California lawmakers are considering a sales tax exemption for auto manufacturing to save the state’s last car factory, the NUMMI plant in Fremont.
Toyota is considering pulling out of the New United Motor Manufacturing plant that it has operated for 25 years with General Motors. The plant employs 4,700 workers directly and is a vital source of business for more parts and service manufacturers in the state.
Toyota Corolla cars and Tacoma trucks are the only models manufactured at the plant since GM announced it would stop making the Pontiac Vibe there.
KCBS' Matt Bigler reports
Politicians and factory workers hope the extremely popular hybrid Prius comes to the factory. That would involve changes in equipment that could cost millions of dollars.
The bills co-authored by Fremont Assemblyman Alberto Torrico would eliminate the sales tax on those equipment upgrades.
“We’re all very, very hopeful,” said Veronica Morgan at the United Auto Workers union hall. “In California everybody would love to have a Prius, we drive so much. So we’re really excited and hopeful that something will happen over at NUMMI and that we do get the car.”
Toyota is expected to make a decision by the end of July, according to Fremont city officials. Toyota’s contract with the UAW expires on August 8.
(jro)