Nissan continues to search for a new strategic partner after the failed negotiations with Honda. Among the potential parties, Tesla and Foxconn have emerged, as pointed out by the Financial Times.
The proposal was presented by a group of investors led by Hiro Hizuno, a former advisor to Tesla, and would involve the creation of a consortium, with Tesla as the main participant and Foxconn as a minority shareholder.
The potential partnership would bring benefits to both automakers. While Tesla seeks to expand its production in the United States, Nissan plans to reduce investments in the country. The deal would allow Elon Musk’s company to use Nissan’s three factories in the U.S., avoiding new import tariffs. However, Musk stated on X that Tesla’s production line is its biggest asset, which suggests a lack of interest in moving forward with the negotiations.
Nissan is facing a severe financial crisis and has announced significant cuts in production and workforce in the coming years. The company plans to reduce its manufacturing in the U.S. by 25% and lay off around 2,000 employees by the end of 2025. Globally, the goal is to cut 20% of production capacity by 2026.
In light of this situation, experts believe a merger could be essential for the survival of the Japanese automaker.
Source: Olhar Digital | Photo: Milan Csizmadia – Rubaitul Azad / Unsplash | This content was created with the help of AI and reviewed by the editorial team