Toyota Plans to Scale Back EV Production

Japan’s Toyota Motor (NYSE:TM) plans to reduce its electric vehicle production target for 2026 to 1 million units, nearly 30% lower than previously forecasted, according to Nikkei.

Reasons for Change

This decision is influenced by a slowdown in the global EV market, with parts suppliers already informed of the adjustment.

New Production Goals

The updated plan targets over 400,000 EVs in 2025, with ambitions to more than double that in 2026. While this indicates significant growth in EV sales, it still marks a decline from Toyota’s earlier expectations.

Recent Sales Figures

In 2023, Toyota sold about 100,000 EVs, with 80,000 units sold from January to July. Previously, the company aimed for 1.5 million global EV sales by 2026 to align its supply chain with anticipated market demands.