Toyota to Invest €3.1 Billion Moving Tacoma Production to Texas as Ford’s Q2 Sales Fall 10.3%
- Alexij K. Fartelj
- 9 hours ago
- 2 min read
The future of automotive manufacturing is increasingly being shaped by supply chain resilience, regional production strategies, and the ability to adapt to changing consumer demand.
Toyota is expanding its U.S. manufacturing footprint with a €3.1 billion investment in Texas, while Ford faces continued pressure from weaker electric vehicle demand and production challenges.
Toyota announced plans to expand its San Antonio, Texas manufacturing campus, adding a second assembly line and approximately 2.5 million square feet of production space. The expansion will nearly double the facility’s size and create around 2,000 new jobs, with completion expected by 2030.
The investment will allow Toyota to move Tacoma midsize pickup production from its Tijuana, Mexico facility to Texas over the next four years. The company will continue manufacturing Tacoma vehicles in Mexico while maintaining broader operations in the country.
The expansion reverses Toyota’s 2020 decision to shift Tacoma production from San Antonio to Mexico and reflects a broader push to strengthen U.S. manufacturing capacity amid changing trade conditions.
Toyota said the project will bring its total investment in the San Antonio plant to approximately €7.1 billion since opening in 2003. The company is also continuing broader U.S. investment plans through 2030.
Meanwhile, Ford reported second-quarter U.S. sales of 549,200 vehicles, down 10.3% year over year. The decline was driven by weaker electric vehicle demand, lower truck deliveries, and production disruptions affecting its F-Series lineup.
Ford’s electric vehicle sales dropped more than 40%, including declines for the F-150 Lightning and Mustang Mach-E. The company attributed the F-Series decline partly to supply constraints following fires at an aluminum supplier’s facility, saying production recovery is expected in the second half of 2026.
Despite the overall decline, Ford highlighted strong performance from the Bronco, which recorded its best-ever first half and second-quarter sales period.
The contrasting developments reflect a shifting automotive landscape: manufacturers are balancing regional production strategies, supply chain resilience, electrification challenges, and changing consumer demand.
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