General Motors, Honda Set to Mutually Develop Two New Electric Vehicles

The new vehicles will use GM batteries and be assembled in GM plants in North America, the companies said. Honda plans to begin vending the vehicles in the United States and Canada in 2024

April 03, 2020. By News Bureau

General Motors Co and Honda Motor Co Ltd has announced that they would mutually develop two new electric vehicles for Honda and are discovering more ways to expand their cooperation.

The new vehicles will use GM batteries and be assembled in GM plants in North America, the companies said. Honda plans to begin vending the vehicles in the United States and Canada in 2024.

"We are in discussions with one another regarding the possibility of further extending our partnership," Rick Schostek, executive vice president of American Honda said in a statement.

The association between GM and its smaller Japanese rival reflects industry pressures to share technology and development costs to meet demands for cleaner vehicles. Those pressures were significant before the COVID-19 pandemic slammed global vehicle demand, and promise to intensify as the crisis saps cash from manufacturers' accounts.

GM and Honda already collaborate on autonomous vehicles and fuel cell vehicle technology. The companies worked together on the design of an autonomous vehicle called Cruise Origin for GM's majority-owned Cruise Automation unit.

As part of the latest agreement, Honda will use GM's hands-free driver assistance technology, promoted by GM as Super Cruise. Honda also will integrate GM's Onstar telematics services into the electric vehicles developed with GM.

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