Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

Tesla, Toyota to build electric car at NUMMI plant
Mercury News ^ | 5/20/10 | Dana Hull

Posted on 05/20/2010 6:02:02 PM PDT by NormsRevenge

In a deal expected to create hundreds of jobs, Tesla Motors announced today that it is teaming up with Toyota to build its all-electric Model S sedan at the recently shuttered NUMMI plant in Fremont.

Under the agreement, Toyota will invest $50 million in Tesla, which will acquire the NUMMI plant and begin production of Teslas's Model S sedan in 2012. The deal is expected to create more than 1,000 new jobs

The joint venture was unveiled by Tesla's CEO Elon Musk at a 5 p.m. news conference with Gov. Arnold Schwarzenegger, who has been eager to highlight job creation. The news was hailed by Sen. Dianne Feinstein, D-Calif.

"I congratulate Tesla and Toyota today," she said in a prepared statement. "This partnership is unique, innovative, and entirely practical....As one who has followed NUMMI since its inception, I was very dismayed and disheartened by its closure in April. I celebrate the new life of opportunity which is inherent in this new venture."

Some industry analysts also endorsed the announcement.

(Excerpt) Read more at mercurynews.com ...


TOPICS: Business/Economy; Culture/Society; US: California
KEYWORDS: california; nummi; tesla; toyota

1 posted on 05/20/2010 6:02:02 PM PDT by NormsRevenge
[ Post Reply | Private Reply | View Replies]

To: NormsRevenge

new jobs.

*heh*


2 posted on 05/20/2010 6:03:17 PM PDT by GeronL (Political Correctness Kills)
[ Post Reply | Private Reply | To 1 | View Replies]

To: NormsRevenge

Not a word about UAW. That could be a fly in the ointment.


3 posted on 05/20/2010 6:07:35 PM PDT by Nervous Tick (Eat more spinach! Make Green Jobs for America!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Nervous Tick
"Not a word about UAW. That could be a fly in the ointment."

Yes, it's interesting that the UAW isn't mentioned at all in the piece.

4 posted on 05/20/2010 6:20:53 PM PDT by OldDeckHand
[ Post Reply | Private Reply | To 3 | View Replies]

To: OldDeckHand

Let’s hope they get shut out.


5 posted on 05/20/2010 6:30:55 PM PDT by Bloody Sam Roberts (You can only get smarter by engaging a smarter opponent.)
[ Post Reply | Private Reply | To 4 | View Replies]

To: NormsRevenge

Sounds to me like Toyota’s just subsidizing their lease. And don’t their cars go for around 100K?


6 posted on 05/20/2010 6:33:31 PM PDT by VeniVidiVici (Everyone needs valid ID except illegal aliens and the President - only in America)
[ Post Reply | Private Reply | To 1 | View Replies]

To: VeniVidiVici
Sounds to me like Toyota’s just subsidizing their lease. And don’t their cars go for around 100K?

The Roadster does, the upcoming sedan will be (supposedly) about half of that.
7 posted on 05/20/2010 6:36:27 PM PDT by Dr. Sivana (There is no salvation in politics)
[ Post Reply | Private Reply | To 6 | View Replies]

To: VeniVidiVici
'And don’t their cars go for around 100K?"

According to their website, the list for that vehicle - the Model S Sedan - is $49,900. It's a good looking vehicle, if not entirely practical.


8 posted on 05/20/2010 6:39:19 PM PDT by OldDeckHand
[ Post Reply | Private Reply | To 6 | View Replies]

To: martin_fierro

For the Silicon Valley ping list


9 posted on 05/20/2010 6:48:15 PM PDT by Kevmo (So America gets what America deserves - the destruction of its Constitution. ~Leo Donofrio, 6/1/09)
[ Post Reply | Private Reply | To 8 | View Replies]

To: OldDeckHand

if only it was wireless powered.. :-]


10 posted on 05/20/2010 6:52:45 PM PDT by NormsRevenge (Semper Fi ... Godspeed .. Monthly Donor Onboard .. Chuck DeVore - CA Senator. Believe.)
[ Post Reply | Private Reply | To 8 | View Replies]

To: NormsRevenge
Can't see a future for BEV. The future belongs to EREV.

Tesla has put everything into BEV. Maybe they will work on EREV with Toyota. I wouldn't be at all surprised if that's what this is all about. In this way Toyota can jump start their EREV program and get on the good side of the Greens. Actually they are already on the good side of the Greens with the Prius but Toyota knows that technology will not be the future.
11 posted on 05/20/2010 6:59:20 PM PDT by truthguy (Good intentions are not enough!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: NormsRevenge

If it would only tow my boats and trailer.


12 posted on 05/20/2010 7:01:43 PM PDT by Gator113 (I do not want Obama just IMPEACHED... I want him IMPRISONED. Are we there yet? 2010-2012)
[ Post Reply | Private Reply | To 1 | View Replies]

To: 2Fro; all_mighty_dollar; Arkat Kingtroll; Battle Hymn of the Republic; Betis70; billycat95130; ...

>> PING <<
Click for San Jose, California Forecast
Send FReepmail if you want on/off SVP list
The List of Ping Lists

I see these motoring around Paly all the time.

13 posted on 05/20/2010 8:09:36 PM PDT by martin_fierro (< |:)~)
[ Post Reply | Private Reply | To 1 | View Replies]

To: martin_fierro

I used to see them racing up and down the runway at Moffett Field. The things are really tiny up close.


14 posted on 05/20/2010 8:51:22 PM PDT by shorty_harris
[ Post Reply | Private Reply | To 13 | View Replies]

To: OldDeckHand

I believe that there were previous articles stating that Tesla was losing money on every car they sold. Maybe Toyota knows of some money saving short cuts.


15 posted on 05/20/2010 8:58:24 PM PDT by FreePaul
[ Post Reply | Private Reply | To 8 | View Replies]

To: NormsRevenge

Tesla is funded with a lot of stimulus money, also.

Unions + bailout $$ + no mention in the media = about right


16 posted on 05/20/2010 9:00:15 PM PDT by wac3rd (Prepare for the November 2010 Tsunami)
[ Post Reply | Private Reply | To 1 | View Replies]

To: shorty_harris

I think the Roadster is based on a Lotus chassis. That would explain the small size (and swell handling)


17 posted on 05/20/2010 9:15:05 PM PDT by Nik Naym (It's not my fault... I have compulsive smartass disorder.)
[ Post Reply | Private Reply | To 14 | View Replies]

To: NormsRevenge

They drove one from LA to the Detroit Auto Show this year. It took two weeks to get there.


18 posted on 05/20/2010 9:21:05 PM PDT by hedgetrimmer
[ Post Reply | Private Reply | To 1 | View Replies]

To: OldDeckHand
"Not a word about UAW. That could be a fly in the ointment."

Yes, it's interesting that the UAW isn't mentioned at all in the piece.

After many years IT consulting at NUMMI I've moved on to another place just this last week.

There were hints and rumors around this sort of thing happening. It makes great sense for both parties. Toyota saves face at very little cost. Tesla gets access to all the car building know how that they don't have currently. Plus the NUMMI site has some very state of the art paint and body shop facilities.

The two flys in the ointment are, MLS(old GM) which still owns the land and building and will need to be bought out, the other is the union, which has it's local headquarters located across the street.

I foresee them sticking their noses very deep into this. I already heard ex-employees on the radio asking that they get first dips on the new jobs. If I were Tesla I would immediately toss any resume from a union member.

19 posted on 05/20/2010 9:31:07 PM PDT by Rev DMV
[ Post Reply | Private Reply | To 4 | View Replies]

To: Rev DMV
"I foresee them sticking their noses very deep into this. I already heard ex-employees on the radio asking that they get first dips on the new jobs. If I were Tesla I would immediately toss any resume from a union member. "

Thanks for the info. One thing I personally didn't (and don't) understand, is the answer to this question - Is NUMMI a company (a JV between GM & Toyota), or a place? IOW, is Tesla buying out GM's share in NUMMI, or has that venture been completely dissolved, and all that remains are the buildings themselves?

If it is indeed a company and not just a "place", it seems that the Union would still clearly have some influence. If not, I would assume that whomever this new Tesla/Toyota partnership hires, would have to enter into a new collective bargaining agreement, after deciding to unionize. Is that correct?

20 posted on 05/20/2010 9:59:31 PM PDT by OldDeckHand
[ Post Reply | Private Reply | To 19 | View Replies]

To: OldDeckHand

Correct, my understanding is Tesla is purchasing the production site from NUMMI. The site will then be re-branded as Tesla.


21 posted on 05/21/2010 1:06:37 PM PDT by Rev DMV
[ Post Reply | Private Reply | To 20 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson