Skip to main content

Toyota and Mazda Want a Sweatheart Deal Like Tesla's For New Factory

Jobs for sale is the new reality in America. Toyota and Mazda want Tesla money for new factory.


Toyota and Mazda are shopping for a new factory and offering 4,000 direct jobs, plus many more in local supporting jobs to the state that brings the biggest bag of cash to the table. Surprised? Don't be. Tesla demanded cash, not just tax breaks when it shopped its Gigafactory around the non-UAW states in the west. As Governor Jerry Brown of California found out the hard way, Tesla wasn't bluffing. See time stamp 11:43 in the video below for the quote from Gov. Brown about cash up front. Nevada ultimately made Tesla the best offer.

Bloomberg and other sources are suggesting that Toyota and Mazda want $1 Billion in total incentives to bring the new joint factory to the lucky state that antes up. This latest step by Toyota to "In-source" jobs to America is no surprise. Toyota has been moving the production of the cars, crossovers, and trucks it builds into the U.S. for generations. Mazda, however, imports its vehicles to the U.S. and plans to build a crossover in the new plant.

The new factory is just part of the expanded partnership between Toyota, Mazda, and Subaru. The trio will collaborate on green vehicles such as hybrids, plug-in hybrids, and battery-electric vehicles over the coming decade. Combined, the trio have greater sales and footprint in the U.S. than any other automaker. Toyota is the global leader in green car production, but Mazda and Subaru have had limited experience in the growing market segment.