Toyota Plans $600 Million Expansion in Indiana

Toyota Motor Corp. says it will spend $600 million and hire 400 workers at its factory in Princeton, Ind., to expand annual output of popular Highlander midsize SUVs by 40,000 units.

The Indiana factory also makes Sequoia large SUVs and Sienna minivans. Some of the investment there will be used to retool the facility and install more advanced production equipment.

The project, which won’t begin until autumn 2019, is a response to President Donald Trump’s criticism of the company’s plan to import Corolla small cars from a factory under construction in Mexico. Trump threatened to impose a heavy import tariff on the cars and has strongly urged the company and other carmakers to move more jobs to the U.S.

Toyota said during the Detroit auto show five days after Trump’s warning that it intends to invest $10 billion in the U.S. over the next five years.