Japanese automakers Toyota and Mazda are partnering to build a $1.6 billion U.S. assembly plant, Reuters reports, part of a joint initiative to develop electric vehicle technology.
Toyota, the larger company, will take a 5% share of Mazda, while Mazda will take a 0.25% share of its rival. Toyota is the world’s second-largest automaker by vehicle sales last year.
The plant will provide a lift to the U.S. manufacturing industry and to President Donald Trump, who campaigned on bringing more manufacturing jobs.
It is expected to bring 4,000 jobs and will open in 2021, though it is unclear where. A location has not been determined. The plant will be able to roll out 300,000 vehicles per year, split between the two companies.
Toyota and Mazda will use their new partnership to develop automated driving functions and in-car information technologies. The electric vehicle play comes amid tightening global emissions rules.
Reuters has the full story.
