Tesla Motors and Toyota have agreed to manufacture low emission and zero emission vehicles cars at the former NUMMI car factory in Fremont. The companies will build Tesla’s all-electric Model S sedan at the recently closed NUMMI (New United Motor Manufacturing Inc.) factory, creating more than 1,000 new jobs.

Under the agreement, Toyota, the world's largest automaker, will invest $50 million in Tesla, which will buy the NUMMI plant. Once it reaches full production at the NUMMI plant, Tesla expects to produce 20,000 electric vehicles each year, which will sell for $50,000. Tesla, based in Palo Alto, thinks that in the long term the partnership could creat 10,000 jobs, half from Tesla and half from our suppliers. Currently, Tesla has about 514 employees.

The Model S would occupy only a small part of the huge NUMMI plant, leaving room for Tesla and Toyota to manufacture other models of electric cars there. The Model S sedan can seat five adults and has a range of 300 miles.

NUMMI was a joint venture between GM and Toyota that started in 1983 and produced several models of Toyota and GM cars and trucks. General Motors and Toyota announced last year they were severing ties with the facility and the last car, a Toyota Corolla, rolled off the assembly line in April. That car was the last of 7.7 million vehicles produced at the plant, which was the only car factory in the Western U.S.

Tesla, which was incorporated in 2003, has built its business model and future on the green-technology revolution. Focused on making all-electric cars and related vehicle components, the company began selling its first vehicle, the sporty Roadster, in 2008. The $100,000 roadster immediately drew the auto industry's attention with its advertised ability to hit 60 mph from a stop in just four seconds and a cruising range of more than 200 miles.