GM And Honda Team Up For Hybrid Tech

2014 Honda Accord PHEV (Credit: Honda)

Most people don’t see General Motors and Honda as strategic allies, but those same people would be wrong. The two automakers already have been working together on fuel cell technology. Now it looks like the collaborative efforts between them are about to expand further to include plug-in hybrid vehicles, according to new report from The Japan News.

As electric car website Inside EVs points out, this isn’t a huge shock. Honda’s upcoming PHEV model, which is slated to debut for 2018, is supposed to be capable of going about 40 miles using only electricity. That number matches the Chevy Volt, which has fueled speculation that Honda will use the Voltec propulsion technology.

Apparently the agreement between GM and Honda hasn’t been finalized yet, but it’s expected to be in the near future. The two automakers are hammering out the last details. An official announcement probably isn’t too far off.

Some might wonder why General Motors or Honda would want this partnership. The fact is that Honda has been soft when it comes to plug-in hybrids, and GM has become a leader in the tech. Through combined efforts, the two automakers would have greater price negotiating power for batteries and other components that are unique to plug-in hybrids. By joining forces, they also stand to shrink vehicle development efforts and time.

These kinds of alliances will help drive down the cost of hybrid tech even further, pushing it into the mainstream. Also on the negotiation table is the joint manufacture of electrified vehicles, which would be a huge step forward for both companies.

The two auto giants are reportedly also working together on an agreement for autonomous vehicle tech. GM has been sorting out an arrangement with Lyft, which involves sinking $500 million into the company. It would use autonomous cars to pick up people who need a ride, taking them to a specified destination. GM is thinking ahead, because even as car sales continue to rise, they will have to at least plateau, if not decline.