Honda Signs MOU With Mitsubishi Corp For Alliance In EV Segment

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Honda and Mitsubishi have signed a MoU to establish a partnership for exploring opportunities to grow in the electric vehicle market

We have come across several partnerships in the automotive industry for a number of reasons like expansion of business in a market, exchange of technology, product development portfolio enhancement and more. In the latest development, Honda Motor Co. Ltd (Honda) and Mitsubishi Corporation (MC) have joined hands by signing a memorandum of understanding (MoU). Under this agreement, the companies have committed to discussion towards the creation of new business to leverage the strengths of both companies to grow in the highly anticipated EV segment.

It is important to note that Mitsubishi Corporation is different from Mitsubishi Motors (Renault-Nissan-Mitsubishi Alliance) and it deals in several areas like natural gas, industrial infrastructure, mobility, urban development and more. The major areas of work listed in the MoU include Battery Lifetime Management Business, Smart Charging and V2G Energy Management Business.

The Battery Lifetime Management Business would aim to maximize the value of batteries to be installed in Honda mini-EV models, slated for a launch in Japan in 2024. It will be done by using a sophisticated battery-monitoring system that would help to maximize the value of each battery by shifting it from powering EVs to use as stationary energy storage.

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The Smart charging business would help EV users optimize their electricity costs by offering access to smart charging, V2G services and green (renewable) power which leverages advanced control technologies for the energy management system.

This technology automatically adjusts the timing of EV charging to avoid peak load periods and optimize energy consumption. V2G (Vehicle to Grid) is also a part of the strategy which allows the EVs to supply electricity to the grid to help meet local electricity needs.

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Speaking on the occasion, Toshihiro Mibe, Global CEO of Honda, said, “Preparing for the era of full-fledged popularization of EVs, Honda will not only sell EVs, but take a proactive approach to energy management, where EV batteries will be utilized as an energy source, and we are also focusing on resource circulation, including the reuse and repurposing of EV batteries, which contain various rare resources”.