Honda and Nissan announce merger to form world’s third-largest automaker

Tokyo, Japan – In a landmark move set to reshape the global automotive industry, Honda Motor Co., Ltd. and Nissan Motor Co., Ltd. have officially entered into merger talks. This strategic alliance aims to create the world’s third-largest automaker by sales, combining the strengths of both companies to better compete in the rapidly evolving market. The merger, expected to be finalized by 2026, will unify operations under a joint holding company while maintaining the distinct identities of each brand.

Honda CEO Toshihiro Mibe and Nissan CEO Makoto Uchida highlighted the merger’s focus on “intelligence and electrification” during a joint press conference. The combined entity will leverage shared resources to accelerate advancements in electric vehicles (EVs) and autonomous driving technologies. This collaboration is seen as a necessary step to counter the growing competition from Chinese automakers and other global players in the EV market.

The merger will also bring significant operational efficiencies and cost savings, allowing both companies to invest more heavily in research and development. By pooling their expertise, Honda and Nissan aim to enhance their product offerings and deliver innovative solutions to meet the demands of a changing automotive landscape. The companies project combined annual sales of approximately $191 billion, positioning them as a formidable force in the industry.

As the automotive sector undergoes a dramatic shift towards sustainability, the Honda-Nissan merger represents a bold move to stay ahead of the curve. Both companies are committed to maintaining their unique brand identities while working together to achieve common goals. This merger marks a new chapter in the history of both automakers, promising a future of enhanced capabilities and competitive edge in the global market.