Toyota has announced an additional $88 million investment in its West Virginia manufacturing facility to launch a new assembly line for next-generation hybrid transaxles. This move brings the plant’s total investment to over $2.8 billion. Hybrid transaxles are key components in electrified vehicles, enabling smooth power transfer between the engine, electric motor, and wheels. Production is scheduled to begin in the second half of 2026, with the components to be integrated into upcoming Toyota and Lexus hybrid models.
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This development reflects Toyota’s broader strategy to expand its electrification capabilities while maintaining a flexible, multi-pathway approach to meet diverse customer needs. The investment also aligns with ongoing trends in the automotive industry, where manufacturers are increasingly focusing on hybrid and electric technologies amid tightening emissions regulations and shifting consumer preferences. The West Virginia plant, operational since 1996, currently employs around 2,000 workers and produces engines and transmissions. Toyota ’s continued investment underscores its commitment to U.S. manufacturing and its role in advancing the transition toward more sustainable mobility solutions.