Toyota in Texas - making Tacos!

[Alex Snyder]

Tacos are better in Texas than Mexico... Tacoma tariffs, that is.

Toyota is planning a major $3.6 billion expansion of its San Antonio, Texas plant to add a second vehicle assembly line and shift a substantial portion of Tacoma pickup production from Mexico to the U.S., a move it links to roughly $9 billion in costs from U.S. tariffs on Mexican-built vehicles.

Most production of the Tacoma midsize pickup will transition from Toyota’s Baja California/Tijuana plant in Mexico to the San Antonio facility over an approximately four‑year period. Toyota will continue producing some Tacomas at its Guanajuato, Mexico plant, so this is a partial, not total, relocation of output.

Toyota’s North American arm recently reported that U.S. tariffs on vehicles and parts imported from Mexico have stripped around $9 billion from its operating income over the relevant period. By moving a significant chunk of Tacoma production to Texas, Toyota is effectively re‑shoring production to reduce exposure to tariffs that can reach as high as 25% on autos imported from Mexico.

Toyota Announces $3.6 Billion Investment in San Antonio Plant in Texas | Corporate | Global Newsroom | Toyota Motor Corporation Official Global Website

Toyota Motor North America, Inc., Toyota's North American headquarters, today announced an investment of 3.6 billion USD in its San Antonio plant in Texas, including the establishment of a second vehicle assembly line.

global.toyota