NUMMI gets the ax

zenMachine · 06-29-2009, 03:04 PM

General Motors Corp. said it will end its 25-year manufacturing joint venture with Toyota Motor Corp. in California, saying the two companies couldn't agree on what future product would be made at the facility.

The joint venture, called New United Motor Manufacturing Inc., currently churns out the Pontiac Vibe, which GM will stop making within 60 days, and the Toyota Corolla. Toyota's new president, Akio Toyoda, served as a vice president at the plant early in his career.

Toyota had been accounting for nearly three-quarters of the plant's output.

"We have enjoyed a very positive and beneficial partnership with Toyota for the past 25 years, and we remain open to future opportunities of mutual interest," said GM North America President Troy Clarke.

GM's ownership interest in the venture will become join assets in the portion of GM being sold as part of bankruptcy proceedings.

GM-Toyota Joint Venture Ends - WSJ.com

**Tideland Prius** · 06-29-2009, 08:08 PM

So will the plant close or will Toyota take over it entirely?

EJFB1029 · 06-29-2009, 08:12 PM

There is a possibility that Toyota may work out a deal with GM to make a version of the Prius at that plant.

JSH · 06-29-2009, 10:34 PM

Quote:

Originally Posted by Tideland Prius

So will the plant close or will Toyota take over it entirely?

I personally suspect it will be closed. NUMMI is Toyota's only UAW plant. The Tacoma could easily go to their Plant in Texas that makes the Tundra. The Corolla could go to Mississippi in place of or in addition to the Prius.

cwerdna · 06-30-2009, 02:48 AM

Quote:

Originally Posted by Tideland Prius

So will the plant close or will Toyota take over it entirely?

Unclear. GM ends joint venture with Toyota at Calif. plant - Yahoo! Finance says

Quote:

"The economic and business environment surrounding Toyota is also extremely severe, and so this decision by GM makes the situation even more difficult for Toyota," company spokesman Mike Goss said.

He said Toyota is disappointed to see the partnership end, but declined to comment further, including on whether the plant would close.

It would be quite a blow to the Bay Area if the plant closed.

When I took a tour a few years ago, the guide mentioned they'd never had a layoff at NUMMI. Prior to it being opened as NUMMI, it was an closed former GM plant.

Unfortunately, their web site seems hosed right now with an error. Hmmm... Here's an excerpt.

Quote:

CGIWrap Error: Execution of this script not permitted

Execution of (php4.cgi) is not permitted for the following reason:
Script is not executable. Issue 'chmod 755 filename'

nthach · 06-30-2009, 03:22 AM

Quote:

Originally Posted by JSH

I personally suspect it will be closed. NUMMI is Toyota's only UAW plant.

Highly doubt it - if that did happen, they will be lots of anti-Japanese backlash from the UAW, just like in the 1970s-1980s. The UAW propaganda machine will be spinning.

DaveinOlyWA · 06-30-2009, 08:32 AM

dont think it will be closed either. the market there is huge. shipping cars less than 500 miles in either direction covers nearly the entire west coast. the location was not picked at random

cwerdna · 07-02-2009, 04:52 AM

More interesting info on NUMMI:
GM's exit may force Toyota to shut California plant | Freep.com | Detroit Free Press
http://www.tradingmarkets.com/.site/...0News/2398580/

cwerdna · 07-08-2009, 04:32 AM

Report: Toyota to decide NUMMI fate by month's end - Silicon Valley / San Jose Business Journal:

Jabber · 07-08-2009, 03:04 PM

The main hurdle is the union in the plant. My guess would be that Toyota will negotiate with the UAW, and based on whether the UAW wants to do it Toyota's way or not will determine the closing of the plant. Basically, the UAW has no choice here. Either bow out gracefully, i.e. Toyota is 100% successful in the negotiations or get run out when the plant closes.

06-29-2009, 03:04 PM	#1
zenMachine Just another Onionhead Join Date: Mar 2007 Location: Texas Posts: 1,980 My Car: 2007 Prius Model: Package: #3 Thanks: 5 Thanked 15 Times in 11 Posts Friends: 0	NUMMI gets the ax General Motors Corp. said it will end its 25-year manufacturing joint venture with Toyota Motor Corp. in California, saying the two companies couldn't agree on what future product would be made at the facility. The joint venture, called New United Motor Manufacturing Inc., currently churns out the Pontiac Vibe, which GM will stop making within 60 days, and the Toyota Corolla. Toyota's new president, Akio Toyoda, served as a vice president at the plant early in his career. Toyota had been accounting for nearly three-quarters of the plant's output. "We have enjoyed a very positive and beneficial partnership with Toyota for the past 25 years, and we remain open to future opportunities of mutual interest," said GM North America President Troy Clarke. GM's ownership interest in the venture will become join assets in the portion of GM being sold as part of bankruptcy proceedings. GM-Toyota Joint Venture Ends - WSJ.com

06-29-2009, 08:08 PM	#2
Tideland Prius Moderator of the North Join Date: Oct 2004 Location: Canada Posts: 19,406 My Car: 2010 Prius Model: N/A Package: Technology Package (Canada) Thanks: 215 Thanked 327 Times in 228 Posts Friends: 22	Re: NUMMI gets the ax So will the plant close or will Toyota take over it entirely?

06-29-2009, 08:12 PM	#3
EJFB1029 Senior Member Join Date: Jan 2008 Location: Corpus Christi, Republic of Texas Posts: 4,412 My Car: 2008 Prius Model: Package: #6 Touring Thanks: 159 Thanked 151 Times in 107 Posts Friends: 3	Re: NUMMI gets the ax There is a possibility that Toyota may work out a deal with GM to make a version of the Prius at that plant.

06-30-2009, 08:32 AM	#7
DaveinOlyWA 3rd Time was Solariffic!! Join Date: Apr 2004 Location: South Puget Sound, WA Posts: 12,321 My Car: 2010 Prius Model: IV Package: Solar Roof Thanks: 23 Thanked 119 Times in 101 Posts Friends: 10	Re: NUMMI gets the ax dont think it will be closed either. the market there is huge. shipping cars less than 500 miles in either direction covers nearly the entire west coast. the location was not picked at random

07-02-2009, 04:52 AM	#8
cwerdna Senior Member Join Date: Sep 2005 Location: Seattle area, WA Posts: 2,280 My Car: 2006 Prius Model: N/A Package: #7 Thanks: 26 Thanked 59 Times in 51 Posts Friends: 3	Re: NUMMI gets the ax More interesting info on NUMMI: GM's exit may force Toyota to shut California plant \| Freep.com \| Detroit Free Press http://www.tradingmarkets.com/.site/...0News/2398580/

07-08-2009, 04:32 AM	#9
cwerdna Senior Member Join Date: Sep 2005 Location: Seattle area, WA Posts: 2,280 My Car: 2006 Prius Model: N/A Package: #7 Thanks: 26 Thanked 59 Times in 51 Posts Friends: 3	Re: NUMMI gets the ax Report: Toyota to decide NUMMI fate by month's end - Silicon Valley / San Jose Business Journal:

07-08-2009, 03:04 PM	#10
Jabber Chicagoland Prius Guy Join Date: Apr 2009 Location: Chicago Posts: 650 My Car: Other Non-Hybrid Model: N/A Package: N/A Thanks: 16 Thanked 196 Times in 105 Posts Friends: 12	Re: NUMMI gets the ax The main hurdle is the union in the plant. My guess would be that Toyota will negotiate with the UAW, and based on whether the UAW wants to do it Toyota's way or not will determine the closing of the plant. Basically, the UAW has no choice here. Either bow out gracefully, i.e. Toyota is 100% successful in the negotiations or get run out when the plant closes.