Detnews: Toyota says it's no longer profitable in North America

[cwerdna]

Toyota says it's no longer profitable in North America | detnews.com | The Detroit News

Some references to NUMMI and a tidbit I didn't know:

"That put us in a very difficult position," Inaba said. "We are carefully evaluating all the options."

He didn't commit to a timetable for a decision on Nummi, but said a decision would be made "quite soon." He said Toyota hadn't received an incentive package from California yet.

The hourly workers at Nummi are represented by the United Auto Workers, and the contract expires next month. Inaba said the UAW contract "is one consideration, but not the single deciding factor."

Inaba noted that California is Toyota's single biggest market in the United States, and closing the factory would negatively impact its image there.

I didn't realize their contract expires next month. I wonder if that means that NUMMI could go non-unionized like the rest of the Toyota's plants in the US.

[acdii]

I feel the unions will kill whats left of manufacturing in this country. Hasn't done GM or Chrysler much good. In Chicago, the mayor and the unions went head to head over money. Cut a few days pay or lose 1500 jobs. Came down to the wire and the unions finally caved.

[JimN]

The entire market has contracted > 1/3. Everyone has excess capacity that needs to be shed or they need to start building something that sells. I don't believe anyone has a high enough gross margin to remain profitable in the short to intermediate term.