Toyota Builds New Lexus EV in China, Not Japan — SkimNews
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- Toyota will produce a new Lexus electric SUV at its Shanghai plant starting fall 2026, with first deliveries slated for 2027 — the first time Toyota has debuted a new EV in China ahead of Japan.
- Lexus broke ground on the Shanghai facility in June 2025 and plans initial output of about 1,000 vehicles per month, ramping to tens of thousands in 2028.
- Toyota scrapped earlier plans to build a flagship next-gen Lexus EV in Japan using gigacasting, the same advanced production method now being deployed at the Chinese plant.
- Toyota sold just under 810,000 vehicles in China through July, down 18% from the same period in 2025, with China ranking as its third-largest market behind the US and Japan.
- BYD CEO Wang Chuanfu said his company will overtake Toyota in global sales within five years, a claim the source flags as part of why Toyota is racing to adapt.
- China accounted for roughly 60% of global EV sales in 2025 — about 100 times Japan's EV market — according to GlobalData cited in the report.
Why it matters: Toyota's reversal hands China the lead on next-generation EV production, from gigacasting to two-year development cycles versus Toyota's traditional four-to-five years. With China driving roughly 60% of global EV sales and Toyota's own sales there down 18% year-to-date, Japan is no longer setting the pace on its own home industry.
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