Toyota plans to build an electric vehicle factory in Shanghai for its luxury Lexus brand, media reports said on Tuesday, at a time when many foreign automakers are struggling in China.

Toyota Motor Corp. is preparing to build a new factory to manufacture electric vehicles in Shanghai, with operations expected to begin around 2027, people familiar with the plan said Monday. The Japanese automaker plans to produce EV models of its luxury Lexus cars at the envisioned facility in eastern China,