Toyota will invest 1.5 trillion yen ($13.6 billion) in battery development and supply over the next decade as the world's largest automaker aims to stay ahead in the race for cheaper and longer-lasting electric and hybrid vehicles. Executives stated that the company, which has a partnership with Panasonic, a key battery supplier for Tesla, remains on track to develop the next generation of dry batteries by 2025. Dry batteries offer faster charging times, greater travel range, and increased safety compared to the current generation of liquid-based batteries; however, Toyota noted that their shorter lifespan poses a significant drawback. Chief Technology Officer Masahiko Maeda said, "We cannot be optimistic yet; there are challenges," according to the Financial Times, which was shared with Al Arabiya.net.
Other heavyweight global companies, including Samsung, BMW, and Honda, are also working to bring the technology to market around the same time. To transition to electric vehicles, rival Volkswagen has made a $14 billion order for batteries from Northvolt to meet its demands over the next decade. The German automaker also announced plans to build or open six battery factories across Europe by 2030. Geely stated it will spend $5 billion to build a new battery factory in Ganzhou, while Stellantis plans to invest over 30 billion euros over the next four years in developing electric vehicles.
Toyota has not revealed any plans for battery factories or the geographical distribution of its investment strategy, but Masamichi Okada, Chief Product Officer, indicated that the group will spend nearly 1 trillion yen to establish a total of 70 electric vehicle manufacturing lines by 2030. By leveraging its strength in developing both vehicles and batteries, the company also aims to reduce battery costs by half in the latter half of the 2020s. Toyota plans to sell 8 million electric vehicles by 2030, of which 2 million will be battery-electric vehicles and fuel cell vehicles.
