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Honda Scraps Go-It-Alone Strategy for Safer Shift Toward EVs

  • CEO embraces alliances for carmaker that prized independence
  • Going electric alone would be ‘extremely risky,’ Mibe says
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WATCH: Honda Motor Co. became the first Japanese automaker to publicly say it will go all electric by 2040 although it has a long history with engines. (Source: Bloomberg)
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Honda Motor Co. long eschewed big strategic alliances, preferring to go it alone even as many of its carmaking peers banded together to improve economies of scale. That’s changing now that the Japanese automaker is shifting more aggressively to electric vehicles.

“It will be extremely risky for Honda to push the move alone,” Chief Executive Officer Toshihiro Mibe said in an interview Tuesday. “It’s meaningful to form alliances, mass-produce and lower costs to make our business sustainable.”