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Hitachi And Honda Will Work Together To Build A Cheaper Electric Car Motor

Mar 13, 2017

Hitachi and Honda will work together to build a cheaper electric car motor


With the increasing popularity of the electric vehicles, the major car manufactures are also trying to find new ways to improve hardware performance and reduce costs. The media reported Honda announced that they will cooperate with the integrated motor manufacturer Hitachi to introduce a cheaper electric car motor. The two companies signed a memorandum of understanding to form a”technical synergy” between suppliers and manufacturers, and”to strengthen their strengths in the core of the electric competition and business base development.”


It is reported that the two companies will establish a joint venture company which engaged in electric vehicle motor research and development, production and sales in Japan in July this year. Hitachi will continue to cooperate with other car manufacturers. However Honda will continue to use their own motor which is made in Japan and the motor which is produced by the joint venture.

The joint venture is expected to invest 5 billion yen ($ 44.75 million). Hitachi will hold 51%, and Honda will hold 49%. The two companies will sign a final agreement by the end of March this year.

Earlier this year, Honda announced that it would work with GM to develop hydrogen-powered fuel cells.