Nissan CEO tells Honda CEO he wants to end merger talks, doesn’t want to be Honda’s subsidiary – report

Nissan CEO tells Honda CEO he wants to end merger talks, doesn’t want to be Honda’s subsidiary – report

Nissan president and CEO Makoto Uchida has met his Honda counterpart Toshihiro Mibe to call off merger talks after Honda proposed making Nissan a subsidiary, a source told Reuters.

Rumours surrounding the two carmakers merging began late last year after Nissan, currently in financial crisis, was reported to only be able to last another 12-14 months unless it finds a stable investor.

Nissan and Honda signed a memorandum of understanding (MoU) two days before Christmas to explore a merger which, if successful, would create the world’s third-largest automotive group with an annual production of 7.4 million units.

Both companies aimed to finalise negotiations in June 2025 before forming a holding company in August 2026, when both Nissan and Honda would be delisted from the stock exchange. Reports emerged last month that Mitsubishi – not doing so well itselfmight not take part in the merger.

The first sign that talks were not going well was in late-January, when Honda reportedly told Nissan to buy back its stake from Renault when it likely did not have the means to do so. Then, just two days ago, Nissan and Honda delayed the announcement of their plans from end-January to mid-February.

Yesterday, news surfaced that Nissan would withdraw from the talks because Honda proposed that Nissan become its subsidiary, which was not in the spirit of the original discussions for a merger of equals.

“A consensus was reached (on Nissan’s side) that the talks cannot proceed under that proposal,” an unnamed source familiar with the discussions told Reuters, adding that Nissan will formalise the decision to withdraw at a board meeting before its third-quarter earnings announcement next week.

Honda won’t accept the merger if Nissan won’t become its subsidiary, Reuters cited an NHK report as saying.

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Jonathan James Tan

While most dream of the future, Jonathan Tan dreams of the past, although he's never been there. Fantasises much too often about cruising down Treacher Road (Jalan Sultan Ismail) in a Triumph Stag that actually works, and hopes this stint here will snap him back to present reality.

 

Comments

  • Squid on Feb 06, 2025 at 4:41 pm

    Honda need Nissan or Nissan need Honda?

    Like or Dislike: Thumb up 17 Thumb down 1
    • Celup King on Feb 07, 2025 at 8:10 am

      Nissan is well trained to backstab their partners and give them a batu nis-san.

      Like or Dislike: Thumb up 6 Thumb down 1
  • Tin Kosong on Feb 06, 2025 at 4:52 pm

    Nissan dah ada jodoh lain kot… hahaha

    Like or Dislike: Thumb up 3 Thumb down 2
    • Foxconn is the only other interested investor. It would ironic for Nissan ending up with Foxconn after for years thinking Renault is a bad partner.

      Like or Dislike: Thumb up 1 Thumb down 1
  • Ben Yap on Feb 06, 2025 at 4:52 pm

    Honda scared Nissan is a burden and bring the entire holding company down. who wants to give equal say to losers? beggars can’t be choosers.

    Like or Dislike: Thumb up 20 Thumb down 1
  • clownissan on Feb 06, 2025 at 5:07 pm

    what a joke, honda does not need nissan

    this marriage probably arranged by japanese govt in the first place

    Like or Dislike: Thumb up 19 Thumb down 1
  • Honda CEO, better watch out for the famous backstab from Nissan if you are not already. Tell the government “Welp, we tried to make it happen but unfortunately Nissan is run by a bunch of self-serving geezers. Nissan can either become Honda’s subsidiary or forget about it.”

    Like or Dislike: Thumb up 1 Thumb down 1
  • DonkeyKong on Feb 06, 2025 at 5:16 pm

    Nissan’s arrogance and ego rises once again to destroy the company, same as how their arrogance and feudal Japanese racism resulted in Ghosn getting screwed and Nissan ended up on a death spiral since then.

    Even prestige brands like Bentley and Lamborghini are okay being subsidiaries of a stronger and richer mass producer like Volkswagen, but somehow Nissan thinks they’re too good to be a mere subsidiary although they’re going bankrupt and are dying.

    Good riddance, Nissan. You deserve your own downfall.

    Like or Dislike: Thumb up 7 Thumb down 0
  • Unker Sam on Feb 06, 2025 at 8:05 pm

    Nissan tutup kedai tak lama, lagi nak lagak. Poor management, financial control and old age thinking while having great products also no point. You need to make the numbers, or the PRC will railroad all over you and that will be soon.

    Like or Dislike: Thumb up 0 Thumb down 0
  • Carlos Gone on Feb 06, 2025 at 8:58 pm

    Going under already still wanna ego. This flock of Nissan management including the CEO were the ones who sabotaged me. Padan muka korang!

    Like or Dislike: Thumb up 1 Thumb down 0
  • Hongda - Power of B40 Dreaming on Feb 06, 2025 at 9:01 pm

    Better not merge with us. You already have enough cvt problems. If not, your cars will have broken steering racks and gearboxes. Lagi teruk kena boikot nanti

    Like or Dislike: Thumb up 2 Thumb down 0
  • Which one sounds better? Honnis or Nishon?

    Like or Dislike: Thumb up 0 Thumb down 0
  • opmanmy on Feb 07, 2025 at 8:14 am

    Nissan is way over it’s head. Dah la, tengah tenggelam nanti mintak ini itu pulak.

    Like or Dislike: Thumb up 0 Thumb down 0
  • albag on Feb 07, 2025 at 9:32 am

    why cant these both Japanese companies support each other during this difficult times? both are under the same country and currently facing huge competition from outsiders especially from China, yet they still wanna murder each other business.

    Like or Dislike: Thumb up 1 Thumb down 1
  • nnnnnn on Feb 07, 2025 at 11:05 am

    common just let nissan go bankrupt.

    Like or Dislike: Thumb up 1 Thumb down 0
  • Mike Tee on Feb 07, 2025 at 11:23 am

    Tying two sinking boats together does not make them float

    Like or Dislike: Thumb up 2 Thumb down 0
  • Sell to China car company la heheh

    Like or Dislike: Thumb up 2 Thumb down 0
  • macampondan on Feb 08, 2025 at 11:31 am

    Nissan prefer hara-kiri. Die in honor than having to save their legacy and employees.

    Truely Japanese spirit.

    Like or Dislike: Thumb up 0 Thumb down 0
 

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