Fuji Heavy to use Toyota parts for hybrid Legacy

[Guest Josh]

The Asahi Shimbun Fuji Heavy Industries Ltd.'s planned hybrid car will likely contain Toyota Motor Corp. components as part of collaboration projects being discussed under the two companies' recently announced alliance, sources said. Other plans under consideration are production of Toyota vehicles at a Fuji Heavy plant in North America and a role for Fuji Heavy engineers in Toyota's global strategy. The two automakers are also studying the possibility of jointly developing passenger cars, the sources said. Fuji Heavy on Wednesday said it would sever its capital alliance with struggling General Motors Corp. of the United States. Toyota will become Fuji Heavy's top shareholder next week by buying 8.7 percent of the 20 percent of Fuji Heavy shares held by GM. But the two Japanese companies plan to respect each other's management, the source said. They will make a clear distinction between Fuji Heavy's Subaru and Toyota vehicles and will not sell them along side each other. In addition, Toyota has no plans to send executives to Fuji Heavy, the sources said. Instead, the two want to reach a formal agreement on their collaboration plans by the end of the year. Fuji Heavy already intends to sell a gas-electric hybrid version of its Legacy passenger car in fiscal 2007, but it now wants to buy major components, such as electric motors, from Toyota. Fuji Heavy will scrap plans to develop these parts on its own to keep development costs down. Toyota will go along with Fuji Heavy's plan, the sources said. Fuji Heavy will also propose that Toyota vehicles be produced at Fuji Heavy's plant in the U.S. state of Indiana to turn around the factory's declining operating rate. Unlike GM, Toyota's sales in North America are thriving. Production there cannot keep up with demand, resulting in a rise of exports from Japan. Toyota, therefore, wants to promote its new alliance with Fuji Heavy in three major areas: manufacturing; start-up of production lines; and development. Toyota also needs experienced engineers for its increasing global production and to meet the demands of new markets. "We can use Fuji Heavy engineers with high abilities in the Toyota group's global strategy," a senior Toyota official said. The two companies do not have any immediate plans to use Fuji Heavy's horizontal-design engines in Toyota vehicles.(IHT/Asahi: October 7,2005)

[Ultra Magnus]

Why am I not surprised...

[regfootball]

will this be the end of boxers in subies?

[sciguy_0504]

This may mean an AWD Camry and/or Avalon.

[bobo]

There's been talk that next year's Camry will offer AWD. The RX330 and Highlander are the same platform, so they already have the mechanicals. As for Toyota buying into Fuji, GM's loss is Toyota's gain. And yep, it seems that Toyota was after the factory in Indiana. Toyota is like a runaway freight train, consuming everything in its wake. It sure helps when you're sitting on $10B in cash.

[ToniCipriani]

This is probably why the G6 should get AWD as in the original concept.

[regfootball]

Subie probably were being little bitches about sharing the tribeca with Saab, and GM got pissed off, and said 'fine, the tribeca is uglier than the aztek, so we'll let toyota deal with it'

[Flybrian]

Subie probably were being little bitches about sharing the tribeca with Saab, and GM got pissed off, and said 'fine, the tribeca is uglier than the aztek, so we'll let toyota deal with it'

[post="25866"]<{POST_SNAPBACK}>[/post]

You know what?

That's exactly what happened.

[razoredge]

What was the Johnny Cash car song ? "One nail at a time" :lol:

[Guest gmrebirth]

There's been talk that next year's Camry will offer AWD.  The RX330 and Highlander are the same platform, so they already have the mechanicals.

As for Toyota buying into Fuji, GM's loss is Toyota's gain.  And yep, it seems that Toyota was after the factory in Indiana.  Toyota is like a runaway freight train, consuming everything in its wake.  It sure helps when you're sitting on $10B in cash.

[post="25463"]<{POST_SNAPBACK}>[/post]

Actually, they made 10B in cash last year alone. Toyota's total cash reserves I believe are a bit over 30B ... that's liquid assets.

[Polish_Kris]

Subie probably were being little bitches about sharing the tribeca with Saab, and GM got pissed off, and said 'fine, the tribeca is uglier than the aztek, so we'll let toyota deal with it'

[post="25866"]<{POST_SNAPBACK}>[/post]

Do you actually think a major company is going to sell one of it's car branches over the tribeca, come on get real, GM sold it because they couldn't afford it anymore, cause they're in a big financial problem right now, they will sell more of their brands eventually like Saab, Isuzu and maybe drop Buick or Saturn.