Yesterday, at a ceremony held at the Office of the Government of the Czech Republic, Prime Minister Petr Fiala, Minister of Industry and Trade Lukáš Vlček, and Yoshihiro Nakata, President of Toyota Motor Europe (TME), announced the production of a new battery electric vehicle (BEV) at Toyota Motor Manufacturing Czech Republic (TMMCZ).
This new BEV – the first to be produced at one of Toyota’s European plants – represents a major milestone for both the company and the Czech Republic.
This announcement marks a significant investment, with TMMCZ’s plant in Kolín set to expand from 152,000 to 173,000 square metres to accommodate production of the new vehicle and its battery, as well as new paint and welding shops.
Funding for this new BEV manufacturing activity will come from approximately 680 million euros in new capital expenditure by Toyota, including a Czech government contribution of up to 64 million euros towards a dedicated battery assembly facility.
For the automaker, this decision reflects a further step in its multi-pathway strategy, aimed at achieving carbon-neutral operations in Europe by 2040.
Prime Minister of the Czech Republic says: “I am very pleased that the Czech Republic has succeeded in securing such a significant foreign investor as Toyota, especially given that other countries were also interested in this investment in electric vehicle production.“
He continues: “The investment will not only expand current production in Kolín, but also represents an important step towards a higher technological standard and in maintaining car manufacturing in our country. The automotive industry accounts for around 10% of our GDP, and if we wish to retain it, we must modernise it systematically.”
It is precisely projects like this that are crucial for the future of the Czech automotive sector – they enhance competitiveness, drive innovation, and create skilled employment. In this case, 245 new job opportunities will be created in the region.
“Foreign investments are the result of our long-term efforts, and we will continue to work to ensure the Czech Republic remains a strong country capable of competing successfully in both European and global markets,” the Prime Minister adds.
The Minister of Industry and Trade indicates: “This great success is the result of a series of negotiations, both in Europe and Japan, in which my team and I had the privilege to participate. Once again, it is evident that thanks to a stable and predictable business environment, strong infrastructure, and a skilled workforce, the Czech Republic is a natural partner for global technology leaders.”
“Toyota’s investment is essential for the future of the Czech automotive industry, as well as for the transformation of our economy towards higher added value, in line with our economic strategy. This investment also positions us as a key player in the transition to clean mobility. The government has supported the project with 64 million euros, while the estimated benefits for the state are expected to reach 250 million europe,” he adds.
Toyota Motor Europe CEO indicates: “This new battery electric vehicle production is a testament to the dedication of our employees and to the shared vision with the Czech Government to advance sustainable mobility and innovation.”
“We deeply appreciate this investment, the long-standing support and recognition of the Czech Republic, and we will continue to contribute to Czech society as a ‘Best in Town’ company. This advanced technology project will strengthen our presence in the European market and contribute, alongside our other solutions, towards more efficient and sustainable transportation.”
The automaker currently produces the Aygo X and Yaris Hybrid at TMMCZ with a capacity of approximately 220,000 vehicles per year.
The introduction of BEV production increases the plant’s multi-pathway production potential and will result in additional direct employment, with similar benefits expected across the supply chain, as the majority of component volumes will be sourced locally in the Czech Republic.
TMMCZ has a long-standing presence in the Czech Republic, having operated for over two decades and produced more than 4.5 million vehicles in that time.
Toyota began producing the Aygo in 2002 when the plant was a joint venture.
In 2021, the automaker acquired full ownership and has since expanded operations, making TMMCZ one of the largest employers in the Central Bohemian region, with a workforce of approximately 3,200 and 65% of its supply parts sourced domestically.
In 2024, TMMCZ also became home to Toyota’s first European logistics mega hub, supplying vehicles to Toyota and Lexus dealers in Germany, Austria, Poland, Slovakia, Hungary, and the Czech Republic – serving six Central European markets.
Historical investments in TMMCZ:
- 2002–2005 – Establishment of new plant and production: 1,069 million euros
- 2020–2024 – Expansion for Yaris and Aygo X TNGA production and other investments: 251 million euros
- Total (2002–2024): 1,320 million euros
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