Nissan (NSANY) contemplated EV collaboration with Honda

In Europe, Nissan has formed an EV alliance with Renault, with plans to manufacture the Micra, its next EV, alongside the new Renault Five in northern France

Zacks Equity Research reported on March 14, 2024, that Nissan Motor Co., Ltd. (NSANY) and Honda Motor Co., Ltd. (HMC) are considering a potential business collaboration to create cost-effective electric vehicles (EVs) and compete against their counterparts in China. This prospective partnership may involve the development of a new EV platform. In an effort to reduce EV costs, Nissan is contemplating joint procurement for specific parts and sharing components with Honda. However, the extent of Honda's involvement in the collaboration remains uncertain, as discussions between the two automakers are still in the early stages.

NSANY is exploring the possibility of adopting a common EV powertrain through a collaborative purchasing agreement with Honda. Furthermore, potential areas of collaboration include joint efforts in designing and developing a shared EV platform. Despite being an early EV pioneer with the LEAF in 2010, NSANY is facing challenges in maintaining its market share. The production of the Nissan Ariya, after initial setbacks, is now running smoothly at Honda’s intelligent factory. In an attempt to regain market share in the United States, Nissan has reduced the price of the 2024 Ariya by $6,000 to $39,590. The SUV, based on GM’s Ultium platform, is expected to be priced below $40,000, including an EV tax credit. Despite its reluctance to partner with other automakers, Honda has been collaborating on EV development with General Motors and Sony Group.