Toyota Delays New Plant Decision

JACKSON, Miss. November 29, 2002; AP writer Barbara Powell reported that Toyota Motor Corp. said it will postpone for several months a decision on building an assembly plant in one of five U.S. locations, including Mississippi.

A decision had been expected by early December.

Sources knowledgeable about Toyota's search for a fourth U.S. vehicle assembly plant say the Japanese automaker may be delaying the decision to give two of the finalists, Arkansas and Texas, time to assemble lucrative incentive packages when their legislatures convene in January.

Tennessee and Alabama are also finalists for the $750 million plant.

Texas Gov. Rick Perry has said the Texas Legislature could be asked to consider some long-term incentives for Toyota.

Former President Bill Clinton is reportedly going to lobby Toyota on Arkansas' behalf, and the state's governor, Mike Huckabee, has said he could call a special legislative session in early January

Site selection specialists say Texas and Arkansas have been the most aggressive in compiling incentives for the Toyota project.

Two Japanese trade publications reported several weeks ago that Texas was the winner. But Texas and Toyota denied the report, and officials in Arkansas and Alabama have said Toyota has not made a final decision.

Additionally, Toyota now says any site it selects ideally would have rail access from at least two carriers. Sites in Texas and Mississippi are currently served by just one rail carrier.

Arkansas's proposed site, 10 miles west of Memphis, has five rail carriers' lines within several miles.

The proposed plant would employ between 2,000 and 4,000 workers.