Still, Toyota and Mazda have said their collaboration will respect mutual independence and equality.
"This is indeed a great day in Alabama", Ivey said. I am pleased this new facility will eventually bring 4,000 new jobs and significant economic growth to our state.
After reassessing the market, Toyota Motor Corp. has changed its plan to make Corollas at a plant in Guanajuato, Mexico, now under construction, and instead will produce Tacoma pickups there, Toyota has said.
"The partnership between Toyota and Mazda will expand innovative automotive manufacturing in Alabama", Governor Ivey said.
The plant, which will employ up to 4,000 people and produce about 300,000 vehicles a year, will be located in Huntsville, Alabama, and is a boon for the state, where Toyota has a large engine plant and an existing network of automotive suppliers. "NO WAY! Build plant in US or pay big border tax", then-President-Elect Trump tweeted early past year.
USA sales of small cars fell almost 10 percent past year as buyers continued a massive shift toward SUVs and pickup trucks.
Alabama is one of more than 20 USA states that bid to host the plant.
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The plant also will make Mazda the most recent automaker to establish a final assembly plant in the United States.
Alabama is presently tied with Tennessee for fifth in the United States in annual auto production, according to the Center for Automotive Research, but could move up to fourth following with the addition of the Toyota-Mazda plant. Toyota and Mazda's decision validates what many of us in Alabama already know.
Huntsville Mayor Tommy Battle hailed the Toyota-Mazda decision as a milestone development for the North Alabama city. The area has many parts factories that provide products to the automakers. "It vaults Alabama to the top as an industry leader in producing the next generation of cars that will power our nation".
The Alabama Department of Commerce shows 150 of the large automotive suppliers operate in the state, providing the logistical strength that Kristin Dziczek, a researcher at the Center for Automotive Research in MI, said helped land the plant.
Alabama will be the site of a new $1.6 billion Toyota Motor Corp and Mazda Motor Corp auto plant, a victory for President Donald Trump who had prodded manufacturers to build new US facilities and threatened tariffs on foreign production, sources said on Tuesday.
Following Pres. Donald Trump's tariff-tough talk in 2016, Toyota was grilled by the then-President-Elect via Twitter about moving manufacturing jobs outside the US, threatening crippling tariffs on automakers that didn't build new facilities in the states.
"We expect the new facility in Huntsville to act as a magnet for substantial new industry investment and job-creation that lifts communities and families across the state", he added.