Toyota Motor Corp TM will reportedly receive up to $841 million in subsidies from the Japanese government to boost domestic production of batteries for electric vehicles.
The automaker had shown its intention to grab a larger share of the fast-growing market for battery EVs when it unveiled its plan for new technologies and the direction of future car manufacturing, reported Reuters.
"As the international competition for storage batteries is intensifying, competition for capital investment is also becoming more intense," the report quoted Japan Industry Minister Yasutoshi Nishimura.
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The report added that the mass production of the batteries by Toyota is expected to start in stages from October 2026 onwards.
The investment is expected to take annual production capacity in Japan to 45 gigawatt hours (GWh), with the government’s aim to reach a domestic output capacity of 150 GWh by 2030.
Price Action: TM shares closed higher by 1.58% at $168.18 on Thursday.
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