Thursday, July 23, 2009

Toyota to Liquidate California Plant

2009corolla According to a Japanese news agency, Toyota is pulling up stakes at its Fremont, Calif., factory, known as NUMMI. This is the plant that was jointly run by Toyota and GM before GM’s bankruptcy filing this summer. The Detroit-based automaker decided NUMMI — where it built the Pontiac Vibe alongside the Toytoa Corolla and Tacoma — was not integral to its future. NUMMI employs 4,700 people and is the only U.S. Toyota plant with UAW employees.

This would shake up Toyota’s U.S. manufacturing plans, as the company doesn’t build the Corolla or Tacoma anywhere else in the country. The Corolla is also built in Canada and Japan. Toyota recently built a plant in Mississippi that is sitting empty. It was scheduled to build the Prius hybrid, but those plans were put on hold after demand for the car fell along with gas prices.

Toyota could shift Corolla and Tacoma production there.

Update: Toyota previously moved Matrix production to Canada. The Wall Street Journal is also reporting that negotiations have begun for Toyota to pull out of NUMMI.

Update 2: L.A. Times also confirms the closing, mentions this is the last California auto plant.

Report: Toyota to end venture with GM in Calif. (Detroit News)

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