Honda and Nissan have reportedly held exploratory discussions about a possible merger to help them compete with electric vehicle (EV) makers, particularly in China.
In March, the two Japanese automakers agreed to explore a strategic partnership for electric vehicles.
Both companies responded to the BBC with identical statements: “As announced in March this year, Honda and Nissan are exploring various possibilities for future collaboration, leveraging each other's strengths. »
It comes as many auto brands grapple with growing competition as the industry shifts from gasoline and diesel vehicles to electric vehicles, with production booming in China.
Honda and Nissan, Japan's second and third largest automakers behind Toyota, have lost market share in China, which accounted for nearly 70% of global electric vehicle sales in November.
The two brands together sold 7.4 million vehicles worldwide in 2023, but are struggling to compete with cheaper electric vehicle makers such as BYD, which has seen its quarterly revenue soar, beating those of Tesla for the first time in October.
Honda and Nissan did not deny the news, which was first reported by Japanese business newspaper The Nikkei, but said it was “not anything announced by either party.” 'other companies'.
“If there are any updates, we will notify our stakeholders at the appropriate time.”
The two companies agreed in March to cooperate in their electric vehicle businesses and deepened ties in August by agreeing to work together on batteries and other technologies.
In August, the two companies also announced an agreement with Mitsubishi to discuss intelligence and electrification.
“The idea that some of these smaller players can survive and thrive becomes more difficult, especially when you add in the complexity of all the additional Chinese manufacturers that have come in and are competing quite strongly,” said Jessica Caldwell, an analyst. at Edmunds.
“It's just kind of necessary to survive, not only to survive, but also just to afford the future.”
