Japanese Honda Motor and U.S. General Motors on Thursday signed a protocol of intent to create an alliance in North America, which may include cooperation on procurement and common transport platforms.
Honda representatives hope that the alliance will result in significant cost savings in North America, reports The Wall Street Journal.
In April, the companies said they agreed to jointly develop two electric vehicles for Honda based on the global platform of GM battery-powered electric vehicles Ultium.
“This alliance will help both companies accelerate investment in future mobility innovations by freeing up additional resources,” said GM president Mark Reuss.
The companies intend to share the R&D and development costs of certain vehicles and engines in the future.