Honda Motor and Posco Holding are looking to form a comprehensive partnership to facilitate the former's EV ambition. The duo said on April 11 that they are exploring possible collaboration in battery materials, recycling, automotive steel sheet and electric steel sheet.
In a joint announcement, Choi Jeong-Woo, Posco's chairman, said Honda has been the company's strategic partner in the steel business. With the new agreement, Choi said Honda will benefit from Posco's full value chain for battery materials ranging from lithium, nickel, cathode and anode materials to future battery materials and recycling.
According to the two companies, they will explore possibilities of technical exchange on future battery materials and cooperation in key materials procurement. They also aim to expand the use of recycled battery materials and establish a closed-loop recycling system that will utilize reclaimed battery materials.
The expanded partnership will leverage Posco's steel-making expertise. The company will work with Honda on adopting ultra-high tensile steel sheets, which can further facilitate vehicle weight reduction. The pair also plans to explore opportunities for applying electrical steel sheets in the mass production of drive motors for the e-Axle (electric axle drive).
As automotive electrification speeds up, Honda has planned to make only EVs or fuel cell vehicles by 2040. According to Nikkei Asia, the automaker signed a contract with Japan-based Hanwa Kogyo to obtain priority procurement of industrial metals starting in 2025.
