The Japanese carmaker’s investment in the Burnaston plant near Derby will allow production of vehicles using its new global manufacturing system.
The factory employs about 2,500 people, while another 590 work at Toyota’s engine plant at Deeside, North Wales.
Burnaston made about 180,000 vehicles last year, most of which are exported to Europe and other markets.
Johan van Zyl, chief executive of Toyota Motor Europe, said the investment showed that the company was doing all it could to make Burnaston more competitive.
However, he warned: “Continued tariff-and-barrier free market access between the UK and Europe that is predictable and uncomplicated will be vital for future success.”

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