Honda, Mitsubishi Corporation exploring new business opportunities in e-mobility

Honda Motor Company and Mitsubishi Corporation have recently signed an MoU to discuss on the creation of new businesses within the emerging electric vehicle ecosystem in Japan, by leveraging the strengths of both companies to build sustainable business models in the sector. 

The companies claim that they will explore the possibility of new businesses with a goal to increase the value offered to customers through their EV and EV battery business. 

They have identified three broad areas of business opportunities within which they want to exchange synergies and strengthen their presence in the global EV ecosystem, namely - battery lifetime management, smart charging, and V2G (Vehicle to Grid) energy management. 

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Toshihiro Mibe, Global CEO of Honda, commented on the partnership, "Preparing for the era of full-fledged popularization of EVs, Honda will not only sell EVs, but take a proactive approach to energy management, where EV batteries will be utilized as an energy source, and we are also focusing on resource circulation, including the reuse and repurposing of EV batteries, which contain various rare resources". 

"Starting with this initiative with MC in the area of mini-EVs in Japan, Honda will strive to maximize the value we offer to our customers and build a foundation for sustainable business from a long-term perspective, while working with a variety of partners and accommodating the unique market characteristics of each region", he added.

According to the partners, the battery lifetime management business would aim to maximize the value of batteries to be installed in Honda mini-EV models, that are scheduled to begin sales in Japan in 2024. By employing a sophisticated battery-monitoring system, the new business would manage and maximize the value of each battery throughout its lifetime shifting from powering EVs to use as stationary energy storage.

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Further, smart-charging and V2G energy management businesses would help EV users to optimize their electricity costs by offering access to smart-charging, V2G services and renewable power which leverages advanced control technologies for the energy management system, they claim.

"We understand that the convergence of different sectors such as mobility, energy, services and data is an irreversible trend. Examples can be seen all over the world, as companies seek to go carbon neutral, and new business models like MaaS and CASE (in the automobile industry) pick up stream", opined Katsuya Nakanishi President and CEO, Mitsubishi Corporation.

"MC is aiming to develop its own new business models that balance electrification and decarbonization, to create new cross-industry services, and otherwise reinventing ourselves in keeping with the times", he added.