Toyota Motor Corp. and Suzuki Motor Corp. have joined forces, following an announcement on Wednesday, The Japan Times reported.
The partnership is in response to growing technological challenges that the auto industry faces as a whole as it moves into the future, according to the source. The two companies will focus on exploring innovations that solve environmental, digital communication and safety issues.
"Toyota is the industry-leading and most reliable company that is actively working on various advanced and future technologies," Suzuki Chairman Osamu Suzuki said in a statement, according to The Japan Times. "I am appreciative that Suzuki is able to start discussions with Toyota to explore ideas on a partnership."
Toyota is the top automaker in the world, while Suzuki has the fourth-highest sales in Japan, according to Automotive News. The two companies noted they will continue to compete in other areas of their business.
The deal is not the first shift to happen in the automotive industry in Japan this year, however. The second-largest car manufacturer in the country, Nissan Motor. Co., took control of a 34 per cent stake in Mitsubishi Motors in May, according to The Japan Times.