Toyota to spend $1 billion to expand Kentucky and Indiana plants

Toyota USA announced March 23 that it would spend a total of $1 billion total on its Kentucky and Indiana manufacturing operations. The latest injection of funds is part of the company’s push, announced in November 2025, to spend $10 billion through 2030. The announcement mostly goes towards adding production of a new battery electric vehicle and increasing existing production at its Kentucky factory.

According to a company statement, $800 million of the $1 billion will be spent at Toyota Motor Manufacturing Kentucky in Georgetown, Kentucky, to increase production of its gas-powered Camry sedan and RAV4 SUV as well as “preparing the plant for its second battery electric vehicle,” which the company did not name. In a February 10 company release, the company announced it planned to produce an electric Highlander SUV at the site.

The $200 million left will go towards Toyota Motor Manufacturing Indiana, for increasing production capacity of the Grand Highlander SUV. The company is also announcing a $4 million grant funding donation to Driving Possibilities, a nonprofit organization that promotes STEM education in area schools.

What people are saying

 “For Toyota, manufacturing has always been about more than building vehicles, it’s about investing in people,” said Kerry Creech, president of Toyota Kentucky. “Ensuring customer satisfaction and safety starts with each team member on the production line. Our 10,000 team members are the heart of Toyota. We will continue to invest in them and in our future workforce.”

“Kentucky changed for the better 40 years ago when Toyota chose to make Georgetown its New Kentucky Home, and I am proud to say that partnership and success continues today as we celebrate this remarkable milestone together,” said Gov. Andy Beshear. “Toyota Kentucky is Toyota’s largest vehicle manufacturing plant in the world, producing over 14 million vehicles since its doors opened and benefiting Kentuckians through good jobs and a strong economy. We are grateful to our great Toyota partners and look forward to building on years of success for generations to come.”

 “Today’s announcement reflects the company’s commitment to meeting customer demand and the belief in our team to get it done,” said Jason Puckett, president of Toyota Indiana. “For thirty years, Toyota Indiana has led the charge into the future by putting our customers first, delivering quality vehicles, and remaining committed to our values. I’m proud to celebrate this incredible milestone with our 7,300 team members who have helped contribute to decades of quality in the Hoosier state.”

Manufacturers investing in Kentucky

James Composites to spend $5.8 million on new Kentucky factory
The fiberglass barge cover estimates it will hire 25 new employees.

Midwest Equipment Manufacturing Inc. to spend $15 million expanding Kentucky factory
A statement from the Kentucky governor's office said the expansion would create 66 new jobs.

Foxconn to spend $173 million on new Kentucky Plant
Hon Hai Technology Group, as it’s known in Taiwan, said the Louisville plant would create 180 new jobs.