Lonely road

A flurry of car alliances during the past two years has shone an unsettling spotlight on the fate of one group: Honda.

Following a $2.3-billion capital tie-up with Mitsubishi Motors sealed last month, the NissanRenault alliance is about to join the club of Toyota, Volkswagen and General Motors with sales of 10 million vehicles a year.

At the same time Honda’s smaller rivals — Mazda, Suzuki and Fuji Heavy Industries, of which Subaru is a unit — have rallied around Toyota, Japan’s biggest car maker, leaving fewer partner options at home.

With annual sales of fewer than 5 million vehicles, Honda can hardly go at it alone as car makers compete on zero-emission vehicles to meet stringent environmental regulations. The field has widened further as technology groups such as Google and Apple join the selfdriving development race.

Honda is working with GM to develop next-generation fuel cell systems.

“People have a strong image of Honda as a loner, but with the environmental changes, it is no longer an age where everything can be done on your own,” said Seiji Kuraishi, executive vice-president.

“We feel we should actively pursue [alliances] if it’s a winwin relationship that will boost efficiency.”

There were no imminent deals, however, he added.

Slim choices at home could prompt Honda to explore overseas partnerships, but there are few successful examples of cross-border deals in the automotive industry.