Economy

Mazda selects Alabama for $1.6 billion auto plant with 4000 jobs

Mazda selects Alabama for $1.6 billion auto plant with 4000 jobs

Alabama's Commerce Secretary Greg Canfield called the project, which was dubbed "New World", transformational and said "these are the kinds of projects that would win you a national championship, if there was such a thing in economic development".

A Toyota automaker employee moves an engine at the Toyota engine assembly line in Huntsville, Alabama November 13, 2009.

I am extremely proud that Huntsville was selected by Toyota and Mazda for the joint auto production plant.

The news that Toyota and Mazda have chosen Alabama as this new plant's home highlights once again that our great state is open for business.

Dziczek said that Alabama in 2017 was tied for fifth among USA states in auto production, at 9 percent with Tennessee.

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Folsom who helped land Mercedes in Tuscaloosa County believes the Toyota-Mazda deal will add even more growth to Alabama's booming auto manufacturing industry which so far has produced almost 60,000 jobs and millions of vehicles.

The partnership between Toyota and Mazda will expand innovative automotive manufacturing in Alabama.

"Our investment to establish a new vehicle assembly plant with Mazda builds on the very success we have enjoyed in Alabama, where we produce engines for the North America market", Toyoda said. Many automakers have announced expansions of facilities or new jobs but no other new USA auto plants have been announced.

The plant will be located in Huntsville-annexed Limestone County. Our 1,800 North American dealerships (nearly 1,500 in the U.S.) sold more than 2.6 million cars and trucks (2.4 million in the U.S.) in 2017 - and about 85 percent of all Toyota vehicles sold over the past 15 years are still on the road today.

Toyota and Mazda also plan to work together on various advanced auto technology, such as electric vehicles, safety features and connected cars, as well as products that they could supply each other, they said.

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Still, Toyota and Mazda have said their collaboration will respect mutual independence and equality.

President Donald Trump had criticized Toyota for taking auto production and jobs to Mexico.

An official announcement is expected Wednesday. Toyota said it would shift production of Corollas from Canada to the new venture rather than in Guanajuato, and would build Tacoma pickups in Mexico instead.

In October, Toyota said it would scale back investment in a planned plant in Mexico by 30 percent to $700 million and cut planned annual capacity in half to 100,000 vehicles as it shuffles its production plans to meet market demands.

US states covet auto assembly plants because they typically pay above-average wages and spin off jobs at suppliers and service companies.

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The two firms previous year formed a capital alliance and announced a plan to build the factory for 1.6 billion dollars in the United States by 2021.