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Fierce rivals Honda and Nissan join forces to take on Chinese car makers

Zainal Abidin, 25/12/2025
  • In short: Honda and Nissan have signed a new alliance to work together on EV technology.
  • The announcement by the two arch rivals has been described by experts as an attempt to catch up with competitors like China’s BYD.
  • What’s next? The deal gives the companies six years to work together. The firms will develop shared technologies, but their products will remain different.

Rival Japanese car makers Honda and Nissan have announced they will work together to develop electric vehicle (EV) technology and auto intelligence – two sectors where Japan’s automakers have fallen behind.

The partnership could help the two manufacturers develop economies of scale in producing EVs, as automakers face heavy competition from firms such as Elon Musk’s Tesla and Chinese manufacturer BYD.

The announcement by the two arch-rival firms has been described by experts as an attempt to catch up with EV competitors, particularly from China, after years of Japanese car companies focusing on hybrid vehicles.

two businessmen in front of a corporate logo wall

The two companies have signed a non-binding memorandum of understanding.(Kyodo News via AP)

Why are Honda and Nissan working together?

Nissan was an early pioneer in electric vehicles, with its all-electric Leaf model released in 2010.

But it has

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Stellantis-backed electric flying car to launch in 2025

Zainal Abidin, 14/08/2025

Stellantis has increased its share in Californian-based flying car manufacturer Archer Aviation in a bid to get a jump on rivals in the fast-growing electric vertical take-off and landing vehicle (eVOTL) market.

Toyota, Hyundai, SubaruPorsche, Mercedes-Benz, Geely and other car-makers have all invested in eVTOL ventures in recent years as a means to combat traffic congestion in the world’s growing mega-cities.

Now Stellantis, the parent company of brands such as Jeep, Dodge, RAM, Alfa Romeo, Peugeot and Citroen (and already a major partner with Archer), has purchased another 8.3 million shares in the aviation firm, which plans to bring its first eVTOL aircraft to market as early as next year.

The strategic partnership was forged in 2020 and strengthened last year when Stellantis announced plans to become the exclusive contract manufacturer of the Archer Midnight eVTOL, “thereby allowing Archer to strengthen its path to commercialization by helping it avoid hundreds of millions of dollars of spending costs” .

A “high-volume” production facility in the US state of Georgia is expected to be completed later this year, churning out 650 aircraft annually.

“Archer has established itself as a market leader in the electrification of aviation and we

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