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Toyota, Mazda partner to build EVs at new $1.6 billion U.S. plant

TOKYO — Toyota and Mazda plan to build a $1.6 billion U.S. assembly plant, the two said on Friday, as part of an alliance that will also see the Japanese automakers jointly develop electric vehicle technologies. The two will take small stakes in each other as part of the tie-up: Toyota, the world's second-largest automaker by vehicle sales last year, will take a 5 percent share of Mazda, extending its dominance in Japan's auto sector. Mazda will take a 0.25 percent share of its larger rival. The plant, something of a surprise at a time of overcapacity in the U.S. market, will be a boost to U.S. President Donald Trump, who campaigned on promises to increase manufacturing and expand employment for American autoworkers. The plant will be capable of producing 300,000 vehicles a year, with production divided between the two automakers, and employ about 4,000 people. It will start operating in 2021. The electric vehicles cooperation, meanwhile, comes as the tightening of global emissions regulations prompts more automakers to develop battery powered cars, as the industry struggles with hefty research costs and intense competition from technology companies over technology like self-driving cars. As part of the agreement, Toyota and Mazda will also work together to develop in-car information technologies and automated driving functions. Toyota, Japan's biggest auto company, has been forging alliances with smaller Japanese rivals for several years, effectively engineering a loose consolidation of the Japanese auto sector. It already owns a 16.5 percent stake in Subaru, Japan's No. 6 automaker, with which it also has a development partnership. Toyota is also courting compact car maker Suzuki to cooperate on R&D and parts supply as Toyota seeks to tap its smaller rival's expertise in emerging Asian markets. A stake in Mazda may also prevent future incursions by tech companies, one analyst said. "For a technology company which lacks the expertise in making cars, Mazda could look like a very interesting acquisition. They're very good, they're not too expensive. Maybe Toyota realizes this," CLSA managing director Chris Richter said. "By buying a 5 percent stake, Toyota takes Mazda off the table rather than having it sit out there like a free agent which could someday be used against them." COROLLA PRODUCTION SHIFT Mazda stands to gain from a deal that gives the small automaker a production foothold in the United States.

Land Cruiser, electric off-roaders and more Toyota hybrids | Autoblog Podcast #793

In this episode of the Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Road Test Editor Zac Palmer for a jam-packed news discussion that starts with an inside look at last week's Toyota Land Cruiser reveal in Salt Lake City. The two go on to talk about the possibility of a future electric FJ Cruiser, an electric baby Land Rover Defender, a theoretical Toyota Corolla-based pickup, the death of the Nissan Titan and the chance that Mercedes-AMG could go back to V8s in the C 63 S and future E-Class AMG models. After news, Zac talks about his time with the long-term 2023 Toyota Sienna and Greg chats about the Toyota Grand Highlander Hybrid Max Platinum. After that, they spend your money. Send us your questions for the Mailbag and Spend My Money at: Podcast@Autoblog.com. Autoblog Podcast #793 Get The Podcast Apple Podcasts – Subscribe to the Autoblog Podcast in iTunes Spotify – Subscribe to the Autoblog Podcast on Spotify RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown News2024 Toyota Land Cruiser from the ground Electric FJ Cruiser possibilities Electric baby Land Rover Defender Toyota Corolla-based pickup Nissan Titan is dead Mercedes-AMG could go back to V8s What we're driving 2023 Toyota Sienna Platinum 2024 Toyota Grand Highlander Hybrid Max Platinum Spend My Money Feedback Email – Podcast@Autoblog.com Review the show on Apple Podcasts Autoblog is now live on your smart speakers and voice assistants with the audio Autoblog Daily Digest. Say “Hey Google, play the news from Autoblog” or "Alexa, open Autoblog" to get your favorite car website in audio form every day. A narrator will take you through the biggest stories or break down one of our comprehensive test drives. Related video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Toyota's Bob Carter says far fewer stations needed in shift from gas to hydrogen

Toyota's Bob Carter has been talking about green cars for years, but it's only been recently that his comments have really caught widespread attention thanks to his disparaging remarks about electric vehicle supporters like Elon Musk and Carlos Ghosn and optimism about hydrogen. Speaking at the opening of the Chicago Auto Show this morning, Carter said that Toyota has claimed the "pole position on CAFE," thanks to its deep hybrid bench. The company's green car cred will continue to grow because of its upcoming hydrogen fuel cell car, due out next year. Carter is relentlessly optimistic: "I truly believe fuel cells will fundamentally change how we feel about transportation," he said. The reason, Carter said, is that a hydrogen infrastructure will be easier to install than people think. He referenced a study conducted by the University of California (which we've heard about before) that found that California would only need 68 hydrogen stations to refuel the roughly 10,000 H2 vehicles that Toyota hopes to sell in by 2016 or so. That's a lot more than the nine that exist today, but the state has already approved funding for 20 new stations by 2015 and then up to 100 by 2024. Then he said this: "If every vehicle in California ran on hydrogen, we could meet refueling logistics with only 15 percent of the nearly 10,000 gasoline stations currently operating in the state." "We could meet refueling logistics with only 15 percent of gasoline stations currently operating in CA" - Bob Carter This made us wonder: if the refueling time and range are roughly equivalent between hydrogen and gasoline – Toyota's hydrogen car is supposed to be able to go 300 miles on a five-minute fill-up - then why has the market decided that there should be 10,000 gas stations in California and why would 1,500 be sufficient for hydrogen? "If the locations are optimized," he said, "we don't need 10,000 stations." For example, at major intersections, instead of three gas stations, you'd really just need a single hydrogen one. "There are a lot of questions about the infrastructure, but it's coming. ... It's a hurdle that we've got to climb but it's not as steep as some may imagine." Toyota's Mike Michaels, the national manager, media and public affairs at Toyota Motor Sales, then stepped in to point out that there are gas stations closing and admitted that there might be too many gas stations in California.