Toyota to end NUMMI output in March, report says

 

 

 

 

 

 

 

Toyota to end NUMMI output in March, report says

 

Automotive News | August 16, 2009 – 11:16 pm EST

 

TOKYO (Reuters) — Toyota Motor Corp. is looking to end production at its California assembly plant in March following General Motors Co.’s decision to abandon the joint venture, Japan’s Asahi Shimbun reported.

Toyota, the world’s largest automaker, has said it would decide by the end of this month whether to pull out of the 25-year-old New United Motor Manufacturing Inc., or NUMMI. During its bankruptcy, GM counted its share of the factory as a bad asset and left it with Motors Liquidation Co.

Toyota has started to inform its main suppliers about the plans, the Asahi said.

A Toyota spokesman said the company has reached no official decision yet.

The paper cited a source saying Toyota would transfer production of the Tacoma pickup to its factory in San Antonio, Texas, in June. It will move output of the Corolla sedan to Alliston, Ontario, and to a factory in Japan.

Production of GM’s Pontiac Vibe is due to end this month.

California lawmakers and Gov. Arnold Schwarzenegger have appealed to Toyota to save the San Francisco area plant and its 4,500 jobs. The 50-50 venture has the only Toyota workers represented by the UAW.

Analysts have said a closure of the money-losing factory, currently working at less than half its capacity, would help Toyota by raising utilization at its other underused factories.

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