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Toyota Motor Engineering & Manufacturing

Toyota's North American engineering and manufacturing arm, responsible for designing and building Toyota and Lexus vehicles in the United States, Canada and Mexico.

Last updated October 31, 2026

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Overview

Toyota Motor Engineering & Manufacturing (often abbreviated TEMA) is the North American engineering, manufacturing and research arm of Toyota Motor Corporation. It is not a standalone consumer brand but an operating unit within the Toyota Group: it engineers, toolbars and builds Toyota and Lexus vehicles for the North American market and coordinates the company's plants, engineering centers and supplier network across the United States, Canada and Mexico. The unit sits at the center of Toyota's North American industrial footprint. Its responsibilities span vehicle engineering and design adaptation for local tastes, production engineering, quality assurance, powertrain and component manufacturing, and the operation of assembly plants that produce models such as the Camry, Corolla, RAV4, Tacoma, Tundra, Sienna and various Lexus vehicles. TEMA also works closely with Toyota's North American research and development operations and with Toyota Motor North America, the regional holding and sales organization headquartered in Plano, Texas. As part of Toyota, TEMA inherits the parent's positioning around quality, durability, reliability, lean manufacturing (the Toyota Production System) and gradual electrification. Its output feeds directly into Toyota and Lexus dealer networks in the region, and its plants are frequently cited in Toyota's announcements about local investment, jobs and future electrified vehicle production. Because TEMA is an internal operating entity rather than a marketed product brand, public information about it is largely corporate: plant locations, production models, investment commitments and organizational changes. It does not have its own consumer-facing website or retail identity separate from Toyota and Lexus.

History

Toyota's North American manufacturing history began in the 1980s, when the company responded to trade pressure and growing U.S. demand by establishing local production. Early joint ventures with General Motors (NUMMI in California) and subsequent wholly owned plants in Kentucky, Indiana, Texas, Mississippi, Canada and Mexico gradually made North America one of Toyota's largest manufacturing regions outside Japan. Toyota Motor Engineering & Manufacturing North America (TEMA) was created to consolidate engineering and manufacturing coordination for these operations. Over time it took on vehicle engineering, production engineering, quality and supplier development responsibilities, working alongside Toyota's North American R&D and sales organizations. The 2014-2017 period saw Toyota consolidate its North American headquarters functions in Plano, Texas, and reorganize regional entities to speed decision-making. TEMA's plants have produced many of Toyota's highest-volume North American models, including the Camry, Corolla, RAV4, Tacoma, Tundra and Sienna, as well as Lexus vehicles. The unit has also been central to Toyota's announcements of multi-billion-dollar investments in U.S. manufacturing, including preparations for electrified and battery-electric vehicle production. As an internal operating unit, TEMA does not publish a separate corporate history; its story is part of Toyota Motor Corporation's broader North American expansion.

Products and positioning

Internal engineering and manufacturing backbone for Toyota and Lexus in North America, built on the Toyota Production System and a quality/reliability reputation.

  • Toyota Camry

  • Toyota RAV4

  • Toyota Tacoma

  • Toyota Tundra

Controversies

  • 2026

    NHTSA announces multiple vehicle safety recalls

    The National Highway Traffic Safety Administration announced a series of safety recalls affecting passenger cars, electric vehicles, commercial buses, and heavy trucks. The recalls cover vehicles including the Tesla Model 3 and Model Y, the Rivian R1S and R1T, the Toyota Camry Hybrid and BZ Woodland, Blue Bird school buses, Thomas Built Buses, and Volvo and Mack trucks, among others. Repairs are to be performed free of charge at dealerships.

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