Car-maker Toyota has deepened its partnership with fellow Japanese manufacturer Suzuki - a company which its Derbyshire plant will start making cars for next year.
Earlier this year, Toyota announced that towards the end of 2020, its Burnaston plant would start producing Suzuki-badged cars as part of a collaboration agreement.
Now, the firm, which employs around 2,600 people at its Derbyshire factory, and Suzuki Motor Corporation, have strengthened their alliance by taking stakes in one another.
The move aims to bolster their position as the auto industry shifts further toward electrified and self-driving cars. Toyota will acquire about 5% of Suzuki shares, while Suzuki will get a smaller holding in Toyota.
The move builds on ties established in 2017 between the two car-makers and is aimed at expanding their collaboration to keep up with technological advances sweeping through industry.
For Toyota, the alliance provides access to Suzuki’s expertise in India, which is on track to overtake Japan and become the third-largest vehicle market in the world.
Back in March, Toyota announced it will make Suzuki-badged cars at Burnaston. It will see Toyota supply Suzuki with cars based on the new Corolla Wagon - a car which the factory officially started making at the beginning of the year.
The cars will be hybrid-electric vehicles, fitted with hybrid engines produced at Toyota’s engine manufacturing plant at Deeside, North Wales.
At the time, Marvin Cooke, managing director at Toyota Manufacturing UK, said the collaboration with Suzuki was another example of the efforts being made by the company to increase competitiveness.
He said: “This is good news for our UK plants and demonstrates Toyota’s trust in the capability of our workforce to deliver the highest levels of superior quality products.
“Seeking to produce additional volume for other customers is one example of all the efforts we are making to keep our UK manufacturing operations as competitive as they can be.”
