Toyota Motor Corp. and Suzuki Motor Corp. announced that they plan to explore a business partnership that will allow them to keep up with the drastic pace of technological challenges in the automotive industry.
The two companies said in a press release that the “environment surrounding the automotive industry has been changing drastically and rapidly.” With this, Toyota and Suzuki cited that the field of R&D (Research and Development) for conventional and future technologies are one of the reasons why they are looking to explore a business partnership.
In terms of technological advancement, Toyota has the Mirai, a fuel cell vehicle revealed last 2014. Toyota claims that it can travel up to 483 km on a single tank of hydrogen and the Mirai emits water vapor. Aside from a car that’s integrated with advanced tech, the Mirai could soon diminish our dependence on oil.
The Mirai is also a representation of Toyota’s R&D caliber and commitment to adapt to the challenge brought upon by the changing automotive environment. However, Toyota feels that they may be “behind competitors in North America and Europe when it comes to the establishment of standardizations and partnership with other companies.”
As the environment which surrounds the automobile industry has been changing drastically, we need to have the ability to respond to changes in order to survive. In addition to the R&D which each company is working on individually, it is very important now to have partners who share the same goal and passion,” said Toyota President Akio Toyoda.
On the other hand, Suzuki’s primary focus is developing and producing compact vehicles. However, when it comes to addressing the advanced and future technology, Suzuki is “increasingly feeling a sense of uncertainty.” As such, Suzuki thinks that its alliance with Toyota would allow them to survive the challenges of advanced tech and R&D. Of note, Suzuki is one of the leading car manufacturers in India and the 4th largest in Japan.
Toyota is the industry-leading, and the most reliable company which is actively working on various advanced and future technologies. I am appreciative that Suzuki is able to start discussions with Toyota to explore ideas on a partnership,” said Suzuki Chairman Osamu Suzuki.
Toyota and Suzuki added that the partnership would help both parties solve their respective challenges. It is also worth noting that the two companies will continue to compete with each other in an independent manner and would be open to collaborate with other companies.