Nissan has reportedly ended merger discussions with Honda and is now exploring new partnership opportunities
Nissan has reportedly ended merger talks with Honda after the two automakers failed to agree on terms. The talks fell apart when Honda proposed making Nissan a subsidiary, a move Nissan’s leadership opposed. Nissan is now seeking new partners, with Foxconn, the Taiwanese tech giant known for assembling iPhones, emerging as a potential candidate.
The merger discussions began with a memorandum of understanding in December 2024, aiming to create a joint venture by August 2026. However, Nissan CEO Makoto Uchida informed Honda CEO Toshihiro Mibe of the decision to withdraw during a recent meeting in Tokyo. Despite the collapse, Honda remains open to collaborating with Nissan on EV software and battery development on a smaller scale.
With the $60 billion deal off the table, Nissan is exploring partnerships with tech companies to stay competitive. Foxconn, which expressed interest in acquiring Nissan as early as December, is now seen as a serious contender. Foxconn’s existing EV subsidiary, Foxtron, could benefit from a partnership, while Nissan could gain financial support to address its recent challenges, including job cuts and reduced production.
For now, both Nissan and Honda are maintaining their original plan to announce the outcome of their discussions by mid-February.
