Toyota to make batteries in China for new hybrids
Toyota Motor Corp. will set up a joint venture in China with a local Chinese company to produce batteries for the country's fledgling gasoline-electric hybrid car market, a company spokesman said here.
The Japanese automaker is in discussions with Hunan Corun New Energy Co. in the southern China province of Hunan to jointly produce nickel-metal hydride batteries for hybrid models Toyota plans to start selling in China in 2015, the spokesman, Takanori Yokoi, said last week.
Earlier, Toyota said it was working to design key hybrid components in China to make those China-only hybrid models more affordable.
Toyota and other automakers expect changes in China's industrial policy that will encourage the sale of conventional hybrids.
Until now, China provided generous subsidies for the purchase of pure electric cars and plug-in hybrids, but not conventional hybrids such as the Toyota Prius.
A growing number of industry insiders believe China's central government will boost purchase subsidies significantly for conventional hybrids as early as this year.
Toyota's Yokoi said the Japanese automaker plans to launch two relatively affordable hybrid models in China around 2015. One model would be marketed by Toyota's joint venture with Guangzhou Automobile Group Co.
The other would be sold by Toyota's joint venture with China FAW Group Corp.
China's government wants to encourage the sale of EVs, plug-in hybrids and conventional hybrids to ease the country's addiction to oil, and local indigenous Chinese automakers are heeding the call.
SAIC Motor Corp., Brilliance China Automotive Holdings and BYD Co. have developed hybrid vehicles.
Meanwhile, Corun New Energy, a battery producer headquartered in Hunan province, has told the Shanghai stock exchange that it will set up a joint venture with Toyota in the eastern city of Changshu to produce batteries.
The joint venture will be called Corun PEVE (China) Automotive Battery Co.
Primearth EV Energy Co., a joint venture between Toyota and Panasonic Corp., will have a 41 percent share in the new venture. Toyota Motor China Investment Co. will get a 5 percent stake and Toyota affiliate Toyota Tsusho Co. will get 4 percent.
The two Chinese partners also will hold stakes: Hunan Corun New Energy, 40 percent, and Changshu Sinogy Venture Capital Co., 10 percent.
Earlier, Toyota said it was working to design key hybrid components in China to make those China-only hybrid models more affordable.
Toyota and other automakers expect changes in China's industrial policy that will encourage the sale of conventional hybrids.
Until now, China provided generous subsidies for the purchase of pure electric cars and plug-in hybrids, but not conventional hybrids such as the Toyota Prius.
A growing number of industry insiders believe China's central government will boost purchase subsidies significantly for conventional hybrids as early as this year.
Toyota's Yokoi said the Japanese automaker plans to launch two relatively affordable hybrid models in China around 2015. One model would be marketed by Toyota's joint venture with Guangzhou Automobile Group Co.
The other would be sold by Toyota's joint venture with China FAW Group Corp.
China's government wants to encourage the sale of EVs, plug-in hybrids and conventional hybrids to ease the country's addiction to oil, and local indigenous Chinese automakers are heeding the call.
SAIC Motor Corp., Brilliance China Automotive Holdings and BYD Co. have developed hybrid vehicles.
Meanwhile, Corun New Energy, a battery producer headquartered in Hunan province, has told the Shanghai stock exchange that it will set up a joint venture with Toyota in the eastern city of Changshu to produce batteries.
The joint venture will be called Corun PEVE (China) Automotive Battery Co.
Primearth EV Energy Co., a joint venture between Toyota and Panasonic Corp., will have a 41 percent share in the new venture. Toyota Motor China Investment Co. will get a 5 percent stake and Toyota affiliate Toyota Tsusho Co. will get 4 percent.
The two Chinese partners also will hold stakes: Hunan Corun New Energy, 40 percent, and Changshu Sinogy Venture Capital Co., 10 percent.
