The relationship between Toyota and Tesla Motors will soon bear fruit. The two companies will be bringing RAV4 EV back from the scrap heap upon which it was tossed in 2003 after only a short time on the market. Tesla Motors will provide the powertrain for the all-electric small SUV.
Toyota made a small ($50 million)
Elite electric car manufacturer Tesla Motors has revealed in a revised S1 filing with the SEC that it will cooperate with Toyota on the development of Tesla’s Model S sedan. To grease the deal, Tesla will pay Toyota $42 million for the New United Motor Manufacturing Inc.( NUMMI) auto plant in Fremont, California where the vehicles will likely be produced.
The NUMMI facility, which had been the site of a joint venture between Toyota and General Motors, had closed its doors earlier this year as part of GM’s financial liquidation. Indications are that several thousand laid-off auto workers from the area could be rehired as a result of the agreement.