Opinion

Toyota and Daimler Partner to Advance Autonomous Truck Tech in Japan

Archive editionIngrid SørensenAug 6, 2023· 20,287 views

Toyota's Hino and Daimler's Fuso combine truck businesses in Japan to accelerate CASE and hydrogen tech, targeting 42% market share.

In context

In mid-2023, Japan's commercial vehicle sector was pivoting toward CASE (Connected, Autonomous, Shared, Electric) technologies and hydrogen propulsion, spurred by a new law permitting Level 4 autonomous vehicles and ongoing highway tests of semi-autonomous trucks. This regulatory and market shift pushed traditional truck makers to seek scale and technology partnerships.

What was reported

Toyota subsidiary Hino Motors and Daimler-owned Mitsubishi Fuso announced plans to combine their truck operations in Japan. The partnership aims to accelerate development of CASE technologies and hydrogen vehicles, aligning with broader industry alliances among automakers, startups, and OEMs.

According to GlobalData, the combined entity would control about 42% of the Japanese truck market. In the first four months of 2023, Daimler and Toyota sold 26,076 trucks through Fuso and Hino. Japan's commercial vehicle production is projected to grow at a 2.2% CAGR from 233,432 units in 2022 to 278,288 units in 2030, with sales reaching 66,431 units by 2030 (2.3% CAGR).

Hino's push into alternative fuels follows its 2022 emission scandal and government pressure for low-carbon vehicles. The deal is seen as a way for Hino to rebuild its identity and leverage knowledge transfer between the companies.

Why it mattered

This consolidation signaled a strategic realignment in Japan's truck industry, combining resources to tackle the high costs of autonomous and zero-emission technology development. It also highlighted how regulatory support for autonomous vehicles was driving industrial partnerships, with implications for global truck automation and clean-energy adoption.

“The partnership will also strengthen its footprint in the evolving truck market and the knowledge transfer between the companies will make operations smoother.”

Source: Robotics & Automation News (roboticsandautomationnews.com) · Published 2023-08-06 · “Toyota and Daimler partner to advance autonomous truck technologies in Japan”