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Toyota Motor announced on Monday that it will spend $1 billion in two plants in the United States. This is part of a plan to invest up to $10 billion in the country over the next five years.
The company will spend $800 million in Georgetown, Kentucky. This money will help increase the production of the Camry sedan and RAV4 crossover. The other $200 million will go to a plant in Princeton, Indiana, to increase the production of the Toyota Grand Highlander SUV.
Mark Templin, a senior official at Toyota, said this investment is for the long-term. He added that they want to build cars where they sell them.
Last November, Toyota confirmed plans to invest up to $10 billion in U.S. plants by 2030. This announcement came after President Donald Trump said such investments would happen.
Toyota and other car companies are trying to manage production plans amidst new tariffs. These tariffs, set by the Trump administration, have cost many automakers a lot of money each year.