Such a deal would create an automotive rival to Toyota that would effectively consolidate the Japanese auto industry into two camps, and also provide Honda and Nissan with more resources to compete globally with larger peers. The move would follow a decision by the two companies earlier this year to work together on electric vehicle batteries and software.At that time, Honda chief executive officer Toshihiro Mibe floated the possibility of a capital tie-up with Nissan.
While Honda and Nissan stopped short of confirming Tuesday’s report, both automakers issued statements that reiterated their previous pledges for further future cooperation. “We will inform our stakeholders of any updates at an appropriate time,” Honda said in its statement. The two major Japanese carmakers plan to sign a memorandum of understanding to discuss shared equity stakes in a new holding company under which the combined company would operate, the Nikkei said, without citing sources. The merger would help the manufacturers compete againstHonda chief Makoto Uchida and Nissan chief Toshihiro Mibe in August after announcing a collaboration between the two car giants.
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