China's Contemporary Amperex Technology Limited (CATL) and Honda Motor said they had signed an agreement "to form a comprehensive strategic alliance on new energy vehicle batteries to strengthen their strategic partnership and promote the popularisation of e-mobility".
The agreement would enable the two companies to begin discussions on a broad range of areas including joint development, stable supply, and the recycling and reuse of batteries.
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"By bringing together the two companies' individual technology advantages, CATL and Honda will conduct joint development on NEVs batteries and joint R&D into fundamental technologies, aiming for their future application," a statement said.
"CATL will provide stable supply of NEV batteries to Honda, mainly for battery electric vehicles (BEVs)."
The first model with a CATL battery is scheduled to be launched in China in 2022.
The alliance would be further expanded "to the global level" in future.
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By GlobalDataBattery recycling and reuse also would be a topic for further discussion between CATL and Honda.
Honda has acquired approximately 1% of CATL shares through the non-public issuance of stocks which makes Honda a strategic partner of CATL.
This, the two companies said, would enable Honda to secure a stable supply of batteries "with excellent product and cost competitiveness".
Zhou Jia, CATL president, said: "Honda is a key player in global electrification. Through this strategic cooperation, CATL and Honda will establish a stronger global partnership. We are working together to deliver more competitive products and solutions to global electrification, and to finally achieve a clean and pleasant style of mobility."
Toshihiro Mibe, senior managing officer at Honda Motor, added: "This alliance enables Honda to further strengthen its partnership with CATL. As the speed of electrification continues to increase, CATL will be a partner that will give [us] new strength and we believe that our long-term alliance will enable [us] to further increase the competitiveness of our electrified products."
