Toyota may produce Prius in California with GM
Toyota has responded to the report saying that no decision has been made. If it were to happen, we imagine that GM's approval would also be required somehow. Nearly all of the Prius' major components would have to be shipped to Fremont, CA where NUMMI is located, but the surging demand for fuel efficient vehicles in the U.S., particularly the Prius, could make the whole idea worthwhile despite its costs. Also bear in mind that Toyota wants to sell 1 million hybrids per year by 2010. Both the Prius and its largest market, the U.S., are integral to reaching that goal. Regardless of whether its built at NUMMI or somewhere else, we expect the Prius to eventually be assembled on our shores sometime in the future.
[Source: The Detroit News]
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