The merger talks between the two Japanese car manufacturers Honda and Nissan have failed. With a merger of $ 60 billion (around 58 billion euros), the fourth largest car manufacturer in the world was created after sale to Toyota, Volkswagen and Hyundai.
Instead, the companies want to work with Mitsubishi Motors in the “Strategic Partnership”, which has been planned since August last year, aimed at digitization and electrification of vehicles, the group said in Tokyo on Thursday. For days the signs were compressed to stop megaism. According to the media reports, the dispute was the intention to make the smaller car manufacturer Nissan a subsidiary, although a merger was originally the goal.
“Strategic partnership” against Chinese competition
The withdrawal of the conversations will finally be decided by the Nissan Board in the coming week before the announcement of the following quarterly figures on February 13, said an Insider days ago. The American broadcaster MSNBC also reported on the refusal of Nissans to close his own factories and to relieve employees.
The Japanese car manufacturers hoped to defend themselves better against the weakening activities in China and the reinforcement competition on the growing market for electric market. Japanese car manufacturers have been left in this area worldwide. Tesla and the Chinese manufacturer BYD exert pressure on the Japanese in the US and China. Nissan has to struggle in particular on the Chinese market, where sales have fallen considerably.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
