Honda, Nissan to Start Talks on Possible Merger, Nikkei Says

[Zorro]

Source: Bloomberg

Honda Motor Co. and Nissan Motor Co. are preparing to start negotiations on a possible merger, which ultimately could be expanded to include Mitsubishi Motors Corp., Japan’s Nikkei reported Tuesday.

Such a deal would create an automotive rival to Toyota Motor Corp. that would effectively consolidate the Japanese auto industry into two camps. It would also provide Honda and Nissan with more resources to compete with larger peers after downsizing long-held global partnerships with other carmakers: France’s Renault SA for Nissan and General Motors Co. for Honda.

The move toward a merger would follow a decision by the two companies earlier this year to work together on electric vehicle batteries and software. At that time, Honda Chief Executive Officer Toshihiro Mibe floated the possibility of a capital tie-up with Nissan.

While Honda and Nissan stopped short of confirming Tuesday’s report, both automakers issued statements that reiterated their previous pledges for further future cooperation.

Read more: https://www.bloomberg.com/news/articles/2024-12-17/japan-s-honda-nissan-to-start-talks-on-possible-merger-nikkei?accessToken=eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJzb3VyY2UiOiJTdWJzY3JpYmVyR2lmdGVkQXJ0aWNsZSIsImlhdCI6MTczNDQ2ODI0NCwiZXhwIjoxNzM1MDczMDQ0LCJhcnRpY2xlSWQiOiJTT05FNldUMEcxS1cwMCIsImJjb25uZWN0SWQiOiJDNjgyQTUwQzJCRDM0MTFCQTgwQjEwQjZEQjczQzM1MSJ9.iftdB7g6lYdJhPtzxypM885hQaizvpK4bBU3PB75OTA

[badhair77]

1. Interesting.

In the 90s we had a Pathfinder that was reliable, and we ended up giving it to our so . He drove it for years. After a difficult experience with a Chevy Trailblazer we bought a Honda CRV and loved it. Our son needed a used car so he got the 2016. We have a 2019 and we are still happy, except for the unending construction at the dealership. Cut to last month when a friend bought a new CRV which has been nothing but trouble, and difficulties with the transaction at the dealership. I’m starting to be leary of Hondas. It will be interesting to see how this possible merger plays out.

[doc03]

2. Bought my first Honda a CRV 5 years ago, have had no problems. I will

most likely buy another one soon. The thing I like most about Honda they only have about 5 models and no
list of a hundred options. Basically hybrid or ICE, cloth or leather seats.

[badhair77]

3. I would have said that 2 weeks ago before I heard my friend's story. I love my current Honda,

but the dealership changed hands last year and some long term employees left. Don’t know if it was of their choice. Then when I looked at things not working on my friend’s new car, such as connectors not connecting, it gives me pause. They even screwed up on the VIN number and she had to redo the paperwork. Good thing she paid cash and there wasn’t a loan involved. Lots of sloppy decisions. Luckily I only have 15,000 miles so I’m good for awhile. I’ll just take a wait and see attitude.

[Aussie105]

4. Nissan, Mitsubishi and Renault are already working together.

The Australian Mitsubishi Outlander comes with a Nissan engine and CVT, and the rumoured new ASX model is a rebadged Renault.
Nissan sells more rolling chassis, and Mitsubishi can cut down some Japanese engine and bodywork production lines.

Economy of scale I guess for different fading marques to band together and try to stay viable.
Join hands wherever in the world such an idea makes sense. Survive or go under as a group.

Get used to the idea any future Nissan, Mitsubishi, etc you buy in the future isn't a pure product.
It may well turn customers off and head for Toyota instead.

Questions:
Will these cooperative efforts make each marque viable, or will they all go under at the same time?
Will your Mitsu dealer send you to a Nissan dealer if your Outlander with Nissan engine develops an engine problem?

[ForgoTheConsequence]

5. Toyota shares a platform/engine with Subaru.

And an engine with BMW. Ford and Chevy developed a transmission together. Ford and Mazda used to share platforms. Nissan and Suzuki shared platforms. Izuzu partially developed the GM Duramax diesel.

There are no pure products.