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According to Nikkei, Toyota will delay production of electric vehicles in the US until 2026 due to declining sales

According to Nikkei, Toyota will delay production of electric vehicles in the US until 2026 due to declining sales

Oct 3 (Reuters) – Toyota Motor (7203.T)opens new tab will delay the start of electric vehicle production in North America to the first half of 2026 due to design adjustments and declining EV sales, the Nikkei business newspaper reported on Thursday.

The Japanese automaker recently told suppliers that the start date for production of its first battery EV model at its plant in the US state of Kentucky – a three-row SUV – would be delayed by several months, according to Nikkei.

Production is now expected to begin in early 2026 rather than the end of next year, said Toyota spokesman Scott Vazin.

“We always said it would be the end of 2025 and that it could last until 2026, and it looks like it will last until 2026,” Vazin said.

He said Toyota plans to introduce five to seven battery-electric vehicle models in the U.S. in the next two years.

Supply disruptions and governance issues have led Toyota to delay the start of U.S. electric vehicle production by six months to around June 2026, sources previously told Reuters.

The automaker wanted to produce electric SUVs under its luxury Lexus brand in North America by 2030, but scrapped that plan and instead shipped finished vehicles from Japan to the U.S., the Nikkei also reported Thursday.

Toyota invested $1.3 billion in its Kentucky plant in February for its electrification efforts.

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Reporting by Roshan Thomas in Bengaluru, David Shepardson in Washington and Daniel Leussink in Tokyo; Edited by Shailesh Kuber and Christopher Cushing

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