Honda and Nissan are reportedly looking at the possibility of merging, sparking speculation about what the potential move could mean – but experts say the rumors of a partnership are not a surprise. News of the merger talks, which was first reported by the Nikkei newspaper on Tuesday, comes as both Japanese auto giants struggle to compete with the largest global electric vehicle makers, including Tesla and Chinese automaker BYD.
Honda and Nissan are the second- and third-largest auto manufacturers in Japan, respectively, with Toyota leading them both. The respective market capitalizations of Honda and Nissan are roughly 5.95 trillion yen and 1.17 trillion yen . "A company like Honda might not be able to do that on their own, but at the same time, Honda has some pretty compelling products, so I feel like they both bring something important to the table," Moody said.
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Nissan, Honda Shares React to Merger SpeculationNissan's stock surged while Honda's dipped after reports that the Japanese automakers might merge under a holding company. The Nikkei newspaper reported that Honda and Nissan are planning to sign a memorandum of understanding soon, potentially bringing Mitsubishi Motors, in which Nissan holds a 24% stake, under the umbrella. While Nissan confirmed exploring collaboration possibilities, no decisions have been made.
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Nissan and Honda in Merger Talks to Bolster EV CompetitivenessJapanese auto giants Nissan and Honda are reportedly considering a merger to compete effectively in the rapidly evolving electric vehicle market.
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Nissan and Honda in Talks for Mega Merger to Fuel Electric Vehicle RaceTop Japanese automakers Nissan and Honda are reportedly in discussions for a major merger, aiming to bolster their competitiveness in the rapidly advancing electric vehicle market. The potential tie-up could result in the world's third-largest auto group by vehicle sales, with an estimated 8 million units annually. This move comes amidst increasing global competition from established EV players like Tesla and BYD, as traditional auto giants grapple with the shift towards electric mobility.
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