Published by Global Banking & Finance Review®
Posted on September 3, 2025
2 min readLast updated: January 22, 2026
Add as preferred source on GoogleToyota will produce its first fully-electric vehicle in Europe at its Czech plant, investing €680 million. The Czech government will support with €64 million for a battery facility.
By Nick Carey
(Reuters) -Toyota said on Wednesday it would build an electric vehicle model at its factory in the Czech Republic, its first fully-electric model to be made in Europe, and would also invest in a new battery assembly facility at the plant.
The Japanese automaker did not disclose details of the model or timing for production, but said it would invest about 680 million euros ($796 million) to expand its plant in Kolin.
The Czech government will invest up to 64 million euros in the dedicated battery facility, Toyota said.
The auto industry makes up around 10% of Czech gross domestic product, and Toyota's decision to build an EV in Kolin was a key step toward "keeping car manufacturing in our country," Czech Prime Minister Petr Fiala said in a statement.
The world's biggest automaker by sales, Toyota has been more cautious in its approach to EVs than its traditional rivals, which has helped it over the last year as global EV demand has slowed.
The company has benefited from demand for its expanding hybrid line-up, including in its biggest market, the United States.
Earlier this year, Toyota said it will launch a total of nine fully-electric models in Europe in 2025 and 2026 for its Toyota and premium Lexus brands.
It produces the Aygo X and Yaris Hybrid at its Czech plant, which has an annual capacity of about 220,000 vehicles.
($1 = 0.8542 euros)
(Reporting by Nick Carey; Editing by Bernadette Baum)
An electric vehicle (EV) is a type of vehicle that is powered entirely or partially by electricity, using electric motors instead of traditional internal combustion engines.
Investment refers to the allocation of resources, usually money, into assets or projects with the expectation of generating a profit or income over time.
Sustainability is the practice of meeting current needs without compromising the ability of future generations to meet their own needs, often focusing on environmental, social, and economic factors.
The automotive industry encompasses all companies and activities involved in the design, development, manufacturing, marketing, and selling of motor vehicles.
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