Sunday, October 17, 2021
News Officials in Japan Wanted Nissan, Honda Merger. Honda and Nissan Did Not

Officials in Japan Wanted Nissan, Honda Merger. Honda and Nissan Did Not

Officials wanted Honda, Nissan merger to keep companies ahead of competition

  • Nissan is already heavily allianced with Renault for modern tech and parts share

  • Honda working with GM for EV and AV development


A new report suggests that the Japanese government was trying to push a merger between Nissan and Honda, most likely to help both attain greater technology and cost-sharing, but the plan was foiled when both companies rejected the idea.

The attempt was first floated to the two automakers late last year, says The Financial Times, who cites three people familiar with the effort. The government feared that Japan’s auto manufacturing base was losing its advantages as self-driving and electric vehicles changed the playing field and introduced more competitors.

As more and more automakers merge and partner with others, most recently the announced merger of Fiat Chrysler and PSA, Honda’s independence has come under scrutiny. Though that automaker has worked with General Motors on self-driving and electric vehicle development over the past few years.

While the chaos surrounding COVID-19 buried the efforts, they were likely already dead. Neither Honda nor Nissan, which is part of a now-struggling alliance with Mitsubishi and Renault, were interested in the partnership.

The report says Honda officials pushed back against Nissan’s complex involvement with Renault while Nissan opposed it as they try and get that same alliance back on track. FT also said that while Honda and Nissan are similar in new car sales, Honda’s large profits from motorcycles, as well as being the world’s largest maker of engines (that includes powersports and lawn and garden).

Nissan has been an EV pioneer, while conservative Honda has stuck with hybrids, much like larger Toyota, and has invested heavily into hydrogen-powered vehicles.

 

Trending Now

GM Ultra Cruise to enable hands free driving in 95% of driving situations

Ultra Cruise will be useable on every paved road in the US and Canada The less capable Super Cruise will be offered on...

Trailer Capable of Charging EVs to be Available Next Year

The company that makes them is called Colorado Teardrops. They already have hundreds of pre-orders. Called the Boulder, it will house a 75...

VinFast to Debut Two Electric Crossovers at Los Angeles Auto Show

VinFast will enter the U.S. and Canadian markets in 2022. Two fully electric crossovers will be introduced, the VF e35 and VF e36. ...

France to invest in electric car production

  4 billion euros will be allocated to the transport sector, mostly electrification France has suffered from industrial decline since the 90s These measures...

Ford Will Employ “Charge Angels“ to test public charging stations across the US

Ford doesn’t have a proprietary charging network Owners of EVs often complain about slow or defective charging stations Employees called “charge angels” will...

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.