Toyota is moving production of the Tacoma from Mexico to Texas as the automaker looks to meet growing demand for its midsize pickup while navigating trade uncertainty.
The details: The shift from Toyota Motor Manufacturing Baja California (TMMBC) to the automaker's San Antonio plant is part of Toyota's $3.6 billion U.S. manufacturing expansion.
Tacoma production will transition from TMMBC to the expanded Toyota Texas plant over the next four years.
The project will create 2,000 new jobs and add 2.5 million square feet to the San Antonio facility, doubling its size by 2030.
The San Antonio plant already builds the Toyota Tundra pickup and Sequoia SUV.
What they’re saying: “By expanding our San Antonio plant, we are deepening our commitment to American manufacturing, creating meaningful and sustainable jobs, while advancing our mission to deliver high-quality vehicles that meet the changing needs of customers today and into the future,” said Toyota President and CEO Ted Ogawa, per a press statement.
Why it matters: Toyota's investment underscores its long-term commitment to U.S. manufacturing while positioning the company to better meet demand for one of its best-selling trucks, ultimately improving inventory availability and shortening wait times for Tacoma buyers.
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Between the lines: Toyota's decision comes at a pivotal time as uncertainty surrounding USMCA intensifies, tariffs continue to pressure vehicles built in Mexico and Canada, and Tacoma demand remains strong.
All Tacoma pickups currently face a 25% tariff under President Trump's tariff structure.
The Trump administration did not extend USMCA by the July 1 deadline, leaving the future of the trade pact—and North American manufacturing—uncertain.
Tacoma sales rose 5% in the second quarter of 2026 and are nearly 16% ahead of last year's pace through the first six months.
Bottom line: Toyota's decision reflects how trade policy and sustained consumer demand are reshaping manufacturing strategies across North America, signaling that more production shifts are likely as automakers work to reduce tariff exposure, strengthen supply chains, and align capacity with market demand.
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