Nissan, Honda and Mitsubishi merger fails

Large strong Japanese player

The goal was to merge Nissan, Honda and Mitsubishi Motors into one big strong Japanese player, in order to gain enough clout to compete with the innovative power from China. It would also allow the three Japanese brands to better compete with Toyota, Volkswagen, General Motors and Ford.

Honda bigger than Nissan

One reason why the merger talks have come to nothing would be that Nissan would not settle for a smaller role in the new super company, because Nissan’s financial papers could be improved. Honda – which does have financial health – would then have more power. That was a no-go for Nissan, according to insiders.

Do cooperate

Although a merger failed, the three Japanese car companies did reach an agreement to work closely together under a strategic partnership focused on the age of intelligence and electrified vehicles. In addition, there also seems to be better news for Nissan, as Foxconn, a Taiwanese technology giant, is reportedly looking to invest in Nissan. The company is considering buying shares.