Ford and Toyota Partnering Up to Produce Hybrid Trucks

Ford and Toyota Partnering Up to Produce Hybrid Trucks
By Dave Thomas

If there was any doubt that new fuel regulations would make an immediate and widespread impact on the automotive industry, it evaporated this morning. Today, Ford and Toyota announced an agreement to jointly develop — as equal partners — a new hybrid drivetrain specifically for light trucks and SUVs. This new technology would go on sale by the end of the decade.

The types of rear-wheel-drive vehicles this will be applied to include some of the most popular vehicles in the country, big pickups like Ford’s F-150 and the Toyota Tundra, along with large body-on-frame SUVs like the Toyota Sequoia and Ford Expedition. Ford and Toyota currently have just a handful of these types of vehicles in their portfolios, but the F-150 accounts for such a huge portion of sales that it alone would warrant this type of development.

New fuel regulations agreed to earlier this year targeted trucks and SUVs as well as passenger cars, hence the need for automakers to make them more efficient. The struggle for the manufacturer is to make them get better mileage while still being able to carry and tow at least as capably as they do today. Current hybrid systems on the market can deliver results in terms of capability; they just haven’t been efficient enough to meet future demands from the government on fuel economy.

Ford and Toyota have worked on hybrid technology before, but most of the development on the hybrid systems was left to Toyota. This time, both parties stress it will be a joint affair with only the integration of the system into each other’s products left to the individual automakers.

While the hybrid agreement is the most notable news, the two companies also agreed to work together to advance their in-car technologies, like Ford’s Sync, so that not only are they more sophisticated but that some sort of standards and practices result so customers moving between brands will get similar experiences.

Comments

These companies care about the workers but the main reason why companies go overseas is because of over taxing and over regulation. It is the government that doesn't care about workers and the people.

Toyota did not set up a factory in TX out of the goodness of their hearts or because they care about workers. They got huge tax breaks, the land for free, millions of dollars, electricity at reduced rates, free training, free roads, all paid for by the US taxpayer. Here are the facts.....

Texas is a right to work state so companies in Texas don't have unions forced on them, they have lower taxes and less regulation. I happen to agree with that approach but some call it "anti-labor" where wages are lower than those up north, in the midwest and in Canada.

South Texas was also chosen to be strategically located 150 miles north of the U.S.-Mexico border and connected to the proposed I-69 NAFTA corridor to the east via I-10 so Toyota can ship up their Mexican parts such as Tacoma truck beds and other parts made in Mexico at the Mexican Toyota plants.

Here is where they get sneaky. Look on many 2010 Tacomas that say made in Mexico or Toyota Motor Manufacturing de Baja California (TMMBC). To the layman it would appear the truck or truck bed is made in California, but Toyota appears to be hiding that fact it is Made in Mexico by saying de Baja California or TMMBC which actually is a plant in Tijuana, Mexico that made Tacomas and Tacoma truck beds.

The Texas factory relies on Mexican factories for the bulk of their parts (see map 1 in the link below ). The proximity of this source of cheap auto parts is, in fact, a chief consideration in the location of new assembly plants in Mexico and Texas. They just bring the parts over to Texas, do final assembly here, and then slap a sticker on that says born in Texas.

The government also gave Toyota $227 million to build their truck assembly plant in Texas.

That deal included:
*The City of San Antonio paid for the purchase and preparation of the 2,600 acre TMMTX site; waived the fees for the extension of water, sewer, electricity, and natural gas services to the plant; and agreed to sell electricity to the corporation for one-third of the price paid by residential customers. The city also agreed to establish a 3-mile buffer zone around the plant and "to exercise its best efforts" to annex the zone in order to protect the interests of TMMTX. The municipality also contributed several million dollars to construct a training center for TMMTX workers.

* The Southwest School District granted TMMTX a $45 million school tax abatement.

* Bexar County granted TMMTX a renewable, 10-year tax abatement worth $22 million and approved similar tax abatements to 15 TMMTX suppliers that totaled an additional $6.5 million.

* The state of Texas provided tens of millions of dollars of funding for road and rail infrastructure development to serve the plant, and millions of dollars to TMC and Alamo Community College to train workers for TMMTX.

* The Federal Government provided grants to the City of San Antonio, Alamo Community College, Bexar County, and the state of Texas to train TMMTX workers and provide transportation to and from work for them.

Here is the key......
The TMMTX assembly plant is the focal point of a complex production chain that extends THOUSANDS of miles and has links to mines and manufacturing plants in the Far East, MEXICO, and the southern U.S. It also has technological links to locations in JAPAN and the U.S. Midwest to access product engineering, production control, etc. The assembly plant is also the hub of an extensive TRANSCONTINENTAL and export transportation network.

Read more about it here:
http://www.thebellforum.com/showthread.php?t=21653&page=1


If you want to see more factories in the US, you have to cut taxes and regulation. Most Toyota hybrid buyers are liberal are against this cutting taxes and reducing regulation.....they are for higher taxes and more regulation. So they are for laying off workers and anti American.

@ austin

the interesting REAL story is ACTUAL fuel economy, not just what the EPA reports. Some manufacturers program fuel mapping ect. to excel during the EPA cycle testing. You MUST give credit to Toyota here for they DO NOT play that game.

WANT PROOF??? heres a link to AUGUST 2011 consumer reports most fuel efficient, notice the 31/35 rated camry is MORE EFFICIENT than that of the Fusion hybrid rated at 41/36.. i dont have to say anymore, the facts are the facts, to further that also notice the corolla right behind the fiesta!! its only rated at 26/34 meanwhile the 40mpg rated focus, cruze and elantra ARE NOWHERE ON THIS LIST! here you go, happy reading......

http://www.consumerreports.org/cro/cars/new-cars/buying-advice/most-fuelefficient-cars/overview/index.htm

@ mark

stop reposting that MORONS blog. Toyota did "strategically" place the San Antonio plant there for space, utilities, shipping costs for the truck beds that come from the Baja Cali plant. its too expensive to build multiple plants to build that material. OF COURSE they got tax breaks bringing life changing facilities to that town and to that state. HOW IS THAT DIFFERENT than what any domestic manufacturer breaks would be? OH, thats right we wouldnt know because they havent built a new plant here in so long you wouldnt have anything to guage it by, instead they take the jobs outside of the country to their state of the art plants where they can pay less wages. pull the blinders down farther mark..................

Is it even possible to stay on topic on this site? I know I too have to rant on a side note every so often but sheesh!

I saw someone already post up the new figures fro the 2012 Toyota Camry Hybrid. Pretty impressive considering it will also have 200 hp. I hope it is this kind of system that will make it into the trucks without diminishing any of the capabilities.

Mike,

Any new knowledge on the updated GM 2-mode system that has been rumored? I know both BMW and Mercedes have all but thrown it all away so it is basically all GM now (Chryco is doing its own things with what they developed)

OK Boys and Girls, please name the manufacture who currently makes a Hybrid full size pickup truck??? Ding ding, times up! GM of course. So ford and Toyota are going to team up eh??? Well ford and toyota owners will only have to wait approximately 5 to 9 years before you'll be able to go down to your local dealer and purchase one of these joint venture vehicles from ford or toyota.

GM on the other hand currently makes a full size CREW CAB Silverado or Sierra with a 6.0 liter V8 engine that gets 20 miles per gallon in the city and 23 miles per gallon on the highway and a combined EPA rating of 21 miles per gallon overall!!! NOBODY, ZERO ZIP NADA can touch that figure in a full size truck, NOBODY! Except your GM dealer of course.

I have drive both the Tahoe Hybrid and the Silverado Hybrid and have easily exceeded the fuel economy ratings. Infact driving down the highway in cruze at 70 miles an hour you can easily get 25 plus miles per gallon with this hybrid.

Bored ford and toyota, dodge can't touch this in a full size pickup! NOT EVEN FORDS Ego Boost V6 can touch this as it's rating is 15 city 21 highway for a combined rating of 17 miles per gallon. Not even fords sissy two wheel drive trucks can touch this at 16 city and 22 highway and 18 combined. SORRY FORD FANS, YOU LOSE AGAIN!

So let me state this one more time, GM is the only manufacture of a FULL SIZE HYBRID PICKUP TRUCK PERIOD!

Ford and toyota fans, you only have to wait oh 5 to 9 years and by that time GM will have moved the bar again!

Let's see:

Scenario #1- American politicians, American companies, American investors, and American C.E.O.s; getting richer and greedy. Spending their big paychecks; on their million dollar houses (in the U.S.A.), paying U.S. income/property taxes, shopping for their food, clothes, lifestyles, etc. here in the U.S.A. Feeding the U.S. economy!

or

Scenario #2- Foreign politicians, foreign governments, foreign companies, foreign investors, and foreign C.E.O.s; getting richer and greedy. Spending their big paychecks (after converting U.S. dollars to their currency); on their million dollar houses (in their country), running away with our money to feed their economies.
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I will gladly take scenario #1. I would rather look down the street and see a fellow American living in their mansion rather than imagine what kind of temples or castles people across the world are living in.

Hey Hemi & Benchimus.

Narrowed minded Peter here.

I can go with hemi's statement, but I should also say I like the History behind our American pickups. Toyota did not help build American back in the day. It was Dodge, Ford, GM, International, etc. Just means alot to me.

How come people are always telling me I living in a fantasy, thanks Bench Man........

Sorry but I cannot get on the band wagon with Ford and Toyota joining.

I could compare Toyota to Apple but hey maybe another day.

Mark-

I commend you and your clear picture of the United States of America's troubles and needs. If the majority of Americans thought the way you do the U.S.A. would be in a much better position.

********************************************

I wonder what the unemployment rate is; in China, India, or Japan? Maybe around 1%, 2% tops?

The U.S.A.'s unemployment rate is hovering around 12%?

Something is wrong with this picture! Wake up America!

@mhowarth
Thats what I was hoping for which was why I made reference to the tundra hybrid that Toyota had planned years sago but didnt because Tundra's sells fell off according to motor trend Toyota was planning on using the old 4.7L V8 and they said 400hp and limotless torque although I would rather a ballpark range intead of saying limitless torque used by motor trend http://forums.motortrend.com/70/6287797/sports-high-performance-cars/toyota-tundra-hybrid-no-later-than-2010-400hp-and/index.html or gobs of torque used by the torque report http://www.thetorquereport.com/2007/05/2010_toyota_tundra_hybrid_will.html but they also said 20city/25hwy and since Toyota did it here http://en.wikipedia.org/wiki/Toyota_FT-HS I think Toyota can develop a hybrid system that can handle and not diminish power. I also want to say that with this post im not saying Ford cant develop their own hybrid system im just saying I believe in Toyota and im not a if you can't beat em join em kind of guy so i dont want Toyota working with Ford. I want to see the 30+ year reign the F-Series has had come to an end and who better than the Tundra so out of respect for Ford I dont want Toyota working with you I want them to beat you.

@ peter

it means alot to me as well.......... thats all the more reason that it infuriates me that they ran those companies in the ground and continue to take jobs from the US citizens, i REFUSE to support companies that dont support americans themselves.

@Tim,

"The Ford Escape Hybrid was engineered, validated and is manufactured in the United States. There is NO Toyota technology or parts in our vehicle. We received NO technical support from Toyota when designing our hybrid system."

You are so WRONG!

Ford used Toyota's patents, that would be Toyota's designs and gee the Escape has a Japanese transmission in it, how do you explain yourself?

ABCNews ran a series of "American" made stuff and they pitted the Toyota Camry and Ford Escape against each other and the Toyota Camry was more American than the Ford Escape, how do you explain yourself again?

@Peter- Take what I said for face value and dont read to far into it as it was partially a joke. Hemi is right in what he says, as much as it pains me to say it. I like Ford. I only buy Ford trucks (tho I would buy a Chevy IF I had to.) But Ford trucks American parts content is only like 60 some percent? I dont like that. So instead, I will continue to live and comment in my fantasy world where Ford, Chevy, and all the other Domestics are 100% American in both parts and build. I will also continue to bash the Yota and Nissan as if they are 100% Japanese and are shipped here fully assembled from Japan. None of that is true, I just wish it was.

@hemi lol,

That so-called American buy is just another union boy that loves Obama who tries to wrap the flag around private corporation that DO NOT give a damn where they operate out of as long as they make profits!

GM has the equivalent of 4 auto plants abroad that import vehicles GM sells within the U.S.

So the question is, why does GM have these plants abroad if they only sell them in the U.S. as imports?

Soon a Chinese built vehile will be sold as a GM, the first of its kind in the U.S.

GM like ALL auto companies DO NOT care about the flag, they care about image and profits!

@ benchimus

lol i gotta give you credit. i was tired of believing what i knew not to be true, plus if you drove a tundra with an open mind you may find yourself liking it very very well.

were all americans here for what its worth ladies and gents. we simply have the freedom of speech (fortunately) and NOONE will ever agree with each other its just not humanly possible. TO ALL THOSE WHO LOVE TRUCKS, cheers all..... at least we have lots to choose from

@Buy American Or Say Bye To America!,

You are a complete moron!

So you support companies like GE that reap billions in profits because of their foreign operations while they close U.S. plants down, and take advantage of OFFSHORING (we lose about $100 billion in taxes thanks to greedy U.S. corporations that ship jobs overseas), but support the profits going to the rich CEO's and large shareholders while the guy down the street has no job and lives off of welfare?

Either you are uneducated in this subject or one of those rich fat kats that are trying to save your billions at the expense of the average American, which is it?

China's official unemployment is stated at 4.3% but this only includes urban cities, not the country as a whole. The best estimate from economists is close to the US around 9-9.5%

GDP per captia of $7,600 a year

India is much worse off at 10.8% and inflation of 12% a year. (this too may be low based on poor accounting for rural and slum populations, I'd guess this closer to 12-14% myself)

GDP per capita of $3,500 a year

USA- 9.6% unemployment, inflation of 1.6% and GDP per capita of $47,200

(all figures from CIA world factbook https://www.cia.gov/library/publications/the-world-factbook/index.html )

Still think they are steam rolling us?

(If you want to see something very startling look at the "household income percentage share for all of those countries and tell me which broad populace is better off with the stronger middle class?)

@Peter,

"History behind our American pickups. Toyota did not help build American back in the day. It was Dodge, Ford, GM, International, etc. Just means alot to me."

Are your freaken mad?

The human spirit of Americans built this nation, their vision and aspirations and the get-done attitude not a freaken pickup from a private corporation!

Did GM or Ford write the Constitution? Did they envoke the Civil Rights movement? I do not recall a GM or Ford pickup being President let alone a Congressman!

What built this nation was the hard working Americans that came from FOREIGN nations and united as one despite their backgrounds to build this nation!

Sadly today we have a bunch of lazy looking for handouts type of society! Work ethic has fallen dramatically!

Just look at American Dr. Deming, he was thrown out of the U.S. yet inspired the Japanese after WWII to build their monster of an industry that we all now benefit from...

An American teaching Japanese how to do things better and then it comes to our shores! Human spirit!

Henry Ford started the assembly line and Toyota perfected it!

"...I want to see the 30+ year reign the F-Series has had come to an end and who better than the Tundra so out of respect for Ford I dont want Toyota working with you I want them to beat you." -5.3L LOL

Dream on! Not in your lifetime...or ever!

With the Ford F-Series selling more than 50,000 pickups a month, and climbing & Tundra barely selling 8,000 pickups a month, and dropping...Ford has nothing to worry about. Tundra has a better chance at maybe selling half the pickups that G.M.C. sells (The brand. Not the corporation)?

oxi-

Resorting to the personal insults again, I see.

If those are my only two choices...then I guess I am uneducated. I am an unemployed, getting thinner, skinny kat.

Perhaps, if foreign companies did not sneak their low priced and low quality junk into the U.S., then American companies (G.E. for your example) would not have to move their factories overseas in order to save themselves?

I am am surprised that it took so long for this thread to turn into an anti-Asian bashfest.
Ironic - no replies to my ""As You Sow, So Shall You Reap." comment.

@Mark - your long post about the "incentives" Toyota recieved to set up shop in Texas - please explain how that is a bad thing?
That is much better for USA taxpayers than Thailand bankrolling GMC for close to a billion dollars to build the "Global Colorado" in Thailand.

@Buy American
I wouldn't be worshiping the rich dudes down the street - how much of their cash is sitting in an off shore tax free haven? or how many of them walked away scott free from the banking, Wall Street, dot.com collapse with someone else's money and zero repercussions?
They caused the mess we are in.

@Bob - how many GMC hybrid trucks and SUV's do they sell?
What is the cost benefit ratio on those hybrids? ie. when does a guy break even on the extra cash outlay for the hybrid?
Why are the towing/cargo ratings for those hybrids so low?
I'd buy a 5.3 Sierra before a hybrid Sierra.
I can drive like a good little boy and get better EPA ratings. I also would have the benefit of being able to tow and haul. I could get a Denali for the extra cost of the hybrid.

Toyota and Ford will "git er dun" in less time than your "5 to 9 years" developmental cycle.
Did you base that figure on GMC's track record?

It's not just numbers.
It's real world performance
Let it be written.Let it be done.


Mark did not say it was a TX factory was a bad thing.......it was in response to the idea that only Toyota cares about workers.

Toyota never would have went with that huge a$$ TX factory...
1) If Toyota did not get all of those incentives and a sweetheart deal 2) If they knew then what they know now. If they knew that they were only going to sell 50K Tundras they wouldn't have done it. The idea then was that they were going to start out building 200K thousand Tundras and then start building HD Tundras galore. None of that ever happened.

Those are the two major reasons they went with such a factory. Not workers. The other secondary reasons was to be able to claim it was made in the USA and save money on shipping being close to the US and Mexico, and it is a right to work state. Toyota only cares about $$$$ like any other company. The whole goal of a company is to make money. I laugh everytime I see someone claim that Toyota opened a factory in TX because they care about American workers. If they say it's not about the money, it's about the workers, it's about the money.....

Mark did not say it was a TX factory was a bad thing.......it was in response to the idea that only Toyota cares about workers.

Toyota never would have went with that huge a$$ TX factory...
1) If Toyota did not get all of those incentives and a sweetheart deal 2) If they knew then what they know now. If they knew that they were only going to sell 50K Tundras they wouldn't have done it. The idea then was that they were going to start out building 200K thousand Tundras and then start building HD Tundras galore. The new Tundra was going to start out at 200k and go up up and away and be the truck that changed it all. Then from 200k they will sell 300k to 350k and add in the HD's and they would sell 500k and challenge Ford and Ram, creating the need for such a factory. None of that ever happened.

Those are the two major reasons they went with such a factory. Not workers. The other secondary reasons was to be able to claim it was made in the USA and save money on shipping being close to the US and Mexico, and it is a right to work state. Toyota only cares about $$$$ like any other company. The whole goal of a company is to make money. I laugh everytime I see someone claim that Toyota opened a factory in TX because they care about American workers. If they say it's not about the money, it's about the workers, it's about the money.....

I agree with Buy American. Toyota doesn't care about you. It's about the $.

I knew it wouldn't be long until oxi and buy american derailed this topic. This is getting ugly.

Yo guys, remember these rules before you post:

Stay on topic. We want to hear your opinions and thoughts, but please only comment about the specified topic in the blog post.



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