Exclusive: Toyota sees new opportunity to use hybrid technology

TOYOTA CITY (Reuters) – Toyota Motor Corp's head of the EV business has told Reuters that the automaker has received inquiries from more than 50 companies since the announcement of the patent offer. motors and power control units of electric vehicles.

The executive also said Toyota is aiming to use partnerships to halve the cost of increased production of electric and hybrid vehicle components in the US, China and Japan.

"Until now, we were a Level 1 automaker, but we also intend to become a Level 2 Hybrid Systems provider," said Shigeki Terashi, Toyota's Executive Vice President.

Providing competitors would greatly increase the production of equipment such as power control units and electric motors used in gasoline-electric hybrids, plug-in hybrids, all-electric vehicles, and fuel cell vehicles. he adds.

Last week, Toyota announced plans to offer automakers and automakers free access to nearly 24,000 electrified vehicle technologies patented by the Japanese auto giant.

In an interview on Thursday at Toyota's global headquarters in Toyota City, Japan, Terashi provided further details on Toyota's strategy and its expected impact on the company's investment plans.

By offering to supply competing manufacturers with parts used in Toyota's hybrid vehicles, the Japanese automaker is seeing a way to halve capital spending on new plants needed to build electric car components for future models. Terashi.

"We believe this approach will significantly reduce investment costs," he said.

Terashi said Toyota is forecasting an increase in demand for electrified vehicles around the world, while regulators insist that new vehicles emit much less carbon dioxide, and that working with Toyota would provide other vehicles with a low-cost way of doing business. To obtain compliance.

Toyota's internal goal is to sell 5.5 million Toyota-branded electric vehicles by 2030, compared to about 1.6 million vehicles now, he said.

Terashi has already stated that Toyota already thought it could reach the goal of 5.5 million euros by 2025. The company is currently preparing a new capital expenditure cycle aimed at increasing the production capacity of the required equipment.

By offering to provide electric vehicle equipment and the know-how needed to integrate it into vehicles, Terashi said Toyota wanted to cut capital spending and create a new source of revenue.

"We anticipate that there will probably be very few car companies that will use our patents to develop their own hybrids, so by using our system and our components, and by offering our support, we can work together to develop these cars." "Terashi said.

Over the last 20 years, Toyota has been able to dominate the global hybrid car market by constantly improving and lowering the cost of technology developed in the Prius era – and keeping this expertise secret.

Toyota's new business venture highlights the challenges faced by the world's largest automakers as they face the deepest technological changes of the century in automobiles.

Toyota is now trying to capitalize on its lead in refining hybrid vehicles, while staying behind its global competitors such as Volkswagen AG and Tesla Inc. by offering fully electric vehicles at showrooms.

Since the launch of the Prius in 1997, Toyota has sold more than 13 million hybrids, which combine a conventional gasoline engine and an electric motor.

About 15% of Toyota's global annual sales are hybrids, including Corolla and RAV4. Last year, it sold 1.6 million hybrids worldwide, more than the 1.3 million all-battery electric vehicles sold by Tesla Inc., Nissan Motor Co and all other automakers combined automobiles.

To meet the expected rise in hybrid demand, Terashi said it planned to increase the hybrid component production capacity, primarily by increasing the capacity of existing facilities.

Toyota first courted its partner builders. It already provides the plug-in hybrid system for Subaru Corp.'s Crosstrek SUV crossover model. Last month, Toyota announced it would be a global supplier of hybrid systems for compact car manufacturer Suzuki Motor Co.

The success of the Prius has helped make Toyota an affordable and reliable green car manufacturer and has played a key role in the automaker's reputation as a leader in low-emission vehicle technology.

Terashi avoided the risk that Toyota would lose its edge by offering its hybrid technology to other automakers, claiming that it had a decisive 20 year lead over its competitors.

"Even if a car manufacturer is able to develop and produce a car using our emissions compliant systems and parts, its overall performance will never be the same as ours", did he declare.