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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.

At meeting with automakers, Trump launches new attack on NAFTA

WASHINGTON — Ten American and foreign automakers went to the White House on Friday to push for a weakening of U.S. fuel efficiency standards through 2025, while President Donald Trump used the occasion to launch a fresh attack on the North American Free Trade Agreement that has benefited the companies. A draft proposal circulated by the U.S. Transportation Department would freeze fuel efficiency requirements at 2020 levels through 2026, rather than allowing them to increase as previously planned. Trump's administration is expected to formally unveil the proposal later this month or in June. "We're working on CAFE standards, environmental controls," Trump told reporters at the top of the meeting, referring to the Corporate Average Fuel Economy standards for cars and light trucks in the United States. Trump said he wants automakers to build more vehicles in the United States and export more vehicles. But much of the hour-long meeting focused on NAFTA. Trump blasted the pact involving the United States, Canada and Mexico as "terrible" and noted that negotiations to make changes sought by his administration were ongoing. "NAFTA has been a horrible, horrible disaster for this country and we'll see if we can make it reasonable," Trump said. Automakers have called NAFTA a success, allowing them to integrate production throughout North America and make production competitive with Asia and Europe, and have noted the increase in auto production over the past two decades with the deal in place. They have warned that changing NAFTA too much could prompt some companies to move production out of the United States. The chief executives of General Motors Co, Ford Motor Co, Fiat Chrysler, along with senior U.S. executives from Toyota Motor Corp, Volkswagen AG, Hyundai Motor Co, Nissan Motor Co, Honda Motor Co , BMW AG and Daimler AG met with Trump, as did the chief executives of two auto trade groups. Major automakers reiterated this week they do not support freezing fuel efficiency requirements but said they want new flexibility and rule changes to address lower gasoline prices and the shift in U.S. consumer preferences to bigger, less fuel-efficient vehicles.

Next Toyota Prius coming in 60-mpg 'Eco Grade' version?

There's some mystery surrounding the fuel economy level of the next-generation Toyota Prius. The closest we've had to an official number is 55 miles per gallon, which was hinted at by Toyota Motor Corporation's managing officer, Satoshi Ogiso, last year. That number wasn't an official target, but the company even provided a graphic (above) showing how each next generation Prius beat the previous one by four or five mpg. Since the current, third-gen model gets 50, well, we have been left to guess that 55 is the next logical target. But, according to a new report in Automotive News, the new, fourth-generation Prius that's due next year will come in two versions, with one having a bigger ego – sorry, eco – than the other. AN says that the model will arrive with a standard nickel-metal hydride battery pack in a version that gets "about 55 mpg" and then a new "eco grade" version with a li-ion battery that "will be rated at more than 60 mpg." AN says this information came from company executives who were speaking at an August meeting with Toyota dealers. Our sources within Toyota say that they haven't heard anything about two high-efficiency models, so we'll take this with the requisite grain of salt. The current version of the Prius Plug-In Hybrid does use lithium-ion batteries, but this is the non-plug model the dealers are talking about. We think. The dual-battery strategy is certainly a rumor we've heard before. We had thought that the li-ion pack would be for an extended EV range (the current Prius has a barely noticeable EV-only range), but such a pack would be lighter and could boost efficiency, too. In other words, we look forward to hearing more during the upcoming auto show season.