By Bill Visnic
The status of the New United Motor Manufacturing Inc. General Motors Corp.-Toyota Motor Corp. manufacturing joint-venture assembly settle in Fremont, CA, is decided:
GM is completely.
Speculation about GM's involvement in the NUMMI facility – opened in 1984 – began immediately after GM's filing for Chapter 11 bankruptcy reorganization on June 1. The two companies commonly make individually badged versions of the Toyota Matrix/Pontiac Vibe at the NUMMI site; Toyota also makes versions of the Tacoma pickup.
GM announced today its ownership in NUMMI will go along with the company's discarded liabilities in the "old" GM it seeks to form as part of its Chapter 11 restructuring.
"As part of its long-term viability plan, General Motors has positive that its ownership stake in the New United Motor Manufacturing Incorporated (NUMMI) joint venture with Toyota will not be a part of the 'New GM,'" Troy Clarke, president of GM North America, said in a statement.
"After extensive analysis, GM and Toyota could not reach an agreement on a coming events product plan that made sense for all parties. Accordingly, NUMMI will end production of vehicles because GM in August, and there are no events to come GM vehicles planned for the joint adventure at this time," Clarke continued.
"Given that, GM believes it is in the best pleased attention of the 'New GM' and its stakeholders that we place our ownership interest in NUMMI in 'Old GM.' We have enjoyed a real positive and beneficial house with Toyota for the past 25 years, and we dwell open to future opportunities of mutual interest."
With the Pontiac division being disbanded in 2010, GM needed to make provision for discontinuing the Vibe; short of a greater production shift that also would call for coordination with Toyota, it appeared there would be few options for GM to remain in the NUMMI take one’s chance, which is the only full-scale automotive assembly direct in California.
PHOTO courtesy GM:
1. Pontiac Vibe production ceases in August, according to GM.
Source: www.autoobserver.com
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