Nissan Motor Co. and Honda Motor Co. have joined forces to develop electric vehicles (EVs), aiming to catch up with other Japanese automakers who have formed similar partnerships. Nissan President Makoto Uchida and Honda President Toshihiro Mibe announced the agreement at a joint news conference on March 15.
Uchida emphasized the need to respond to the emergence of innovative EVs and business models from new automakers. Mibe highlighted the potential cost savings through mass sales of EVs. The two companies will explore sharing main parts or procuring parts jointly to reduce expenses.
Japanese automakers have lagged behind their American and Chinese counterparts in EV sales due to their focus on gasoline vehicles. Nissan, despite revising its capital relationship with Renault SA, maintains ties with Renault and Mitsubishi Motors Corp. However, Nissan faces challenges in competing in EV markets outside of Europe, where Renault has a strong presence.
Honda has partnered with General Motors Co. for EV development in North America but lacks concrete plans for mass-produced EVs. Additionally, Honda has set a goal of selling only EVs or fuel-cell vehicles by 2040.
Nissan and Honda will consider collaborating on parts sharing and developing an electric drive system that integrates the motor and gears. Toyota Motor Corp. has already established partnerships with Mazda Motor Corp., Subaru Corp., and Suzuki Motor Corp. for EV development. The Nissan-Honda alliance could potentially reshape the Japanese auto industry.