Toyota Invests U.S. $3.6 Billion to Move Production of the Tacoma from Mexico to Texas

• Toyota is expanding its San Antonio plant by adding a second production line, doubling its square footage, and adding 2,000 jobs.

• This is to prepare the facility for the addition of the Tacoma, which will join the Tundra and Sequoia by the end of the decade.

• Toyota says it remains dedicated to manufacturing in Mexico, despite the Tacoma currently being made there.

While the Trump administration’s trade policies have caused havoc for the Canadian auto industry, they seem to be slowly achieving their goal of bringing manufacturing back to the United States.

Indeed, a few automakers have announced a shift in production locations for some of their vehicles that favours the United States.

Of course, we know about Stellantis moving the production of the next Jeep Compass out of Ontario and into Illinois, but General Motors also said it will make the next Buick Envision in Kansas instead of China, and Ford is reportedly considering a similar move for the Lincoln Nautilus.

Now, its Toyota’s turn to take similar action.

Earlier today, the automaker announced a large U.S. $3.6 Billion investment into its San Antonio assembly plant in order to move production of the Tacoma there in a gradual manner over the next four years.

This means that the brand’s mid-size pickup will be manufactured alongside the full-size Tundra and Sequoia, which have been made in the Texas plant since its opening in 2003.

Given the Tacoma’s popularity, a new production line will be needed alongside the existing one, which will effectively double the facility’s square footage and create 2,000 additional jobs.

This means that the San Antonio plant will employ about 6,000 workers by 2030, excluding the 23 on-site suppliers who have their own employees on the premises.

Of course, this is great news for the State of Texas and local autoworkers, especially since Toyota had already invested into this factory a few years ago to create a new rear axle plant, which is just about to begin production.

Interestingly, Toyota made sure to state in its press release that it remains committed to manufacturing vehicles in Mexico and Canada, and that it encourages a quick resolution to CUSMA in order to preserve the North American auto industry’s competitiveness.

The move of the Tacoma’s production out of the Baha California factory will leave a large excess of production capability for Toyota in Mexico, which the automaker could use for a new model, such as its upcoming compact pickup, for example.