Honda and Nissan Merger Canceled After Control Disagreement (Rubaitul Azad – Unsplash)
The merger between Honda and Nissan, planned after the signing of a Memorandum of Understanding in December 2024, has been officially canceled.
The agreement aimed to create a holding company to integrate the two automakers and begin operations in 2026, but signs quickly emerged that negotiations were not progressing.
Honda confirmed it had proposed making Nissan its subsidiary through a share swap, instead of the initially planned shared holding company, but this idea was not accepted.
Additionally, a separate MoU that included Mitsubishi in the potential merger was also ended. Honda wanted Nissan to buy back Renault’s shares and did not accept the French company’s participation in the alliance. Meanwhile, Mitsubishi chose to remain independent. According to internal sources, the main reason for the failure of the negotiation was Nissan’s resistance, which demanded equal treatment, while Honda wanted to lead the process.
Now, Nissan is searching for a new partner and has shown interest in Foxconn, although the Taiwanese company does not want to acquire it completely. Meanwhile, the Japanese automaker is moving forward with its restructuring plan announced in November, which includes eliminating 9,000 jobs and reducing global production capacity by 20%.
Source: Motor1.com | Photo: Unsplash | This content was created with the help of AI and reviewed by the editorial team
