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Now, the automaker is rethinking its strategy, or so goes a report from Reuters. It says the Japanese giant has put on temporary hold the $38 billion EV rollout it announced last year as it rethinks its long-term approach to electrification.<\/p>\n\n\n\n
Toyota currently is the world leader in production of gas-electric hybrids, such as its iconic Prius model. But even after announcing plans to bring 30 EVs to market last December, the automaker\u2019s CEO Akio Toyoda remains one of the industry\u2019s biggest skeptics<\/a><\/span><\/strong> of battery-electric technology. Critics contend that puts Toyota at a disadvantage compared with EV leader Tesla, as well as rivals like General Motors and Volkswagen which are accelerating their own electrification programs.<\/p>\n\n\n\n As recently as late last month, Toyoda expressed his reluctance to go all-electric<\/a><\/span><\/strong>. It will be \u201cdifficult\u201d to meet the increasingly stringent regulation calling for a shift to all-electric vehicles, the grandson of Toyota\u2019s founder said during the annual gathering of U.S. dealers in Las Vegas. He continued outlining a strategy including a mix of EVs, plug-in and conventional hybrids and hydrogen fuel-cell vehicles.<\/p>\n\n\n\n But that approach has come under increasing fire. Among environmental groups, Greenpeace now ranks Toyota at the bottom of the automotive list when it comes to decarbonization efforts. It\u2019s also taking heat from investors such as the $120 billion Nordic asset manager AP7. Even the Church of England, which holds $300 million in Toyota shares, has spoken out.<\/p>\n\n\n\n But there\u2019s also a more practical reality. EV sales have been growing significantly faster than many skeptics had anticipated. In the U.S., all-electric models held barely a 1% share of the new vehicle market at the end of 2019. That surged to around 7% in August, with Cox Automotive reporting that sales increased 67% during the third quarter compared to July-September 2021.<\/p>\n\n\n\n That\u2019s only encouraged competitors to ramp up their EV rollout plans. GM has revealed an assortment of new models in recent months, including the GMC Sierra EV it debuted<\/a><\/span><\/strong> last week. It has publicly stated its plan to have 30 all-electric models on sale globally by 2025 but GM insiders report this number is likely to grow.<\/p>\n\n\n\n All told, several studies have indicated the auto industry will collectively invest more than $1 trillion in battery-electric vehicles by 2030.<\/p>\n\n\n\n The review of Toyota\u2019s EV strategy is reportedly being led by former Chief Competitive Officer Shigeki Terashi. While he did not respond to a request for comment, Reuters quoted a close source at Toyota saying, “What’s driving Mr Terashi’s effort is the EV’s faster-than-anticipated takeoff and rapid-fire adoptions of cutting-edge innovations by Tesla and others.\u201d<\/p>\n\n\n\nMeeting EV mandates will be \u201cdifficult\u201d<\/h2>\n\n\n\n
![\"Akio](\"https:\/\/www.thedetroitbureau.com\/wp-content\/uploads\/2019\/05\/Akio-Toyoda-2019-earnings-two-1024x683.jpg\")
Competition heats up<\/h2>\n\n\n\n
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An awkward start<\/h2>\n\n\n\n
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