Toyota plans NC battery plant and other investments in electric vehicles
Toyota this week announced plans to build a $ 1.3 billion electric vehicle battery plant near Greensboro, North Carolina, as part of a larger campaign involving additional investments to expand production and its sales of electric vehicles in the United States.
The move came at a time when Oklahoma was struggling to position itself as an attractive option for investment by companies involved in the industry. The electric vehicle industry has grown rapidly in recent years and is expected to more than double in size over the next few years. According to Fortune Business Insights, the size of the global electric vehicle market in 2020 was approaching $ 250 billion; by 2028, it is expected to be valued at over $ 1.3 trillion.
Over the past year, electric vehicle start-up Canoo has committed to building a vehicle production plant in MidAmerica Industrial Park in Pryor, creating some 2,000 new jobs. The company, leveraging state taxes and other incentives estimated at some $ 300 million, also announced plans for research, software development, customer support and other operations to create hundreds of additional jobs in Tulsa. Last month it announced it would move its headquarters from California to Bentonville, Arkansas, as part of a larger plan to create a research, development and manufacturing “corridor” of electric vehicles stretching from northeastern Oklahoma to northwestern Arkansas.
Canoo’s news came about a year after the Oklahoma Department of Commerce launched its Oklahoma Auto Accelerator Program, which offers incentives for skilled businesses, personalized workforce programs, and expedited industry authorizations. The ministry said the program has garnered considerable interest from auto manufacturers and suppliers and has explored industry opportunities that could represent billions of dollars in capital investment.
In North Carolina, according to an Associated Press report, Toyota could receive more than $ 430 million in cash incentives, tax breaks and infrastructure upgrades from that state and local governments if it hits the mark. job creation and investment objectives. The battery factory is expected to employ 1,750 people.
Toyota has said it will invest more in electric vehicles.
Over the next decade, it plans to potentially commit an additional $ 2 billion to additional battery production facilities in the United States. Additionally, the company has yet to announce where it will build fully electric vehicles that will be marketed in the United States.
In a statement, the Oklahoma Department of Commerce said it could not comment on pending projects due to nondisclosure agreements, but was actively targeting the electric vehicle manufacturing industry. and its supply chain.
“We welcome any opportunity for the auto industry to invest in Oklahoma and our skilled workforce,” he said. “As the auto industry continues to innovate, our continued focus on technology and manufacturing makes Oklahoma a prime location for long-term investments. “
According to the AP report, Stellantis, formerly Fiat Chrysler, announced the construction of two battery factories in North America. Ford announced three factories in Kentucky and Tennessee, and General Motors announced that it would build four battery cell factories. Only two of these locations have been announced, in Ohio and Tennessee.
Earlier this year, President Joe Biden secured a pledge from the auto industry to produce electric vehicles for up to half of new vehicle sales in the United States by 2030.