At the Shanghai motor show in April, Toyota president Akio Toyoda announced that the company was studying producing in China key components of its hybrid vehicles (HV), such as batteries and motors.

FORBES: Japan's Automakers Face New Challenges (1): Toyota in China

In China, the company has identified nurturing the perceptions of advanced HV technology, ecological friendliness and economy (again read: value to money) as strategically critical for its medium and longer term market competitiveness.

FORBES: Japan's Automakers Face New Challenges (1): Toyota in China

As the scope of Ford's hybrid program expanded, however, Ford found new efficiencies by bringing research, development and production of electrified vehicles in-house, said Anand Sankaran, Ford executive technical leader, Energy Storage and HV Systems.

ENGADGET: Ford underscores its love of electric cars, spends $135 million to make them happen

And in April, Toyota recalled 214, 000 RAV4s and 94, 000 Highlander and Highlander HV vehicles for airbag sensor problems and another 51, 000 of its Tundra trucks to inspect their rear drive shafts, according to the company.

FORBES: Toyota and Lexus Hybrids Recalled