Japan’s next- and third-largest manufacturers hope the$ 50 billion deal would help them catch up with Tesla and China’s BYD in electric cars and advanced technology. As they look to better prepare themselves for the cheap modern change that is transforming the automotive market, Honda Motor and Nissan Motor are considering a consolidation to form one of the largest car groups in the world. Honda and Nissan signed a memorandum of understanding on Monday to fully started discussions aimed at extending a relationship that began earlier this year. The companies will talk about combining their activities under a holding company over the course of the next six months, with the aim of completing the consolidation in August 2026. Honda and Nissan, Japan’s subsequent- and third-largest manufacturers, would join a growing number of identity car companies, including General Motors and Volkswagen, that are deepening relationships to promote the economic problem of developing next-generation vehicles. The agreement is seen as a crutch for Nissan, which has been cutting jobs and output amid declining sales. More vehicles nowadays are being fitted with batteries, electric motors, and advanced technology that allow features like automatic driving, than the gasoline-powered cars that have dominated the market for the majority of the previous century. To understand the modify, Honda and Nissan have decided they may better manage research and development and new purchases as a mixed power, Honda’s chief executive, Toshihiro Mibe, said at a lecture in Tokyo on Monday. ” Current business models are being upended. It is not going to take 10 to 20 years for that to happen, it will come much faster”, Mr. Mibe said. He said,” We need the right artillery to be competitive on that battlefield, so we’re starting today.” The article content is retrievable with difficulty. In your browser’s settings, please enable JavaScript. Thank you for your patience as we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times. Thank you for your patience as we verify access. Already a subscriber? Log in. Want all of The Times? Subscribe.
Honda and Nissan Both Set to Merge as World Competition Slows Down
