Toyota estimates factory automation could cost $6.4 billion per year from 2028

Toyota estimates that modernizing its factories through automation and robotics could cost $6.4 billion annually starting in 2028, according to a report by Reuters. The world's largest automaker is accelerating its deployment of automation and robotics to cut costs, address aging infrastructure, and labor shortages. This investment estimate covers Toyota, its group companies, and major suppliers, and is expected to require around 400,000 robots for factory automation, including replacements for existing machines and new installations.

The robots would be humanoid and non-humanoid, and would be used for human-robot collaboration on the factory floor. Analysts at Bernstein predict that Toyota's growing focus on robotics could boost investor appreciation of the potential for growth beyond automobiles. Other global automakers, such as Hyundai, which owns humanoid robot maker Boston Dynamics, are also looking to increase the use of humanoid robots, with plans to deploy them at its US plant in Georgia from 2028.