The new plant will have the capacity to build 300,000 vehicles annually, with production split evenly between two lines for each company to produce a new Mazda crossover model that will be introduced to North American markets and the Toyota Corolla.

The joint venture represents a $1.6 billion investment that Mazda and Toyota plan to make with equal funding contributions. The site for the new plant in Huntsville sits just 14 miles from Toyota Motor Manufacturing of Alabama, which produces four-cylinder, V-6 and V-8 engines for several Toyota models.

The new Alabama facility is expected to create up to 4,000 jobs. Production is expected to begin by 2021.

Governor Ivey, speaking at an event in Alabama’s capital city, welcomed the automakers to the state and said she looks forward to a long-lasting relationship that will spark a ripple effect of other investment and employment through automotive suppliers.

“The partnership between Toyota and Mazda will expand innovative automotive manufacturing in Alabama,” Governor Ivey said. “Their decision to locate this new facility in Huntsville is a testament to the talented workforce in our state. We are proud that this partnership puts Alabama on the forefront of technology in this dynamic global industry.”

New  Hometown

“Our investment to establish a new vehicle assembly plant with Mazda builds on the very success we have enjoyed in Alabama, where we produce engines for the North America market.”

Mazda Motor Corp. President and Chief Executive Officer Masamichi Kogai and Toyota Motor Corp. President Akio Toyoda joined Governor Ivey for the announcement.

For Mazda, the plant comes on line in a significant year that marks the start of the company’s second century of operation and second half-century of sales in the U.S. The automaker is enhancing its commitment to the U.S. market and will focus efforts on manufacturing and increasing sales in the country.

“Mazda makes cars with a clear vision of how we want to inspire people, contribute to society and help preserve the beauty of the Earth. By making such cars here in Alabama, we hope that over time our plant will come to occupy a special place in the hearts of our employees and the local community,” Kogai said.

“By making this plant a vibrant part of that community, we hope to work, learn and grow together with the people of Huntsville and Alabama,” he added.

For Toyota, this joint-venture plant will be its 11th U.S. manufacturing facility and represents its further commitment in the U.S., in addition to the $10 billion in investment over five years beginning in 2017 announced a year ago.

“Our investment to establish a new vehicle assembly plant with Mazda builds on the very success we have enjoyed in Alabama, where we produce engines for the North America market,” Toyoda said. “Starting from 2021, I’m confident that we run a highly competitive plant, by bringing together the expertise of Toyota and Mazda as well as the excellent Alabama workforce.

“We are committed to becoming a ‘best-in-town company’ in the city of Huntsville and the state of Alabama, a new hometown for Toyota and Mazda.”

Catalyst for Growth

“Toyota and Mazda, two of the world’s most innovative automakers, have created a legacy project that will provide jobs for decades to come for Huntsville and Alabama.”

Huntsville Mayor Tommy Battle hailed the Toyota-Mazda decision as a milestone development for the North Alabama city.

“With this announcement, our world changes overnight,” Battle said. “Toyota and Mazda, two of the world’s most innovative automakers, have created a legacy project that will provide jobs for decades to come for Huntsville and Alabama. It vaults Alabama to the top as an industry leader in producing the next generation of cars that will power our nation.”

Alabama is the fifth largest producer of cars and light trucks nationally and stands at the center of the growing Southeastern automotive region with a strong automotive presence including Toyota’s engine plant in Huntsville. With more than 150 Tier 1 and 2 automotive suppliers in the state as well as automakers, there are approximately 57,000 automotive manufacturing jobs in Alabama.

“In a single generation, Alabama has become a powerhouse in the auto industry, and the Toyota-Mazda joint-venture manufacturing facility will provide another potent catalyst for sustained growth in the sector,” said Greg Canfield, secretary of the Alabama Department of Commerce.

“We expect the new facility in Huntsville to act as a magnet for substantial new industry investment and job-creation that lifts communities and families across the state,” he added.

In coming months, the new joint venture will be established and site preparations will begin toward the production start in 2021.

About Toyota

Toyota (NYSE:TM) has been a part of the cultural fabric in the U.S. and North America for 60 years, and is committed to advancing sustainable, next-generation mobility through our Toyota and Lexus brands. During that time, Toyota has created a tremendous value chain as our teams have contributed to world-class design, engineering, and assembly of more than 33 million cars and trucks in North America, where we operate 14 manufacturing plants (10 in the U.S.) and directly employ more than 46,000 people (more than 36,000 in the U.S.).  Our 1,800 North American dealerships (nearly 1,500 in the U.S.) sold more than 2.6 million cars and trucks (2.4 million in the U.S.) in 2017 – and about 85 percent of all Toyota vehicles sold over the past 15 years are still on the road today.

Toyota partners with community, civic, academic, and governmental organizations to address our society’s most pressing mobility challenges. We share company resources and extensive know-how to support non-profits to help expand their ability to assist more people move more places.

About Mazda

Mazda Motor Corporation, based in Hiroshima, Japan, was established in 1920, and became a vehicle manufacturer in 1931, when it began producing three-wheeled trucks. Mazda began selling vehicles in North America 50 years ago, this year, with the establishment of affiliate companies in Canada (Mazda Canada, Inc.) in 1968, in the United States (Mazda Motor of America, d/b/a Mazda North American Operations) in 1970, and in Mexico (Mazda Motor de Mexico) in 2006. Currently, Mazda does business in more than 130 countries around the world, and produces vehicles in Japan, Mexico, China and Thailand. Building passenger cars, commercial vehicles, and crossover SUVs, with an emphasis on the driving experience and a focus on design, engineering and efficient manufacturing, the company sells more than 1.55 million vehicles annually.

Mazda Motor Corporation is responsible for Mazda’s operations on a global basis, including all aspects of manufacturing, research and development, sales, marketing and all international operations. Mazda North American Operations is headquartered in Irvine, California, and oversees the sales, marketing, parts and customer service support of Mazda vehicles in the United States and Mexico through nearly 600 dealers. Operations in Mexico are managed by Mazda Motor de Mexico in Mexico City.