The potential game-changer involves the creation of a joint holding company encompassing both automakers, with a memorandum of understanding set to be signed soon, according to reports from the Nikkei newspaper.
There are also discussions about including Mitsubishi Motors under this new entity. Nissan currently holds a 24% stake as Mitsubishi's leading stockholder.
However, reacting to these reports, Nissan emphasized through a statement that "media reports that it is ‘considering a business integration’ with Honda are not based on an announcement from our company.” Despite this, they acknowledged exploring various collaboration possibilities with both Honda and Mitsubishi Motors, though no firm commitments have been made yet.
The potential alignment of Nissan, Honda, and Mitsubishi could redefine the automotive landscape with projected annual sales surpassing 8 million vehicles. However, this figure would still fall behind Japanese giant Toyota Motor, which achieved sales of 11.2 million vehicles in 2023, and the German automaker Volkswagen, with 9.2 million sales last year.
This prospective merger stirs echoes of previous industry-changing alliances, notably the significant unification of Fiat Chrysler with PSA Groupe to create Stellantis in 2021. Nissan and Honda’s mutually beneficial engagement earlier this year on automotive components and software further fuels conjecture about deeper collaboration.
Industry watchers, citing sources such as CNBC, remain cautious but optimistic, pointing out the strategic value in closer ties. As global automotive challenges intensify, including the electrification race and optimizing production systems amidst shifting consumer expectations, such consolidation efforts could provide a competitive edge.
The situation closely follows other industry developments in strategic alliances, akin to Toyota's hybrid focus or Volkswagen's expansive mobility services, illustrating that partnerships and potential mergers are increasingly influential in the pursuit of market leadership.
