Toyota Halts Development of New Lexus Electric Vehicle

Toyota Motor Corp. has decided to suspend development of a next-generation electric vehicle under its Lexus luxury brand, sources familiar with the matter said on Friday.

The decision comes as the Japanese automaker reassesses its electric vehicle strategy in response to shifting market demand and competitive pressure. The model was expected to be part of Lexus’s expansion of its EV lineup, but has now been put on indefinite hold.

Specific reasons for the halt or a timeline for resumption have not been officially disclosed by Toyota. The move follows a series of strategic adjustments by Toyota in the EV space, including delays to several other projects.