Hybrid leader Toyota targets major growth in plug-in vehicles amid industry's EV uncertainty

Core Viewpoint - Toyota Motor is focusing on significant growth in plug-in hybrid electric vehicles (PHEVs) as part of its strategy to meet regulatory standards and consumer demand for electrified vehicles [1][2]. Group 1: PHEV Market and Strategy - PHEVs are gaining popularity as automakers aim to comply with federal fuel economy standards and emissions regulations, serving as a transitional option for consumers hesitant to adopt fully electric vehicles [2]. - Toyota plans to increase its PHEV sales from 2.4% of its U.S. sales volume last year to approximately 20% by 2030, contingent on factors such as regulations and customer acceptance [3]. - The targeted PHEV sales percentage aligns with California's Advanced Clean Cars II rule, which mandates automakers to sell only zero-emission vehicles by 2035, although this rule may face changes under the current administration [4]. Group 2: Investment and Development - Despite regulatory uncertainties and slower-than-expected adoption of all-electric vehicles, Toyota continues to invest billions annually in electrification, including PHEVs [5]. - The company is evaluating the integration of plug-in hybrids across its vehicle lineup, focusing on production capabilities and competitive product strength [5].