Toyota is preparing a new sub-compact model that will be based on the Mazda2 for the U.S., Canada and Mexico. Manufacturing will take place at Mazda‘s plant in Mexico, which is currently under construction and is scheduled to become operational within the fiscal year ending March 2014.

The two companies made an announcement on Friday, November 9th that stating that this as-of-yet unnamed model will begin production at the pace of 50,000 units per year around the summer of 2015 and will be sold through Toyota dealerships in North America.

“Through the agreement, TMC (Toyota Motor Corporation) aims to stregthen its North American vehicle line-up, while Mazda aims to increase production efficiency and contribute to its profitability,” the two Japanese automakers said in a common statement.

Though it is believed that the Toyota model will be based on the next generation of Mazda2, Toyota spokesman Dion Corbett clarified that it will be a new offering that will not replace another model in the brand’s range (the Yaris in particular). “This is part of our attempt to broaden the North American lineup,” said Corbett. “While Mazda is building the factory in Mexico, Toyota said it will invest an appropriate portion of production equipment costs and development costs related to the Toyota vehicle and also an appropriate portion of costs related to the plant’s production-capacity increase.”

Image courtesy of MattCoughran