TOKYO -- Toyota Motor Corp. and BMW AG have worked out a technology-sharing agreement involving diesel engines and advanced hybrid and electric-vehicle batteries in a deal that mimics one that links their two closest rivals.
Additional technologies are also under discussion by the companies, said Takeshi Uchiyamada, Toyota's executive vice president for global r&d.
Under the agreement, unveiled at a press conference on the sidelines of the Tokyo Motor Show, BMW will supply Toyota with small-displacement clean-diesel engines to use in vehicles sold in Europe starting in 2014. In return, Toyota will work with BMW to produce next-generation lithium ion batteries for hybrid vehicles to be used by both companies at an undisclosed date.
Uchiyamada declined to specify how long he expects the duo to take to develop a lithium ion battery that would surpass what is already on the market.
"We think that this collaboration will allow for development of next-generation batteries to be done faster and to a higher level," he said.
"German manufacturers have accumulated a great deal of excellent fundamental technology in regard to renewable energies and battery power. BMW is a good example of German attainment in those technological sectors," Uchiyamada said.