Isuzu mulls moving small truck production to US for 2028
Shinsuke Minami, 65, told Kyodo News last week he hopes the move will cater to the growing demand of trucks amid the proliferation of online shopping and necessary delivery services, adding that the production capacity of the Fujisawa plant in Kanagawa Prefecture will not be cut as the company aims to expand its global market share.
"Although there are some parts we will have to export from Japan when manufacturing in the United States, we hope to increase our local procurement rate," Minami said. "We need to carefully review the effects of tariffs on our profits."
The number of units sold by Isuzu in the United States annually hovers between 30,000 to 40,000, of which the production of around 20,000 is outsourced to a local company, while the remaining vehicles are exported from its factory in Fujisawa.
Isuzu is currently constructing a factory in South Carolina for the manufacture of mid-size and electric trucks that will cost about 43 billion yen ($290 million). It is slated to begin operations in 2027, incorporating the production of small trucks in 2028, and is aiming to manufacture a total 50,000 units per year by 2030.
The truck maker also plans to spend approximately 7 billion yen in creating a test course in Mukawa, Hokkaido, to trial autonomous driving technology, set to begin in fiscal 2027, according to Minami.
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