auto dealer in black and red logo
MenuMENU
SearchSEARCH

Rival Automakers Developing Alt-Fuel Engines

Japanese companies announce project to transform ICE technology.

May 28, 2024
Rival Automakers Developing Alt-Fuel Engines

The companies called their technology 'highly efficient and powerful,' and that the more compact engines would make space for improved, more aerodynamic vehicle design, along with greater fuel efficiency.

Credit:

Toyota

2 min to read


Three Japanese automakers said they’re developing internal-combustion engines to support low emissions as they seek to achieve net-zero pollution.

Mazda, Subaru and Toyota announced the project at a press conference Tuesday, saying they’re working to integrate the engine technology with motors, batteries and “other electric drive units.”

They said the more compact engines will use carbon-neutral fuels in order to “decarbonize” ICE.

The effort aligns with Toyota’s resistance to putting all of its power train eggs in one basket, particularly under former CEO Akio Toyoda, who stepped down and took the chairman role last year, though its new CEO, Koji Sato, quickly set the opposite target. The developing technology may be a way to split the difference and achieve carbon neutralily at the same time. It has lately appeared prescient as electric-vehicle adoption has flattened and hybrid sales taken off.

The three automakers said they’ve tested alternative fuels through their racing teams, including liquid hydrogen, and that the new engines would be compatible with those. Toyota said they will seek to integrate the developing technology with electric technology.

“This process has clarified the role that future engines will play in achieving carbon neutrality,” Toyota said in a press release. “With the next generation of engines, the three companies will seek to not only improve standalone engine performance but also optimize their integration with electric drive units, harnessing the advantages of each.”

The companies called their technology “highly efficient and powerful,” and that the more compact engines would make space for improved, more aerodynamic vehicle design, along with greater fuel efficiency.

“Even as Subaru, Toyota, and Mazda compete in the product arena with unique engines and cars, the companies have a shared dedication to achieving carbon neutrality through a multi-pathway approach,” the press release said.

More Industry

Closeup photo of a new white car on a road from the driver's side
Industryby Hannah MitchellJune 26, 2026

June Automotive Boon?

A forecast for this month’s new-vehicle sales tells a familiar 2026 story: Year-over-year comparisons must be made in light of last year’s aberrations.

Read More →
Seatbelt clip on infographic.
Industryby Lauren LawrenceJune 26, 2026

Safety Improvements Save Lives

Over the past 30 years, automakers have made many safety tweaks to their vehicles. An insurance industry testing group says that's largely thanks to its crash-worthiness program and that prevented fatalities are the clear result.

Read More →
Photo of three Chrysler Pacifica minivans, one each red, white and blue
Industryby Hannah MitchellJune 19, 2026

Indiana Dealership Changes Hands

The Chicago-area CDJR store has been in business for nearly 70 years and is now part of a fast-growing automotive group spread across six states.

Read More →
Ad Loading...
Two men do mechanical work on car.
Fixed Opsby Lauren LawrenceJune 12, 2026

Survey Shows What Technicians Want

Data gathered by the ASE Training Managers Council shows that service technicians prefer classroom or instructor-led training and hands-on lab work over online or self-led training.

Read More →
daytime, front of car dealership Lexus of Vancouver
Industryby Lauren LawrenceJune 3, 2026

Holman Opens New Lexus Dealership

Located in the heart of Clark County, Lexus of Vancouver features a multi-level showroom, more than 30 service bays, an indoor drive for drop-off and pick-up and a fleet of courtesy vehicles.

Read More →
The outside of a Ferrari dealership
Industryby Hannah MitchellMay 29, 2026

Denver Ferrari Store in New Group

The recent sale of the dealership by Lithia adds to an expanding stable for a family-owned collection of franchises.

Read More →
Ad Loading...
Nissan SUV in a tunnel
Industryby Lauren LawrenceMay 29, 2026

Nissan Reports Significant Sales Growth

Following the release of Nissan’s 2025 fiscal year report, the automaker announced that its retail-first approach has led to a significant jump in dealer sales.

Read More →
Auto Dealer Today, Dealer Debrief, 05/22/2026
Industryby Lauren LawrenceMay 22, 2026

Dealer Debrief: Effective Safety Features

In this week's debrief, host Lauren Lawrence covers a positive safety study from GM and the University of Michigan Transportation Research Institute and a business acquisition by Cox Automotive.

Read More →
Electric Vehicle Battery
Industryby Hannah MitchellMay 22, 2026

Recalled Autos Spike in Q1

The volume of affected units continued to rise as more software-focused models present different types of problems, creating complex risk, Sedgwick reports.

Read More →
Ad Loading...
two hands exchanging a set of keys, Auto Dealer Today, Keys to Indpendence
Industryby Lauren LawrenceMay 22, 2026

Program Brings Wheels to Families in Need

NADA is taking Vehicles for Change’s Keys to Independence Program national so auto dealers can help families in need gain access to reliable transportation.

Read More →