GM and Honda have signed a preliminary partnership deal to work together on technology and vehicles.
Ciara Linnane reported the news for MarketWatch:
General Motors Co. and Honda Motor Co. Ltd. said Thursday they have signed a memorandum of understanding to create a strategic alliance in North America and will explore sharing platforms and propulsion systems for some of their vehicles. The agreement builds on one signed in April to jointly develop two all-new electric vehicles for Honda, using GM’s EV platform powered by Ultium batteries, the companies said in a joint statement. “This alliance will help both companies accelerate investment in future mobility innovation by freeing up additional resources,” said GM President Mark Reuss.
The AP’s Tom Krisher wrote:
No details were given on what vehicles would be developed jointly, but the companies said in a statement that planning work will start immediately and include vehicles powered by both electricity and internal combustion engines. Engineering work would begin early next year. They also will cooperate on manufacturing, parts purchasing, research and connected services.
Earlier this year, crosstown rival Ford finalized a similar deal with Germany’s Volkswagen, while Italian-American automaker Fiat Chrysler is heading toward a merger with France’s PSA Peugeot early in 2021.
Jamie L. LaReau from the Detroit Free Press noted:
The GM-Honda relationship, which began more than two decades ago, includes recent collaborations on fuel cells, batteries and the Cruise Origin shared autonomous vehicle.
Under the latest proposed alliance, Honda and GM would collaborate on a variety of segments in North America, intending to share common vehicle platforms including both electrified and internal combustion propulsion systems that align with the vehicle platforms.
Co-development planning discussions will begin immediately, with engineering work beginning in early 2021.