Toyota Motor Company and Nissan Motor Company announced plans to work closely together in developing hybrid electric vehicles, reported the Associated Press. The deal states that Toyota will provide components for Nissan models sold in the U.S. beginning in 2006, targeting 100,000 vehicles over five years. Nissan will be able to cut development costs by buying hybrid system parts from Toyota. Toyota has sold 120,000 hybrid vehicles of four models worldwide and is considered the global leader in introducing mass-produced hybrids. The company has an agreement with General Motors to work together on environmentally friendly technologies, but no specific agreement like the one with Nissan has been made.

Originally posted on Fleet Financials