Honda Motor and Nissan Motor are preparing to discuss a merger to strengthen their global electric vehicle market position.
The companies aim to form a single holding company and sign a memorandum of understanding soon.
This initiative responds to the intense competition from Chinese electric vehicle manufacturers, challenging established brands to remain profitable.
Furthermore, Honda and Nissan intend to bring Mitsubishi Motors into this holding company. Nissan, holding a 24% stake in Mitsubishi, would help create one of the world’s largest auto groups.
Details about the stakes and other aspects of the new entity will be determined later, as mentioned in the report.
