NYT: 2 Asian Automakers Plan Ventures in 2 States Left by U.S. Carmakers

[DeepModem Mom]

2 Asian Automakers Plan Ventures in 2 States Left by U.S. Carmakers
By MICHELINE MAYNARD
and JEREMY W. PETERS
Published: March 14, 2006


LAFAYETTE, Ind., March 13 — Two states abandoned by American automobile companies are celebrating new investments by Asian automakers.

Toyota of Japan, the biggest foreign automobile manufacturer in the United States, and Kia from South Korea — a complete rookie at car building in America — both announced new ventures that together would create 3,500 jobs.

Toyota, the world's second-biggest auto company behind General Motors, said Monday that it would invest $230 million in Subaru's plant here to produce 100,000 cars a year starting in 2007.

Toyota's move will create 1,000 new jobs at the plant, two hours southeast of Chicago, where it plans to build the Camry sedan, the country's best-selling car.

Kia, which is owned by Korea's biggest auto company, Hyundai, said Sunday night that it would build its first American plant in West Point, Ga., on the border with Alabama, at a cost of $1.2 billion. The plant, which is to open in 2008, will employ 2,500 workers, and be capable of producing 300,000 cars a year by 2009....


http://www.nytimes.com/2006/03/14/business/worldbusiness/14auto.html

[Bigmack]

1. Thank god for ....

... the Asian manufacturers. They're arriving in the nick of time to save our manufacturing sector. (I was going to put a :sarcasm: smilie here, but I don't know whether I mean the above sarcastically or not.)

Imagine, parts of the US are now a pool of cheap labor for foreign manufacturers to exploit.

How did we get here? .... oh yeah... Republicans!

[TX-RAT]

6. Are Asian jobs being out sourced now?

[rockymountaindem]

2. Suits me

The jobs are good, and the cars manufactured there will count on our side of the trade ledger. It's better than losing our automobile industry entirely, eh?

[BootinUp]

3. Good. n/t

[Skink]

4. I bet they'll manufacture hybrids. Why didn't we think of that.

[B3Nut]

5. Hyundai-Kia is releasing a pair of hybrids for '07

the Hyundai Accent and Kia Rio hybrids (new Accent and Rio share platforms, outgoing accent is a solid car, outgoing Rio is ho-hum but the new Accent and Rio are superb little cars). Not sure if they're going to make the hybrids at the new plant, more likely the Kia Optima will be made in the new US plant. The Accent and Rio hybrids are expected to come in at around 19K, undercutting the Prius and further embarassing Detroit. Ford and GM have some great small car designs overseas, including a revamped Focus they wouldn't give us here (instead choosing to give the old Focus a bad nose job). Gotta love Detroit's attitude...sell your best designs in Europe and give your own countrymen the leftovers, while Japan and South Korea hand you your lunch. Simply brilliant.

Todd in Beerbratistan, lover of small hatchbacks

[rockymountaindem]

7. I think this gives America the chance to prove two things to the Big Three

Firstly, that car companies can still be profitable while employing American labor at a decent wage.

Secondly, that we Americans aren't so in love with gas guzzlers that we'll just pass by good, fuel efficient cars or hybrids.

Hopefully we'll all capitalize (pun intended) on this opportunity. And like I said, all the cars these companies crank out in Georgia and Indiana go on our side of the trade ledger, not Korea's or Japan's.

[CabalPowered]

8. I really hope Toyota puts the Synergy drive in the Outback

or any other Subaru for that matter.

[ConcernedCanuk]

9. Japan and Korea outsourcing to the USA ?? - hmmmmmmm

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[DeepModem Mom]

10. I think that's one way of looking at it. nt