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Bloomberg
Toyota Motor Corp. and Mazda Motor Corp. are pressing for an incentive package of at least $1 billion from US states trying to land their $1.6 billion joint car factory, according to people familiar with the negotiations.
Toyota and Mazda plan to brief their boards on a short list of states contending for the plant in the coming weeks and announce a final selection by the end of year, said the people, who asked not to be identified because the talks are private. Scott Vazin, a Toyota spokesman, and Jeremy Barnes, who represents Mazda, both declined to comment. The tax breaks and other support Toyota and Mazda are said to be asking for could rival the package Nevada approved for Tesla Inc.’s Reno battery factory in 2014 that was valued at as much as $1.25 billion.
“There haven’t been any big prizes like this in a while, and there isn’t expected to be any more for some time as overall auto production plateaus,†said Kristin Dziczek, director of industry research at the Center for Automotive Research in Ann Arbor, Michigan.