Honda Partners With GM for Strategic Alliance in North America

Honda is entering a new level into its corporate relationship with General Motors as it forges a strategic alliance in North America with GM.

Built on an already established relationship between the two companies from two decades ago, the alliance will see the development of vehicle platforms as well as electric and internal-combustion propulsion powertrains. The partnership also aims to cut costs on both sides and allow them to invest more in future technologies.

Prior to the recent announcement of the alliance, Honda and GM revealed in April that they are working on developing Ultium batteries. Moreover, Honda is looking to incorporate GM’s OnStar system into two electric vehicles the company is planning to release in the United States by 2024.

But the Japanese automaker said its models will have their own character and that “the exteriors and interiors of the new EVs will be exclusively designed by Honda… for Honda customers.”

The strategic alliance is still currently in the planning stage, with the two companies signing a non-binding memorandum of understanding.

A press release shared by the automakers presents a clearer explanation of how the partnership will benefit both companies in the long run.

“This alliance will help both companies accelerate investment in future mobility innovation by freeing up additional resources,” General Motors President Mark Reuss said. “Given our strong track record of collaboration, the companies would realize significant synergies in the development of today’s vehicle portfolio.”

On top of developing propulsion systems and creating vehicle platforms, Honda and GM are also reportedly collaborating on projects for the development of advanced driver-assist systems, connectivity, and infotainment.