TOKYO — Honda and Nissan are in talks to deepen ties, two people said on Wednesday, including a possible merger, in the clearest sign yet of how Japan's once seemingly unbeatable auto industry is being reshaped by challenges from Tesla and Chinese rivals.A combined Honda and Nissan would create a $54-billion company with annual output of 7.4 million vehicles, making it the world's third-largest auto group by vehicle sales after Toyota and Volkswagen.
Honda, Nissan and Mitsubishi said no deal had been announced by any of the companies, though Nissan and Mitsubishi noted the three automakers had said previously they were considering opportunities for future collaboration.French automaker Renault, a major Nissan shareholder, said it had no information and declined to comment.The three Japanese automakers are expected to hold a joint news conference in Tokyo on Monday, according to a source familiar with the matter.
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