Honda and Nissan set to unveil details of merger talks

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Plans centre on combining both Japanese carmakers under holding company by 2026 as industry consolidates

Honda and Nissan are poised to set out more details on Monday of plans for the biggest domestic merger in Japanese automotive history, which would create the world’s third-biggest carmaker by sales and fortify both companies against the rise of Chinese competitors. The number-two and number-three Japanese carmakers, aim to hammer out the merger’s full details by June 2025 and complete it the following year, according to two people close to the companies.

METI minister Yoji Muto said last week that in general he took a “positive view on co-operation between companies aimed at strengthening competitiveness” and business restructuring was “one effective means of improving corporate value and creating innovation”. The combined group, were it to include Mitsubishi, would rank behind domestic rival Toyota and Germany’s Volkswagen in terms of annual vehicle sales, at more than 8mn units.

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