Honda, Nissan and Mitsubishi have signed an agreement to merge

It's done: a memorandum of understanding has been signed between Honda, Nissan and Mitsubishi. The three Japanese firms intend to merge to jointly face Chinese competition. If this is confirmed, this new entity could become the third largest manufacturer in the world behind Toyota and Volkswagen.

The birth of a new automobile giant?

Japanese brands are finally going on the offensive. Lagging behind in the electric field, Honda, Nissan and Mitsubishi have just announced the signing of a memorandum of understanding to try to merge. The news was communicated during a press conference held in Japan on December 23, 2024. The details of the merger are few, but everything seems to indicate that Honda will be at the head of this new alliance.

Unlike Nissan, which is seeing its sales collapse, the Tokyo manufacturer's activities are more solid. If the transaction goes through, it would create the third largest automaker in the world in terms of sales based on current results. Behind Toyota and Volkswagen. This merger would allow the three Japanese brands to have real firepower to take on Chinese manufacturers and Tesla.

Nissan and Honda try to survive

Nissan needs to develop in the hybrid field. Honda masters the subject particularly well. For its part, the Yokohama firm could help its future ally in the field of 100% electric vehicles. Honda has fallen far behind in this sector. Let's not forget that the Nissan Leaf was still the first electric car marketed on a large scale. This passive can help.

Mitsubishi is too small to continue on its own. This alliance seems to be his best opportunity. Sharing technologies and costs as well as pooling skills could allow the three brands to get through this. It remains to be seen how this will play out in practice. Implementing such a merger will not be easy.