Joint Toyota Mazda Plant to Set up Shop in Either Alabama or North Carolina
One of the two states will see as many as 4,000 new jobs created thanks to the placement of the factory.
Toyota and Mazda continue to strengthen professional relationships between the two companies as a final resting place for its manufacturing plant in the United States gets narrowed down a bit further. Originally reported by Automotive News, the joint venture will soon make the choice between two southern U.S. states, one of which could see an influx of nearly 4,000 jobs.
Alabama and North Carolina officially remain the final two states in talks regarding the $1.6 billion joint venture for Toyota and Mazda. According to Bloomberg, the auto manufacturers are looking to squeeze out the most financially rewarding state, pressing for the states to issue a $1 billion incentive package for the venture to bring a steady stream of revenue and economic stimulus to the state.
Five other locations for the plant were initially considered, including Illinois, Mississippi, South Carolina, Tennessee, and Texas, however, were discarded in favor of the two remaining contestants.
Expected to open doors in 2021, this plant would be responsible for chugging out nearly 300,000 vehicles annually, with a vast majority likely being crossovers. The potential exists for the plant to also be one of the key locations which the pair's collaboration on electric cars could kick off, though it seems unlikely considering that not all new tech be shared between the companies.
The location itself will be more of a "co-working" space where each company will develop its own technology independently of each other. The same location and equipment will be used as much as possible, however, the two automakers will primarily go about independent schedules. This may be part of some elaborate agreement between the two in order to make Toyota's newly acquired five percent stake in Mazda financially feasible.
Though both Toyota and Mazda declined to comment on the current state of the company's decision on where to break ground, both states are undoubtedly excited and fighting for the chance to become the home to a new assembly plant for both auto manufacturers. A decision is expected to be finalized by early 2018.