In January 2023, Akio Toyoda — grandson of the founder — announced that he was handing the reins to Koji Sato, former head of Lexus. Since April 2023, Sato has been CEO & President of the world's largest automaker. Three years later, Toyota is transforming: a new EV every quarter, a $14 billion battery plant in North Carolina, and solid-state batteries on the horizon.
Who Is Koji Sato?
Koji Sato (佐藤 公治) was born in 1969 and graduated from Waseda University with an engineering degree in 1992. He joined the Toyota Group that same year.
His career within Toyota has been impressive:
- 1990s–2000s: Worked on suspension design for early hybrid models and led development of the Camry for North America (Wikipedia)
- 2016: Became head of Lexus, Toyota's premium brand
- September 2020: Appointed President of Toyota Gazoo Racing (motorsport division)
- January 2021: Took on the role of Chief Branding Officer
- April 2023: Became CEO, replacing Akio Toyoda
- June 2023: Also became President of the company
Why it matters: Sato is the first CEO in 14 years who does not belong to the Toyoda family. His technical background (mechanical engineer, hybrid development) combined with his Lexus and motorsport experience, makes him ideal for leading the EV transition.
Why Did Akio Toyoda Step Down?
Akio Toyoda — grandson of founder Kiichiro Toyoda — served as CEO from 2009 to 2023. During his tenure, Toyota became the world's largest automaker, but faced intense criticism for its slow adoption of electric vehicles.
Key points of criticism (according to Reuters, Bloomberg, Transport & Environment):
- December 2020: Toyoda stated that EVs are “overly hyped” and the transition would cost $135–358 billion in Japan alone
- June 2021: Transport & Environment ranked Toyota last among OEMs in BEV transition readiness by 2030
- June 2022: Recall of 2,700 bZ4X units due to wheel issues — an embarrassment at the debut of their first BEV
- 2023: Daihatsu scandal (falsified safety tests) across 64 models; Sato publicly apologized
In January 2023, Toyoda announced his departure. He remained as Chairman (Board of Directors), while Sato took over as CEO/President.
⚠️ Important clarification: Akio Toyoda did NOT leave entirely. He remains Chairman of the Board of Directors, meaning he oversees the strategic direction without being involved in day-to-day operations.
The EV Strategy Under Sato
Sato inherited the largest EV transformation in Toyota's history — a commitment of $70 billion (¥8 trillion) announced in December 2021:
| Target | Details | Timeline |
|---|---|---|
| BEV models | 30 fully electric | By 2030 |
| BEV sales | 3.5 million annually | By 2030 |
| Lexus 100% BEV | N. America, Europe, China | By 2030 |
| Total investment | $70B (¥8T) | By 2030 |
| Carbon neutrality | 90% emission reduction vs 2010 | By 2050 |
Toyota's EVs Today (2025–2026)
Under Sato, Toyota went from 1 BEV (bZ4X, 2022) to an entire electric lineup. According to Electrek (Feb 2026):
bZ (Beyond Zero)
The refreshed bZ ranks among the best-selling EVs in the USA (Jan 2026), surpassing the Hyundai IONIQ 5.
🔥 Top seller USAbZ Woodland
Larger than the bZ, with standard AWD. Priced $10,000+ above the base bZ.
AWD standardC-HR EV
Under $35,000, ~300 miles range, NACS charging port. Toyota's most affordable EV SUV.
From ~$35KHilux BEV
Premiered November 2025 at the Brussels Motor Show. Electric pickup — Toyota's first worldwide.
Europe firstUrban Cruiser EV
Entry-level SUV, India: ~$21,000, 543 km range. Upgrades vs bZ4X.
$21K India3-Row Electric SUV
Large 3-row SUV (possibly Highlander EV), interior revealed Feb 2026.
Coming soonBattery Plant & Solid-State
One of Sato's biggest “bets” is vertical integration in battery production:
North Carolina Plant ($13.9B)
- November 2025: Production began — Toyota's first battery plant outside Japan (Electrek)
- Area: 1,850 acres (~750 hectares) — equivalent to 121 football fields
- Toyota has stated it plans to expand it even further
Solid-State Batteries — The “Holy Grail”
- Partnership with Idemitsu Kosan (Japanese oil company) — in January 2026, construction began on a pilot plant for solid electrolytes (Electrek)
- Toyota holds over 1,000 patents on solid-state batteries (Wikipedia)
- Promise: +30% efficiency and corresponding cost reduction
- However: the company has been repeatedly delayed — in November 2025, it once again postponed plans for a new battery plant in Japan (Electrek)
⚠️ Reality check: Toyota has been promising solid-state batteries for years, but mass production remains at the pilot stage. The market should evaluate the models that are currently available, not future promises.
China: From Behind to the Front
China is a critical market — Toyota sold 1.77 million vehicles there in 2024. Under Sato:
- bZ3X: Starting price ~$15,000 — a “hit” in China (Electrek, Dec 2025)
- bZ7: Flagship electric sedan, pre-orders from ~$30,000 (Nov 2025)
- Joint venture BYD Toyota EV Technology (founded 2020) — developing BEVs together with BYD
The “Multi-Pathway” Philosophy
Unlike companies such as Tesla or BYD that focus exclusively on BEVs, Toyota under Sato maintains a "multi-pathway" approach:
BEV
Fully electric — bZ lineup, C-HR EV, Hilux BEV
Hybrid/PHEV
Remain best-sellers — “barely cover the demand” (Nov 2025)
Hydrogen
Toyota Mirai, hydrogen trucks, £11.3M UK deal for hydrogen Hilux
This strategy is criticized by environmental organizations, but Toyota argues that different markets need different solutions. At the G7 (May 2023), Toyoda stated: “BEVs are not the only solution.”
What Does This Mean for Greece?
Toyota is one of the most popular brands in Greece. The leadership change directly affects Greek buyers:
- More electric options: Instead of just the Yaris Cross hybrid, there will soon be the bZ, C-HR EV, and Urban Cruiser EV
- Competitive pricing: Chinese EVs are applying pressure — Toyota is forced to cut costs (bZ3X at $15K in China)
- Hybrids still relevant: For buyers without access to a charger, Toyota hybrids remain an excellent choice
- Subsidies: The new BEV models will qualify for the “I Move Electrically” incentive program
Conclusion
The CEO change at Toyota was not just an internal matter. Koji Sato — engineer, former Lexus boss, motorsport enthusiast — takes over a company that sells 8.7 million vehicles/year (2024) but only recently started taking BEVs seriously. Three years later, the signs are encouraging: new factories, new models, top-selling EVs. But Toyota remains behind BYD and Tesla in pure electric sales. Sato can close that gap — if the multi-pathway strategy doesn't slow him down.