TLDR: Toyota commits $18 billion to US electrification infrastructure while scaling back global EV targets from 1.5 million to 800,000 units by 2026. The automaker’s 2025-2028 strategy includes 15 new EVs globally, RAV4 going hybrid-only in 2026, three-row electric SUV production at Kentucky, and commercialization of solid-state batteries by 2027-2028. With hybrids reaching 46.2% of Toyota’s total sales and targeting over 50% by 2025, the company is betting its multi-pathway approach can counter BYD’s 4.27 million NEV sales and Kia’s successful EV9 launch while maintaining profitability.
Toyota scales back EV ambitions while doubling down on hybrids
Toyota’s electrification strategy for 2025-2028 represents a calculated hedge between full electric transformation and hybrid dominance. The Japanese automaker has quietly revised its 2026 BEV production target downward to 800,000 units globally – nearly half its original 1.5 million goal – while simultaneously pushing hybrids to 46.2% of total sales in fiscal 2025 with expectations to exceed 50% in calendar 2025.
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