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Toyota Sets Up Hybrid Powertrain Production in U.S.

Toyota Motor Corp. is for the first time establishing U.S. production capacity of hybrid powertrains for vehicles it builds locally.
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Toyota Motor Corp. is for the first time establishing U.S. production capacity of hybrid powertrains for vehicles it builds locally.

The $374 million program will affect five existing Toyota facilities, Automotive News reports. The company is spending $115 million to install a hybrid transaxle line at its factory in Buffalo, W. Va., and $15 million to tool its Bodine Jackson Tenn., plant to make housings for the transaxles.

Another $244 million will be spent to hike capacity to assemble engines in Huntsville, Ala., and Georgetown, Ky.

Toyota says the expansion work will begin later this year. Local production of the hybrid powertrains is expected to start in 2020.

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