It has been reported today (18/07/00), that Honda Motor Co. has signed an agreement with General Motors Corp. to supply the U.S. automaker with V6 engines and automatic transmissions. Honda said in a statement that it will develop and supply GM with roughly 90,000 power units annually for a five-year period beginning in the fall of 2003.

Those units will include an automatic transmission and a high-power V6 engine with reduced harmful emissions.

The deal is part of an agreement struck in December between Honda and GM on technological cooperation.

Also as part of the agreement, Honda and OnStar, a 100%-owned subsidiary of GM, will offer OnStar mobile communication services in Honda and Acura vehicles, starting with the 2002 Acura RL luxury sedan sold in the United States.

Honda and GM have not agreed on any capital alliance, and the companies will continue to work independently on technological development, the statement said.