Honda, General Motors join hands to manufacture affordable electric cars

The American auto giant – General Motors (GM) and the Japanese multinational conglomerate – Honda Motor Company recently announced the onset of their new collaboration to codevelop a series of affordable electric vehicles based on a new global architecture. The two companies will be using the next-generation Ultium battery technology in the forthcoming operation.

Honda, General Motors join hands to manufacture affordable electric cars

In addition, GM and Honda will also discuss future EV battery technology partnership potential in order to lower the cost of electrification along with increasing performance and ensuring future vehicle sustainability.

The two companies will be partnering with each other to allow the worldwide production of millions of electric cars, including compact crossovers. The operations will commence in 2027 by combining the technology, design, and sourcing strategies of both brands. The companies will also collaborate to standardise equipment and procedures in order to achieve world-class quality, increased throughput, and lower costs. The focus of this cooperation will primarily be on small crossovers as the market of this segment of vehicles is the largest in the world with yearly sales of more than 13 million cars.

Currently, General Motors is working on the development of lithium-metal, silicon, and solid-state batteries, as well as production methods that can be employed swiftly to improve and update battery cell manufacturing processes. Meanwhile, Honda is making headway on its all-solid-state battery technology. The Japanese automaker has also constructed a demonstration line for all-solid-state batteries in Japan and is moving closer to mainstream manufacturing.

Speaking on the announcement of this new partnership, Mary Barra, CEO, of General Motors said, “GM and Honda will share our best technology, design and manufacturing strategies to deliver affordable and desirable EVs on a global scale, including our key markets in North America, South America and China,” She further added, “This is a key step to deliver on our commitment to achieve carbon neutrality in our global products and operations by 2040 and eliminate tailpipe emissions from light duty vehicles in the U.S. by 2035. By working together, we’ll put people all over the world into EVs faster than either company could achieve on its own.”

Meanwhile, Toshihiro Mibe, Honda president & CEO commented, “Honda is committed to reaching our goal of carbon neutrality on a global basis by 2050, which requires driving down the cost of electric vehicles to make EV ownership possible for the greatest number of customers,” Mibe also added, “Honda and GM will build on our successful technology collaboration to help achieve a dramatic expansion in the sales of electric vehicles.”

This is not the first time that the two manufacturers have joined their hands. In 2013, the two companies began working together on the co-development of a next-generation fuel cell system and hydrogen storage technologies. They also came together in 2018 when Honda joined GM’s EV battery module development efforts. Furthermore, the companies have an ongoing relationship with Cruise and are working together on the development of the Cruise Origin, one of the first purpose-built fully autonomous vehicles designed for driverless ride-hail and delivery.