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Market
How will competitors react to the Honda-Nissan merger by the end of 2025?
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Nikkei•Reuters•Tesla•Chinese•Toyota•Volkswagen•Taiwan•Hon Hai Precision Industry•Foxconn•Nissan•Honda•Toshihiro Mibe
Resolution / Starting Odds
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Official statements or strategic changes announced by competitors like Toyota, Volkswagen, or Tesla
Story
Honda and Nissan to Begin Merger Talks Monday to Form Third-Largest Automaker, Aiming to Compete with Tesla
Dec 18, 2024, 09:50 AM
Japanese auto giants Honda Motor Co. and Nissan Motor Co. are preparing to start merger negotiations as early as Monday, according to reports from sources such as Nikkei and Reuters. The merger aims to create a stronger entity to better compete against global electric vehicle makers like Tesla and Chinese manufacturers in the rapidly changing automobile industry. The potential deal may also include Mitsubishi Motors Co. and could create the world's third-largest automaker with an annual output of approximately 7.4 million vehicles, rivaling Toyota and Volkswagen in size. The companies are considering setting up a holding company under which the combined businesses would operate. The move is partly to counter the risk of an acquisition by Taiwan's Hon Hai Precision Industry, also known as Foxconn, which had approached Nissan. Honda CEO Toshihiro Mibe has said that the company is exploring a merger with Nissan.
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