Toyota has announced plans to develop small, budget-friendly electric vehicles, according to a report.

Toyota’s Daihatsu Brand Announces Plans for Small Electric Van After Safety Scandal

In the wake of a highly publicized safety scandal at Daihatsu, Toyota’s small car division, the company has announced its intention to develop a low-cost electric vehicle for the Japanese market. This move represents a significant shift for Daihatsu, which has faced challenges following revelations of security test manipulation that led to a suspension of sales and the resignation of top executives.

The decision to venture into the electric vehicle market comes as Daihatsu aims to regain trust and demonstrate its commitment to producing safe and innovative vehicles. The company plans to focus initially on launching a small commercial electric van but has expressed interest in eventually developing battery-powered city passenger cars as well.

The city car segment, particularly popular in Japan where these vehicles are known as ‘kei’ cars, offers benefits such as lower registration costs, reduced running expenses, and easy parking. Competitors like Nissan, Mitsubishi, and Honda have already introduced electric versions of their city cars, prompting Daihatsu to explore opportunities within this growing market.

In partnership with Suzuki and Toyota, Daihatsu had earlier announced plans to collaborate on the development of small electric vehicles. While the specific timeline for launching electric city cars remains unclear, the recent announcement of a commercial van platform suggests a broader strategy to introduce electric vehicles in various global markets.

However, despite these ambitious plans, the company has encountered challenges related to the recent safety scandal. As Daihatsu works to rebuild its reputation and regain consumer confidence, the development and launch of electric vehicles will be closely monitored.

As reported by Drive, Mitsubishi is also considering entering the Australian market with its eK X EV electric city car, indicating growing interest in affordable electric vehicles among automakers. The potential success of these electric city cars could have significant implications for the industry and consumer preferences.

Overall, Toyota’s Daihatsu brand’s foray into the electric vehicle market signals a new chapter in the company’s evolution and underscores the growing demand for sustainable transportation solutions. With a renewed focus on innovation and safety, Daihatsu aims to position itself as a key player in the emerging electric vehicle market, offering consumers affordable and environmentally friendly mobility options.

In conclusion, as Toyota’s Daihatsu brand embarks on this new venture, the company remains committed to delivering high-quality, reliable electric vehicles that meet the needs of modern consumers. By leveraging its expertise and resources, Daihatsu aims to drive the development of electric vehicles and set new standards for safety and innovation in the automotive industry.