Toyota invests additional $283mn to produce electrified vehicles in Vietnam

The company has received an amended investment policy decision from the People’s Committee of Phu Tho Province and the 12th amended investment registration certificate from the provincial Department of Finance.

Toyota Vietnam will carry out a project covering the assembly and production of various automobiles and auto parts, along with vehicle warranty and repair services and the import of completely built-up vehicles.

The revised project adds the assembly and production of electrified vehicles.

The modernization of production lines is expected to strengthen the company’s competitiveness and support the automotive industry’s transition toward greener technologies.

The project will cover 28.6 hectares.

Toyota Vietnam plans to begin construction of a paint shop and stamping plant in May 2027.

The facilities will feature modern technologies and greater automation to enhance production capacity, ensure product quality and improve energy efficiency.

The two facilities are expected to begin operations in 2029, laying the foundation for the production of new completely knocked-down (CKD) vehicle models in Vietnam.

The Japanese automaker considers the project a major milestone in its plan to prepare to produce new CKD models in Vietnam, including hybrid electric vehicles.

The production expansion also underscores Toyota’s commitment to long-term investment and development in the country.

Osamu Hirata, general director of Toyota Vietnam, expressed confidence in the project, saying that maintaining the company’s supplier network and increasing localization would help strengthen Vietnam’s automotive supporting industry.

The project is also expected to create jobs, promote technology transfer and increase tax revenue, while contributing to Phu Tho’s development as an automotive manufacturing hub in northern Vietnam.

In March 2026, Toyota Vietnam held a groundbreaking ceremony for a new office complex at its headquarters in Phu Tho.

The company is also developing facilities including a training center, an office complex and new production lines, which are expected to be put into operation soon.

Since receiving its initial investment license on September 5, 1995, Toyota Vietnam has produced more than 700,000 vehicles, sold one million vehicles and provided services to 20 million customers.