The two companies of the auto world, Tesla Motors Inc. and Toyota Motors Corp, declared their partnership on Thursday at an auto plant in the San Francisco Bay area. They will join as partners in developing and building electric cars. Toyota’s CEO, Akio Toyoda announced that his company will invest $ 50 million in Tesla, while the CEO of Tesla, Elon Musk stated that his company will purchase Nummi, a New United Motor Manufacturing Inc. in Fremont. It is in Fremont where the Model S electric sedan will be built.
“We’re going to create electric cars together,” Musk told a news conference at Tesla’s office in Palo Alto. “It’s a great honor to work with a company like Toyota, one of the automobile leaders of the world and one I’ve personally long admired.”
Tesla, which is currently making electric sports car costing about $ 109,000, stated that its goal is to make affordable electric cars which are good for the consumers out there. As Nissan released the electric car Leaf, many consumers knew how electric cars are environment friendly and it will not cost much because it does not need fuel anymore. Good for Toyota and Tesla, they had joined as partners in creating electric cars that are affordable.
How ever, the news about that partnership shocked city officials from Downey. Downey spent months courting Tesla to locate its factory there and officials said they were certain of settling a deal after meeting with Musk recently.
Downey Councilman Mario Guerra said “Tesla has been extremely disingenuous in their dealing with Downey, and I now have new appreciation as to why America is fed up with many large corporations,” She further stated, “This last-minute betrayal is even more shocking because (Downey) was hours away from signing the lease with Tesla that would have been an economic boon for the city.”
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