Honda is considering partnering with Nissan to develop an affordable electric vehicle after ending talks with GM.

Honda Might Team Up With Nissan For Cheap EV After Ditching Plans With GM

Nissan is reportedly considering a partnership with Honda to develop a new modular electric axle (e-axle) and a shared EV platform, as per sources at Nissan quoted by Nikkei Asia. This potential collaboration aims to create affordable EVs that can compete with Chinese-made rivals. The discussions are still in the early stages.

Currently, Honda has two EVs on sale in the U.S., the Honda Prologue and the Acura ZDX, developed in partnership with General Motors.

The two battery-powered crossovers from Honda are based on GM’s Ultium platform, used for the Chevrolet Blazer EV. The partnership between Honda and GM was expected to result in budget-friendly EVs until 2027 but was canceled last year.

Honda may now partner with Nissan to make cheaper EVs a reality, although reports suggest that discussions at Nissan are in the initial phase, and Honda’s position on the partnership is unclear.

The potential partnership could involve joint battery procurement and vehicle development to reduce costs and compete with Chinese rivals like BYD, known for sourcing components like batteries in-house to lower prices.

Honda plans to launch two new EVs from 2026 inspired by futuristic concepts, while Nissan is working on U.S.-made EVs expected to debut in 2026 and 2027.

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