford, Volvo, Volkswagen, GM, and more. Just last month, CarBuzz reported that Toyota was cutting back on its EV production targets by 33% over the next two years. That was the estimate offered by Nikkei, a Japanese newspaper, with that percentage equating to half a million fewer units than its initial goal. Many felt the decision was based on the EV market slowing considerably, and confidence in their hybrid and hydrogen platforms holding much of their attention.

This week, it appears the automaker’s electrified efforts are once again being scaled back as their plan to build a new three-row SUV EV in the U.S. next year is now going to be delayed, pushing production into 2026. It raises eyebrows as the company has been very public about their hopes of introducing a total of seven new electric vehicles to U.S. buyers before the end of 2026, and a total of 10 models globally in the same year.

What’s The Hold Up?

Part of the delay falls on a change in design, according to Nikkei, with newly introduced adjustments to the upcoming electric Sport Utility Vehicle requiring additional time. The setback is fodder for critics that feel the world’s largest auto manufacturer should be offering far more EV models. With a current line that only includes two electric vehicles in the Toyota bZ4X and the luxury extension brand Lexus RZ 450e, fans have been pining for more options, especially with other brands consistently bringing new EVs to market.

Shifting from 2025 to 2026 to begin production sounds rather dramatic, but the reality is, there’s a possibility it might just be a few months. Still, it’s another set back for not only the automaker’s EV front, but the brand itself, which seems to be holding back from the full-scale electric assault that it’s fully capable of. Its approach has been cautious, to say the least, but that doesn’t mean Toyota hasn’t been busy investing big dollars into their future electrification program.

Toyota’s proposed all-electric SUV is set to be built at their Georgetown, Kentucky, facility, and following that effort is another new expected SUV, also electric, to be assembled in Princeton, Indiana. Between prepping the two plants to handle the upcoming production, Toyota has invested a healthy 2.7 billion dollars between the two.

Another One Bites The Dust

There’s more. Initial plans to build a new electric Lexus SUV in the United States by 2030 have reportedly been scrapped. Those duties will instead be handed over to a Toyota facility in Japan and then transported to the U.S. for sale. This, of course, could pose a problem for buyers eager to get their $7,500 tax credit based on current guidelines regarding the matter, but those rules could, and probably will, change quite a bit by 2030.

None of this should really come as a shock to anyone, as Toyota’s approach to EVs has been slow and steady, and the Toyota Chairman himself, Akio Toyoda, has been clear about the brand’s hesitance. With hybrid vehicles still a more popular choice compared to EVs, and Toyota’s efforts in developing a more efficient internal combustion engine, don’t be surprised if additional delays in electric vehicle production make their way out of the brand’s camp.