Toyota said on Monday that it will build a new $3.6 billion auto plant in Texas and shift some truck production to the United States from Mexico.
The company said the new 2.5-million-square-foot building will be located on its San Antonio manufacturing campus and will open by 2030, creating 2,000 jobs. It also added that it will move production of its mid-size Tacoma pickup truck from its Baja California plant in Mexico to Texas when the factory is completed.
The transition from the Mexico plant will take around four years, according to the Japanese automaker. The announcement comes days after Washington declined to renew a North American trade pact with Mexico, as well as Canada. In November 2025, Toyota said it was planning to invest as much as $10 billion in the United States over the next five years.
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“Toyota’s continued investment in North America is a testament to our confidence in the region’s workforce, innovation and long-term growth potential,” said President and CEO Ted Ogawa, Toyota Motor North America. “By expanding our San Antonio plant, we are deepening our commitment to American manufacturing, creating meaningful and sustainable jobs, while advancing our mission to deliver high-quality vehicles that meet the changing needs of customers today and into the future.”
Toyota will continue to build some Tacoma trucks at its Guanajuato, Mexico, plant.
President Donald Trump had pressed automakers to shift their production to the U.S. and imposed higher tariffs on autos, steel, aluminum and parts.
Toyota said it remains committed to its operations throughout Mexico, Canada and the United States and urged Trump to extend a North American free-trade deal that automakers say is critical to integrated auto production.
Texas Governor Greg Abbott said the investment will qualify for a $20 million state grant and other incentives.
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“Texas is where the world builds bigger, and Toyota shows it once more with a $3.6 billion expansion in San Antonio that doubles their factory footprint and creates 2,000 new jobs,” Abbott said.
“This Texas-sized investment reflects the strength of our workforce and the unmatched business advantages found only in our state. Supported by the Texas Enterprise Fund and JETI program, this expansion will deliver economic opportunities to generations of San Antonio families and further cement Texas as the premier destination for world-class advanced manufacturing.”
A White House spokesperson said Toyota’s investment announcement “is one of many being driven by the Trump administration’s agenda of tariffs, deregulation, and tax cuts.”