Honda and Hitachi forming JV to build electric motors

Tokyo

HONDA Motor Co plans to set up a joint venture with Hitachi Automotive Systems Ltd to develop, produce and sell motors for electric vehicles, citing the expected increase in demand for electric cars with tougher environmental standards.

The joint venture has plans to manufacture in Japan, US and China, and will consider using Hitachi's existing plants in those countries, Hitachi Automotive chief executive officer Hideaki Seki said at a briefing in Tokyo on Tuesday. The new company will also sell to carmakers other than Honda if there is demand, he said.