The potential merger could form the world's third-largest auto group with an annual production of 7.4 million vehicles.

In December 2024, reports emerged that two of Japan's automotive juggernauts are looking to form a merger akin to the automotive equivalent of a 'dream team.' On Dec. 23, the leaders of Japanese automakers Nissan (NSANY) and Honda (HMC) announced that they intend to merge under a holding company in an effort to stay competitive against its rivals in a world shifting towards electric vehicle adoption.

The problem is there is no likely outcome that would leave both companies and their employees better off than they are today.

Nissan Motor plans to cut approximately 9,000 jobs worldwide as part of a major restructuring effort, according to reports from and . More than 70% of the layoffs—around 6,700 positions—will impact production staff,

According to a report by Reuters, Mitsubishi is considering not joining the planned merger between Honda and Nissan. Sources told the news outlet that Mitsubishi, which is 34.01% owned by Nissan, plans to remain listed

Honda executives recently shared insights into their rationale for the proposed merger with Nissan.During a media roundtable at CES 2025 in Las Vegas Honda stressed the urgency to address mounting competition from Chinese automakers,

Mitsubishi Motors Corp. is considering not joining the planned merger between Nissan Motor Co. and Honda Motor Co. and instead focusi

The mooted Honda Nissan merger and the fallout from leadership change at Stellantis suggests the auto industry must brace for turmoil, where size is a survival necessity.

Honda and Nissan announced merger plans in December 2024, and the process has been progressing as per schedule. The merger will also include Mitsubishi, and both companies aim to reach a definitive agreement by June 2025.

As Honda and Nissan negotiate the terms of a possible merger, we take a speculative look at what new vehicles could spawn from the unprecedented collaboration.