Toyota has announced that it is reconsidering its goal of selling 1.5 million electric vehicles (EVs) by 2026. Toyota President Koji Sato stated that the company is currently analyzing EV demand in each region and reviewing its targets accordingly.
On Thursday, EV media outlet Electrek reported that Toyota had originally aimed to sell 400,000 EVs in 2025 and 1 million in 2026. However, citing a report by Nikkei, the outlet noted that the target could be reduced by as much as 20%.
Another significant variable is President Donald Trump’s new tariff policy. Trump has signed an executive order imposing a 25% tariff on Japanese-made automobiles, which is set to take effect on May 1, 2025. In response, Toyota has warned that this could reduce its annual earnings by approximately 1 trillion yen (around 6.5 billion dollars) and is currently reviewing potential changes to its supply chain.
Toyota Executive Vice President Miyazaki Yoichi stated that the company is considering various options to maintain vehicle prices, including shifting production overseas. Toyota plans to release 10 new EV models by 2027 and is actively expanding its electric lineup, particularly in the European and Chinese markets. However, the company’s global EV market share remains at just 1%, raising uncertainty about whether it can achieve its sales goals.
