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Auto<\/a> tie-ups<\/a> are nothing new<\/a>, but they have become more frequent and wide-ranging in the age of clean energy and alternate fuel sources, as companies seek to spread out the cost and risk of adopting expensive new technologies. <\/p>\n<\/div>\n The latest alignment is between General Motors<\/a> and Hyundai<\/a>, which are joining forces to co-develop new passenger and commercial vehicles, including EVs and hydrogen fuel-cells. They will also explore ways to save money on the acquisition of battery raw materials and steel, among other crucial supplies. <\/p>\n<\/div>\n The two companies have signed a memorandum of understanding \u2014 as one does \u2014 to \u201clook for ways to leverage their complementary scale and strengths to reduce costs and bring a wider range of vehicles and technologies to customers faster.\u201d <\/p>\n<\/div>\n \u201cLook for ways to leverage their complementary scale and strengths\u201d<\/p>\n<\/div>\n<\/div>\n The key word there is \u201cfaster,\u201d as EV sales growth appears to be petering out, leading to a lot of skittishness in the industry. A lack of affordable models available and historically high interest rates is sapping some of the enthusiasm from car buyers. And GM and Hyundai are hoping that their combined mettle can help pick things up again. <\/p>\n<\/div>\n Where this all will lead is a little unclear right now. But a relevant example could be the recent collaboration between GM and Honda, in which Honda introduced the electric Prologue SUV<\/a> built on GM\u2019s Ultium platform \u2014 and then that was basically it. The two companies were supposed to release a lineup of affordable EVs, but abandoned the plan<\/a> after determining it would be too difficult. <\/p>\n<\/div>\n There\u2019s no mention of \u201caffordable EVs\u201d in GM and Hyundai\u2019s respective announcements \u2014\u00a0or EVs in particular, aside from a vague reference to \u201celectric [and] hydrogen technologies.\u201d But it\u2019s still early days of this partnership. We\u2019ll have to see where it goes. <\/p>\n<\/div>\n