Hitachi Automotive Systems, Ltd. and Honda Motor Co., Ltd. today announced the establishment of a joint venture company for the development, manufacture and sales of motors for electric vehicles on the premises of Hitachi Automotive Systems in Hitachinaka-shi, Ibaraki Prefecture.

As announced on February 7, 2017, the two companies have conducted discussions based on a Memorandum of Understanding signed on February 3, and entered into a joint venture agreement on March 24 to make more tangible preparations to establish the new company. The newly established company will receive a financial grant from Ibaraki Prefecture as it has been recognized as a relevant project that “promotes the establishment of corporate head office functions” within the prefecture.

Name of company Hitachi Automotive Electric Motor Systems, Ltd.
Location 2520 Takaba, Hitachinaka-shi, Ibaraki Prefecture
Representative Noboru Yamaguchi, President
Business Development, manufacture and sales of motors for electric vehicles
Contribution 5 billion yen (capital: 2.5 billion yen, capital reserve: 2.5 billion yen)
Date of establishment July 3, 2017
Investment ratio Hitachi Automotive Systems, Ltd. 51%
Honda Motor Co., Ltd. 49%

The new company will respond to the growing global demand from automakers for electric vehicle motors by developing competitive motors that combine the expertise of the two companies.