Toyota To Spend Over $13.5 Billion To Develop EV Batteries And Supply Systems By 2030

Toyota Motor Corp said on Tuesday it expects to spend more than $13.5 billion by 2030 to develop batteries and its battery supply system - a bid to lead in the key automotive technology over the next decade.

The world's largest automaker by volume, which pioneered hybrid gasoline-electric vehicles with the popular Prius, is now moving rapidly to deliver its first all-electric line-up next year.

Considered a leader in developing batteries for electric vehicles, Toyota said it aims to slash the cost of its batteries by 30% or more by working on the materials used and the way the cells are structured.

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Toyota also plans to use solid-state batteries in hybrid electric vehicles

"Then, for the vehicle, we aim to improve power consumption, which is an indicator of the amount of electricity used per kilometer, by 30%, starting with the Toyota bZ4X," Chief Technology Officer Masahiko Maeda told a briefing, referring to an upcoming compact SUV model.

The company is also the front runner to mass produce solid-state batteries - a potential game changer for automakers because they are more energy dense, charge faster and are less prone to catching fire. If developed successfully, they could replace liquid lithium-ion batteries.

While it was still struggling with the short service life of these cells, Maeda said there was no change in Toyota's target to begin manufacturing solid-state batteries by the mid 2020s.

"We are still searching for the best materials to use," he said.

Efforts to mass produce solid-state batteries have stumbled as they are expensive to fabricate and are prone to crack when they expand and contract during use.

Toyota also plans to use solid-state batteries in hybrid electric vehicles such as the Prius, it said.