Tesla reaches $100 million agreement with Toyota to supply powertrain for RAV4 EV

Toyota RAV4 EV
At the 2010 LA Auto Show earlier this year, Toyota unveiled the new RAV4 EV, which we recently learned will be sold to the general public starting next year. At the time when the Toyota RAV4 EV was unveiled, Toyota said that it was making just 35 units for demo testing with battery packs and motors provided by Tesla Motors.

Tesla has now announced that it has reached an agreement with Toyota to officially supply the powertrain equipment for the RAV4 EV in a deal worth about $100 million.

In a recent regulatory filing, Tesla said that Toyota has agreed to pay $60 million for development work on battery packs and motors for use in the RAV4 EV.

The supply agreement for the Toyota RAV4EV runs from 2012 through 2014. Toyota purchased a 2.9 percent stake in Tesla last year.

Photo Copyright © 2010 Omar Rana – egmCarTech.

– By: Omar Rana

Source: Automotive News