Toyota could sell hybrid powertrains to rivals in order to boost sales of eco-friendly engines and speed up the industry’s shift to low-emission cars
Japanese automaker Toyota is known for its activeness in developing the hybrid powertrains. Now the company plans to sell its environment friendly technology to the rival automakers as well as it believes by this way the sales of hybrid cars will see a boost. Also, it will speed up the auto industry’s shift towards low-emission vehicles.
Auto manufacturers around the globe have been facing pressure from regulators to reduce emission. Also they are being encouraged to make long-range electric vehicles. In this scenario, Toyota’s ‘one-size-fits-all’ hybrid powertrain on sale could become an easier and cheaper option for many brands than developing the technology on their own.
The reason behind the Japanese company’s consideration is escalating cost of research and development. Last year the brand spent 73% more on cultivating new technology compared to $9 billion in 2010. Interestingly, Toyota’s announcement comes within few days after Volkswagen said it would help other companies to strive for low-emission electric powertrains. This new strategy could become a win-win situation for Toyota and the rivals as well.
The Japanese automaker is known for having a widely spread strong network of suppliers keeping much of their jointly developed technologies exclusive to the company. Speaking about the technology sales plan Mr. Toshiyuki Mizushima, president of Toyota’s powertrain company has said, the brand wants to develop technology with its suppliers at an earlier stage which will allow them to make it available to other automakers.
Also read: Upcoming Cars in India by 2016-17
In India, Toyota currently sells Camry hybrid and is ready to launch Prius Prime hybrid in January 2017. It has already showcased the upcoming hybrid in the country. Prius Prime hybrid would be priced at around Rs 39 lakh and it will target the premium customers in cities like Delhi.