UBS managing director and senior portfolio manager Jason Katz joins 'Varney & Co.' to give his view on the markets in the second half of the year.
Toyota is investing $3.6 billion to expand its San Antonio, Texas, assembly plant, a move expected to create about 2,000 new jobs and bring Toyota Tacoma pickup truck production from Mexico to the Lone Star State.
The automaker announced Monday that it will build a second assembly line at its San Antonio facility, allowing the facility to assemble the Tacoma alongside the Tundra and Sequoia.
As part of the expansion, Tacoma production will gradually shift from Toyota's Baja California plant in Mexico over the next four years, according to the company. Toyota will continue to manufacture Tacoma pickups at its plant in Guanajuato, Mexico.
BMW NORTH AMERICA CEO CRIES 'LONG GAME' SAYS
The project will add approximately 2.5 million square feet to the manufacturing campus, effectively doubling the size of the site by 2030 and bringing Toyota's total investment in the San Antonio operation to $8.3 billion since construction began in 2003. Toyota previously moved production of the Tacoma from San Antonio to its Guanajuato plant in 2020.
Workers stand near an assembly line at a new rear axle plant at Toyota Texas in San Antonio on March 2, 2026. (Katina Zentz/San Antonio Express-News via Getty Images)
Toyota says the investment reflects its confidence in North America's workforce, innovation and long-term growth potential. The expanded facility will also include advanced manufacturing technology designed to increase production flexibility.
The announcement is another big win for Texas manufacturing, which has attracted billions of dollars in industrial investment in recent years as companies cite government policies that are good for business, workers and available land. Gov. Greg Abbott said the expansion, supported by the Texas Enterprise Fund and the JETI program, will qualify for $20 million in federal funding and other incentives and strengthen Texas' position as a leading location for advanced manufacturing.
FORD REHABILITATES COMPANY'S ENGINEERS AFTER AI FAILS MOTHER
| A ticker | Security | Finally | Change | Change % |
|---|---|---|---|---|
| TM | Company Toyota MOTOR CORP. | 179.80 | +5,21 |
+2.98% |
Once completed, Toyota's workforce in San Antonio is expected to grow to approximately 6,000 employees, supported by 23 suppliers. The facility produced more than 197,000 vehicles last year and remains a special assembly site for the Tundra and Sequoia. Production at the new rear axle facility is expected to begin later this year.
Toyota said it remains committed to manufacturing across the United States, Canada and Mexico while encouraging a swift resolution to issues related to the US-Mexico-Canada Agreement to help keep the North American auto industry competitive globally.
A NEW CAR PAYMENT COMES IN ALL TIME AS THE OFFER IS IN PROGRESS
The investment comes as President Donald Trump has forced automakers to increase US production while imposing tariffs on imported cars, auto parts, steel and aluminum as part of his broader trade plan.
President Donald Trump weighed in on Toyota's announcement on Tuesday on the Truth Social site. (Anna Moneymaker/Getty Images)
Trump has said the tariffs will encourage companies to shift production to the United States, while automakers have warned the tariffs could raise costs and disrupt North America's integrated supply chain.
CLICK HERE FOR FOX BUSINESS ON THE GO
Trump weighed in on Toyota's announcement on Tuesday on the Truth Social site, writing: “Toyota is moving from Mexico to the United States (Texas!). Really big deal. Taxes on jobs!”
