Toyota sold the Chinese technology start-up on electric vehicles

Toyota sold the Chinese technology start-up on electric vehicles

April 18, 2019 0 By autotimesnews

Toyota sells electric vehicle related technology to Singulato, a Chinese startup. Terms of the transaction were not disclosed. Sources close to the companies point out that the startup agreed to pay “several tens of millions of dollars” for the eQ design.

He is ready to present the concept of iC3, which is based on the development of Toyota. However, the technology sold by the Japanese company, refer to the model, discontinued. Singulato will receive a license to use the Toyota eQ design. The concept will be shown in the coming days at the Shanghai Auto Show.

Toyota sold about 100 eQ in 2012, and then stopped it due to low demand, which was due to the high price, short range and long charge time. However, Singulato promises to use the latest advances in the field of batteries, which will make the model more competitive. The range will be about 250-300 km.

The Singulato eQ version will use connectivity technology. It will be aimed at young buyers who will be offered many entertainment features, modern security and navigation technologies. The car, which will be called iC3, will also be equipped with autonomous driving technology.

It is assumed that the design will be refined to suit the preferences of Chinese buyers. Later, a serial version will be created on its basis, which will be launched into production in early 2021. Singulato plans to sell 200,000 electric cars within five years. The cost will be at the level of 100,000 yuan ($ 14,905).

Buying technology will allow the Chinese startup to speed up the release of its own car, while Toyota will receive privileges in the new quota system, which was introduced in China for all-electric models and hybrids with a plug-in module. Automakers are required to produce and sell a certain number of electrified models. The quantity is determined in proportion to the total sales. If a company does not fit into quotas, it will have to pay heavy fines or get “points” from another company that has “surplus.” Toyota has already recognized that it will not be able to meet the quotas without buying such points from other companies.

According to Toyota, the deal is part of an effort to share new technologies with China, as the Japanese automaker seeks to grow in the world’s largest car market, increasing production capacity and distribution channels.

“In connection with electrification, autonomous driving and car sharing, which shook up the industry, it is necessary to revise the old ways of working. We occupy a leading position, but we must remain modest enough to learn from newcomers, ” – said one source at Toyota, who wished to remain anonymous because he was not authorized to speak on behalf of the company on this issue.

“This deal gives us the opportunity to save time and costs to develop a reliable car and focus on what we have done well in,” Singulato reports.