Toyota’s Hybrid Offensive Is Getting More Aggressive

Of the 10.53 million vehicles Toyota sold worldwide last year, almost 5 million were electrified, with as many as 4.43 million classic hybrids. For the current year, the goal is to reach the production of 5 million hybrids and plug-in hybrids, while the long-term strategy predicts growth to 6.7 million units by 2028.

This development means that hybrids will account for around 60% of Toyota’s total sales by 2028, compared to 50% today. While total production is forecast to grow by 10% (to 11.3 million vehicles), hybrid sales will grow three times faster, which clearly shows the company’s strategic commitment.

Investments in the US will support a significant part of this expansion. Toyota plans to invest $10 billion in US manufacturing capacity over the next five years, with a focus on modernizing five plants to produce hybrid powertrains and components.

Interestingly, Toyota does not highlight plans to increase the production of fully electric vehicles. The company, especially during Trump’s tenure, seems to be continuing with a diversified powertrain strategy, with an emphasis on hybrids. This strategy is proving wise at a time when many governments are reducing subsidies for electric vehicles.

Market trends confirm Toyota’s approach. Research firm GlobalData now predicts that 29 million hybrid vehicles will be sold globally in 2030, up 2.8 million from earlier estimates. With a current 58% share of the global hybrid market, Toyota is well-positioned to continue to dominate this growing segment.

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