Electric vehicle maker Tesla Motors has announced a US$100m contract with shareholder Toyota Motor to supply powertrains for electric versions of the RAV4 SUV due out in 2012.
Toyota’s US unit earlier this week confirmed the RAV4 EV would be made available for general sale and not restricted to business or government fleets. Toyota sold the first generation RAV4 EV in the US.
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The agreement signed with Tesla will provide Toyota with charging systems, inverters, motors, gearboxes and associated software for the RAV4 EV, Dow Jones reported, citing a filing with the Securities and Exchange Commission. Production of the RAV4 EV is expected to begin next year and continue to the end of 2014.
Palo Alto, California-based Tesla said it began working with Toyota on the powertrain in July 2010 and entered into an initial services agreement last October.
In January, Tesla had said it expected to receive about US$60m in revenue from supplying the electric drivetrain parts for the planned RAV4 but this week’s announcement increased the total projected revenue to $169m.
Tesla is due to announce Q2 results in August.
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By GlobalDataToyota in 2010 bought $50m of Tesla’s common stock in a private placement after its initial public offering, with both companies saying they would cooperate on the development of electric vehicles, parts, production systems and engineering support.
