Toyota Unveils Versatile Compact Engines

On Tuesday, Toyota Motor opened a new tab showing next-generation engines for hybrids and biofuel cars as it pursues stricter pollution rules and expands its sales beyond EVs

During a media event alongside competitors Mazda Motor (7261.T) and Subaru (7270.T), the world’s largest automaker by volume unveiled in-development 1.5-liter and 2.0-liter engines that were considerably shorter in height and volume than existing engines.

“With these engines, each of the three companies will aim to optimize the integration with motors, batteries, and other electric drive units,” the three companies stated in a joint statement. Toyota holds an approximate 5% stake in Mazda and a fifth stake in Subaru.

The three stated that by making internal combustion engines compatible with alternative fuel sources such as e-fuels and biofuels, their efforts will aid in decarbonizing these engines.

Additionally, they expect that more compact engines will revolutionize vehicle design by permitting lower canopies.

Toyota was once widely regarded as an EV delinquent, but its adoption of gasoline-electric hybrids has benefited from the deceleration in EV growth. In this context, BYD is opening a new tab and is expected to unveil new hybrid technology with reduced fuel consumption later on Tuesday.

Mercedes-Benz has also executed a similar maneuver by updating its traditional engine technology.

The Japanese automaker claims that its new 1.5-liter engine will be 10% lighter and more volumetric than its current 1.5-liter engines, found in vehicles like the Yaris compact.

The advancements of the new 2.0-liter turbo engine will be comparable to those of the 2.4-liter turbo engines currently found in larger vehicles, including sport utility vehicles with three rows of seating.

The Toyota CEO of technology, Hiroki Nakajima, refrained from providing a specific release date for models featuring the engines.

In markets such as the European Union, where policymakers aim to implement “Euro 7” emissions regulations for cars and vans by 2030, automakers are confronted with stricter emission standards before prohibiting the sale of new CO2-emitting vehicles by 2035.

In contrast to the increasing prominence of electric vehicles in recent years, Toyota has adopted a “multi-pathway” strategy towards achieving carbon neutrality by equipping its cars with various powertrains.

In January–March, the company sold approximately 2.4 million vehicles, of which nearly two-fifths were gasoline-electric hybrids.

The combined contribution of plug-in hybrid, fuel-cell, and all-battery electric vehicles was a mere 2.9%.
Chairman Akio Toyoda predicted in January that electric vehicles’ share of the global auto market would not exceed 30%, with the remainder coming from fuel-burning cars, hydrogen fuel cells, and hybrids.