Toyota will supply batteries for Honda's US hybrids

Toyota will supply batteries for Honda's 400,000 hybrids sold in the U.S. starting in fiscal 2025. This marks Toyota's entry as a battery supplier, with its new North Carolina plant set to begin shipping batteries next month. Previously, Honda sourced batteries from China and Japan. The shift to Toyota's batteries comes amid rising tariffs on imports, prompting automakers to adjust their supply chains and reduce reliance on foreign sources. Toyota's North Carolina facility is its first battery factory outside Japan. The company aims to increase its electrified vehicle sales in North America from 40% to 80% by 2030.