- Toyota invests €680 million to expand Kolin factory with new EV facilities.
- Expansion adds a fresh production line, welding shop, and a paint facility.
- This will be the first battery-electric vehicle the brand builds in Europe.
Toyota is making a major push in Europe with a substantial investment in its Czech Republic factory, which will soon produce the company’s first battery-electric vehicle built on the continent. While Toyota has shared figures on the scale of the expansion and the money involved, it has yet to reveal anything about the EV itself.
Here’s what we do know. Toyota will invest €680 million (equal to $792 million at current exchange rates) at its factory in Kolin, expanding it from 152,000 to 173,000 square meters. Not only will this expansion include a new production line for the EV, but it also new paint and welding shops. Of the €680 million being invested, up to €64 million ($74.5 million) will be provided by the Czech Government.
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Currently, the Czech factory produces the Yaris Hybrid and Aygo X and has an annual capacity of roughly 220,000 vehicles. While it’s certainly possible the EV in question could be based on the same TNGA-B architecture as the Yaris, Toyota has previously indicated that now is not the right moment to launch such a small EV, hence why it is currently focused on the C, D, and E segments.
Government Backing
The scale of the project drew praise from Czech Prime Minister Petr Fiala, who highlighted both the economic and strategic importance of the investment. “I am very glad that the Czech Republic managed to secure such a significant foreign investor as Toyota, even though other countries were also interested in this investment into electric car production,” he said.
Fiala also noted that the funding not only expands Kolín’s production capacity but also strengthens the country’s technological base, which is vital given that the automotive industry contributes about 10 percent of the nation’s GDP.
A First For Europe
Whatever shape the upcoming model takes, it will mark a milestone for Toyota as the first battery-electric vehicle it has ever produced at a European facility. For the automaker, it’s both a regional commitment and a step toward balancing its global EV strategy with Europe’s accelerating shift away from combustion engines.
