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Although initial talks on a major merger fell through, Japanese automakers Honda, Nissan, and Mitsubishi are still exploring opportunities to collaborate, particularly in the fields of electrified technologies and software systems. The talks are reportedly mostly focused on the US market, where companies are looking for ways to cut costs and operate more efficiently.
At the end of 2024, there were rumors about the merger of Honda and Nissan, and soon, Mitsubishi joined the story. However, those negotiations quickly broke down without a concrete agreement. Despite this, the companies continued to consider partnerships in specific fields, such as supplying models for the North American market, developing electrified powertrains, and improving automotive software.
During a recent financial results presentation, Honda executive vice president Noriya Kaihara confirmed that they are “trying to explore various possibilities, such as complementary model supply,” but stressed that there are no concrete plans yet. He also mentioned software as a possible area of cooperation, noting that the companies have made independent progress and that it is too early to draw firm conclusions.
Nissan CEO Ivan Espinosa confirmed that “the latest discussions are mostly focused on the US and how we can work together in North America, given the challenging customs environment.” He added, “Both sides recognize the challenges the industry is facing, and since we are Japanese companies, I think we have to find a common language for cooperation.”
Espinosa described the talks as constructive but emphasized that Nissan is not focused exclusively on Honda and that the company is open to any partnership that strengthens business value. In the automotive industry, cost sharing is becoming increasingly important due to the huge investments that new technologies require.
However, turning the intention into action has proven difficult, as the product portfolios and production facilities of Honda, Mitsubishi, and Nissan largely overlap, rather than complement each other. Examples of cooperation have thus far been limited.
Nissan recently received a customized version of the Mitsubishi Outlander plug-in hybrid for the US market, which it sells under the name Rogue PHEV. Under the plan launched last year, Nissan is also supposed to supply Mitsubishi with a version of its electric Leaf model, but that model has not yet reached the market.
“The only thing I can say is that the talks are progressing,” said Mitsubishi Chief Executive Officer Takao Kato. “If the discussions with Nissan and Honda bear fruit, we hope to incorporate the results into our new midterm plan. We expect to finalize and discuss more details about the new SUV in the near future.”
Also See: Mitsubishi Has Been Forced Out Of The Chinese Market
Source: AutoJosh | Read the Full Story…
