There's no denying Toyota seriously wants to become a world leader in electric cars, so much so that the Japanese automaker partnered up with Panasonic last year to develop, and manufacture car batteries for electric vehicles (EVs). In addition, Toyota will be providing all kinds of electric vehicles for the Tokyo Olympics, though that has been rescheduled for 2021.

But here's another important development in the, uh, research and development of Toyota's next generation electric cars: they just announced a partnership with Chinese electric car specialist BYD.

Toyota and BYD announced that they are establishing a joint venture company that will see the research and development of battery electric vehicles (BEVs). It will be called BYD Toyota EV Technology (BTET), and operations of the new joint venture are scheduled to begin this May 2020.

In a statement, the two companies claimed that they will be working together to meet the diverse needs of customers by researching and developing BEVs that appeal to customers. Moreover, they will also be promoting the widespread adoption of BEVs and hope to contribute to the improvement of the environment through zero emissions.Toyota and BYD working together to build electric vehicles image

“With the engineers from BYD and Toyota working together under the same roof, we aim to develop BEVs that are superior in performance and meet the needs of customers in China by merging the two companies' strengths and also through friendly rivalry,” said Hirohisa Kishi, Chairman of BTET.

As for Zhao Binggen, CEO of BTET, they said that this joint venture company will make BEVs more environmentally-friendly, safe, comfortable, and intelligent.

“This joint venture company will focus on the research and development of battery electric vehicles with technology and know-how from both China and Japan. The company is committed to promoting and populating high-quality technologies that make battery electric vehicles more environmentally friendly, safe, comfortable, and intelligent. Our vision is to create a future customer-first mobility style, and harmonious society for humans and nature,” added Binggen.

The joint venture will be 50-50 equity between the two companies and will have around 300 employees in total. In addition, BTET will be based in Shenzhen City in Guandong Province.

With BYD's expertise in making electric vehicles (i.e. S1 EV, E6) along with Toyota's know-how in hybrid technology, the two brands could combine their technologies for making efficient, and fast-charging BEVs.