With Toyota Motor Corp. and Suzuki Motor Corp. exploring a potential tie-up, Japan's auto industry is set to consolidate into three major groups, including Nissan Motor Co. and Honda Motor Co., amid growing competition from U.S. and European rivals over developing new technologies.
Toyota and Suzuki said Monday they would start talks on a partnership in areas such as environmental, safety and information technologies. They will also study expanding the partnership to a capital alliance.
"Suzuki asked for the tie-up, as we have concerns about technical development in the future. Toyota agreed to start talks with enthusiasm," Suzuki Chairman Osamu Suzuki said in a statement.