What motivates Toyota to have Exxon/Mobil produce TGMO?

[Ed_Flecko]

To my knowledge, Toyota motors don't have such unique designs that require (at least, theoretically) specific oil characteristics, and yet they contract Exxon/Moil to produce their TGMO. Other manufacturers, like VW, (I think) Porsche, etc., DO have unique "specs" (again, at least, theoretically) that oils have to comply with in order to be approved for their use. However, VW, Porsche, etc., don't have their own "brand" of oil (do they?) when you go to buy oil at their Dealership.

Similarly, why does Toyota contract with (???) to make Toyota WS automatic transmission fluid?

Do these manufacturers, like Toyota (etc.), actually make money from the sales of "their" unique oil, transmission fluid, etc., and that's what their motivating factor is...money? Is it just that simple?



Ed

 

[buster]

I don't know the full answer. I know they are a tech partner with Mobil 1 Racing. The likely answer is expertise, global presence, availability as well as price/contract.

Search for TRD Parts | Toyota.com

Owning an off-road legend means you sometimes need parts to keep it going. Find the TRD part you need to get back on the road today.

www.trdusa.com

TRD wins championships with the support of Mobil 1 | Mobil™

With the support of Mobil 1 motor oil's race-proven performance, Toyota Racing Development (TRD) is seeing championship results in NASCAR, USAC and other series.

www.mobil.com

 

[OVERKILL]

Almost every auto manufacturer has their own brand of oil. Toyota doesn't "spec" an oil approval, but they have XOM produce their OEM product, probably because XOM could do so at the lowest price.

- BMW oil is now produced by Shell, used to be produced by Castrol
- Ford oil (Motorcraft) is produced by CP
- MOPAR oil (FCA) is produced by Shell
- AC Delco oil (GM) is produced by XOM
- Mercedes oil is produced by XOM and another company, depending on grade and spec, Synopec I think is the other?
...etc.

Here is an example of a VAG (Volkswagen, Audi...etc) oil:

 

[ABN_CBT_ENGR]

Money is always the motivating factor for a "for profit" entity but there are many other reasons OEM's farm this out. Here are a few.

Its cheaper than making it themselves
Different venue market penetration
The name power of the manufacturer
Other marketing or business ventures
There can be "unpublished" requirements regarded as trade secrets
Part of a negotiated price national or global deal for an entire umbrella of parts and services ( including R&D even)

Those are just ones I have personally been involved with, I'm sure there are many others

 

[Danno]

Could it be that Exxon/Mobil have a patent on trinuclear moly, and that Toyota wants that moly in their oil chemistry?

 

[y_p_w]

It would typically be a marketing arrangement. At one time Honda motor oil sold in the US specifically noted that it was made by (pre-XOM) Mobil. Subaru motor oil says it's from Idemitsu. ACDelco was mentioned, but at least there used to be Goodwrench and maybe even GM motor oil.

Nissan USA motor oil has a familiar bottle shape.

And Mitsubishi:

 

[wag123]

Could it be that Exxon/Mobil have a patent on trinuclear moly

No. Infineum holds the patent on trinuclear moly. Infineum is a joint venture of Exxon/Mobil and Shell. They are a petroleum additive developer/formulator/manufacturer and sell their products to many different companies, not exclusively to Exxon/Mobil and Shell.

 

[y_p_w]

No. Infineum holds the patent on trinuclear moly. Infineum is a joint venture of Exxon/Mobil and Shell. They are a petroleum additive developer/formulator/manufacturer and sell their products to many different companies, not exclusively to Exxon/Mobil and Shell.

I found it really odd that Infineum is no longer on the list of EPA registered bulk gasoline additives. Earlier they had exactly one. But that's neither here nor there.

These divisions and joint ventures aren't necessarily exclusive suppliers. Chevron Oronite will sell to anyone. By definition, any marketer of fuel and/or lubricants would be a competitor of the parent company.

 

[slacktide_bitog]

cost

 

[thastinger]

Well ya can't buy Toyota motor oil at walmart, so if you have to darken the door of the dealership to get your toyota oil, changes are you are going to be an easy upsell on some other brand specif product like wiper blades and blinker fluid.

 

[PimTac]

To my knowledge, Toyota motors don't have such unique designs that require (at least, theoretically) specific oil characteristics, and yet they contract Exxon/Moil to produce their TGMO. Other manufacturers, like VW, (I think) Porsche, etc., DO have unique "specs" (again, at least, theoretically) that oils have to comply with in order to be approved for their use. However, VW, Porsche, etc., don't have their own "brand" of oil (do they?) when you go to buy oil at their Dealership.

Similarly, why does Toyota contract with (???) to make Toyota WS automatic transmission fluid?

Do these manufacturers, like Toyota (etc.), actually make money from the sales of "their" unique oil, transmission fluid, etc., and that's what their motivating factor is...money? Is it just that simple?



Ed

I think it’s the other way around. The contract came up and Exxon Mobil was motivated to get it. Toyota provided the specs and properties and EM produced the product. This is for North America.

 

[Ed_Flecko]

I think it’s the other way around. The contract came up and Exxon Mobil was motivated to get it. Toyota provided the specs and properties and EM produced the product. This is for North America.

Well, I guess my point (question, really) is that Toyota, unlike, VW, Porsche, GM, etc., etc., doesn't actually HAVE a required spec for their (in my case) 0W-20 oil...so why do they bother to have someone make it? My owners manual says they recommend TGMO but you don't get the impression that they may refuse a warranty claim if you DON'T use TGMO...because there is no "Toyota" oil spec (at least not that I'm aware of).

Having said that, *I* do think that TGMO is great oil, but I don't get the feeling that any of the other synthetic, 0W-20 varieties wouldn't be just as good?

Ed

 

[blingo]

But for 0W-12, -8 or whatever there may still be essential cooperation and some resulting bundling just include a 0w-20 as part of the deals. Toyota's pure vanilla 0w-20 need not reflect much of the motivation these days.

 

[OVERKILL]

Well, I guess my point (question, really) is that Toyota, unlike, VW, Porsche, GM, etc., etc., doesn't actually HAVE a required spec for their (in my case) 0W-20 oil...so why do they bother to have someone make it? My owners manual says they recommend TGMO but you don't get the impression that they may refuse a warranty claim if you DON'T use TGMO...because there is no "Toyota" oil spec (at least not that I'm aware of).

Having said that, *I* do think that TGMO is great oil, but I don't get the feeling that any of the other synthetic, 0W-20 varieties wouldn't be just as good?

Ed

As I said, it's no different than the other OEM oils. FCA recommends "Mopar" oil, Ford, Motorcraft...etc. Toyota, like all the other OEM's, has their own oil and a major has to produce it because Toyota isn't an oil company. XOM got the contract.

Honda doesn't have any real approvals either for most of their vehicles, but there is of course Honda brand oil.

 

[Yah-Tah-Hey]

One very large corporation doing business with another very large corporation and what buster posted above.

 

[y_p_w]

As I said, it's no different than the other OEM oils. FCA recommends "Mopar" oil, Ford, Motorcraft...etc. Toyota, like all the other OEM's, has their own oil and a major has to produce it because Toyota isn't an oil company. XOM got the contract.

Honda doesn't have any real approvals either for most of their vehicles, but there is of course Honda brand oil.

Honda had a turbo approval standard. Not sure it still applies since all the newer API oils are formulated with turbos in mind. Not sure about Honda's small engine oil, but that's way different.

 

[OVERKILL]

Honda had a turbo approval standard. Not sure it still applies since all the newer API oils are formulated with turbos in mind. Not sure about Honda's small engine oil, but that's way different.

Yes, they had HTO-06, that's why I said "most of their vehicles" as I was aware that at one point they carried that single approval, but most of their vehicles don't require anything special.

 

[y_p_w]

Yes, they had HTO-06, that's why I said "most of their vehicles" as I was aware that at one point they carried that single approval, but most of their vehicles don't require anything special.

Way back when the Insight Hybrid came out they required 0W-20 motor oil meeting a specific Honda standard. I remember way back when only Honda 0W-20 seemed to be available, although theoretically there was Mobil 1 0W-20.

 

[OVERKILL]

Way back when the Insight Hybrid came out they required 0W-20 motor oil meeting a specific Honda standard. I remember way back when only Honda 0W-20 seemed to be available, although theoretically there was Mobil 1 0W-20.

http://techinfo.honda.com/rjanisis/pubs/OM/AH/AIN0000OM/enu/IN0000OMnew.PDF

 

[Hall]

Toyota sends a request for quote to multiple oil blenders looking to see who can meet their spec, who can provide sufficient volumes of product, offers a competitive price, etc, etc. Exxon/Mobile was the winning bidder. Next time the contract is up for renewal, someone else may win the contract. You can also be assured that if Toyota is selling a quart of their oil at dealerships for $6.50/ea (number is just an example), they're buying it for a fair amount less.

99% of people have no idea, nor do they care, who makes Toyota-branded oil.