BMW, Toyota to jointly develop a sports car

BMW and Toyota Motor Corp. on Friday said they will develop a sports car together and cooperate in fuel cell technology, powertrain electrification and lightweight technologies.

BMW CEO Norbert Reithofer and Toyota President Akio Toyoda signed an initial agreement at BMW's Munich headquarters to expand long-term strategic collaboration between the two automakers.

"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," Reithofer said in a statement.

Toyoda said in the same statement: "Toyota is strong in environment-friendly hybrids and fuel cells. On the other hand, I believe BMW's strength is in developing sports cars. I am excited to think of the cars that will result from this relationship."

In March, BMW and Toyota agreed to collaborate with BMW on lithium-ion battery research in exchange for a steady supply of BMW-made diesel engines starting in 2014.

The companies on Friday said they signed an agreement that allows 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.

By Paul McVeigh- Automotive News Europe