Toyota Alabama launches new differential production lines for U.S. trucks

Toyota Alabama has started producing differentials for the Tacoma, Tundra, and Sequoia, part of a $282 million investment creating 350 new jobs in Huntsville.

Toyota Alabama has entered a new chapter with the launch of differential production for three of the brand’s key models: the Tacoma, Tundra, and Sequoia. The project stems from a $282 million investment and the creation of 350 new jobs, reinforcing Huntsville’s standing as a manufacturing hub in the American South.

Toyota Alabama president Marc Perry emphasized that the new production lines reflect the plant’s flexibility and the team’s dedication to mastering advanced machining and assembly techniques. These components play a vital role in ensuring smooth handling and vehicle stability, especially in Toyota’s robust pickup and SUV lineup.

A differential allows the wheels on the same axle to rotate at different speeds, helping vehicles maintain traction and safety through turns. For Toyota’s trucks and sport-utility vehicles, this technology is central to their performance and durability.

The Huntsville plant has long been one of Toyota’s most important North American facilities. It currently supplies engines for seven of the nine Toyota models built in the region, having produced more than 895,000 engines in 2024. With the addition of differential production, Toyota’s total investment in Alabama has surpassed $1.7 billion.

Beyond manufacturing, Toyota continues to invest in the community. Through the Driving Possibilities initiative, the company has provided up to $4.2 million in grants to Huntsville City Schools to expand STEM education — funding robotics labs, engineering programs, and teacher training. Combined with previous grants, Toyota’s total contribution to local education approaches $11 million.

The automaker is also advancing sustainability at the site. A 30-megawatt solar array, developed with Huntsville Utilities and Toyota Tsusho America, powers part of the plant’s operations and cuts annual CO₂ emissions by more than 22,000 tons. The project reflects Toyota’s broader environmental goals in North America.

The launch of differential production represents a strategic move toward deeper localization of Toyota’s U.S. operations. In the coming years, the Huntsville plant’s expanded capabilities are expected to strengthen both the company’s industrial footprint and the local economy.