- Nov 7, 2006
Toyota buys 5.9% of Isuzu
We always expected that Toyota would rely on its own Hino Motors commercial truck subsidiary for a diesel engine to power a heavy-duty version of its new Tundra pickup, but Hino is not prepared to make smaller diesel engines for passenger cars and potentially diesel hybrids. Isuzu offers Toyota the know-how and production capacity for diesel engines that are smaller than 2.5-liters, which makes the purchase seem like a perfect fit.
Mitsubishi will now become the largest single shareholder in Isuzu with 9.7 and Toyota with 5.9. Today's announcement marks the second time Toyota has swooped in and picked up shares in a company that GM has cast off, the first being Fuji Heavy Industries, the parent company of Subaru.
[Source: Automotive News – sub. required]