If production exceeds demand, the company sees exports as a potential solution.
Toyota may already be riding high on the success of its hybrid-heavy lineup and its goal for plug-in hybrids to make up 20% of U.S. sales by 2030, but the automaker isn’t stopping there. It’s gearing up for a major expansion of its electric vehicle (EV) lineup across North America. By mid-2027, Toyota and Lexus plan to launch at least seven new EVs, offering a diverse mix of models aimed at gaining a competitive edge in the growing EV space.
Among the upcoming additions to Toyota’s EV portfolio are a refreshed version of the bZ4X—now simply called the bZ—as well as the bZ Woodland, the C-HR, and a brand-new three-row electric SUV. On the Lexus side, the current RZ crossover will be joined by an all-electric version of the next-generation ES sedan and a larger electric SUV.
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U.S.-Built Electric SUVs Are on the Way
While several of these models will be imported, the headline news is that both Toyota and Lexus will build new three-row electric SUVs in the U.S. After a short delay, production is scheduled to begin in 2026 at factories in Georgetown, Kentucky, and Princeton, Indiana. These new models are expected to compete directly with electric SUVs like the Kia EV9 and Hyundai Ioniq 9, both aimed at meeting rising demand for larger EVs.
A Cautious but Strategic EV Rollout
Toyota isn’t entering the EV arena blindly. According to Bloomberg, the company typically won’t add a new model to a factory lineup unless it projects 100,000 to 150,000 units in annual sales. While EV adoption in the U.S. may be growing more slowly than originally expected, Toyota has a contingency plan: excess production from U.S. plants could be exported to faster-growing EV markets overseas.
As Cooper Ericksen, Senior Vice President of Product, BEV, and Mobility Planning at Toyota Motor North America, explained:
“We’ll sell a little bit more every year and grow with the market. But we have to think about how many Canada will use, how many the U.S. will use, and we can then export to other global destinations.”
Of course, those export plans could be challenged if global trade tensions or tariffs escalate further.
Building for the Long Haul
EVs currently account for just 8% of auto sales in the U.S., but Toyota expects that share to double by 2030. Ericksen noted that while battery electric vehicles (BEVs) today are often cannibalizing existing sales rather than adding volume, the segment is too important to ignore in the long term:
“In the future, we think it’s a really important segment that we don’t want to give up to the competition.”
To support its electrification goals, Toyota is building a lithium-ion battery plant in North Carolina. Once fully operational, the facility will have the capacity to produce over 30 gigawatt hours of batteries annually—enough to power 800,000 hybrids, 150,000 plug-in hybrids, and 300,000 BEVs.
A Broad Electrification Strategy
Toyota has committed to offering an electrified option for every model in its lineup by the end of this year. Currently, around 80% of Toyota and Lexus vehicles sold in the U.S. are available as either hybrids or EVs. With its expanded EV lineup, domestic production, and growing battery infrastructure, Toyota is aiming to secure its place in the evolving electric vehicle landscape—even if full adoption takes time.
