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US: Honda And Nissan Announce Merger Plans

Honda and Nissan, two popular car brands, formally agreed to hold talks over the next six months on a possible merger. The deal could create the world’s third-largest automaker.

Japanese automaker Mitsubishi, already in an alliance with Nissan, will join the talks. If it happens, it will be the third-largest automaker in global sales, followed by Toyota and Volkswagen.

The merger is needed for Honda and Nissan to combine resources to compete with the growing Chinese automakers’ competition.

‘Today marks a pivotal moment. Together, we can create a unique way for (customers) to enjoy cars that neither company could achieve alone.’ Nissan CEO Makoto Uchida said in a statement announcing the negotiations.

Nissan had an alliance with Renault earlier but struggled since the collapse of the alliance.

This post was last modified on 24 December 2024 8:42 pm

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