Toyota, Mazda to form capital alliance to jointly develop electric vehicles

NAGOYA – Toyota Motor Corp. and Mazda Motor Corp. are set to form a capital alliance to boost joint development of electric vehicles, sources close to the matter said Friday. Japan's largest carmaker is mulling taking a roughly 5 percent stake in Mazda, while Mazda may also invest in Toyota, the sources said. The two automakers are expected to announce the plan later in the day. Toyota is scheduled to release its earnings results for the April-June period on Friday afternoon. Global carmakers are facing growing costs to comply with stricter emission and other environmental regulations.