Toyota, Mazda to build $1.6 billion plant in Alabama

Toyota-Mazda’s $1.6 billion Alabama plant leaves room to expand

Toyota, Mazda to build $1.6 billion plant in Alabama

The Huntsville site is near Toyota Motor Manufacturing Alabama, which turned out almost 700,000 engines previous year, powering one-third of the Toyota vehicles built in the U.S. The plant built its 5 millionth engine in February and in September announced a $106 million investment to install a new 4-cylinder production line to produce advanced engines. The plant will have the capacity to build 300,000 vehicles annually, with production split evenly between two lines for Mazda to produce its crossover model that will be newly introduced to the North American market and Toyota to make its global best seller Corolla model.

"We welcome the Toyota-Mazda plant - the newest addition to the automotive industry in the state of Alabama", Hoff said.

"We look forward to watching the same success story unfold for Toyota-Mazda."
For Mazda, the plant represents an enhanced commitment to the US market with an increased focus on manufacturing and sales in the country.

The new factory is slated to cost the automakers about $1.6 billion and employ up to 4,000 people when it opens in 2021.

The 2,500-acre Huntsville location announced Wednesday is more than twice as big as the 1,100 acres the partners targeted initially, according to Bob Carter, Toyota's sales chief for North America.

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"Alabama is truly honored to have been chosen for this project", Gov. Kay Ivey said at a press conference. By building the new Corolla plant in Huntsville, rather than Mexico, it will have easier access to suppliers of Blue Springs plant.

"By making such cars here in Alabama, we hope that over time our plant will come to occupy a special place in the hearts of our employees and the local community". The state produced 9 percent of the cars made in the US, the center said. Toyota and Mazda, thank you so much.

The decision to pick Alabama is another example of foreign-based automakers building USA factories in the South.

In another key milestone, the Honda plant in November celebrated production of the 1 millionth engine since starting up its new engine assembly facility three years earlier.

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