Toyota, Suzuki to produce cars for each other in India

Toyota Motor Corp and Suzuki Motor Corp agreed on Thursday to produce cars for each other in India as Toyota aims to increase its market share in the world's fifth-largest passenger car market.

The agreement follows an R&D tie-up announced by the two Japanese automakers a year ago, and will see Toyota, one of the world's biggest automakers, secure production from its much smaller rival, which dominates India with its line-up of affordable compact cars.

Suzuki will supply gasoline and mild-gasoline hybrid versions of its Baleno hatchback, along with the Vitara Brezza compact SUV to Toyota while the latter will produce gasoline and gasoline-hybrid Corolla sedans for Suzuki, the automakers said.