Toyota Motor and Mazda Motor are expected to announce on Wednesday that they have chosen a location in northern Alabama, near Huntsville, for the $1.6 billion car plant the Japanese automakers are planning to build together, according to a person familiar with the companies’ plans.
Details of the assembly plant, which is expected to employ about 4,000 people and open by 2021, will be disclosed at a news conference with state and local officials in Montgomery, this person said.
Toyota already operates four auto assembly plants in the United States, in Kentucky, Indiana, Mississippi and Texas.
The factory, which will have the capacity to make up to 300,000 cars a year, is part of an initiative by Toyota to invest $10 billion in the United States over the next five years.
Toyota and Mazda are moving forward with the plant at a time when new-vehicle sales in the United States have started to decline.