Toyota and Mazda invest a further $830 million at USA automotive facility

August 17, 2020

The Mazda Toyota Manufacturing site under construction in Alabama, USA (Courtesy Toyota Motor Corporation/ Mazda Motor Corporation)

Toyota Motor Corporation and Mazda Motor Corporation plan to invest an additional $830 million into an automotive assembly plant which is currently under construction in Alabama, USA, reports Nikkei Asian Review.

The Mazda Toyota Manufacturing site is a joint venture that was announced by the company in 2018 to produce SUVs. The initial investment was said to be $1.6 billion, but this was reduced by approximately $200 million at the start of construction.

As part of the funding, the plant is expected to be equipped with state-of-the-art production equipment and employee-training facilities to increase productivity. Production staff will be recruited later this year, with a total of up to 4,000 expected to be working at the facility by 2022.

The total investment is reported to be approximately $2.31 billion. Annual production capacity is expected to remain unchanged at 300,000 units.

Toyota has confirmed that it will manufacture a new SUV at the plant instead of originally planned Corolla subcompact. Production is expected to be evenly divided with Mazda SUVs.

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