A partnership between Honda and Nissan was announced this morning.

There has been a memorandum of understanding signed by the two companies to conduct a feasibility study for a strategic-

partnership focused on "vehicle electrification and intelligence," both of which will integrate automotive software platforms. 

A Honda and Nissan spokesperson said the agreement was reached due to the "necessity of combining strength."

 The two automakers are proposing to share and jointly manufacture electric motors, battery -

technologies, as well as other essential EV components, according to Automotive News. 

According to reports, both companies are concerned by the rise of Tesla and the entry of Chinese firms, such as BYD,

into the electric vehicle market.  The Nissan Leaf and the Ariya crossover are -

the two electric vehicles that Nissan currently sells in the United States.  

Our goal is to become a top runner in 2030, ready to compete with the strongest players in the world," Mibe told AN.

The plan is to improve the scale and cost of EV component production in the -

first instance rather than directly sharing vehicle architectures or rebadging models. 

Nissan CEO Makoto Uchida told AN, We can no longer afford to be complacent. According to other top-level -

employees, We must increase investment and scale if we are to accelerate electrification.