Toyota City, Japan – Toyota has begun purchasing hybrid automotive motors from Hitachi, reports the Green Car Congress. This marks the automaker's first procurement of a key hybrid component from a firm outside the company group.

It is also Toyota's first large-scale deal with Hitachi, which traditionally has close ties with Nissan. Nissan, meanwhile, is launching a hybrid version of the Altima, based on Toyota's technology.

Toyota has been stepping up efforts to boost hybrid car production to meet demand. Following the contract signing, Hitachi started supplying rear motors for the Harrier Hybrid (the Japanese version of the Lexus RX 400h) and Kluger Hybrid (the Japanese Highlander Hybrid). Last week, Toyota made Panasonic EV Energy into a subsidiary by increasing its stake to 60 per cent. The company provides NiMH batteries for the Toyota Prius.

Toyota is forecasting worldwide hybrid car sales of 300,000 units in 2005, and believes that it will grow to one million global units annually by 2010.

Source: CanadianDriver