Honda and Nissan agree to work together in developing electric vehicles and intelligent technology

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Nissan and Honda have announced they will work together in developing electric vehicles and auto intelligence technology, sectors where Japanese automakers have fallen behind

TOKYO — Nissan and Honda announced Friday that they will work together in developing electric vehicles and auto intelligence technology, sectors where Japanese automakers have fallen behind.

The chief executives of Nissan Motor Co. and Honda Motor Co. appeared together at a news conference in Tokyo to announce that Japan's second and third biggest automakers will look into areas with a potential for collaboration.

The details of the non-binding agreement are still being worked out, both sides said. The executives said the companies will develop core technologies together, but their products will remain different.

Nissan Chief Executive Makoto Uchida stressed that speed is crucial for the companies in developing technological solutions.

“We don’t have time,” he said. “It is significant that we have reached this agreement based on a mutual understanding that Honda and Nissan face common challenges.”

Honda President Toshihiro Mibe said the companies share common values and could create “synergies” in facing their formidable rivals.

The world’s automakers are rapidly shifting toward electric vehicles, focusing on batteries and motors instead of gas engines, as concerns grow about emissions and climate change.

But Japanese automakers have fallen behind rivals such as Tesla of the U.S. and BYD of China in developing EVs, partly because they have historically been so successful with combustion engine vehicles.

Toyota Motor Corp., the world’s largest automaker, has often said the world is not ready for a complete shift to EVs, in part because of the