In a Truth Social post, President Donald Trump praised<\/a> the decision, calling it \u201ca really big deal,\u201d and credited the move to tariffs imposed by his administration.<\/p>\n But in Tijuana the announcement has caused confusion and uncertainty. Some are calling for patience as they await further information about the company\u2019s plans after the move. The announcement has also spurred business leaders and government officials to begin work on ways to lessen the potential impact on the border state.<\/p>\n \u201cWe took the news with caution, but very seriously,\u201d said Alfonso Mill\u00e1n of the Baja California chapter of the National Chamber of Freight Transportation. He represents the company that transports hundreds of Tacomas to the U.S. every day.<\/p>\n The Toyota Motor Baja California manufacturing facility, the Japanese automaker\u2019s first full-scale operation in Mexico<\/a>, opened in 2004. By 2019, the plant was estimated to employ more than 2,000 people and produce 166,000 units annually.<\/p>\n The facility, located along the Tijuana-Tecate highway, manufactures the popular Toyota Tacoma, the best-selling<\/a> mid-size pickup in the U.S. Operations include body welding, painting and assembly, according to<\/a> the company website.<\/p>\n \u201cIt\u2019s been a great achievement to have the plant here,\u201d Mill\u00e1n said. \u201cI\u2019d be a little more cautious about what to expect going forward. As of now, the plant has been a model of efficiency, hard work and prompt deliveries.\u201d<\/p>\n Toyota is the only manufacturer of passenger vehicles in the region, while Kenworth produces<\/a> heavy trucks at its manufacturing plant in Mexicali.<\/p>\n Mexico\u2019s Secretariat of Economy issued a news release<\/a> saying the company had informed the government of the decision \u201cas part of a process to restructure its global operations.\u201d<\/p>\n \u201cThe relocation of production will not happen immediately but rather as a gradual process completed by 2030,\u201d Mexican officials said, adding that the company is \u201ccontinuing to assess the plant\u2019s future\u201d beyond that date.<\/p>\n Mexico said that the company will keep its manufacturing plant<\/a> in Guanajuato, where Tacomas are also made. That plant employs 2,800 people.<\/p>\n A Toyota spokesperson said that Tacoma production in Baja California will continue as normal during the transition. However, it is unclear what will happen afterward.<\/p>\n \u201cThere are no future product announcements at this time,\u201d the spokesperson added. \u201cToyota is maintaining its operations in Mexico.\u201d<\/p>\n On Wednesday, a worker outside the Tijuana facility said it was a good place to work and that, although she felt somewhat safe for now, she said she wasn\u2019t sure about the future.<\/p>\n \u2018A wake-up call\u2019\u00a0<\/p>\n Toyota\u2019s announcement comes shortly after the United States announced<\/a> that it would not renew the North American free trade agreement in its current form and instead has opted for annual reviews. Negotiations are still ongoing, with a third round of talks with Mexico scheduled for next week.\n<\/p>\n Automakers are especially impacted. Currently, some vehicle imports face a Trump-imposed tariff<\/a> of up to 25% on their non-U.S. content.<\/p>\n Amid the uncertainty<\/a>, some business leaders and researchers in Baja California believe it is time to plan for what comes next.<\/p>\n \u201cWe\u2019re going to develop a strategy to mitigate the impact; these are decisions we cannot change,\u201d said Octavio Sandoval, president of the Baja California Business Coordinating Council.<\/p>\n Toyota addressed the trade deal in its news release<\/a>, stating that it \u201cencourages a quick resolution to USMCA to make the North American region globally competitive.\u201d<\/p>\n The timing of Toyota\u2019s move could be seen as a \u201cwake-up call,\u201d said Elisa Iba\u00f1ez, president of the Tijuana chapter of Mexico\u2019s Employers Confederation, better known as Coparmex.<\/p>\n \u201cWe see this as a great opportunity for Mexico to promote policies that will help keep these companies,\u201d she said.<\/p>\n Iba\u00f1ez noted the jobs and investment Toyota brought to the region.\u00a0\u201cIt\u2019s a very important brand,\u201d she said. \u201cCompanies tend to locate where other companies are, bringing their suppliers with them. We need to be mindful of that impact, and we can\u2019t downplay it. We need to pay attention to that warning.\u201d<\/p>\n Data from Index Tijuana, an organization representing export-oriented sectors, estimates that the manufacturing industry generates approximately<\/a> 400,000 direct jobs in Baja California.<\/p>\n![\"A](\"https:\/\/www.newsbeep.com\/us-ca\/wp-content\/uploads\/2026\/07\/sut-l-toyota-tijuana-4.jpg\")
A truck carrying Tacoma pickup trucks at the Toyota Motor Corp assembly plant in Tijuana on Wednesday. (Carlos Moreno \/ The San Diego Union-Tribune)<\/p>\n