This Is Why Toyota Isn't Rushing to Sell You an Electric Vehicle

Toyota’s hybrid models have been extremely successful, so you would think the automaker would be quick to embrace full electrification like some of its competitors. However, the automaker seems to be taking a somewhat controversial approach to EVs, and a leaked dealer document about the brand’s electrification strategy lays out exactly why.

A Toyota dealer contact sent me this PDF that was sent directly by Toyota corporate to explain to the dealer network why they should expect to see more hybrids on their lots and not so many EVs or PHEVs.

Read more

• These Are Your Guilty Pleasure Cars

• The 15 Most Successful Formula 1 Cars of All Time

• These Cars Should Never Have Been Killed Off

Essentially what Toyota is saying here is that sourcing the materials for batteries is going to dramatically increase and therefore the costs and difficulty of getting those materials will subsequently rise. The automaker’s position is that those materials can be turned into a lot more hybrids at more affordable price points versus PHEV and EV models.

Toyota also makes the point that the charging infrastructure in the U.S. right now still has a long way to go before it can handle a proliferation of full EV models on the roadways. The other hurdle for most Americans is that EVs and PHEVs can be expensive compared to their gas or hybrid counterparts. Now that the Inflation Reduction Act has eliminated a substantial chunk of EV/PHEV vehicles that qualify for the tax credit, dealers and automakers are reporting a reduced interest in those vehicles.