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Honda and Nissan May Collaborate On EV Development

Honda and Nissan have announced the signing of a memorandum of understanding that signals the launch of a new feasibility study that will examine the potential for a new strategic partnership in the fields of all-electric vehicle technology and vehicle intelligence technology. If given the go-ahead, the partnership will aim to accelerate efforts to move the two Japanese automakers closer to carbon neutrality, as well as efforts to eliminate traffic-related fatalities. The announcement follows the cancelation of a joint effort between Honda and GM to codevelop affordable EVs.

Honda and Nissan may co-develop EV and vehicle intelligence technologies.

Nissan CEO Makoto Uchida pictured left, Honda CEO Toshihiro Mibe pictured right

According to Nissan, the feasibility study will look at automotive software platforms, core components for all-electric vehicles (for example, battery components and eAxles), and other complementary products.

“It is important to prepare for the increasing pace of transformation in mobility in the mid-to-long-term, and it is significant that we have reached this agreement based on a mutual understanding that Honda and Nissan face common challenges,” said Nissan president and CEO, Makoto Uchida. “We look forward to further discussions and aim to find win-wins for sustainable growth.”

If Honda and Nissan do enter a new strategic partnership, it will enable the two companies to more effectively compete with rivals like Tesla, as well as emerging Chinese rivals, by reducing costs, while regaining lost momentum in the global EV race. For the moment, there are no immediate plans for shared products, vehicle rebadging, or capital cross holdings between the two automakers.

Honda dealership rendered with EV upgrades

Honda and GM previously announced plans to roll out a series of affordable EV models by the 2027 timeframe using General Motors’ Ultium battery technology. The partnership was expected to cut battery costs and enable the launch of new EV models with a base price below $30,000. However, in October of 2023, it was announced that those plans were effectively canceled, with the two automakers instead opting to go their separate ways in offering new all-electric models.

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Jonathan is an automotive journalist based out of Southern California. He loves anything and everything on four wheels.

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Comments

  1. So the Honda Prologue is the only GM made EV for Honda, and no more GM licending for the Honda hybrids. Well that leaves more Ultium batteries for the regular GM EVs, especially the new Equinox.

    Reply
    1. Great News. G.M. doesn’t need to partner with anyone!!

      Reply
  2. This partnership is natural.
    As China has become the Worlds largest exporter and continue to gain market share, these 2 Japanese automakers have to join hands especially in EV business.

    But Nissan has a big lead in EVs with more than 1 million BEVs on road lead by 650,000+ Leafs so they should have the upper hand.

    Call the venture: NisHon.

    Reply
  3. I’m very interested in knowing why the GM-Honda partnership dissolved. On the surface it didn’t appear GM obtained much value other than manufacturing for Honda, licensing and some bragging rights on the Ultium technology. So maybe Honda was the unhappy partner, but that’s a total guess. Does GM Authority know?

    Reply
    1. The licensing and royalties to GM is too high.

      Reply

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