When Honda buys Toyota to replace Honda
Toyota’s future may be tied up in the Honda Power Equipment Finance (HPAF) unit, but the Japanese carmaker says the deal is still in its early stages.
The two companies have a joint venture to build new vehicles for the Japanese automaker, but this could prove to be a tricky task given Toyota’s long history of selling its own cars.
Toyota Chief Executive Officer Akio Toyoda told reporters at the company’s annual shareholders meeting on Monday that the HPAF unit will focus on the Toyota Camry, Camry Hybrid, Prius, and other high-end vehicles.
Toyota’s current HPAFs include the Toyota 4Runner, Toyota Corolla, and Lexus.
It is not clear when the HSAF unit would be complete, although Toyoda indicated it is at least “months away.”
The company’s stock has fallen 17 percent this year, and has lost more than 50 percent of its value since the start of the year.
The acquisition of Honda by Toyota is the latest in a string of moves by the Japanese automaker.
The Japanese company has been making investments in new products and technologies since 2009, including its new electric car, the Leaf.
The company recently announced it will sell its EV unit, the EV-S, to Tesla.