It is a historic agreement. Three major Japanese car manufacturers, Toyota, Isuzu and Hino, have decided to join forces and join forces to develop new generation trucks. They plan to tackle different technologies: electric, hydrogen, autonomous and connected driving.
Toyota, Isuzu and Hino account for 80% of the Japanese truck market
In an agreement signed on March 24, 2021, the three manufacturers said they would work together to develop new, more efficient and efficient transport trucks. more environmentally friendly. As part of the deal, Toyota, Japan’s largest car maker, will take a 4.6% stake in Isuzu. For its part, the truck manufacturer Isuzu will take an equivalent stake in Toyota. Hino Motors is the division that works on trucks at Toyota. The company has until now been Isuzu’s main rival.
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Toyota therefore the acquisition of 4.6% of Isuzu for the sum of 340 million euros. Together, the three companies control 80% of the Japanese truck market. They will be able to reign supreme. This collaboration has a very specific objective: to reduce expenses and pool costs to be more competitive on the global market. The three companies will build common infrastructure for the development of hydrogen.
Toyota, Isuzu and Hino plan to develop electric vehicles, but also autonomous vehicles. By developing a common autonomous driving platform, they are once again reducing the costs of their trucks. They hope in this way to improve road safety. For Masanori Katayama, president of Isuzu: “Companies must embrace innovations in order to hope to build a better society”.
Car manufacturers want to share costs
This new alliance also sees the creation of a dedicated company: Commercial Japan Partnership Technologies. In offices based in Tokyo, the employees of this new company will be responsible for planning the proper coordination between the three manufacturers and to plan the development of new technologies and new services. This company will be 80% owned by Toyota and 10% by Isuzu and Hino. For Yoshio Shimo, President of Hino: “This new framework is a definite step towards solving the challenges of our society”.
In the province of Fukushima, hit by a tsunami in 2011, a project consists of to develop hydrogen trucks to speed up the reconstruction of the region. The president of Toyoda said he travels to northeastern Japan every March to commemorate the disaster. He stated that: “Thanks to new technologies, we want to facilitate the work of the Japanese working in this region and accelerate the reconstruction of this province”. This announcement caused a slight Toyota shares decline (2.2%) while those of Isuzu jumped 5.4%.