TOKYO – Japanese automakers Toyota, Isuzu and Hino said Wednesday they are setting up a partnership in commercial vehicles to work together in electric, hydrogen, connected and autonomous driving technologies.
Under the deal, Toyota Motor Corp., Japan’s top automaker, and truckmaker Isuzu Motors will each take a 4.6% stake in each other, the three companies said in a joint statement. Hino Motors is Toyota’s truck division and had been Isuzu’s rival.
The 39 million shares of Isuzu common stock that Toyota is acquiring are worth 42.8 billion yen, or about $400 million. Isuzu will acquire Toyota shares worth the same value, they said.
The three companies combined control 80% of the Japanese truck market.
Toyota, which makes the Camry sedan, Prius hybrid and Lexus luxury models, sold off in 2018 a 5.9% stake in Isuzu that it had bought in 2006. Earlier, Isuzu had a capital tie-up with U.S. automaker General Motors Co.
The cooperation among Toyota, Isuzu and Hino is designed to reduce emissions by building hydrogen infrastructure, and to help solve the nation’s shortage of drivers by sharing information online and making deliveries more efficient.
“These days, it is hard to discern what is the correct way,” Toyota President Akio Toyoda said in a news conference that streamed online.
“And so we just have to give it a try, and then try again. It is through that process of repetition Toyota has achieved what it has.”