Toyota Wants To Sell 2 Million Vehicles Annually In China In The Early 2020s

Toyota plans to increase its production at its Chinese plants in Guangzhou and Tianjin by about 20 percent, according to sources within and close to the company.

Reuters reports that the Japanese car maker will boost its production number by a combined 240,000 vehicles per year in its two Chinese manufacturing facilities in Guangzhou and Tianjin.

Toyota’s current production capacity in China is 1.16 million vehicles per year. The new report follows the news that Toyota aims to build 10,000 all-electric cars and 110,000 plug-in hybrid models in Tianjin on an annual basis.

The Chinese government has said that it will remove foreign ownership caps for manufacturers that build fully electric and plug-in hybrid cars in 2018, for manufacturers of commercial vehicles in 2020, and for the wider car market by 2022. Toyota’s planned production increase in Guangzhou is also for electrified cars.

The automaker wants to increase its sales in China to 2 million vehicles per year, an increase of over 50 percent, by the early 2020s, according to company insiders. Apart from raising its production in the world’s biggest car market, Toyota wants to expand its sales network.