Although Toyota has previously looked to maximize capacity at its existing North American plants, a report by Bloomberg suggests that the company will depart from this policy and look to establish a manufacturing facility in Mexico, following the lead of Honda, Mazda and Nissan in the Japanese auto industry’s drive to localize production.
Toyota is not going to be expanding any plants in the United States, even as they are forced to absorb further production of the Toyota Camry as their assembly deal with Subaru winds down.
A report in Automotive News outlines how General Motors has committed to building a new Buick model at their plant in Russelsheim, Germany. According to AN, the logical choice is the next-generation Buick Regal, also known as the Opel Insignia, since this is a good fit for Buick, and it allows GM to use up some of the excess capacity that is currently plaguing their European operations. But for GM’s venerable Oshawa plant, this is not good news.
Hyundai-Kia will end an unofficial cap on NAFTA-area expansion with a new factory in Monterrey, Mexico.
Already considering a new plant in Mexico for its 1 and 3 Series, BMW may also bring MINI production to the line when the factory doors open in the near future.
A long-running lawsuit over the value of the land on which Hyundai’s Montgomery, Alabama plant is located has been settled. The Montgomery Industrial Development Board will pay former landowners $3.45 million to settle their claims. The particulars of the case illustrate the potential hazards faced by advocacy groups when they attempt to incentivize industrial development.
In the span of 24 hours, Australia inked two free trade agreements with both Japan and South Korea. Even though Holden, Ford and Toyota had already committed to ending auto manufacturing in Australia, it’s hard not to see the agreements as the last nail in the coffin of Australia’s once strong auto industry.
Fiat Chrysler Automobiles NV boss Sergio Marichonne, in talks with federal and provincial governments in Canada for loans to help prepare their factories in Windsor and Brampton, Ontario for new vehicle production, may come to a decision about moving forward with plans for where new minivans will be built by the end of March 2014.
With Canada’s federal government set to increase its own Auto Innovation Fund by $500 million CAD, a report by The Globe and Mail’s Greg Keenan now claims that Chrysler will look for as much as $700 million in government funding as part of a $2.3 billion investment in its Windsor, Ontario manufacturing facilities. In addition, the increased sum would also see funds allocated to the Brampton, Ontario plant that builds the Chrysler 300, Dodge Charger and Dodge Challenger