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Toyota and Denso to consolidate electronic component operations within Denso

Toyota Motor Corporation and Denso Corporation have to begin considerations toward consolidating the core electronic component operations of both Toyota and Denso within Denso.

Currently, advanced development and mass-production development for Toyota’s electronic components, as well as the production of such components, are conducted by both Toyota and Denso. The considerations to be made under the new agreement are to focus on consolidating mass-production development and production within Denso.

In the automotive industry, advances in technologies related to electrification, automated driving, and connectivity are accelerating. With the growing application of electronic control of various vehicle components, the importance of electronic component operations is expected to increase further.

Denso has long independently developed and mass-produced semiconductors for onboard automotive applications, and it develops and produces various electronic components around the world. By consolidating mass-production development and production of electronic components of both Toyota and Denso within Denso, which has a high level of expertise in the field, Toyota and Denso aim to establish a speedy and competitive development and production structure.

Doing so also aims to maximize resource utilization, such as by shifting resources created by eliminating duplicate operations within the Toyota Group to new domains that will increase the value of future mobility, thus strengthening the competitiveness of the Toyota Group overall.

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