Toyota Motor (NYSE:TM) plans to produce battery-powered cars in the UK as part of a broader strategy to keep all eight of its European factories running.
The world's biggest carmaker has been slower than rivals to switch fully to electric, instead focusing on hybrids.
That cautious approach has paid off as demand for battery cars slows in some markets.
Toyota sold 10.8 million cars last year and recently upgraded its profit forecasts.
The company unveiled three new electric models, including the C-HR+ SUV, and promised more by 2026. It supports easing UK rules on electric car sales and is lobbying for hybrids to be included in future petrol car bans.