Sat 8 Aug 2009
Toyota may close the last California automotive plant
Posted by Dwayne under Automotive News[2] Comments
Hitting the reeling California economy with yet another blow, Toyota has announced that it may close Northern California’s last automotive plant. Listing the pulling out of GM from the joint venture between the two automakers at the NUMMI plant as the primary factor in the decision to possibly close the plant, Toyota has stated that it hopes to continue production of the Toyota Corolla and the Toyota Tacoma at least through October.
Currently the only vehicle that GM is producing at the plant is the Pontiac Vibe, the production of which is starting to wind down. This leaves Toyota with a plant that has seen a steady reduction of orders at a time when other Toyota plants (like the new Mississippi plant) are standing almost idle.
This news could have a staggering effect on the Northern California economy, an area that has already seen the closing of it’s major plants in the 1980s. The NUMMI plant is located in Alameda County in the Bay Area of Northern California. Already hit hard by the economy this would mean the lose of thousands more jobs in the area, both directly related to the plant and by companies supporting the plant, many of whom have the plant as their only customer. The California Manufacturers and Technology Association estimates that, including suppliers, NUMMI is responsible for 20,000 California jobs.
One ray of light has been the “Cash for Clunkers” program, which was renamed “Car Allowance Rebate System” or “CARS”. Due to recent orders of Tacoma’s and Corollas it is expected that the plant will remain open through at least October.



August 13th, 2009 at 10:05 am
It is too bad that Toyota will get blamed for the plant closure if NUMMI does shut since GM abandoned its part of the venture. I can’t see NUMMI staying open with Miss. idle unless Toyota decides to move some of its Prius production to California.
August 13th, 2009 at 10:27 am
@Matt
Seems Toyota is putting out the usual disclaimers when a plant gets shut down “we feel a responsibility to the workers, but….”. Seems likely the plant will close as soon as the “Cash for Clunkers” is complete. Although you’re right it doesn’t seem fair that they will catch the heat when GM was the first to abandon the plant.