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Toyota to Give Up NUMMI Share Too

After General Motors announced its decision to pull out of the NUMMI joint venture it had with Toyota, the Japanese manufacturer is now doing the same thing in an attempt to sell its very own stake to another company. Back in June when GM revealed its future plans, Toyota requested some time to consider its options, with some officials clearly hinting that there's no chance to see the Japanese automaker ceasing its share.

"We have relations with the regional community so there will be no closure," an unnamed executive was quoted as saying by Kyodo News.

But Toyota officially admitted that the current market situation might be a decisive factor when analyzing what to do with the plant.

"While we respect this decision by GM, the economic and business environment surrounding Toyota is also extremely severe, and so this decision by GM makes the situation even more difficult for Toyota,"
the Japanese manufacturer said in a release. "We will consider alternatives by taking into account various factors, including the current distressed market conditions, our overall North American manufacturing capacity, and the viability of the facility as a stand-alone operation without GM production."

According to Reuters Toyota has finally decided to pull out of the join venture and is now seeking the easiest and fastest way to liquidate its stake in the auto assembly plant. Negotiations between General Motors and Toyota continue at this point and an agreement should be reached by the end of the month. However, the American manufacturer has already announced that the last vehicles produced at the Fremont, California facility will roll off the assembly lines in August.
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About the author: Bogdan Popa
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Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
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