(REUTERS) – General Motors (GM.N) and Honda Motor Co (7267.T) on Thursday revealed plans to team up in North America to make a range of vehicles, deepening their ties as the auto industry comes under greater pressure to share technology and costs to meet demands for cleaner vehicles.
Under the alliance, Honda and GM said, the companies intend to share common vehicle platforms, including electrified and internal combustion propulsion systems.
The companies still need to complete a definitive agreement and officials said greater details on expected cost savings would be available then, but a person familiar with the matter said the savings would run in the billions of dollars for each company.
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The partnership represents a significant expansion of existing collaborations between the two companies on electric and autonomous vehicles, connected vehicle technology and fuel cells. Honda is an investor in Cruise, the self-driving business that GM majority owns.