Honda and Nissan in Merger Talks to Bolster EV Competitiveness

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Honda and Nissan are reportedly in preliminary merger discussions, aiming to strengthen their position against Tesla and Chinese electric vehicle manufacturers. The potential tie-up, which could involve Mitsubishi Motors, would create a three-way all-Japanese automotive partnership. While both companies have confirmed discussions, no final decisions have been made.

Merger could see the end of the long-standing alliance with Renault, as it would include Mitsubishi in a three-way all Japanese brand partnership.

“We are discussing possibilities for cooperation between Honda and Nissan in the future, in a wide range of fields and in various areas, and those possibilities include the latest reports, but there is nothing decided,” a Honda spokesman told AFP on Wednesday. China overtook Japan as the world’s biggest vehicle exporter in 2023, helped by its dominance in EVs, a sector where Japanese firms have lost ground by focusing on hybrid vehicles.

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