The automotive giant Toyota Motors will scrap its planned digits and make the investment three times higher than the original for producing electric vehicle batteries, according to a report by TechCrunch.
As per the initial plan, a $1.3 billion budget was decided by the company for making a factory that will take place in Greensboro, North Carolina. Toyota has now a $3.8 billion budget for this project alone. An extra $2.5 billion was also added for investment, making it $5.6 billion in total.
Toyota Battery Manufacturing North Carolina will begin battery production, both for electric and hybrid vehicles, this 2025. The company plans to produce more electric vehicles as its goal is to go fully carbon-neutral by 2035, hence the billion investment.
Senior Vice President for Unit Manufacturing and Engineering Norm Bafunno said that the announcement made the company reach an important achievement as the business became environmentally friendly.
Together with this announcement, Toyota also said on Wednesday that the company will continue to provide many options and multiple powertrains for their customers in all countries and regions as they make an effort to meet the needs of the consumers flexibly.
Competitors in the EV Market
Every week, other automotive giants also start to attempt to join other companies, such as Tesla and Volkswagen, in joining the competitive market for electric vehicles as it grows rapidly.
Just this month, Honda announced their plans to manufacture its own lithium-ion batteries in the US as it partnered with LG Energy Solutions as its supplier in the North American market. The produced batteries will power EVs from the company.
Although the location of the factory has not been revealed, the budget for the said plantation will cost $4.4 billion and aims to start construction in early 2023.
Panasonic also announced this year that the company plans to build a factory in Kansas that will also manufacture lithium-ion batteries for the different brands that make electric vehicles. The whole planned investment cost $4 billion.
The company was still in plans to make its first factory, yet Panasonic reveals that the second factory is also currently in the planning stage. They were planning to construct it in Oklahoma.
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The government has also acknowledged the rising market for EVs. California recently proposed a ban on selling gas-powered vehicles in the market by 2035. Governor Gavin Newsom released a statement and said, "It's ambitious, it's innovative, it's the action we must take if we're serious about leaving this planet better off for future generations."
Democratic states such as New York and Oregon are also expected to join California to fight climate change and go to zero emission in the next few years.
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This article is owned by TechTimes
Written by Inno Flores
