Honda and Nissan in Merger Talks, Could Reshape Japan's Auto Industry

The reported merger talks between Honda and Nissan will divide the Japanese car-making industry into two powerful entities, if the plan goes ahead. Neither Honda nor Nissan confirmed plans of a merger, first reported December 17 by the newspaper Nikkei. However, the two companies have already discussed collaboration and in August agreed to work together on software and EVs.

A wide-ranging merger, however, would create an automotive force with a combined sales of over seven million cars, based on last year’s figures for both companies. That would see the new company vying for third place in the global automotive sales charts along with Hyundai Group, which last year sold 7.3 million cars. Mitsubishi could also join the new company according to Nikkei, adding another million and taking the combined entity closer to the Volkswagen Group. Japan is already home to the biggest carmaker in Toyota, which sold 11.2 million cars last year, and which has formed financial and technical alliances with Mazda, Subaru, Suzuki. It also owns Daihatsu. A potential merger would come to the aid of Nissan, whose struggles this year forced it to announce plans for 9000 job cuts and a cut in production capacity by a fifth. Nissan is facing many of the same problems that forced it into an alliance with Renault in 1999. The company’s operating profit dropped 90 percent in the six months to the end of September, dragging it perilously close to its first loss since the Covid crisis in 2020. Honda’s results were much more buoyant for the same period, with profits down 14 percent, but the two companies are facing similar problems and together could pool resources to come up with solutions. Probably the biggest concern weighing both Honda and Nissan is China, once a huge market for both but where buyers are now rapidly turning away from their largely combustion engine line-up towards locally developed EVs and plug-in hybrid

France Dernières Nouvelles, France Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

Honda and Nissan Reportedly in Merger TalksJapanese automakers Honda and Nissan are exploring the possibility of a merger to strengthen their position in the competitive automotive market.
La source: nbcchicago - 🏆 545. / 51 Lire la suite »

Honda and Nissan in Merger Talks to Boost CompetitionNissan and Honda are reportedly in talks to merge, aiming to strengthen their position in the fiercely competitive automotive industry. The potential merger, which could involve a holding company structure, would be the largest in the industry since Fiat Chrysler and PSA Groupe united.
La source: CNBC - 🏆 12. / 72 Lire la suite »

Nissan and Honda in Merger Talks to Bolster Global Automotive PresenceNissan and Honda are reportedly in discussions for a potential merger, aiming to strengthen their position in the evolving automotive landscape. The Nikkei reports that both companies are exploring a holding company structure and plan to sign a memorandum of understanding soon.
La source: NBCLA - 🏆 319. / 59 Lire la suite »

Japan's Honda and Nissan to reportedly begin merger talksNissan and Honda plan to enter into negotiations for a merger to better compete in the rapidly changing automotive industry, the Nikkei newspaper reported.
La source: nbcsandiego - 🏆 524. / 51 Lire la suite »

Honda and Nissan in Merger Talks to Combat EV CompetitionFacing pressure from Chinese EV manufacturers, Honda and Nissan are considering a merger to bolster their position in the electric vehicle market. The potential merger would involve creating a new holding company and could also include Mitsubishi.
La source: verge - 🏆 94. / 67 Lire la suite »

Honda and Nissan Deny Merger Talks Amidst EV CompetitionHonda and Nissan have denied reports of merger talks by Nikkei, stating they are exploring various possibilities for future collaboration. The companies aim to leverage their strengths and will inform stakeholders of any updates. This comes amidst increasing competition from Chinese EV makers, pressuring legacy brands to prioritize profitability in their EV ventures.
La source: Investingcom - 🏆 450. / 53 Lire la suite »