Toyota plans to use its own gigacasting machinery to make electric vehicles at a $2 billion Lexus factory in China, part of its push to reverse a sales decline in the world’s biggest car market. The Japanese manufacturer is developing the technology for the site “in-house,” said Chief Technology Officer Hiroki Nakajima, when asked if Toyota is procuring gigacasting machines from a local supplier. The Shanghai plant is under construction and due to start producing cars in 2027.
Pioneered by Tesla and used by the likes of BYD and Xiaomi, gigacast presses can mold entire chassis sections in one piece, replacing dozens of parts that previously needed to be welded together. The process helps manufacturers save on time, equipment, labor and cost. Toyota is currently conducting trials of the technology in Japan, the company said.
It declined to comment on potential suppliers related to its gigacasting efforts. The downside is that the technology is expensive and offers less flexibility when producing different models. Accidents tend to be more costly as replacement parts are bigger.
Carmakers often work closely with die-casting suppliers such as Italy’s Idra Group or China’s Haitian to tailor the machines to their needs. Toyota and its European peers have been contending with a shrinking market in China, where consumers are shying away from expensive purchases due to an ongoing real estate crisis. They’re also heavily favoring EVs from local brands.
Toyota’s sales in China are down 19% after the first eight months of the year. Nakajima was speaking at Toyota’s technical center in Brussels, showing off the latest technologies the company is working on. These include advancements in hybrid engines, EVs and hydrogen fuel cells, as Toyota continues with its multi-pathway strategy pushing all powertrains.
A major effort is being made on automation in factories to speed up development times, with Toyota spending billions of dollars on the latest equipment.
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