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Plano-based Toyota invests $391 million in upgrades at San Antonio assembly plant

It's part of Toyota's larger plan to invest $13 billion in its U.S. operations through 2021.

Toyota is investing $391 million in its San Antonio assembly plant, adding technological advancements to improve the site's manufacturing of Tundra and Tacoma pickup trucks.

The investment, announced Tuesday, will enhance the plant's long-term competitiveness and efficiency by adding new manufacturing technologies, according to the Plano-based company. The plant employs 3,200 workers, in addition to about 4,000 others at 23 on-site suppliers.

There are no additional jobs tied to the investment, a Toyota spokesman told The Dallas Morning News.

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"We've been in the U.S. for more than 60 years, creating a tremendous value chain in this country and creating an extensive footprint in the Alamo City since 2003," said Toyota executive Chris Reynolds said in a statement.

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In addition to Toyota's investment, one of its suppliers, Aisin AW, will spend $400 million on a new production site in the San Antonio suburb of Cibolo, creating 900 new jobs by 2023. The company produces automatic transmissions for Toyota's vehicles, and expects to begin production at the new site by 2021.

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San Antonio Mayor Ron Nirenberg called the Toyota investment a "huge win" for the city of 1.53 million people.

"This is exactly the kind of project our city has strategically been preparing for -- it shows we're a competitive region ready for big investment from large manufacturers," Nirenberg said.

The San Antonio Economic Development Foundation estimated the total economic impact of Toyota's investment in the region could surpass $10 billion and create more than 40,000 jobs over the next decade.

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The city has been courting increased investment from Toyota since the company announced it would choose a North American city with existing facilities to award with millions of dollars in site improvements. It's the San Antonio plant's first major upgrade in nine years.

The company did not provide a timeline for the new investment.

The city approved a $9.7 million incentive package for Toyota in May, according to The Rivard Report. The package included a 100% tax abatement on new property taxes through 2027 as well as more than $600,000 in water infrastructure improvements.

Toyota's investments in the 2 million-square-foot truck plant -– which includes building the plant in 2003, expanding production with Tacomas in 2010 and the most recent announcement –- now exceeds $3 billion.

Gov. Greg Abbott, who joined local officials at the plant Tuesday, praised Toyota and its supplier for investing nearly $800 million in the state.

"The Lone Star State continues to build on its reputation as a manufacturing powerhouse thanks to investments from innovative companies like Toyota and Aisin AW," Abbott said.

Texas ranks 7th nationally in automotive manufacturing jobs, according to a state report on the industry. General Motors' Arlington SUV assembly plant is the biggest automotive employer, with about 4,200 workers.