Jun. 29, 2012

BMW Group
Toyota Motor Corporation

BMW Group and TMC Agree to Further Strengthen Collaboration

—Companies Sign MoU Aimed at Collaboration in Four Technological Fields—

Akio Toyoda, President of Toyota Motor Corporation (TMC), met today with Norbert Reithofer, Chairman of the Board of Management of BMW AG, at BMW Group headquarters in Munich to announce the planned expansion of their existing cooperation initiated in December last year.  The two companies signed a memorandum of understanding (MoU) aimed at a long-term strategic collaboration in four fields: joint development of a fuel cell system, joint development of architecture and components for a future sports vehicle, collaboration on powertrain electrification and joint research and development on lightweight technologies.

Also today, Reithofer and Toyoda signed a Joint Statement to reconfirm their companies' shared intention to strengthen the long-term, strategic collaboration between them.

Reithofer said: "We aim to further strengthen our competitive position in sustainable future technologies.  We signed an MoU to this effect today.  Toyota and the BMW Group share the same strategic vision of sustainable individual future mobility.  Together we have a great opportunity to continue leading our industry through this transformation."

Toyoda added: "BMW and Toyota both want to make ever-better cars.  We respect each other.  That is why we already can take the next step together." He went on to say: "Toyota is strong in environment-friendly hybrids and fuel cells … I believe BMW's strength is developing sports cars.  I get so excited thinking about the cars that will result from this relationship."

In March 2012, the BMW Group and TMC signed a binding agreement on collaborative research in the field of next-generation lithium-ion battery cells.  In addition, the BMW Group and Toyota Motor Europe entered into a contract in December last year, under which the BMW Group will supply highly efficient 1.6 litre and 2.0 litre diesel engines to Toyota Motor Europe starting in 2014.

Today's MoU represents the companies' agreement in December last year to identify and discuss other possible collaborative projects.


TMC President Toyoda's Remarks
on Cooperative Agreement with BMW

Hello everyone.  I am Akio Toyoda of Toyota Motor Corporation.

Thank you all for coming today.

Thank you Chairman Reithofer, Board Member Diess, Senior Vice President Fröhlich and all those at BMW for this opportunity.

Last December, BMW and Toyota announced a mid-to-long-term partnership on next-generation environmental technologies.  Today we are announcing a new step in our partnership.

BMW has its own culture and history from many years of car manufacturing.  It is a world leader in making cars of emotional appeal.

I believe cars have to be fun and have to be able to stir the emotions.  Thus, I have been so excited since the end of last year about our partnership with BMW.

Our two companies share a common principle.  We both believe it is our mission to make ever-better cars.  This principle is the basis of our corporate management.

We are not coming together to become bigger.  We are not coming together to form capital ties.  We are joining hands because we want to make ever-better cars.

As a driver, I directly help vehicle development at the Nürburgring.

The Nürburgring is the toughest course there is.  At the Nürburgring,  the road tosses the car around.  Curves seem to try to throw out the car and driver.

Roads make cars.  The Nürburgring has taught me so.

That is why many carmakers test new cars at the Nürburgring.  They develop cars there, while competing against other manufacturers.

But at the Nürburgring,  there is always a car that passes me.  It is a BMW.

BMW is not only a premium brand.  BMW knows how to make a car perform.  It knows more than anyone else that roads make cars.

And at the Nürburgring, it is my greatest rival.

To me, BMW earns the utmost respect.

BMW and Toyota both want to make ever-better cars.  We respect each other.  That is why we already can take the next step together.

I met Chairman Reithofer again today, and I felt the relationship of trust between our two companies grow stronger.

I am extremely happy to announce that we signed a joint statement as long-term strategic partners.

I very much look forward to the "car talk" between both companies' engineers at the Nürburgring and other places where cars are developed.

The attractive and emotional products we plan cannot be born in conference rooms.  They can only be the result of real car talk where development actually takes place.

And I could not be happier if Chairman Reithofer and I were able to join such car talk.

Let me now mention the areas of new collaboration between our two companies.

BMW and Toyota agreed to explore possible collaborations in four areas.  They are fuel cell system technologies, sports cars, electrification and light weight technology.

Toyota is strong in environment-friendly hybrids and fuel cells.  I am confident these technologies will be useful to BMW.

On the other hand, I believe BMW's strength is developing sports cars.  I get so excited thinking about the cars that will result from this relationship.

I think I can say that I am the one who is most looking forward to a sports car that is environment-friendly and truly excites car fans around the world.

I am sure working with BMW will enhance Toyota's drive to make ever-better cars.

Thank you.