Toyota shares surge on back of EV announcement

Shares of Japanese automaker Toyota soared by 5 per cent following the company's announcement of its plans to introduce a complete range of electric vehicles powered by "next generation" batteries starting in 2026.

The EVs will be developed and manufactured by a newly established unit called BEV Factory, which was formed in May.

In a presentation on Tuesday, BEV Factory President Takero Kato revealed that Toyota is aiming for a remarkable driving range of 1,000 km for its electric vehicles. He further disclosed that BEV Factory has set a target of producing approximately 1.7 million vehicles by 2030. By comparison, the Tesla Model 3 currently has a range of about 430 km, while the long-range model reaches approximately 570 km.

Toyota has set ambitious goals for its electric vehicle sales, aiming to achieve 1.5 million all-electric vehicle sales per year by 2026 and increase the number to 3.5 million annually by 2030.

Additionally, Toyota is actively working on developing a method for mass producing all-solid-state batteries for its electric vehicles, with plans to commercialise this technology between 2027 and 2028. The company expects a 20 per cent improvement in cruising range with the implementation of all-solid-state batteries compared to the current battery technology.

Toyota is also engaged in the research and development of a higher-specification model that strives for a 50 per cent increase in cruising range compared to its current offerings.