Nissan would like to ally with Honda in the electric car sector. The two Japanese automakers face BYD’s price war, developing batteries and a common vehicle platform would allow them to cope.
Make no mistake about it. Even though the global electric car market stalled in January, the price war in the sector is far from over. Now, the Chinese ogre BYD has great ambitions in Europe and Tesla does not want to let go of its domination. Meanwhile, the historic manufacturers of thermal cars want to steal their crowns from these newcomers, not to say upstarts.
This is particularly the case for certain Japanese manufacturers. The economic daily Nikkei Asia reports that Nissan wants an alliance with Honda, to find something to bury the competition, in particular by slashing prices. Obviously, their leaders have not heard the appeals of the CEO of Peugeot, who fears a bloodbath in the sector.
What would a Nissan-Honda alliance aim for electric cars?
Ultimately, this alliance could materialize in a common electric vehicle (EV) platform, according to Nikkei’s internal sources at Nissan. The alliance could first involve the development of electric motors developed jointly by the two companies or even batteries, the centerpiece of any EV.
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The objective is above all to reduce the prices of components for their electric cars. Indeed, many automakers outsource their manufacturing to third parties, notably BYD. The Chinese manufacturer first entered the sector by manufacturing EV batteries. This now gives it a significant advantage over its competitors, since it produces almost all of its parts itself.
BYD can therefore cut the prices of its electric cars. Latest example, the BYD Seagull Honor Edition, an electric car for less than 9,000 euros in China! The results are not long in coming: in one year on the Japanese market, BYD already represents 20% of electric vehicle imports. Local players such as Nissan and Honda must now react.
In France, Nissan is performing well with its social leasing of electric cars at €65/month, thanks to the Leaf. But this pioneering model, the first version of which was released in 2010, is no longer enough. Neither Honda nor Nissan are associated by consumers with the electric car, although both offer models. This alliance could give them the necessary boost to take the turn towards electric vehicles against BYD.
- Nissan managers would like an alliance with Honda on electric cars.
- The two companies currently appear to be lagging behind competition from BYD and Tesla.
- The alliance would aim to develop batteries for EVs as well as a common vehicle platform.