BMW and Toyota have announced a new agreement under which the two brands will share engine and battery technology.
The memorandum of understanding means that BMW and Toyota will collaborate on research for next-generation lithium-ion battery technology and will also identify and discuss other possible collaborative projects'.
In addition, BMW will supply Toyota Motor Europe (TME) with 1.6- and 2.0-litre diesel engines from 2014. The engines are likely to be used for a variety of Toyota and Lexus models.
Norbert Reithofer, chairman of the board of management of BMW, said: Toyota is the leading provider of environment-friendly series technology in the volume segment and the BMW Group is the most innovative and sustainable manufacturer of premium automobiles.
We are now joining forces to further develop environment-friendly technologies and to expand our innovation leadership in each of our segments.
Akio Toyoda, president of Toyota Motor Corporation, said: It is a great joy and a thrill to enter into this mid-to-long-term collaborative relationship with BMW.
In 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.