Toyota pulls Suzuki firmly into its orbit through stake deal

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Toyota pulls Suzuki firmly into its orbit through stake deal
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Toyota Motor Corp and Suzuki Motor Corp will take small equity...

) will take small equity stakes in each other, the Japanese car makers said on Wednesday, as they seek to develop newer technologies and meet sweeping changes upending the global auto industry.

The tie-up is the latest example of automakers chasing scale to manage costs and boost development. Car makers - especially smaller ones like Suzuki - are struggling to meet the breakneck growth of an industry transformed by the rise of electric vehicles , ride-hailing and autonomous driving. The companies said in a joint statement they intended to overcome challenges facing the industry by “building and deepening cooperative relationships in new fields while continuing to be competitors”. They said they would strengthen technologies and products in which each of them specialize in.

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