RTTNews | Sep 3, 2020 08:48AM EDT

08:48 Thursday, September 3, 2020 (RTTNews.com) - General Motors and Honda have signed a non-binding memorandum of understanding to establish an automotive alliance in North America, the U.S. automaker said in a statement.

The companies would collaborate on a variety of segments in North America, intending to share common vehicle platforms, including both electrified and internal combustion propulsion systems that align with the vehicle platforms. Co-development planning discussions will begin immediately, with engineering work beginning in early 2021.

In April, General Motors and Honda agreed to jointly develop two new all-electric vehicles for the Japanese automaker. The 2024 model-year vehicles would use GM's proprietary battery technology, but have Honda-exclusive exterior and interior designs.

GM said Friday that the companies also plan to share research and development and engineering costs for select future co-developed vehicle and propulsion platforms. This would create substantial efficiencies and free up capital, enabling both companies to meet the increasing requirements to invest in various future mobility trends and additional growth opportunities for each company's distinct brands.

Read the original article on RTTNews ( https://www.rttnews.com/3126042/gm-honda-sign-mou-to-establish-strategic-alliance-in-north-america.aspx)

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2020 RTTNews.com All Rights Reserved