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LEAD: Toyota, BMW agree on collaboration on green car technology

Dec 1, 2011, 9:10 GMT

Tokyo - Toyota Motor Corp and BMW AG on Thursday announced they have agreed to form a broad partnership in the field of developing environmentally-friendly vehicles.

The partnership would include collaborative research into next-generation lithium-ion battery technologies, the companies said in a statement.

Toyota Motor Europe and BMW have entered into a contract under which BMW is to supply fuel-efficient diesel engines to the Japanese carmaker's European unit starting in 2014, the carmakers said.

They engines would be installed in certain Toyota-produced vehicles for the European market.

Through the agreement, the Japanese carmaker intends to expand its European lineup and sales of fuel-efficient vehicles and CO2-emission diesel-powered vehicles, the statement said.

'We are now joining forces to further develop environment-friendly technologies and to expand our innovation leadership in each of our segments,' said Norbert Reithofer, the chairman of the board of management at BMW.

Toyota president Akio Toyoda was quoted in a statement as saying: 'Both companies will bring their wide-ranging knowledge, starting with that concerning environmental technologies to the table and make ever-better cars.'

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