Toyota, Mazda to build $1.6B joint plant in Alabama

Louisiana proposed huge incentive package to attract massive Toyota-Mazda plant that went to Alabama

Louisiana proposed huge incentive package to attract massive Toyota-Mazda plant that went to Alabama

Toyota's footprint across the Southeast continues to grow with the recent announcement that the Japanese automaker will be building a jointly operated plant with Mazda in Alabama. The factory will build up to 300,000 vehicles, half of them being the Toyota Corolla and the other half being a new Mazda crossover vehicle.

The joint venture represents a $1.6 billion investment that the automakers plan to make with equal funding contributions. The site for the new plant is in Huntsville, located approximately 14 miles from Toyota's Alabama plant (Toyota Motor Manufacturing, Alabama, Inc.).

Alabama's offer to win the plant, which is expected to employ about 4,000 people, was valued at around $380 million. Production is expected to begin by 2021. For Mazda, the plant represents an enhanced commitment to the USA market with an increased focus on manufacturing and sales in the country.

"The partnership between Mazda and Toyota will expand innovative automotive manufacturing in Alabama", Governor Ivey said.

"Our workforce, well trained and committed to producing high-quality vehicles and parts, is the reason these companies are deepening their roots here, bringing even more new jobs and opportunity for communities across the state".

Image: (left to right) Secretary Greg Canfield, Masamichi Kogai, Alabama Govornor Kay Ivey, Akio Toyoda, Huntsville Mayor Tommy Battle and Commission Chairman Mark Yarbrough.

"Alabama was more equipped for this plant as it already has others".

Toyota officials eased many minds in Northeast Mississippi following the announcement by stating the new Alabama plant would not have an impact on the Blue Springs facility, which also produces the popular Corolla model.

"Mazda makes cars with a clear vision of how we want to inspire people, contribute to society and help preserve the beauty of the earth".

Alabama was chosen out of 12 states vying for the business.

The state of Alabama is the fifth largest producer of cars and light trucks nationally, with a strong automotive manufacturing presence. In 2017, the company announced a $10 billion investment in the United States over the next five years.

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