What exactly happens when two world-class automobile makers decide to work together? They create a partnership that the world looks forward to and with Toyota and rival firm Mazda deciding to work together. Will the future of automobiles change for the better? We certainly hope so.

Why form a partnership?

With more players now entering the market and survival getting tougher, automobile manufacturers are trying to come up with new strategies. They have a plan to reduce their cost of manufacturing and merging and consolidation seem to be the most sought. Special efforts are invested when it comes to tackling issues of rising emission standards and creating better technology.

Think about it, the world swears by the power and fuel efficiency that Toyota cars bring to the table and Mazda is famous for its exciting cars. That must exceed expectations. So what happens when they merge? You get powerful and well-designed cars that get your adrenaline soaring!

Toyota and Mazda Partnership

How does Toyota and Mazda partnership work?

Toyota and Mazda are not exactly buying stakes in each other and will be engaging their engineers to work together with a focus on product development.

Both of them will figure out how to best use each other strengths with Toyota providing Mazda with its plug-in hybrid technology and hydrogen fuel cell system and Mazda returning the favor with its diesel engine technology and Skyactiv gasoline.

Toyota fuel cell and Mazda skyactiv

What the others think about it:

With soaring costs and increasing competition, the CEO of Fiat Chrysler Automobiles, Sergio Marchionne had already urged automobile manufacturers to stop wasting money on developing products that others had already worked on and share their knowledge and ideas to bring down overall costs and establish higher standards.

This only makes sense as the amount of money spent by these giants doesn’t have a direct impact on customer satisfaction which happens to be the top-most priority.

Growing with limited budgets:

Partnering with others helps work with smaller budgets and the CEO of Mazda Masamichi Kogai is well aware of it. So while Mazda will produce the Scion sedan for Toyota, it will also supply Fiat with its version of the MX-5 Miata Roadster.

Apart from these partnerships with Toyota and Fiat, others will also continue to grow. So Mazda is all set to partner with other makers as it knows that it is ultimately a win-win situation for everyone involved.

Humble Start of Toyota and Mazda Partnership:

Toyota might be a giant manufacturer but is more than happy to learn more from small manufacturers like Mazda that is synonymous with churning out superior quality vehicles on a tiny budget, and that too, profitably.

Toyota is not embarrassed to admit that Mazda has excellent options like Kodo design language, the coveted Skyactiv engines and others in which it is way ahead of Toyota. So this partnership sees the merging of a giant that is willing to un-learn and re-learn and a small player that is doing better than expected. Both are definitely likely to benefit from each other.

Conclusion:

With the new partnership, questions of capital tie-up can be firmly ruled out. However, Toyota and Mazda will pool in their technical know-how to improve their engines and technologies.

With even big players now feeling the heat of the growing competition, it is not possible for one to spend billions on research and development alone. And with smaller but successful makers like Mazda entering the scene, sharing the burden seems like the best solution to the daunting problem that the automobile makers are currently facing.