Toyota will build Tesla-powered RAV4 EV in Canada

Toyota Motor Corp. will build an electric RAV4 in-house in Canada next year rather than having partner Tesla Motors Inc. assemble the model at the plant it acquired from Toyota in California.

The companies said this morning that Toyota's Tesla-powered EV will be produced in Woodstock, Ontario, where Toyota already makes the gasoline-powered RAV4 crossover.

Toyota did not provide volume expectations for the electric vehicle or say how much it expected the model to retail for at its dealerships starting in 2012.

Toyota recently revealed that it will pay Tesla $100 million for an electric powertrain that includes the RAV4's battery module, electric motor, gear box and electronic components. That specific dollar figure suggests that Toyota envisions the Tesla deal as a finite arrangement, rather than an open-ended supply deal.


Tesla currently has its hands full preparing to launch an electric family sedan of its own, known as Model S, on an assembly line in Fremont, Calif. That is the mammoth production plant formerly known as New United Motor Manufacturing Inc., a 50-50 joint venture between Toyota and GM where Toyota previously built Corolla sedans and Tacoma pickups. GM walked away from NUMMI during its 2009 bankruptcy, spurring the venture's demise.

Tesla is retooling the NUMMI plant to prepare it for a 2012 Model S production launch. The Tesla powertrains will be produced at a smaller Tesla plant in Palo Alto, Calif., and shipped to Woodstock for assembly into the Toyota vehicles there.

"The Tesla-Toyota joint development team has agreed that building the vehicle at the Woodstock plant on the same line as the gasoline-powered RAV4, will streamline and simplify the production process and guarantee the highest level of quality control," Ray Tanguay, chairman of Toyota Motor Manufacturing Canada Inc, said in a statement today. "This is a great example of Toyota's determination to collaborate with companies with leading edge technology."

Lindsay Chappell Automotive News -- August 5, 2011

Study Says Majority of U.S. Car Buyers Open to EV Purchase

A majority of U.S. automotive consumers would consider buying a plug-in hybrid-electric vehicle and, to a lesser extent, a full-electric vehicle next time they are in the market for a new car, according to a study by consultancy Accenture.

But would-be EV buyers cite various conditions, ranging from generous tax breaks to easy access to charging points.

Seven out of 10 respondents say they would prefer plug-in hybrid-electric vehicles to full EVs. Sixty-one percent say they may buy an alternative-fuel vehicle within the next three years.

But first they want an improved charging infrastructure. Utility companies are the top choice among respondents for charging their EVs, the study says.

Seventy-seven percent say they would prefer buying charging services from such companies. Sixty-eight percent cite traditional service stations as their choice, while 65% named retailers.

Accordingly, the study recommends that energy utilities work with automakers and dealers to monitor local energy demand for alternative vehicles, with an eye toward enhancing charging infrastructures.

Such an alliance would benefit both the energy and automotive sectors, says James A. Robbins, Accenture's North American Automotive and Industrial Equipment Industry Lead.

"One of the key challenges facing the auto industry today is building consumer confidence in the electric-vehicle experience," he says.

"This report suggests that utilities can play a key role in elevating that confidence, while helping to spur more EV sales."

High gasoline prices are making EVs attractive potential purchases, Robbins says.

"But clearly the other part of the EV equation is the creation of a consistent, readily available charging infrastructure. Working together, the utilities and auto companies may be able to make EVs a truly viable alternative in the U.S. market."

The study cites other factors affecting potential EV purchases:

• Seventy-two percent of U.S. respondents say having a home charging point is important.
• Beyond price, the top-three factors for considering a switch to an EV are access to tax breaks, priority lanes and free parking. Eighty-five percent cite no car tax as the key incentive.
• Eighty-five percent say having their vehicle charged with electricity generated from renewable energies, such as hydro, wind or solar power would spur their purchasing an EV.
• Seventy-four percent of respondents would prefer to buy, rather than lease, their alternative-fuel vehicle.

(Source: WardsAuto.com, 07/27/11)