Toyota to Boost Hybrid Output 30% by 2028, Nikkei Reports

Toyota's Ambitious Production Goals

Toyota Motor Corporation plans to significantly increase its production of hybrid and plug-in hybrid vehicles to approximately 6.7 million units by 2028. This figure represents a 30% rise from its target for 2026, according to a report from the Nikkei business daily.

The automaker also intends to raise its total global vehicle output to around 11.3 million vehicles by 2028, which is about 10% higher than its 2026 plan.

Strategic Shift in Global Output

This production adjustment highlights Toyota's strategy to strengthen its position in the hybrid market. The proportion of hybrid vehicles is projected to grow, constituting 60% of the company's total output in 2028, an increase from the roughly 50% share planned for 2026.

This move indicates a continued strong commitment to hybrid technology as a key part of its broader vehicle electrification strategy. As of the report, Toyota had not issued an official comment on the production plans.

Market and Industry Implications

Toyota's decision to ramp up hybrid production could influence supply chains for batteries and related components. It also reinforces the company's 'multi-pathway' approach to achieving carbon neutrality, rather than focusing solely on battery electric vehicles.

This strategy positions Toyota to meet diverse consumer demands globally amid a varied pace of EV adoption across different markets.

Summary and Outlook

By increasing its hybrid vehicle targets, Toyota is solidifying its dominance in a segment it pioneered. Investors and competitors will be closely watching how this enhanced focus on hybrids impacts the company's long-term electric vehicle development and overall market share.

FAQ

Q: What is Toyota's new hybrid production target?
A: Toyota aims to produce around 6.7 million hybrid and plug-in hybrid vehicles annually by 2028.

Q: What percentage of Toyota's output will be hybrids by 2028?
A: Hybrids are expected to account for 60% of Toyota's total vehicle output by 2028.

Source: Nikkei via Investing.com