Toyota and Tesla Motors will built a jointly developed electric version of the RAV 4 small SUV at the Japanese carmaker's plant in Woodstock, Ontario.
"The Tesla-Toyota joint development team has agreed that building the vehicle at the Woodstock plant on the same line as the gasoline-powered RAV4, will streamline and simplify the production process and guarantee the highest level of quality control,” said Ray Tanguay, chairman of Toyota Motor Manufacturing Canada.
As reported, ToyotaÂ will pay Tesla, the US based electric-vehicle specialist, approximately 100 million dlrs to supply the electric powertrain for the electric RAV4. That includes the battery, motor, gear box and power electronics.
Tesla will build the powertrain at its production facility in Palo Alto, California and then ship the units to TMMC for final assembly into the vehicle.
Toyota will handle sales and marketing of the RAV4 EV in the US. Details on pricing, volume and regional distribution will be announced later.