Ford Motor Co. (F) and Toyota Motor Corp. (TM, 7203.TO) are scrapping a partnership to jointly develop a hybrid, gasoline-electric powertrain system for light-duty trucks after two years of work.

The split comes as Ford is gaining share of hybrid gasoline-electric vehicle sales, and hiring engineers to develop new vehicles, including more hybrids. Ford said its own hybrid-drive system for pickups and large SUVs would be available by the end of the decade.

Toyota dominates sales of the U.S. hybrid-vehicle market primarily through its Prius line. But Ford has gained ground in hybrids during the past year with its C-Max hybrid and gasoline-electric versions of its Fusion and Lincoln MKZ sedans.

On Tuesday, Dearborn, Mich.-based Ford said its second-quarter sales of hybrid vehicles rose more than five times from a year ago to more than 24,000 vehicles, to a 16% share of the U.S. electrified-vehicle market.

Building a pickup truck or sport-utility vehicle with a hybrid system could help meet coming federal fuel-economy standards. That is particularly important to Ford, which is the top seller of full-size pickup trucks in the U.S. and so far has held Toyota's efforts to gain significant share in the large pickup segment at bay.

"We know what it takes to build world-class hybrids, and we now will build and leverage that expertise in-house," said Raj Nair, group vice president of Ford's global product development. "By continuing to develop a rear-wheel-drive hybrid system on our own, we can extend our advanced hybrid technologies to new vehicle segments."

Ford and Toyota announced a feasibility study for collaborating on a light-duty truck hybrid system in August 2011. Both companies said Tuesday they continue to evaluate the possibility of working together on next-generation standards for telematics and will consider other areas for future collaboration, Toyota said in a statement.

Separately, Ford said it would hire 3,000 white-collar workers in the U.S. this year, 800 more than previously anticipated and primarily in technical fields. So far this year, Ford has hired about 1,500, about 80% of which are in information technology, engineering and software design.

The migration of gadgets and computers into vehicles has forced car companies to begin hiring talent from Silicon Valley and other consumer electronics fields.

Ford said it is also hiring 200 "electrification engineers" and expanding research facilities to increase development of hybrids.

"We have about 1,500 positions to fill by the end of the year," said Felicia Fields. Ford is launching a new advertising campaign using social media to help recruit the workers it needs. "We have to work much harder to find the talent."

Hiring by auto makers has been a bright spot in the U.S. over the past four years. According to the Bureau of Labor Statistics, auto-parts companies, parts suppliers and auto dealers have added 220,000 jobs since the summer of 2009.

Indeed, the automotive industry has accounted for nearly 20% of the growth in total gross domestic product during that four-year period, said Ellen Hughes-Cromwick, Ford's chief economist.

Write to Mike Ramsey at michael.ramsey@wsj.com

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

Toyota Motor (NYSE:TM)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more Toyota Motor Charts.
Toyota Motor (NYSE:TM)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more Toyota Motor Charts.