Toyota to Buy Diesel Engines from BMW, Collaborate On Battery R&D

By Paul Riegler on 1 December 2011
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BMW will start to sell 1.6- and 2.0-liter diesel engines to Toyota Motor Europe starting in 2014.  The engines are to be installed in Toyota vehicles slated for sale in Europe.

In addition, the two automakers announced an agreement to work together in the field of next-generation lithium-ion battery technologies. Other collaborations are possible as well, the companies announced in a prepared statement.

“Supplying Toyota with our fuel efficient and dynamic diesel engines represents another important step in the planned expansion of our sales activities for engines and powertrain systems,” said Norbert Reithofer, BMW AG’s CEO.

Noting that BMWs are “fun to drive,” Akio Toyoda, president of Toyota, said that “…the spirit of contributing to furthering the development of the auto industry and society, both companies will bring their wide-ranging knowledge – starting with that concerning environmental technologies – to the table and make ever-better cars.”