Toyota plans to spend roughly $3.4 billion to scale its battery manufacturing capabilities within the US, the automaker announced on Monday. As a part of the funding, Toyota says it can set up a brand new firm that can, with assist from its Toyota Tsusho subsidiary, construct a battery manufacturing plant someplace within the US. The firm expects to take a position $1.29 billion into the power by the tip of 2031.

Toyota stated it could share particulars on the challenge, together with the place it plans to construct the plant, sooner or later. However, the power will initially concentrate on making batteries for hybrid electrical autos, with manufacturing anticipated to start out someday in 2025. Toyota expects to create about 1,750 jobs by the challenge.

If nothing else, the funding is an acknowledgment by Toyota that it must diversify its electrification technique. More so than virtually another automaker, it has invested considerably into gasoline cell know-how, with not so much to point out for its efforts, at the very least not within the US. Outside of California, you may’t purchase its Mirai fuel-cell sedan. But as a part of its Beyond Zero push, Toyota hopes to vary that, with it at present planning to supply 70 completely different electrical fashions, together with 15 battery electrical autos, by 2025.