Toyota and General Motors end 25-year partnership

In addition to the Vibe, the NUMMI plant is also responsible for producing two of Toyota’s staple brands, the Corolla sedans and the Tacoma small pick-ups. Whether or not Toyota decides to keep the plant up and running remains to be seen, but the void left by GM will undoubtedly be felt by the thousands of employees that could potentially lose their jobs.

The domino-effect that was initiated by the global economic crisis has hit the state of California hard, with the potential closing of the state’s last remaining car production plant becoming the latest black eye to a state that is struggling to stay afloat and create new employment opportunities for its weary citizens. Should the NUMMI plant close, about 5,400 employees are facing the growing possibility of losing their jobs, not to mention an additional 30,000 more jobs that are indirectly linked to the production of these cars.

Toyota has long been lauded as a company that exercises upmost patience as far as the well-being of their employees are concerned. But with the astronomical costs of manufacturing in California, not to mention a rapidly declining list of suppliers, it’s becoming more and more likely that Toyota will buck its trend of resisting lay-offs and close down the plant altogether.

It’s bitter reality check for Toyota who only a few days ago was revelling in the newly-formed partnership with Aston Martin. The potential – maybe even inevitable – closing of the NUMMI plant has surely dampened the spirits of the Japanese automakers.