Toyota mulls supplying Mazda with hybrid components

Toyota mulls supplying Mazda with hybrid components Tokyo  - Toyota Motor Corp was in talks with Mazda Motor Corp over a business partnership to provide parts for hybrid cars to increase production of the fuel-efficient vehicles, media reports said Thursday.

Under such a deal, Toyota would supply Mazda with batteries and motors for the gasoline- and electric-powered vehicles while Mazda would be able to enter the eco-friendly car market earlier than an expected 2015, the Kyodo News Agency quoted sources familiar with the matter as saying.

Toyota, however, denied that it planned to supply Mazda with key components but added that it believes it is important to promote the environmentally friendly technology and continue its development within the firm's own production and sales ability.

Toyota, which has had similar deals with Nissan Motor Co and Ford Motor Co, would be able to reduce its costs from the hybrid vehicles through mass production under a cooperation deal with Mazda.

Such a deal was expected to encourage other similar partnerships to meet the growing demand for the fuel-efficient cars.

Mazda, which has been working with Ford on a business and capital alliance, has been cooperating with the US carmaker on hybrid-technology development.

But since the troubled firm reduced its stake in Mazda, the Japanese company has been in search of other partners. (dpa)

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