The Journal

Motors giants to drive developing EVs as partners

- TOM KEIGHLEY Business writer tom.keighley@reachplc.com

AUTOMOTIVE giants Nissan and Honda have confirmed that they will partner up on developing electric vehicles (EVs) and other technologi­es.

Bosses of the two firms appeared together in a Tokyo news conference, in which they said they would look into possibilit­ies, scope and areas for potential collaborat­ion around electrific­ation and the use of intelligen­ce tech in cars.

The move comes in response to Japanese makers falling behind global competitor­s such as Tesla, and as China overtook the country as top car exporter last year.

It has been reported that Nissan and Honda, Japan’s second and third biggest motors manufactur­ers, will look at ways to make electrific­ation more affordable in the face of stiff competitio­n from China’s BYD.

The executives said the companies will develop core technologi­es together, but their products will remain different.

Nissan chief executive Makoto Uchida stressed that speed is crucial for the companies in developing technologi­cal solutions.

He said: “We don’t have time. “It is significan­t that we have reached this agreement based on a mutual understand­ing that Honda and Nissan face common challenges.”

Nissan has already made strides in EVs with the Leaf, arguably the world’s first mass-market electric vehicle.

It has ramped up plans to electrify most of its models, and has said it will introduce 27 new electrifie­d models by 2030.

Late last year the firm announced it would invest more than £1bn into its Sunderland plant to produce electric versions of its Qashqai and Juke models, and build a third gigafactor­y close to the site to produce batteries.

Around 300 jobs are being created for the new production lines.

Expectatio­ns for the NissanHond­a agreement were reflected in sharp increases in the stock prices of both companies on Thursday after Japanese media speculated that such a deal was in the offing and their shares continued to rise on Friday.

The executives said no mutual capital ownership is involved in the agreement for now, but the companies may look into the possibilit­y down the road.

 ?? ?? Nissan have confirmed they will partner with Honda in developing electric vehicles
Nissan have confirmed they will partner with Honda in developing electric vehicles

Newspapers in English

Newspapers from United Kingdom