Toyota is reportedly considering adopting a Tesla and BYD-like electric vehicle (EV) development strategy. The Japanese automaker is one of many hoping to match Tesla’s EV profitability.
A report from Barron’s states that Toyota will reveal its new strategy in 2026, which will entail supplier changes. This latest announcement is a response to the criticism of Toyota’s slow EV introduction.
Toyota will change its supply operations to match Tesla. It bears mentioning, though, that Tesla sells only battery-electric cars, unlike most automakers that sell gas cars.
Tirade Against EVs Continues
Despite the sudden change of approach, the Japanese automaker is cynical of the auto industry’s pursuit of EVs. Toyota CEO President Akio Toyoda said during a conference in Thailand that he is among the auto industry’s silent majority in questioning the fate of electric vehicles (EVs).
He claimed that many carmakers are questioning if EVs should be pursued exclusively, reflecting growing unease in car companies’ ability to transition. Automakers are betting big on fully electric vehicles due to strong demand for the few models available.
Still, challenges are mounting—particularly in securing parts and raw materials for batteries—while some car companies are worried about buyers’ speed of adoption, especially due to EV price hikes this year.
Toyoda stated:
People involved in the auto industry are largely a silent majority. That silent majority is wondering whether EVs are really OK to have as a single option. But they think it’s the trend so they can’t speak out loudly.
