March 27, 2025: Toyota has declined to comment on reports that it is set to postpone construction of a lithium ion battery factory in Japan because of sluggish global demand for EVs.

Toyota Motor Corp chiefs are expected to formally announce the shelving of the project, in Japan’s Fukuoka prefecture, in the coming days, according to local media reports.

Toyota had not responded to a request for comment by Batteries International at the time of going to press.

However, any postponement would be in line with increasing fears for the lithium battery sector — and follows recent moves by South Korea to shore up its own faltering battery sector with an initial cash infusion worth close to $15 billion.

That followed analysis, released on December 10 by BloombergNEF, showing that global battery prices last year saw their biggest annual drop since 2017.

Lithium ion battery pack prices dropped 20% from 2023 to a record low of $115 per kilowatt-hour, BNEF said.

Meanwhile, as reported by Batteries International, US companies expecting financing for EVs and green energy projects are still facing uncertainty over when — or if — the cash will be paid out following Donald Trump’s return to the presidency.

Trump, who took office for a second time on January 20, ordered an immediate freeze on all grants and loan guarantees issued under the outgoing Biden administration’s Inflation Reduction Act (IRA) and Infrastructure Investment and Jobs Act (IIJA) — including funding for EV charging stations.