The Japanese automaker plans to invest $10 billion in its US factories over the next five years.Toyota has announced plans to expand its Princeton, Indiana, factory to support higher output capacity for its Highlander SUV.The Japanese automaker will invest $600 million for retooling and modernization improvements. It will eventually enable the factory to produce an additional 40,000 Highlanders each year.
The Princeton facility set a new production record last year, building more than 400,000 vehicles for the first time in its 20-year history.
Toyota's North American production rose to more than 2.1 million vehicles in 2016, including 1.3 million vehicles built in Kentucky, Indiana, Mississippi and Texas. Canada accounted for around 600,000 vehicles, while Mexico factories built around 140,000 units.
The automaker is currently building a new factory in Mexico with an expected output of 200,000 vehicles annually. The plant is expected to begin production in 2019, halfway through President Trump's first term in office. Trump has threatened to impose tariffs on vehicles that are built in Mexico and exported to the US, sparking an uptick in PR communications highlighting investments in US factories.
Toyota expects to spend $10 billion on its US factories over the next five years.