Toyota to stop production at Subaru's Indiana plant

Friday, November 8, 2013, Vol. 37, No. 45

LAFAYETTE, Ind. (AP) — Toyota plans to stop building cars at the Subaru factory in central Indiana after the contract between the companies ends in 2016.

The factory near Lafayette has been producing the Camry midsize car for Toyota since 2007.

Subaru of Indiana Automotive vice president Tom Easterday tells the Journal & Courier that he doesn't expect any layoffs from among the factory's 3,600 workers because of Toyota's decision. But he says it could delay Subaru's plans announced in May to expand the factory and add 900 workers.

Easterday says the planned increase in Subaru's production will more than offset any Camry-related loss.

Easterday tells WLFI-TV that Toyota's decision shouldn't affect Subaru's planned $400 million expansion, though some warehouse construction may be delayed until 2017.