Photo by Erik Mclean
Toyota is planning to relocate a portion of its GR Corolla sports car production to the United Kingdom and intends to invest approximately $56 million in a dedicated assembly line there to manufacture vehicles for export to North America, according to two sources familiar with the matter.
By transferring some output from Japan, Toyota aims to capitalize on unused production capacity in the UK, helping to shorten delivery wait times for the GR Corolla, the sources said. They emphasized that the decision was not a direct response to President Donald Trump’s tariffs on imported vehicles.
Earlier this month, the Trump administration agreed to lower tariffs on automobile imports from Britain to 10 percent for up to 100,000 units annually. Meanwhile, Japan continues to face 25 percent tariffs on vehicle exports and is seeking to have those duties lifted. Toyota currently manufactures the GR Corolla in Japan for both the domestic market and for export to North America and other international markets. However, the automaker has struggled to meet North American demand, driven by strong interest in the gasoline-powered vehicle among engine enthusiasts, the sources noted.
To address this, Toyota will establish a new production line at its Burnaston facility in Derbyshire, with an investment of around 8 billion yen ($56 million). The goal is to produce approximately 10,000 GR Corollas per year for shipment to North America, starting from mid-2026, according to the sources.
Burnaston, which has been in operation since 1992, is equipped with advanced manufacturing technology. The plant has experienced a decline in production volumes since the UK’s departure from the European Union, the sources added. Since Burnaston already manufactures the standard Corolla hatchback—the base model for the GR variant—it is considered an ideal location for the new production line, one of the individuals said.
As part of the transition, engineers from Japan will be temporarily dispatched to the UK facility to transfer key production knowledge and technological expertise, the sources confirmed.
Toyota, when contacted, said it continually evaluates ways to optimise its manufacturing strategy but noted that this specific report had not been publicly disclosed by the company.
