Posted on 06/29/2009 10:03:54 PM PDT by Steelfish
GM to pull out of joint venture with Toyota at California plant
General Motors says it and Toyota can't agree on what vehicle to build at the NUMMI plant in Fremont. The move jeopardizes the future of the last vehicle assembly plant in California.
By Ken Bensinger and Julie Strack June 30, 2009
Reporting from Los Angeles and Fremont -- America's auto crisis has stretched beyond the Midwest all the way to California.
The state's last automobile plant is facing potential closure after General Motors Corp. said Monday that it would drop out of the joint venture with Toyota Motor Corp. that operates the factory and builds three vehicles there.
The bankrupt automaker will produce its final Pontiac Vibe at New United Motor Manufacturing Inc., or NUMMI, by the end of August. Whether Toyota plans to keep building its Corolla sedans and Tacoma small pickups at the Fremont, Calif., plant is still being decided.
The Japanese automaker has long resisted layoffs and closures. But given the high costs of manufacturing in California, the dearth of surrounding parts suppliers, and the fact that the Northern California factory is Toyota's only unionized facility in the U.S., many experts worry that the company may follow GM's lead and exit the Golden State.
If a shutdown occurs, it will be yet another blow to California's struggling economy, costing 5,400 jobs at NUMMI as well as 30,000 jobs indirectly tied to the factory, according to the East Bay Economic Development Alliance.
(Excerpt) Read more at latimes.com ...
Wow, this could be series.
It’s the only union plant Toyota has, and it’s the only UAW plant among the Asian manufacturers.
Gee, I wonder what’s going to happen.... :P
“the Northern California factory is Toyota’s only unionized facility in the U.S., many experts worry that the company may follow GM’s lead and exit the Golden State.”
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Two epic reasons for Toyota to wash their hands of this:
1) Unions.
2) California.
But California is a liberal utopia.
I mean we have regulations that stifle business and taxes that stifle business and Unions that stifle business and immigration problems that stifle wages and suck up our tax dollars.
What a perfect world liberals make.
“...The last XXXXXXX assembly plant in the State....”
I have a feeling that phrase will be used more and more in the near future.
“...can’t agree on what vehicle to build...”
But I thought Government Motors had all those “shovel ready” high mpg cars ready to go...
Dont worry Toyota!... nobody is buying Government Motor’s cars anyway... your better off!
Close it and give the finger to obama motors!
Between the AQMD, EPA, and the unions no one can afford to manufacture automobiles here!
Yes We Did! Yes We Did! Yes We Did! Yes We Did!
Toyota builds this... 
Goverment Motors is thinking this...
It couldn’t happen to a more incompetent group - GM and the UAW, or, a more incompetent state - CA! (Yes, I’m VERY pissed off at these Jack Asses). Take, take, take - and then take some more. Now it’s time to pay you’re own damn bill for a change.
The only way to fix this is to repeal Prop 13 and raise taxes on the richest Californians (Those who make more than minimum wage).
What a shame.
I think they started off making Corollas and Chevy Malibus that were identical. Circa 1988
Looks like Obama has another 30,000 folks that are going to need those shovels that he likes to talk about.
I own a new Toyota Tundra that was made in Texas. I would rather Toyota not get mixed up with Obama cars.... and his unions.
I didn’t know this plant existed...I’m shocked that any kind of large-scale industrial production remains in this state. I watched with great sadness as the once-legendary southern California aerospace industry dismantled...companies like Lockheed hitting the road. I didn’t think anyone manufactured much of anything here anymore. Why would you? Nevada next door, Mexico to the south.
“To all the NUMMI workers who supported Obama (and it’s probably 3 out of 4) hey don’t worry. There will be plenty of “green jobs” to replace the ones you just lost. Now that’s change you can believe in.”
These are probably the same people that believe in all 0zer0’s shovel ready jobs too. The fact is that 0zer0 is actually going to have it both ways. He will provide “green jobs” that are “shovel ready”. Everyone knows his “green jobs” are BS.
Rumor has it that Government Motors wanted Toyota to make a GM-badged Prius there, and basically at a loss.
Toyota said ‘no’.
Especially amusing, since Toyota offered a Prius license to GM years back for a screaming deal of a price - and GM said ‘no.”
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