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You misunderstood me. Toyota is not building new factories here in the future as a response to the new tariffs. They are not expanding capacity. The tariffs are

• alephnerd 2y ago
  It depends on the industry. Light manufacturing for CPGs and FMCGs is not coming back due to these tariffs - toys, apparel, consumer electronics will continue to be assembled abroad, except they will now move back to pre-existing capacity such as Mexico and Malaysia or greenfield opportunities in India. For intermediate parts and industries with slightly higher margins such as automotive and medical devices, I'd be more optimistic. The capacity always existed in the US, but parts comingling and other optimizations were a better choice from a cost standpoint. Companies cannot ignore the US market, so capacity - which was already being invested in thanks to the IIJA, IRA, and CHIPS act - will continue to grow, and invest in the US (of course in heavily automated and low personnel processes) or anywhere other than China. Finally, any conversation of "jobs coming back" is a lie. The tariff is a de facto blockade on China, and something which the Biden admin tried in a strategic manner, but couldn't because of inevitabely GOP politicking and insincere potshots. The most egregious aspects have been rolled back due to bipartisan and private sector pressure, but those against China remain and continue to have bipartisan backing.