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Toyota: We Won’t Close NUMMI

30th of June 2009 | 14:33 GMT | Daniel Patrascu

Toyota: We Won’t Close NUMMI


  • Toyota is concerned about GM’s decision to shed NUMMI
  • The Japanese say they will not close the plant
  • NUMMI is the only Toyota US plant to have UAW reps

Click to enlarge [Toyota: We Won't Close NUMMI - pic 1]

After yesterday GM announced it has decided to place its NUMMI operation in the "bad assets" basket, questions started surfacing about the fate of the plant and of its some 5,000 workers. Toyota’s first reaction is to express their disappointment with GM’s

"While we respect this decision by GM, the economic and business environment surrounding Toyota is also extremely severe, and so this decision by GM makes the situation even more difficult for Toyota," the Japanese manufacturer said in a release via

"We will consider alternatives by taking into account various factors, including the current distressed market conditions, our overall North American manufacturing capacity, and the viability of the facility as a stand-alone operation without GM production."

Officially, the manufacturer did not assume any plan to keep the plant going. Yet, according to the infamous inside sources, Toyota will not give up on NUMMI.

"We have relations with the regional community so there will be no closure," an unnamed executive was quoted as saying by Kyodo News.

Analyst also believe that Toyota will not pack their bags and leave. NUMMI is, in addition, the single Toyota-run operation in the US to have the United Auto Workers representing the hourly workers.

If the plant will keep going, it would mean "further overcapacity for Toyota," as Yasuaki Iwamoto, Okasan Securities auto analyst was quoted as saying by Kyodo.

"This plant mainly builds small vehicles, so it’s not one that needs to go away. Besides, it might not be a bad thing for Toyota to have one UAW-represented plant," he added.

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