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Toyota to develop hybrid vehicles with two Chinese partners

The Nikkei reports that Toyota plans to develop hybrid vehicles with two Chinese automakers; Toyota made the announcement at the Guangzhou International Automobile Exhibition.

Toyota will collaborate with the R&D divisions of its passenger-car joint ventures with China FAW Group and Guangzhou Automobile Group to seek to make hybrids that can handle various road conditions and suit the preferred riding comfort of local consumers. The cars will be produced by the two joint ventures and sold exclusively in China starting in 2015.

Toyota also recently formed a joint venture in China to make batteries for hybrid vehicles. (Earlier post.)

Although Toyota’s Chinese joint ventures assemble hybrids, the company so far has brought in key components such as batteries and motors from Japan.

According to the Nikkei report, Toyota will disclose its control technologies to the two partners. It aims to bring vehicle prices down by exchanging technologies with its joint venture partners, mainly through an R&D facility that it recently established on the outskirts of Shanghai.



A very smart move by Toyota to reduce manufacturing and R & D cost for future electrified vehicles while gaining essential market share in the largest current and future market.

Let's hope that this cooperation or JV will soon be expanded to cover future FCEVs and BEVs.

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