Partnership has been viewed as a direct answer to the influx of affordable electric vehicles from China in both Japan and Europe.
“We cannot win the competition as long as we stick to conventional wisdom and traditional approach,” he told a joint news conference announcing a feasibility study of the partnership.Media reports said the partnership could include joint development of a common EV powertrain, a so-called e-axle, and joint procurement of batteries.
Just 1.7% of cars sold in Japan in 2022 were electric compared to 15% in western Europe and 5.3% in the United States. Honda and Nissan are even considering cutting production capacity in China as sales decline, according to media reports.
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