Honda And General Motors Celebrate A New Mutual Partnership

Honda And General Motors Celebrate A New Mutual Partnership

January 16th, 2024 by Premier Honda

The Honda Motor Company has been a staple in automotive production for over 70 years, and starting in 2021 they have announced their newest business partner, General Motors. The benefits for such a partnership are proving to be huge for both automotive giants. With the intention of forming an alliance of sorts, GM and Honda are looking at sharing much of their current knowledge in order to develop better, stronger, and more innovative products for mass production. Although the exact goals of both product and profit are unclear at this time, each company understands that with a stellar record of collaboration there is no end to the possibilities.

Honda is no stranger to a working relationship with General Motors, but look to a closer bond between the two companies to further invest in vehicle technology. The relationship began over two decades ago, and has included huge developments in fuel cells, batteries, and more recently autonomous vehicles technology. While Honda is an established giant in cars and compact vehicles, GM is well-known for their trucks and SUVs. The two companies share an overlap in mid-sized and crossover vehicles, and hope to build on their respectively less-ventured paths as a result of this collaboration. With the possibility of an increased lineup available, the two companies will continue to produce a wider array of vehicles that continue to be a product of their unique brand.

The partnership between the two companies provides a chance for shared research and development. Consumer taste is changing across the board. Booms in crossover vehicles, low emissions vehicles, and even all-electric cars, both brands hope that their shared ideas can lead to more cost-friendly products to meet the more recent demand. Both GM and Honda are looking to partner up in the fields of assisted driver systems, electrical engineering, and infotainment technology. As it is currently, both Honda and GM announced a shared EV agreement in April, allowing for increased compatibility of OnStar systems in Honda vehicles to be paired seamlessly with Honda’s existing HondaLink infotainment system. Furthermore, each brand hopes to boost connectivity, which will improve on which devices and how many of them consumers can integrate with their vehicles.

Cost saving is another excellent reason for both GM and the Honda Motor Company to partner up. While Honda has moved forward in North America fairly independently, the industry is seeing an increased number of mergers and dual-ventures. This is helping many automakers continue to stay competitive in an ever-evolving industry. Ultimately, the partnership between Honda and GM would result in shared vehicle platforms, propulsion systems, purchasing, manufacturing, and more. By using the best technology that each company has to offer, the hope is that money saved on behalf of each brand would be invested into advancing current technology for both companies.

The future is bright for both Honda and GM. As Honda looks to increase its manufacturing output in North America with an expanded market, GM is looking to bring in much of Honda’s fuel-efficiency in an effort to increase its all-electric vehicle lineup. The partnership is certainly significant, and for both automakers it’s a low risk move with a nearly guaranteed high reward.