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Toyota splashes out on batteries

Carmaker announces massive spending plans over the coming years to secure supplies for electric vehicles.
Posted on 17 September, 2021
Toyota splashes out on batteries

Toyota plans to spend ¥1.5 trillion (NZ$19.2 billion) to develop batteries and its battery supply system by 2030 as global carmakers expect greater demand for such products.

The Japanese marque, which pioneered hybrid petrol-electric vehicles with the Prius, is also moving to deliver its first all-electric line-up next year.

Executives will commit a large chunk of the investment to setting up 70 electric vehicle (EV) battery lines and securing 200gWh of battery supply, up from its previous goal of 180gWh. 

Masahiko Maeda, chief technology officer, says Toyota is readying 200gWh worth of batteries based on the potential of battery EVs “spreading quicker than expected”.

“Zero-emission vehicles are important in regions where renewable energy is widely adopted,” he notes. 

Toyota says it hopes to slash the cost of its batteries by 30 per cent or more by working on the materials used and the way the cells are structured.

Maeda adds another goal is to improve the power consumption of electric vehicles (EVs) by 30 per cent.

The company is also looking to mass produce solid-state batteries, which are more energy dense, charge faster and less prone to catching fire than liquid lithium-ion devices, by the mid-2020s.

Volkswagen has also announced it may have to spend more than a planned €150b (NZ$250b) by 2025 to deliver its planned transformation towards autonomous driving and EVs.