Toyota Motor North America has unveiled a significant investment of $3.6 billion aimed at expanding its manufacturing facility in San Antonio, Texas. This ambitious plan is set to double the size of the existing campus by 2030 and is anticipated to create 2,000 new job opportunities.
The expansion includes the addition of a second assembly line, which will facilitate the relocation of Toyota Tacoma pickup truck production from Mexico to Texas. In response to this development, the state of Texas is providing substantial support through various grants and incentives, although the specific timeline for the commencement of Tacoma production has yet to be disclosed.
The company announced that the expansion will introduce an additional 2.5 million square feet to the San Antonio plant, effectively doubling its footprint. Currently, the facility is responsible for assembling the Toyota Tundra pickup and Sequoia SUV, and with the upcoming expansion, the Tacoma will join the production lineup. A new rear axle plant is also part of the development, with operations expected to start in Fall 2026.
Last year, the San Antonio plant produced over 197,000 vehicles, and with the expansion, Toyota’s workforce on-site is projected to grow to approximately 6,000 employees. This expansion brings Toyota’s total investment in its San Antonio operations to an impressive $8.3 billion since the plant’s inception in 2003.
Ted Ogawa, President and CEO of Toyota Motor North America, emphasized the company’s ongoing commitment to North America, citing the region’s skilled workforce and its potential for long-term growth. “By expanding our San Antonio plant, we are deepening our commitment to American manufacturing, creating meaningful and sustainable jobs,” he stated.
Texas Governor Greg Abbott highlighted the project as a clear indication of the state’s prowess as a manufacturing powerhouse. The state is supporting the expansion with a $20 million Texas Enterprise Fund grant, along with a $50,000 Veteran Created Job Bonus and additional incentives through the Texas Jobs, Energy, Technology and Innovation (JETI) program. “Texas is where the world builds bigger, and Toyota shows it once more with a $3.6 billion expansion in San Antonio,” Abbott remarked.
The new assembly line will be constructed on the existing campus, which spans 2,000 acres and was strategically chosen for its potential to accommodate future growth. Frank Voss, President of Toyota Texas and Group Vice President of Truck Manufacturing, expressed enthusiasm about adding the Tacoma to the existing award-winning lineup.
Local officials, including San Antonio Mayor Gina Ortiz Jones and Bexar County Judge Peter Sakai, have praised the expansion, stating that it will bolster the regional economy and open up new employment opportunities.
As Toyota continues to invest in its manufacturing operations across the United States, Canada, and Mexico, the company remains focused on addressing challenges related to the U.S.-Mexico-Canada Agreement (USMCA) in the automotive sector.
