Toyota Motor Corporation (Toyota) has announced a comprehensive partnership agreement with the Shanghai municipal government to advance carbon neutrality efforts in China. As part of this initiative, Toyota will establish a new wholly-owned company in Jinshan District, southwest Shanghai, to develop and manufacture battery electric vehicles (BEVs) and batteries.
The partnership aligns with the Chinese government’s goal of achieving carbon neutrality by 2060, with Toyota focusing on key areas such as hydrogen energy, automated driving technology, and battery recycling and reuse. Recognizing the growing demand for new energy vehicles in China, Toyota aims to accelerate the supply of innovative products tailored to local market needs.
The newly established company will spearhead the development of a new Lexus-brand BEV, with production set to commence in 2027. Initial manufacturing capacity is projected at approximately 100,000 units per year, creating around 1,000 new jobs during the start-up phase.
Toyota has long collaborated with Chinese automotive giants such as China FAW Group Co., Ltd. and Guangzhou Automobile Group Co., Ltd. to enhance customer experiences in China. Moving forward, the company remains committed to strengthening partnerships and achieving its vision of being a “best-in-town” company that promotes sustainability and innovation in the global automotive industry.
