Sat29Aug2009

Auto plant in Fremont to close

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Toyota Motor Corp. has announced that it will end production at Fremont, California's New United Motor Manufacturing Inc., better known as NUMMI. Despite protestations from workers and community members to the contrary, Toyota has voted to close the plant effective March 2010. The plant's future had been called into question by General Motors announcing its intention to pull-out from the groundbreaking joint venture as part of its

bankruptcy proceedings.

With General Motors' pullout from the facility and the production of its Pontiac Vibe along with it, Toyota has kept the factory's 4,600 workers busy assembling the Corolla and Tacoma. The move comes amidst word that the Japanese automaker has plans to cut production by up to one million units.
For its part, California officials attempted to rally an incentives package to convince Toyota to keep the plant open, but the effort to keep the plant in operation has evidently failed. With the half-year lead time before the facility's closure, lawmakers will be looking hard to find a new tenant to take over the facility.

The NUMMI plant, established in 1984, employs 4,600 workers. California lawmakers have discussed with Toyota a package of financial incentives to keep the plant open. The six month period before Toyota ends production gives the state time to find another automaker or manufacturer which may want to use the facility.