Honda and Nissan are in early talks about a potential merger to compete with electric vehicle (EV) makers in China. In March, they agreed to explore a strategic EV partnership.

 

 

Honda and Nissan are in early talks about a potential merger to compete with electric vehicle (EV) makers in China. In March, they agreed to explore a strategic EV partnership. Both companies confirmed they are considering future collaboration but haven't announced anything officially.

 

The merger talks are in the early stages with no guarantee of a deal. Political scrutiny and Nissan's alliance with Renault could complicate things. Recently, Honda and Nissan deepened their EV collaboration and agreed to work with Mitsubishi Motors on electrification.

Nissan shares rose 23%, while Honda's fell 3% and Mitsubishi's rose 20%. They are struggling to compete with cheaper EV makers like BYD in China.