Together We Are Stronger: Toyota’s vision for Europe focuses on inclusion and pragmatism in support of the EU’s ambition to stimulate competitiveness and decarbonise its automotive industry
- Strategic adjustments proposed to the Industrial Accelerator Act to secure the EU’s future automotive industry competitiveness
- A customer-centric environmental pathway to decarbonisation through a pragmatic and flexible approach to the EU’s Automotive Package proposal
- Recognition of the increasingly vital role of renewable fuels in securing decarbonisation and European resilience on fossil fuels
- Continued support for a strong implementation of AFIR to deliver a hydrogen refuelling infrastructure and secure the EU’s global leadership of heavy-duty transport decarbonisation
Brussels, 10th June 2026 – speaking at the Automotive News Europe Congress, Yoshihiro Nakata, President & CEO of Toyota Motor Europe (TME), set out Toyota’s vision for a competitive, resilient and decarbonised European automotive industry, calling for inclusive partnerships, technological diversity and regulatory pragmatism. He highlighted targeted adjustments to the proposed Industrial Accelerator Act and Automotive Package, aimed at strengthening Europe’s global competitiveness whilst delivering on its climate objectives.
Mr Nakata underlined that Toyota Motor Europe’s strategy is built on local contribution through its manufacturing base which represents a major industrial footprint in the region:
- 877,000 cars & LCVs – in ‘25, 80% of Toyota vehicles sold in Europe were made in the region
- 8 Toyota plants in Europe, plus Toyota vehicles built by partners in another 5 European plants
- 25,000 direct and many more indirect employees
- A network of over 450 suppliers supporting Toyota and other European OEMs
Reaffirming Toyota’s commitment to Europe, he noted that TME “can be regarded as a European OEM”, reflecting Toyota’s core principle “to build where we sell and source where we build”.
Inclusive policy needed to secure EU automotive industry competitiveness
While stating that Toyota supports the intent of the EU’s Industrial Accelerator Act, he also highlighted that Europe’s automotive industry is strengthened by the contributions of selected international partners - among them Japan, the UK and Turkiye.
He expressed Toyota’s fears that excluding key international partners in the automotive sector could undermine future investment, employment and technology transfer, while reducing the regional scale considered necessary to effectively compete globally.
Furthermore, at a time of intensifying global competition, he cautioned that delays and restrictive eligibility criteria risk undermining the EU’s position, while competing regions continue to advance.
We believe that selected critical partners — for instance the UK, Japan, and Turkiye — should be recognised in the same way as ‘Made in EU’ under the Industrial Accelerator Act. Europe’s resilience is built not only on local production, but also on working with partners to create regional scale and shared success. By working together we are all stronger.
A flexible pathway to 2035
Regarding the EU’s Automotive Package proposal, Toyota called for a technology-neutral multi-pathway approach to decarbonisation, reflecting true customer demand whilst keeping the environment in focus.
This includes:
- Continued rollout of battery electric vehicles (BEV) and fuel cell vehicles (FCEV)
- Strategic role of plug-in hybrids (PHEV) as a pragmatic and advantageous technology
- Swift confirmation of the wider use of renewable fuels to decarbonise new vehicles
- Flexibility built into the CO2 reduction pathway to reflect uncertain consumer demand whilst keeping true to the shared goal of decarbonisation
Furthermore, Nakata san highlighted renewable fuels as a key contributor to decarbonisation, capable of significantly reducing carbon emissions, contributing to European technology expertise and delivering energy resilience against fossil fuel supply challenges.
He also called for strong implementation of the Alternative Fuels Infrastructure Regulation (AFIR) to deliver on hydrogen refuelling infrastructure commitments, particularly for heavy-duty transport.
Cross-industry alignment on renewable fuels
The topic of wider use of renewable fuels was echoed elsewhere at the ANE Congress in a panel of industry leaders, including Luis Cabra (President - Fuels Europe/Deputy CEO - Repsol), Frank Breust (Senior Director, Government Affairs, BMW Group), Michael Krueger (SVP Engineering Systems - Bosch) and Pascal Ruch (VP Corporate & Government Affairs - Toyota Motor Europe),
The discussion highlighted:
- The significant contribution that renewable fuels can make in the decarbonisation of new passenger cars and light commercial vehicles
- Further opportunity to decarbonise existing vehicles in operation with sufficient production
- The need for policy frameworks and the legislative certainty to support investment
- The importance of availability and affordability and the need to scale production
- The availability of certification and traceability systems to ensure credibility and impact
- Support of European combustion technology leadership and potential for energy resilience against fossil fuel challenges
Toyota Motor Europe NV/SA (TME) oversees the wholesale sales and marketing of Toyota, GR (Gazoo Racing) and Lexus vehicles and parts and accessories, as well as Toyota’s European manufacturing and engineering operations. Toyota directly employs over 26,000 people and has invested over EUR 12 billion in Europe since 1990. Its eight European manufacturing plants are located in Portugal, the UK, France, Poland, Czech Republic and Turkey. Today, there are approximately 15. 6 million Toyota and Lexus vehicles on European roads, whose drivers are supported by a network of 28 National Marketing and Sales Companies and around 2,300 retail sales outlets in 53 countries (EU, UK, EFTA countries , Israel, Turkey and other Eastern European countries). In 2025, TME sold 1,229,000 vehicles in Europe for a 7.2% market share. For more information, visit www.toyota-europe.com.
Toyota believes that when people are free to move, anything is possible. In the pursuit of "Mobility for All", Toyota aims to create safer, more connected, inclusive and sustainable mobility to achieve its mission of producing “Happiness for All”. In Europe, TME launched the KINTO mobility brand which offers a range of mobility services in 20 countries, and is growing its business-to-business sales of fuel cell products and engineering support. Contributing to the UN Sustainable Development Goals, Toyota is working to achieve carbon neutrality in its entire business across Europe by 2040.