Toyota Wants to Help GM and Ford Sell Cars in Japan

In a bid to resolve its ongoing trade dispute with the United States, Japan signaled it plans to invest as much as $500 billion in the U.S., including key economic sectors such as artificial intelligence, energy, manufacturing and critical minerals.

As much as $10 billion of that figure will come from Toyota, the automaker indicated following a meeting between Pres. Donald Trump and Japan’s new Prime Minister Sanae Takaichi. That’s on top of the $50 billion the automaker has already invested in its extensive U.S. operations.

But Autoblog has learned that Toyota wants to take additional steps to ease U.S.-Japan trade frictions. CEO Akio Toyoda, sources revealed, is searching for ways to expand the market for American-made vehicles in Japan. Currently, such products account for barely 1% of the Japanese market, while manufacturers such as Toyota control a more than 37% share of the U.S. auto market.

A $10B Commitment

The Japanese finance ministry has not yet released full details on the country’s planned investment, which would be part of a finalized deal meant to ease tensions with the U.S. touched off by the Trump trade war.

While Toyota has also withheld specific details, a senior spokesman indicated “most of” the $10 billion would go into American manufacturing operations. The automaker has already invested more than $50 billion in the U.S. and now runs an extensive manufacturing network in states including Kentucky, Texas, Mississippi, Alabama, Missouri and Tennessee. The automaker most recently opened a joint venture with Mazda and is getting ready to open a North Carolina facility to produce batteries in North Carolina.

Toyota is working up what it describes as a “multi-pathway” strategy aimed at offering buyers a mix of gas, hybrid, plug-in, hydrogen and all-electric powertrain options. One likely outlet for the planned investment would see an increase in production capacity for hybrid models, Autoblog was advised. A second source indicated Toyota is considering launching yet another large U.S. plant in the next several years.

Expanding Exports

Trade frictions with Japan aren’t new, and automobiles have long been a key sticking point. One of the world’s larger automotive markets, the Asian nation has traditionally seen only marginal sales of foreign-made vehicles, primarily higher-end models from European brands like Mercedes-Benz and BMW.

Only 16,707 U.S.-made autos were sold to in Japan in 2024, accounting for less than 1% of the market there. Of those, 9,633 were Jeeps, while General Motors had combined sales of about 1,000 Cadillac and Chevrolet models. By comparison, Japanese brands captured a combined 37.4% share of the U.S. market, Toyota alone holding a 15.3% share.

Obstacles Abound

Podcast Episode Details

Toyota Wants to Help GM and Ford Sell Cars in Japan

A $10B Commitment

Expanding Exports

Obstacles Abound