Toyota changes direction: 15 new electric vehicles and one million cars by 2027.

      Stephen Edelstein / Digital Trends

      After years of carefully navigating the electric vehicle (EV) market, Toyota is now significantly increasing its commitment to fully electric vehicles. The Japanese automaker, which has traditionally focused on hybrids, plans to create approximately 15 fully electric models by 2027, expanding from the five it currently offers. These new models will include vehicles from both the Toyota and Lexus brands, with production expected to hit 1 million units per year by that timeframe, according to a report from Nikkei.

      This strategy represents a major change for Toyota, which has so far adopted a cautious stance toward electric cars. The company sold only 140,000 EVs worldwide in 2024, accounting for less than 2% of its overall global sales. Nevertheless, Toyota aims to establish a much larger footprint in the EV market, targeting around 35% of its global production to be electric by the decade's end.

      The Nikkei report indicates that the company intends to broaden its production footprint beyond Japan and China, expanding into the U.S., Thailand, and Argentina. This move would help mitigate the effects of President Donald Trump’s 25% tariffs on all vehicle imports and also cut down delivery times. Additionally, Toyota is investing in a battery plant in North Carolina.

      Currently, Toyota has only two fully electric models available in the U.S. market: the bZ4X and the Lexus RZ. The automaker is anticipated to launch additional models such as the bZ5X and a possible electric variant of the popular Tacoma pickup truck.

      In a separate announcement, Toyota, Honda, and South Korea’s Hyundai stated on April 4 that they would not increase prices for at least the coming months following the implementation of U.S. tariffs. A different Nikkei report mentioned that Toyota’s North American division has informed its suppliers that it will cover the additional costs of parts imported from Mexico and Canada. An extra 25% tariff on automotive parts imported to the U.S. is set to take effect on May 3.

      Nick Godt has reported on global business news across three continents for more than 25 years.

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