Reuss said GM and Honda “will immediately work toward final agreements and share more details on the financial benefits once these agreements are concluded.” GM-Honda`s partnership would build on its previous cooperation on electrified vehicles and allow the two companies to explore both vehicle platforms and common combustion and electric propulsion systems. The agreement includes a number of vehicles from each company in different range segments, as well as cooperation in the areas of purchasing, research and development, potential manufacturing performance and networked services that could free up capital for businesses. Businesses have yet to reach a final agreement and officials said more details about the expected savings would then be available, but a person familiar with the deal said billions of dollars would be in progress for each business. A joint committee, made up of leaders from both companies, will deal with all facets of the alliance. A final agreement will be reached for each vehicle they manufacture together. The agreement covered more than four vehicle architectures focused on crossovers and middle-class pickups, said two people familiar with the agreement, who were not allowed to speak publicly. When Honda and GM announced their joint EV agreement in April, the agreement included a plan for Honda to include OnStar`s safety and connection services in the two new electric vehicles for Honda, based on GM`s GLOBAL EV platform. It would integrate them perfectly into HondaLink. . On the other hand, Honda has only one truck. It is not a big truck. It`s the Ridgeline.
GM sells more trucks than anyone in the U.S., both medium-sized and large. It also allows us to see that something is shared there. So you have very complementary product lines. PFEIFFER: First of all, as we said, it is called an alliance, not a merger. How does this differ from a straight merger? . . “We are both working to leave a better and cleaner planet for our children and their children. This is what drives our plan for a purely electric future, and today`s announcement brings us one step closer by creating synergies that can contribute to it,” said Mr. Reuss. The electrification is correct. We are thinking about the future of the automotive industry, to be electric cars and autonomous cars. Where is GM on this issue and how does this agreement help? Under the latest proposed alliance, Honda and GM would work together across a wide range of segments in North America and share common vehicle platforms, including electrified and internal combustion propulsion systems, that would align with vehicle platforms.
Windau said the alliance could extend to a company that manufactures vehicles for the other at one of its U.S. plants, where GM has excess production capacity. It would be relatively easy to build a Honda on a GM assembly line if the vehicles were built on the same platform and had the same propulsion lines, he said. That is certainly a possibility. You did not say what the vehicles would be, but General Motors has to some extent withdrawn from the auto market. They eliminated vehicles like the Chevrolet Cruze, which was a nice little affordable car. But Honda has the Civic and accord, which are smaller vehicles that are very popular. This allows us to see parts of the car platforms.
He noted that Honda in the manufacture of cars and GM is good for light trucks. SuVs and middle-class pickups overlap. FCA has announced a $50 billion merger with France`s PSA PEUP. Last year, PA aims to create the world`s fourth largest automaker, Stellantis, in a single step to address cost scale and scale issues.