Toyota has announced plans to manufacture its first fully-electric vehicle in Europe at its Kolin plant in the Czech Republic, marking a significant step in the company’s electrification strategy on the continent.
Alongside the new model, the Japanese automaker will set up a dedicated battery assembly facility at the factory, part of a EUR 680 million ($796 million) investment to expand production capabilities. However, details on the specific model and production timetable have not yet been revealed.
The Czech government is expected to contribute up to EUR 64 million for the battery plant, underscoring the country’s commitment to sustaining its auto sector—which accounts for roughly 10% of its GDP. Czech Prime Minister Petr Fiala highlighted Toyota’s move as crucial for maintaining the nation’s status as a car-manufacturing hub.
While Toyota has taken a more measured approach to battery electric vehicles compared to its global competitors, this strategy has proved advantageous amid a recent cooling of global EV demand. The company continues to see robust sales of its expanding hybrid line-up, especially in the United States, its largest market.
Earlier this year, Toyota announced it would launch nine fully-electric models in Europe for both its main brand and Lexus across 2025 and 2026. Currently, the Kolin plant manufactures the Aygo X and Yaris Hybrid with an annual capacity of approximately 220,000 vehicles.
