In the latest turn of events, two of the biggest automakers in the world, Honda and Nissan, joined hands to pose a united front against Toyota and Tesla in the EV segment. According to Niekki Asia, the automakers are in preliminary talks for a possible merger in the coming days. However, this merger will break the ties of Nissan with French automaker Renault.
The initial rumours around the merger were established in March 2024, where it was believed that the two giants are exploring options for a strategic partnership to compete in the Electric Vehicle segment. Moreover, this merger was done to challenge one of the biggest carmakers, Toyota, and major EV companies like Tesla and BYD.
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A Honda Sportsperson stated, “We are discussing possibilities for cooperation between Honda and Nissan in the future in a wide range of fields and various areas, and those possibilities include the latest reports, but nothing is included.”
The development came when Nissan Motor faced major financial turmoil and announced major job cuts. Nissan announced 9000 job cuts in November 2024. Further, the carmaker mentioned that it had reduced the production capacity by 20%, and the CEO Makoto Uchida mentioned he would be forfeiting 50% of his salary to keep the company afloat.
