Toyota Texas Move Seen to Help Economy by $7.2 BillionDarrell Preston
Toyota Motor Corp.’s relocation of its U.S. headquarters to Plano, Texas, may bring $7.2 billion of economic activity over 10 years, according to an analysis for the city.
The figure includes $4.2 billion from payroll, along with direct and indirect spending, and sales and property tax revenue, according to the analysis by Grant Thornton LLP, a Chicago-based audit, tax and advisory company. The report was released May 12, when the city, a Dallas suburb, approved incentives for the company.
The world’s largest carmaker, based in Toyota City, Japan, said last month that it would consolidate U.S. sales, engineering and finance operations to Texas, moving jobs from California, New York and Kentucky. By 2018, the company could have 3,650 full-time workers in Plano at an average salary of $104,000, according to the report.
Plano approved $6.75 million of grants for the company, along with discounts on property taxes. The state is offering $40 million of incentives.
Carly Schaffner, a Toyota spokeswoman, said in an e-mail that the company appreciates support from Plano and its residents. The company is ``committed to being a model corporate citizen,'' Schaffner said.