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GM, Honda form alliance for product development in North America

Christian Fernsby ▼ | September 4, 2020
U.S. General Motors Co. and Honda Motor Co. Ltd of Japan have signed a memorandum of understanding toward establishing a strategic alliance in North America.
General Motors
Honda   General Motors
Building on previous collaborations in electrified vehicles and technologies, the partnership would enable both companies to explore sharing vehicle platforms and propulsion systems, and includes a range of each company's vehicles as well as cooperation in purchasing, research and development, potential manufacturing efficiencies and connected services that could save both companies costs as they develop and deploy new technologies.

Topics: Honda

GM and Honda also plan to share R&D and engineering costs for select future co-developed vehicle and propulsion platforms. This would create substantial efficiencies and free up capital, enabling both companies to meet the increasing requirements to invest in various future mobility trends and additional growth opportunities for each company’s distinct brands.

Development planning discussions between the U.S. automaker and Japanese automaker will begin immediately with engineering work starting in early 2021.

In April, the companies announced that Honda will incorporate GM’s OnStar safety, security and connected services into the two all-new electric vehicles for Honda based on GM’s global EV platform, seamlessly integrating them with HondaLink.

Based on that collaboration, GM and Honda will explore further co-development opportunities for future connected services, including GM’s OnStar and infotainment.