set plans to invest an additional $50 million in a San Antonio, Texas, pickup-truck plant, expanding the factory's capacity by a third.
The Japanese car giant said the move would bring total investment in Toyota Motor Manufacturing Texas to $850 million. Tuesday's move will give the plant annual production capacity of 200,000 vehicles. The plant is scheduled to begin production of the Tundra full-size pickup truck by the end of 2006.
Toyota officials said the capacity increase will allow the company to respond quickly to market conditions should demand for the Tundra continue to grow. The increase will be accomplished through machinery and line-spacing modifications. At this point, no decision has been made to increase employment beyond the 2,000 initially announced in 2003.
Toyota will have the annual capacity to build 1.81 million cars and trucks, 1.44 million engines and 600,000 automatic transmissions in North America by 2008, the company said.
Early Tuesday, Toyota rose 11 cents to $76.40.