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Guest Message by DevFuse

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Toyota, Mazda to Build $1.6 Billion Plant in Alabama


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43 replies to this topic

#1 OFFLINE   Pioneer

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Posted 09 January 2018 - 07:58 PM

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.

 

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#2 OFFLINE   Pioneer

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Posted 09 January 2018 - 08:03 PM

Toyota and Mazda announced plans for a new plant in August. Toyota said it would shift production of Corollas from Canada to the new venture rather than in Guanajuato, and would build Tacoma pickups in Mexico instead.

 

Funny how they can produce Corolla's in the USA but Ford can't make a Fusion in US or Focus on the continent.


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#3 OFFLINE   tbone

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Posted 09 January 2018 - 11:16 PM

 
Funny how they can produce Corolla's in the USA but Ford can't make a Fusion in US or Focus on the continent.


Agreed, I have difficulty understanding this.

#4 OFFLINE   rperez817

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Posted 09 January 2018 - 11:30 PM

Huntsville, Alabama is an ideal location for Toyota's new plant. The city has one of the strongest local economies in the nation. It also has more engineers per capita than any other large American city.

 

In the past four years, Remington Arms Company, Polaris Industries, NASA, Boeing, Lockheed Martin, and hundreds of computing and biotechnology companies have all opened new or expanded operations in Huntsville. 


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#5 OFFLINE   silvrsvt

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Posted 10 January 2018 - 08:39 AM

 

Funny how they can produce Corolla's in the USA but Ford can't make a Fusion in US or Focus on the continent.

Cheaper labor costs?

 

Huntsville, Alabama is an ideal location for Toyota's new plant. The city has one of the strongest local economies in the nation. It also has more engineers per capita than any other large American city.

 

In the past four years, Remington Arms Company, Polaris Industries, NASA, Boeing, Lockheed Martin, and hundreds of computing and biotechnology companies have all opened new or expanded operations in Huntsville. 

 

Its still Alabama :p


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#6 OFFLINE   akirby

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Posted 10 January 2018 - 09:08 AM

Agreed, I have difficulty understanding this.

 

What's so hard to understand about building a non-UAW plant in a small Southeastern city where they get massive tax breaks in exchange for creating so many well paying jobs?



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#7 OFFLINE   Pioneer

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Posted 10 January 2018 - 09:10 AM

Cheaper labor costs?


Cheaper than Mexico?

#8 OFFLINE   akirby

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Posted 10 January 2018 - 09:30 AM

Cheaper than Mexico?

 

Factoring in the tax breaks, probably.


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#9 OFFLINE   rperez817

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Posted 10 January 2018 - 09:44 AM

 

What's so hard to understand about building a non-UAW plant in a small Southeastern city where they get massive tax breaks in exchange for creating so many well paying jobs?

 

Huntsville, Alabama isn't a small city. The incentives packages from the local (Huntsville and Madison County) and state (Alabama) governments aren't any more massive than other places that competed for this project.

 

Tax breaks would be meaningless to Toyota & Mazda if they selected a location that lacked a well educated workforce, good infrastructure, and an excellent quality of life. Fortunately Huntsville has all three in spades.


Edited by rperez817, 10 January 2018 - 09:45 AM.

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#10 OFFLINE   akirby

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Posted 10 January 2018 - 09:48 AM

 

Huntsville, Alabama isn't a small city. The incentives packages from the local (Huntsville and Madison County) and state (Alabama) governments aren't any more massive than other places that competed for this project.

 

Tax breaks would be meaningless to Toyota & Mazda if they selected a location that lacked a well educated workforce, good infrastructure, and an excellent quality of life. Fortunately Huntsville has all three in spades.

 

It's smaller than Detroit or Atlanta, and I wasn't only talking about this plant and Huntsville.  I was also talking about the other plants in SC, GA and Tennessee.  And nobody said or implied anything about the workforce or infrastructure, so I don't know why you brought that up.   



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#11 OFFLINE   rperez817

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Posted 10 January 2018 - 10:01 AM

And nobody said or implied anything about the workforce or infrastructure, so I don't know why you brought that up.   

 

Yes sir, just wanted to clarify that education and workforce readiness, infrastructure, and quality of life are the main reasons why Toyota & Mazda chose Huntsville for their newest facility. The tax breaks are incidental to the automakers' decision. This was the case with Remington, Polaris, Boeing, GE Aviation, NASA, and other organizations that also chose Huntsville for new or expanded operations.


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#12 OFFLINE   akirby

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Posted 10 January 2018 - 10:09 AM

 

Yes sir, just wanted to clarify that education and workforce readiness, infrastructure, and quality of life are the main reasons why Toyota & Mazda chose Huntsville for their newest facility. The tax breaks are incidental to the automakers' decision. This was the case with Remington, Polaris, Boeing, GE Aviation, NASA, and other organizations that also chose Huntsville for new or expanded operations.

 

 

I guarantee you tax breaks were not incidental to that decision because there are dozens of other cities with the same qualifications.    Huntsville may be better than most but they're not winning that bid without competitive tax breaks.



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#13 OFFLINE   fuzzymoomoo

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Posted 10 January 2018 - 10:20 AM

 
 
I guarantee you tax breaks were not incidental to that decision because there are dozens of other cities with the same qualifications.    Huntsville may be better than most but they're not winning that bid without competitive tax breaks.

Hell, Detroit could have been one. Theres a ton of empty manufacturing sites in and around the city and theres plenty of people in need of jobs around here. Im sure the state and local governments would have been more than willing to work out a deal.

What? What happened?


#14 OFFLINE   akirby

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Posted 10 January 2018 - 10:27 AM

Hell, Detroit could have been one. Theres a ton of empty manufacturing sites in and around the city and theres plenty of people in need of jobs around here. Im sure the state and local governments would have been more than willing to work out a deal.

 

It's not a coincidence that they're choosing cities in the SouthEast.  Weather, cost of living, right to work state, etc.   Detroit really isn't an option.



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#15 OFFLINE   tbone

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Posted 10 January 2018 - 10:28 AM

 
What's so hard to understand about building a non-UAW plant in a small Southeastern city where they get massive tax breaks in exchange for creating so many well paying jobs?


I agree with you on is the wage difference but tax breaks are common with any major project. Those incentives are negotiated and are usually available to whomever is initiating a major project. Are you aware of any studies comparing UAW labor to non-UAW labor? I would like to actually see the difference between the two.

#16 OFFLINE   fuzzymoomoo

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Posted 10 January 2018 - 10:32 AM

 
It's not a coincidence that they're choosing cities in the SouthEast.  Weather, cost of living, right to work state, etc.   Detroit really isn't an option.

Michigan is a right to work state.

What? What happened?


#17 OFFLINE   akirby

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Posted 10 January 2018 - 10:37 AM

I agree with you on is the wage difference but tax breaks are common with any major project. Those incentives are negotiated and are usually available to whomever is initiating a major project. Are you aware of any studies comparing UAW labor to non-UAW labor? I would like to actually see the difference between the two.

 

Since the new contracts after the bankruptcies with the 2 tier wage system they're a lot closer.   I think the non-UAW toyota plants were paying $35/hr or something like that, but the differences are they have a lot more flexibility with benefits and they're not limited to 2 wage tiers.   They can also use contractors and temporary employees to keep overall costs down.  They're still well paying jobs - probably at the top of the scale for that type of work in those areas.

 

Mexican labor at Ford plants is not as cheap as some people believe.

 

What I'm saying is it's easier for Ford or GM to build vehicles in Mexico than it would be to try and build a non-UAW plant in the Southeast.  



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#18 OFFLINE   akirby

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Posted 10 January 2018 - 10:40 AM

Michigan is a right to work state.

 

So it is, as of 2012.   Did not know that.  



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#19 OFFLINE   fuzzymoomoo

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Posted 10 January 2018 - 10:51 AM

 
So it is, as of 2012.   Did not know that.  

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What? What happened?


#20 OFFLINE   fuzzymoomoo

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Posted 10 January 2018 - 10:53 AM

That was the first major thing people got pissed off at Rick Snyder about even though it was voted on by the people.

What? What happened?









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