Global automakers are preparing to pour billions of dollars into U.S. vehicle production, but several manufacturers say they need clearer trade rules before locking in many of those plans. The companies are watching the status of the United States-Mexico-Canada Agreement - which faces a review this year - and seeking more information on prospective vehicle tariffs that could alter where and what they build in North America.
Toyota has announced a headline $10 billion U.S. investment program over the next five years but has so far disclosed specifics for roughly $2 billion of that amount. "Where we build, what we build, is all in flux so to speak," David Crist, Toyota Division General Manager, said on the sidelines of the New York Auto Show. He added that it is difficult to finalize decisions while a 25% USMCA tariff remains a possibility. "I think we have to get more clarity on that before we finalize every decision within the $10 billion, but that investment is coming," Crist said.
Hyundai has outlined a $26 billion investment plan in the United States through 2028 and showcased a concept SUV at the show. The company said it intends to build a new mid-size truck in the U.S. by 2030. Hyundai Chief Executive Officer Jose Munoz said the firm is targeting production of 80% of the vehicles it sells in the U.S. domestically and plans to raise U.S. output from 800,000 units to 1.2 million units. "We want to invest here," Munoz told Reuters. "This is our most important market."
Hyundai has previously informed the U.S. administration that uncertainty about the USMCA was delaying investment choices. The company said early confirmation of an extension of USMCA would unlock in excess of $20 billion in new American investments, and that ongoing ambiguity slows job creation, site selection and technology development.
Volkswagen introduced an updated Atlas SUV at the show, noting it is produced at the company’s Tennessee plant. "When you look at the investment volumes and also lead times to build up a product portfolio and supply chains, stability is just so important," Kjell Gruner, president and CEO of Volkswagen Group of America, told Reuters, emphasizing the effect that policy certainty has on planning and supply-chain development.
Nissan executives highlighted the cost differential between U.S. and Mexican production for low-cost models. "The problem is, they’re not made in the U.S., and it’s a very big challenge to build very affordable cars in the U.S. because of the labor rate," Christian Meunier, chairman of Nissan Americas, told Reuters. Nissan is increasing production at its Tennessee plant and will add a new Rogue hybrid to that facility in the coming year. Meunier said the tariffs prompted Nissan to speed up localization of production, calling the tariffs "a good thing for Nissan, because it forced us to accelerate the localization of our production."
The auto industry broadly has urged the administration to extend USMCA, which it views as crucial to American auto manufacturing. Companies say stability around the trade deal and future vehicle duties is essential for decisions involving where to site plants, how to shape product portfolios, and how to sequence supply-chain investments.
Separately, the coverage included a mention of the Toyota ticker, TM, and a promotional note about using a Fair Value calculator to evaluate TM alongside thousands of other stocks. That note framed the tool as a way to assess whether TM is undervalued by applying a mix of industry valuation models and invited readers to explore undervalued opportunities.
What this means - Automakers are prepared to commit large sums to U.S. production, but many final investment choices remain contingent on clarity about USMCA and any potential vehicle tariffs. The companies represented at the New York Auto Show emphasized both the scale of planned investments and the practical planning hurdles created by ongoing trade-policy uncertainty.