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Toyota bolsters electric vehicle development and technology in China

Dietmar Rabich / Wikimedia Commons / “Dülmen, Auto Bertels, Toyota GR Supra -- 2021 -- 9563” / CC BY-SA 4.0

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Toyota is doubling down on its electric vehicle technology efforts in China. The move comes as the Japanese automaker aims to tackle increasingly stiff competition from players in the country’s automotive segment. 

China has turned into a battleground of market share among automakers, and this is particularly true in the country’s electric vehicle sector. Local rivals as well as industry leaders like Tesla have become significant challenges for companies like Toyota with their rapid growth and competitive pricing.

To gain an edge in such a competitive landscape, Toyota is teaming up with suppliers Denso and Aisin to accelerate powertrain development, as noted in a Reuters report. The company will also focus on locally tailored design and development of “smart cockpits” that are intended to meet the specific demands of the Chinese market. 

It should be noted, however, that Toyota is not putting all its eggs in one basket, so the automaker is not just focusing on battery-powered EVs. Instead, Toyota is placing its bets on the appeal of hybrids and plug-in hybrids, as well as hydrogen fuel-cell technology. The automaker’s “multi-pathway” approach is expected to cater to markets that are not yet fully ready for a complete shift to battery-electric cars.

As part of its push towards electrification, Toyota is fostering collaboration between engineers from three joint ventures—FAW Group, Guangzhou Automobile Group (GAC), and BYD—at its largest research and development facility in China. 

Toyota’s China sales, including its luxury Lexus brand, encountered a slight 2.8% dip during the first half of the year. The automaker is also seeing production slowdowns at a joint-venture plant that makes its bZ4X crossover, a rather problematic EV that had seen its own fair share of delays and recalls. The company offloaded 1,000 contract workers earlier this month as well. 

China is the world’s largest market for electric vehicles, so it’s no surprise to see automakers putting in the effort to become more competitive in the country. BMW, for one, announced increased investments in product development through a new R&D hub in Shanghai. Volkswagen, on the other hand, has struck a strategic alliance with Xpeng, a local electric vehicle maker. 

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads-up. 

Simon is a reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday.

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Armored Tesla Cybertruck “War Machine” debuts at Defense Expo 2025

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Tesla Megapacks chosen for 548 MWh energy storage project in Japan

Tesla plans to supply over 100 Megapack units to support a large stationary storage project in Japan, making it one of the country’s largest energy storage facilities.

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Tesla’s Megapack grid-scale batteries have been selected to back an energy storage project in Japan, coming as the latest of the company’s continued deployment of the hardware.

As detailed in a report from Nikkei this week, Tesla plans to supply 142 Megapack units to support a 548 MWh storage project in Japan, set to become one of the country’s largest energy storage facilities. The project is being overseen by financial firm Orix, and it will be located at a facility Maibara in central Japan’s Shiga prefecture, and it aims to come online in early 2027.

The deal is just the latest of several Megapack deployments over the past few years, as the company continues to ramp production of the units. Tesla currently produces the Megapack at a facility in Lathrop, California, though the company also recently completed construction on its second so-called “Megafactory” in Shanghai China and is expected to begin production in the coming weeks.

READ MORE ON TESLA MEGAPACKS: Tesla Megapacks help power battery supplier Panasonic’s Kyoto test site

Tesla’s production of the Megapack has been ramping up at the Lathrop facility since initially opening in 2022, and both this site and the Shanghai Megafactory are aiming to eventually reach a volume production of 10,000 Megapack units per year. The company surpassed its 10,000th Megapack unit produced at Lathrop in November.

During Tesla’s Q4 earnings call last week, CEO Elon Musk also said that the company is looking to construct a third Megafactory, though he did not disclose where.

Last year, Tesla Energy also had record deployments of its Megapack and Powerwall home batteries with a total of 31.4 GWh of energy products deployed for a 114-percent increase from 2023.

Other recently deployed or announced Megapack projects include a massive 600 MW/1,600 MWh facility in Melbourne, a 75 MW/300 MWh energy storage site in Belgium, and a 228 MW/912 MWh storage project in Chile, along with many others still.

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

Tesla highlights the Megapack site replacing Hawaii’s last coal plant

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Elon Musk responds to Ontario canceling $100M Starlink deal amid tariff drama

Ontario Premier Doug Ford said, opens new tab on February 3 that he was “ripping up” his province’s CA$100 million agreement with Starlink in response to the U.S. imposing tariffs on Canadian goods.

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NORAD and USNORTHCOM Public Affairs, Public domain, via Wikimedia Commons

Elon Musk company SpaceX is set to lose a $100 million deal with the Canadian province of Ontario following a response to the Trump administration’s decision to apply 25 percent tariffs to the country.

Starlink, a satellite-based internet service launched by the Musk entity SpaceX, will lose a $100 million deal it had with Ontario, Premier Doug Ford announced today.

Ford said on X today that Ontario is banning American companies from provincial contracts:

“We’ll be ripping up the province’s contract with Starlink. Ontario won’t do business with people hellbent on destroying our economy. Canada didn’t start this fight with the U.S., but you better believe we’re ready to win it.”

It is a blow to the citizens of the province more than anything, as the Starlink internet constellation has provided people in rural areas across the globe stable and reliable access for several years.

Musk responded in simple terms, stating, “Oh well.”

It seems Musk is less than enthused about the fact that Starlink is being eliminated from the province, but it does not seem like all that big of a blow either.

As previously mentioned, this impacts citizens more than Starlink itself, which has established itself as a main player in reliable internet access. Starlink has signed several contracts with various airlines and maritime companies.

It is also expanding to new territories across the globe on an almost daily basis.

With Mexico already working to avoid the tariff situation with the United States, it will be interesting to see if Canada does the same.

The two have shared a pleasant relationship, but President Trump is putting his foot down in terms of what comes across the border, which could impact Americans in the short term.

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