Honda and Toyota are unveiling a joint effort to produce a new generation Honda Civic and a new Civic CR-v for North America.
The new generation will be available in 2017 and 2018, respectively, according to Honda.
Honda and Honda will work together with Toyota on the new Civic and the Civic CR.
Toyota will produce the CR-veiled version of the Honda Civic for North American markets.
“With Honda and the Honda brand now leading the way, Toyota is committed to bringing our most advanced and high-quality cars to the U.S.,” Honda chief executive Scott McClure said in a statement.
Honda will also work with Toyota to design a Civic CR for U.s. consumers, and will use Toyota’s advanced engine technology for the new CR-voiced Civic.
Honda, a Honda subsidiary, and Toyota will also build the Civic, a compact sport utility vehicle.
The announcement came just hours after Honda’s CEO said that the company’s 2016 sales would be down about 5% compared to last year.
Honda said that it is working with Toyota and Toyota Motor Corp. to develop the new models.
Honda also said that Honda would build a new version of its CR-powered CR-X crossover vehicle.
Honda is a member of the U in the Japanese automaker’s compact car division.
The CR-VEIL, or “Civic V,” will be powered by a new four-cylinder turbocharged engine.
The car will be the first to use a turbocharged four-liter inline-four engine, Honda said.
“We look forward to bringing this brand to new generations of consumers,” McClure added.
Honda announced last week that its global sales would fall by about 10% compared with last year’s figures.
Toyota’s CR-series of compact vehicles, meanwhile, has seen sales rise in recent years, especially among younger people who have grown up with hybrids.
Toyota also announced a $1.3 billion buyout of Honda last week, marking the first time that the Japanese auto giant has purchased a Japanese automaking company.
The company’s U.K. division will continue as a separate business, with Toyota remaining a wholly owned subsidiary of Honda.