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Nissan-Honda Merger Set To Be Called Off, According To Reports

While an official statement from both companies is awaited, reports suggest that differences between the two brands have led to the potential merger being called off
car&bike Team
car&bike Team
1 min read
2025-02-08 18:39:52
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Nissan-Honda Merger Set To Be Called Off, According To Reports
Key Highlights
  • The potential merger between Nissan and Honda has reportedly been called off.
  • Official communication from both brands awaited.
  • Nissan had slashed 9,000 jobs around three months back.

The Nissan-Honda merger is reportedly set to be called off just over a month after an MOU was signed between the two companies to discuss a potential merger. While an official statement from both companies is awaited, reports suggest that differences between the two Japanese automotive brands regarding the conditions of the partnership led to the foundering of talks. If true, the talks would create doubt about Nissan's future. Some time back, Nissan laid off thousands of employees due to financial trouble.

Also Read: Honda and Nissan Sign MOU To Explore Merger; Mitsubishi Likely To Join

According to reports, the proposition of Honda making Nissan its subsidiary was what led to the end of negotiations between the two companies. A report from Reuters also states that after talks of a partnership between the two companies fell, Nissan is now looking for a new partner to help it stay afloat financially. Foxconn, the Taiwanese iPhone contract manufacturer is apparently being considered, while there are also reports of Renault retaining its stake in the Japanese company.

Also Read: Nissan Slashes Global Production Capacity By 20%, Cuts 9,000 Jobs Worldwide

Nearly three months ago it was suggested that Nissan was in immense financial turmoil, had registered a massive drop in income, slashed 9,000 jobs, and cut production by 20 per cent in the process. In the first half of fiscal 2024, Nissan’s consolidated net revenue dropped by 79.1 billion yen, down to 5.98 trillion yen. Its operating profit took an even stronger hit, decreasing by 303.8 billion yen to 32.9 billion yen, representing a slim operating profit margin of 0.5 per cent. Net income stood at 19.2 billion yen.


Source

# Nissan Car Sales# Nissan-Honda merger# Nissan-Honda merger called off# Honda SUV# Honda Cars# Cars# Cover Story

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