More and more auto manufacturers are partnering up for 100% electric autos. Mazda and Toyota have joined in the league with Denso Corporation to establish a new company that will develop electric car technologies.
The deal, announced yesterday, comes about a month later Toyota said it would take a 5 percent stake in Mazda and that the two would go for electric autos and important research and development, along with other automotive strategies together. The new firm is called EV Common Architecture Spirit Co Ltd., and Toyota will have 90 percent, while Mazda and Denso will each own a 5 percent share. Autos produced through the new firm will also use Toyota’s modular platform architecture that’s being incorporated in models such as the Prius and 2018 Camry. Everything from small cars to SUVs is already set, according to the news release.
While Toyota has been a gas-electric hybrid settler for two decades now, one of the world’s largest auto manufacturers has been taken over by smaller opponents by introducing 100% electric cars for mass production. Its plug-in hybrid Prius Prime has just 22 miles of range on a full charge, roughly half of a Chevrolet Volt’s electric-only range.
Mazda has also guaranteed an allegiance to the internal combustion engine with its SkyActiv-X gasoline engines, assuring diesel-like fuel economy with notably reduced emissions — set to emerge in their production cars over the next few years. But it requires a plug-in to abide by California’s zero-emissions vehicle mandate, as well as the looming federal fuel economy average target. Mazda has stated it will start selling electric autos of some kind in 2019.
With significant auto manufacturers promising to transform all of their cars electric in one way or another, and unlikely companies trying to get in the EV game, Mazda and Toyota’s new firm is likely a pairing of two car companies that need to make up for lost time in this automobile industry.