Toyota and Mazda to build joint US manufacturing plant
07/08/2017
As part of the agreement, Toyota will take a 5% stake in Mazda. Toyota explained that this arrangement “preserves independence and equality for both companies”. The share acquisition is expected to be completed in October.
The companies have set five goals for their partnership:
•Establish a joint venture that produces vehicles in the United States;
•Jointly develop technologies for electric vehicles;
•Jointly develop connected-car technology;
•Collaborate on advanced safety technologies;
•Expand complementary products.
Toyota and Mazda will make equal funding contributions to the new US plant, which would have an estimated annual production capacity of 300,000 units. Toyota said it is aiming to start operations there in 2021. A total investment of $1.6 billion will be made, with the creation of up to 4,000 jobs.
Mazda explained that by producing vehicles in the US, it hopes to build a production structure for further growth in North America.
For its part, Toyota explained that this proposed development will have “no substantial impact” on the investment and employment plan at its new plant in Guanajuato, Mexico, which is currently under construction.
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