Honda Motor and Nissan Motor today announced their plans to merge, and will establish a new joint venture holding company by August 2026. With this announcement, the two companies have now begun discussions to integrate the two businesses under a new holding company – and if all goes well, we will see the formation of a new automotive giant.
Despite the merger, the two brands Honda and Nissan will be maintained as they are today.
According to Honda, if the combination is successful, they will see the integration of management resources, human resources, and technology – thus leading to better synergies, and leading to long-term corporate value.
With this combination, both companies want to drive development towards electrification, in addition to better software integration – allowing them to compete effectively with various other global competitors, especially from China.
For the next phase, both parties will form a special committee to look at the integration of both businesses and companies before beginning further discussions involving mergers, delisting of shares, and the formation of a new holding company.