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Toyota still wants Tesla's battery help, still evaluating RAV4 EV program

Tesla Motors said earlier this month that the agreement it has with Toyota to supply battery packs for the Toyota RAV4 EV SUV would be finished by the end of the year. The deal is done, but Toyota is now singing its best version of Baby, Please Don't Go. The Japanese automaker may look to extend the battery-pack agreement with California-based Tesla, Automotive News says, citing comments made by Osamu Nagata, who heads Toyota's manufacturing and engineering in North America. Nagata also complimented Tesla for its "clear business strategy." Toyota, which owns 2.5 percent of Tesla, started the RAV4 EV collaboration in 2012, in which Tesla was to make about 2,600 battery packs for the all-electric SUV. That agreement was estimated to be worth about $100 million. "We are also evaluating the RAV4 EV program and will have more to say at a later date" – Toyota "We have a good relationship with Tesla and will evaluate the feasibility of working together on future projects," Toyota said in a statement e-mailed to AutoblogGreen. "We are also evaluating the RAV4 EV program and will have more to say at a later date." And while Toyota hasn't quite met initial sales expectations – it sold about 1,600 of the RAV4 EVs through this spring – the company expects to reach 2,500 by the end of the year. And the partnership did generate about $15 million in revenue for Tesla, according to that company's first-quarter letter to shareholders. That said, Tesla is obviously focusing its battery-making efforts on its own models.

5,000 Toyota Prius V models recalled due to airbag issue

Toyota has issued a recall of roughly 5,000 Prius V hybrids. All of the affected vehicles are from model years 2014 and 2015. The problem with the hybrid MPVs centers on its Occupant Classification System. According to the company, the OCS is responsible for activating and deactivating the passenger's side airbag, and in the affected models, the system may not have been calibrated correctly. Should a crash occur, the passenger front airbag may not deploy. The company reports there have been no injuries or fatalities related to the OCS faulty calibration. Owner will be notified and will, naturally, be asked to report in for a free recalibration. TOYOTA RECALLS CERTAIN 2014-2015 MODEL YEAR PRIUS V VEHICLES TORRANCE, Calif. – Toyota Motor Sales, U.S.A., Inc., today announced plans to conduct a safety recall of approximately 5,000 Model Year 2014-2015 Prius V vehicles. In the involved vehicles, the front passenger seat is equipped with an Occupant Classification System (OCS), which activates / deactivates the passenger seat air bag system depending on the weight of the seat occupant. There is a possibility that some OCS's may not have been calibrated properly during the vehicle manufacturing process. Under some conditions, this could result in no deployment of an airbag, increasing the risk of an injury to a front seat passenger in the event of crash. Toyota is not aware of any injuries or fatalities caused by this condition. Owners of the involved vehicles will receive a notification by first class mail. Toyota dealers will recalibrate the Occupant Classification System properly. Detailed information is available at www.toyota.com/recall and by calling Toyota Customer Service at 1-800-331-4331. ###

Japanese automakers ramping production for renewed American sales

The 2011 earthquake and tsunami that struck Japan took quite the toll on the automotive industry in that nation. Not content to lean on that tragedy as excuse for slagging sales, the Japanese automakers are planning on a major production expansion in North America. The aim is to reclaim the market share lost from the Tsunami-based dip, and overcome a dollar/yen exchange rate that makes exporting to America unprofitable.
Following the Tsunami, Japanese automakers ramped up production in their North American facilities to compensate, but according to Automotive News, Nissan, Honda and others have all reported plans for still-further increased production in the year ahead. As part of this ramp-up, Mazda will open a facility in Salamnca, Mexico before March of 2014. Part of that increase in output is 50,000 units of a Toyota-badged compact car, which Mazda will produce.
Other Mexican production facilities opening include a Honda plant, which will open in Spring 2014 in Celaya, and a Nissan plant, set to open later this year in Aguascalientes. Nissan also said that it will need another plant in North America within the next five years. According to Nissan Boss Carlos Ghosn, the company aims to raise its stake in the US market from 8 percent to 10, and adding production will help achieve that goal. Even Mitsubishi is aiming to boost production at its Normal, Illinois plant. Production of the Outlander Sport is currently at 50,000, which Mitsubishi wants to raise to 70,000.