- Honda Motor Co Ltd’s HMC Chinese unit plans to form a joint venture with automobile manufacturers Dongfeng Motor Group and Guangzhou Automobile Group, Reuters reported.
- The move is expected to facilitate battery procurement for Honda’s electric vehicles.
- Honda will invest 50% into the joint venture, while Dongfeng and Guangzhou will each invest 25% into it.
- The company’s Chinese joint ventures, Dongfeng Honda and Guangqi Honda, currently get batteries separately from CATL.
- Honda has also decided to further expand its partnership with CATL for stable battery supplies.
- The company had partnered with trading company Hanwa Co for metal supply used in EV batteries.
- Price Action: HMC shares closed lower by 2.29% at $25.57 on Tuesday.
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