Toyota China Strategy and Progress
Integration of locally-led product development with intelligent technology
Summary
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Toyota China (Toyota Motor (China) Investment Co., Ltd.) is accelerating its localization and intelligence strategies, outlining its development direction as Strengthening the market presence of both gasoline and electric vehicles, and advancing gasoline and electrified vehicles simultaneously. The company will develop two NEV-specific platforms for the Chinese market, equip them with a new E/E architecture, and continuously update the intelligent hybrid Shuang Qing HEV. The company will pursue three hybrid technology paths including the acceleration of the introduction of high-performance PHEVs, and the launch of high-performance range extender EVs for the first time.
Regarding intelligence, Toyota China will build an AI ecosystem and partner with companies such as Huawei Technologies Co., Ltd. (Huawei), Momenta, and Xiaomi EV Technology Co., Ltd. (Xiaomi) to make advanced use of AI to improve operational efficiency and production quality. At the same time, the company introduced the "ONE R&D" strategy in China to integrate its R&D resources in China and launched a "Regional Chief Engineer (RCE)" system. Chinese engineers will lead the entire research and development process of global models and jointly developed models, upgrading the company from "defined by Chinese needs" to "driven by Chinese wisdom."
Furthermore, Toyota advocates for the localization of the 4 major strategic policies. The company will unveil its next-generation multimedia system and work with partners such as Huawei and Tencent Holdings Limited (Tencent) to create a smart cockpit experience tailored to the needs of Chinese users.
The joint venture, GAC Toyota Motor Co., Ltd. (GAC Toyota), will build a future-oriented product lineup based on two NEV platforms, adopt a centralized domain controller architecture, and replace the conventional distributed ECUs with a high-performance central processing unit. From 2026 to 2027, GAC Toyota will work with leading industry partners to develop intelligent driving assistance systems based on "World model". Furthermore, in 2028, the company will enter a new phase of "integration of intelligent cockpit and intelligent driving," aiming for a deep fusion of the cockpit and intelligent driving.
This report summarizes the major strategies and technology advances jointly announced by Toyota China and GAC Toyota at the GAC Toyota 2025 Technology Day.
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