Toyota is preparing to spend heavily to automate its factories, with annual costs potentially reaching $6.4 billion from 2028.
The world’s largest automaker told investors this month that modernising plants across Toyota, its group companies and key suppliers would require about 400,000 robots.
The estimate covers both replacement of old machines and installation of new ones. It includes humanoid and traditional industrial robots, automated logistics systems, and future setups where humans and robots work together on the same line.
Toyota did not confirm if the spending will definitely go ahead or how long it would last. The figure was shared as an estimate during investor discussions.
The move reflects a wider shift in the auto industry. Carmakers are deploying more robots to cut costs and tackle labour shortages and ageing factory infrastructure. For Toyota, analysts say the push could also create new revenue streams outside car production.
In a note on Friday, Bernstein analysts said Toyota’s growing investment in robotics may help investors better appreciate its growth potential beyond automobiles.
“We expect robotics-related announcements to become more frequent going forward as Toyota accelerates its robotics efforts,” the brokerage said.
Toyota is not alone. Hyundai Motor, which owns Boston Dynamics, said it plans to start using humanoid robots at its plant in Georgia, US, from 2028. Toyota estimated the automation cost at 1 trillion yen, using an exchange rate of $1 to 157.18 yen.
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