Toyota to Produce Next-Generation Corolla in China From 2028

NAGOYA, Japan — Toyota Motor plans to begin manufacturing its next-generation Corolla in China in 2028, adopting a flexible vehicle platform designed to support multiple powertrain options as the automaker faces a challenging and increasingly competitive market.

The new model will be produced by FAW Toyota Motor, a joint venture between Toyota and China FAW Group. It will be the first Corolla to use Toyota’s “multipathway” vehicle architecture, which can accommodate battery-electric, hybrid, gasoline and other powertrain technologies.

Toyota already uses this architecture in selected vehicles, including some models under its Lexus luxury brand. Applying it to the Corolla is expected to accelerate development, reduce production costs and allow the company to respond more quickly to changing consumer preferences.

The Japanese automaker first showcased the next-generation Corolla concept at the Japan Mobility Show in autumn last year.

“The Earth is vast, and the world is diverse. Roads differ, and so do energy realities,” then-President Koji Sato said during the unveiling.

Sato, who has since become Toyota’s vice chairman, indicated that the future Corolla would offer several powertrain options rather than relying exclusively on battery-electric technology. These are expected to include fully electric, hybrid and gasoline-powered versions.

The planned launch comes as Toyota faces mounting pressure in China, one of the world’s largest automotive markets. The company sold 118,449 vehicles, including Lexus models, in August, representing a 23% decline compared with the same month a year earlier.

Although electric vehicles and other new-energy vehicles previously supported growth in China, the market is now experiencing slower domestic sales. Fierce competition among automakers has also triggered price cuts, putting additional pressure on profit margins.

Beyond the Corolla programme, Toyota is expanding its electrification strategy in China. The company plans to introduce longer-range, next-generation electric vehicles under the Lexus brand from next year. It also intends to manufacture extended-range electric vehicles, which use an onboard combustion engine exclusively to generate electricity rather than directly drive the wheels.

Toyota is also pursuing advances in vehicle electrification and intelligent technologies while restructuring its two local joint ventures as part of its broader efforts to strengthen its position in the Chinese market.

The next-generation Corolla represents part of Toyota’s strategy to offer a wider range of powertrain choices while controlling costs and adapting to the rapidly changing automotive landscape in China.