Top Japanese carmakers Nissan Motor and Honda Motor are exploring a merger, seeking to stay competitive in the shift to full electrification. The potential tie-up could create the world's third-largest auto group by vehicle sales, with 8 million annual sales, according to Citi. This comes as many auto giants struggle with increased global competition from electric vehicle makers like Tesla and BYD. Reports suggest the domestic peers expect to sign a memorandum of understanding soon.
While a mega-merger could face obstacles, such as political scrutiny in Japan and the unwinding of Nissan's alliance with Renault, analysts see it as a significant development that could allow Nissan and Honda to pool resources, save costs, and develop future technologies
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Honda and Nissan reportedly open merger talksWill Shanklin has been writing about gadgets, tech and their impact on humanity since 2011. Before joining Engadget, he spent five years creating and leading the mobile technology section for New Atlas. His work has also appeared on SlashGear, TechRadar, Digital Trends, AppleInsider, Android Central, HuffPost and others.
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