Demand for the Tacoma has been strong in the US fueled by cheaper gasoline prices.
Meanwhile, Illinois officials admit that mismanagement, red tape and tax increases have hurt the state's business climate.
SC is reportedly among 11 states in the running for the $1.6 billion manufacturing campus that automakers Toyota and Mazda plan to jointly build by 2021. Delaying the Mexico plant offers time for suppliers to accommodate the change in plans.
Pickup trucks and other large vehicles increased their share of the US new vehicle market in 2016 to about 60%.
The move comes as part of Toyota's plans to establish a new joint-venture plant in the U.S. and set up a research and development unit for electric cars.
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The design of the Tacoma, which is about 5 meters long and has a bed, is different from that of the Corolla.
The factory in Mexico will also produce Tacoma truck.
Toyota announced that it has not yet decided on where the facility will be built, but will be looking to locate it close to its existing supply chain which is now spread across eight southern and mid-western states - all of which are likely to be vying for the plant.
SC is once again on the short list for an automotive production plant, according to several national media outlets.
Yamamoto also argued that auto companies are merely battling to be the first to produce a fully autonomous vehicle for marketing purposes as opposed to benefitting the industry.