Toyota Motor will begin producing two battery-powered SUVs at its U.S. Kentucky plant, while phasing out production of a Lexus luxury sedan at the site, a source familiar with the matter said Wednesday.
The new EVs will be based on the RAV4 and Land Cruiser models, the source said, speaking on condition of anonymity. Toyota declined to comment on future product plans, News.Az reports, citing Reuters.
The next-generation Lexus ES sedan, expected next year, will be manufactured in Japan and exported to the U.S., according to the source, who stressed the move is unrelated to U.S. tariffs.
Currently, Toyota produces Lexus ES sedans in Kentucky and Lexus TX SUVs in Indiana. Reports in Japanese media this week suggested the company may be consolidating U.S. Lexus production due to tariffs, though Toyota said it is constantly reviewing its manufacturing structure.
