IN: Toyota Announces Third Huge Investment, Creating 1,400 Jobs
29 Apr, 2021
Indiana Gov. Eric J. Holcomb joined Toyota executives at Toyota Motor Manufacturing Indiana (TMMI), one of 10 Toyota manufacturing facilities in the U.S., as the company announced the addition of two electric vehicles to its Princeton production line, which will be supported by an $803 million investment and the creation of approximately 1,400 new jobs by the end of 2023.
“Toyota has been an incredible partner to the state of Indiana for nearly 25 years, and we're thrilled to continue that partnership in order to drive our economy forward,” said Gov. Holcomb. “Indiana is proud to be home to the highest concentration of manufacturing jobs in the nation, while providing a skilled workforce that is contributing to the success of companies across a variety of industries. I can’t thank Toyota enough for the role they play in the strength of our manufacturing sector.”
The new $803 million investment will equip the Princeton manufacturing line for two new electric vehicles, one Toyota and one Lexus, officially introducing the Lexus line to TMMI. The investment will also support employee training and supplier re-tooling at supplier facilities. Production of the new vehicles is expected to begin mid-to-late 2023.
“Over the past 20 years, Toyota has led the way with more electrified vehicles on the road than all automakers combined,” said Ted Ogawa, president and CEO of Toyota Motor North America. “This investment and new vehicle line-up will only allow us to continue our work with electrification, expand our portfolio to around 70 models globally by 2025, and meet the needs of our customers while allowing us to accelerate toward a net-zero carbon future.”
Today’s news marks TMMI’s third major expansion in the last four years, following investment announcements in 2020 and 2017 to invest a combined $1.3 billion in its Princeton operations and create 550 new jobs. Toyota’s total investment in the Princeton site has reached $6.6 billion and the company now assembles more than 420,000 vehicles each year, including the all-hybrid Sienna minivan, Highlander/Highlander Hybrid SUV and Sequoia full-size SUV.
TMMI, which currently employs more than 7,000 Hoosiers in southwest Indiana, has already begun filling production jobs, and additional employment opportunities are available on the company website.
“Selecting Toyota Indiana for this opportunity shows the confidence Toyota has in our employees to take on new and exciting challenges,” said Leah Curry, TMMI president. “Expanding our Toyota family by 1,400 is a challenge we are eager to accept. This is a testament to the strong workforce in Gibson County and the southwest Indiana region. We’re waiting with open arms to welcome new people and products to the family and can’t wait to get started.”
The two all-new vehicles join Toyota’s electrified product portfolio and will help the company get another step closer to its global commitment toward carbon neutrality by 2050. The automaker aims to achieve this goal with not only the type of vehicles produced but also the production process itself. TMMI’s environmental team has invested more than $4 million in carbon dioxide reduction projects with another $2.7 million committed for the coming year.
Pending approval of the Indiana Economic Development Corporation (IEDC) board of directors, the IEDC will offer Toyota Motor Manufacturing Indiana up to $7.25 million in conditional tax credits and up to $1 million in conditional training grants based on the company's plans to create up to 1,323 jobs by the end of 2023. The IEDC also offered up to $6.75 million in conditional tax credits from the Hoosier Business Investment tax credit program based on the company's planned capital investment in Indiana. All of these tax credits are performance-based, meaning the company is eligible to claim incentives once Hoosiers are hired and investments are made.
Indiana is a leader in manufacturing, with more than 9,000 manufacturing facilities and the highest concentration of manufacturing jobs in the nation. With more than 500 automotive suppliers and five original equipment manufacturer companies, Indiana supports the second-largest automotive sector by GDP in the U.S., producing more than 1.3 million cars and light trucks annually.
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