--- title: "Nissan Wants a Merger of Equals With Honda or No Deal" date: "2025-02-05" modified: "2025-02-05" authors: - name: "Ronan Glon" job_title: "Contributing Writer" link: "https://www.thedrive.com/authors/ronan-glon" url: "https://www.thedrive.com/news/nissan-wants-a-merger-of-equals-with-honda-or-no-deal" categories: - "Honda News" - "News" - "News by Brand" - "Nissan News" tags: - "honda" - "Nissan" --- # Nissan Wants a Merger of Equals With Honda or No Deal ![]() *\Honda\* The much-hyped [merger talks between Honda and Nissan]() are reportedly on the brink of collapse. The two Japanese rivals predicted that they could instantly form the world's third-largest carmaker by joining forces, but a recent report claims that Nissan is planning to end the negotiations after learning that Honda is more interested in a full-on takeover than a friendly tie-up that places both companies on equal footing. Citing anonymous insiders, *[Reuters]()* wrote that "growing differences on both sides" have complicated the talks, and the differences may be too big to overcome. One of its sources said a major point of contention is how both automakers see the partnership. Honda allegedly asked Nissan to become a subsidiary, which was "a departure from the original spirit" of the discussions, and the idea set off a five-alarm panic in Yokohama. Nissan's board members will meet "in the near future" to decide whether to continue the talks, according to *Reuters*. But if it's not Honda, it will likely have to be someone else. Nissan is stuck between a rock and a hard place; its sales are falling in key markets and it's in serious debt, and its problems will be compounded by the tariffs that the Trump administration [has threatened to impose on Mexican-manufactured goods](). Walking away from Honda could very well [give Foxconn an opening to pursue a hostile takeover again](), as was reported late last year. And this time, Nissan might not have a more attractive offer to hold off the Taiwanese tech giant. As for Honda, it has a market value that's nearly five times larger than Nissan's, which might be why it was bold enough to reportedly flex its corporate muscles. And while Nissan claims it has a turnaround plan, sources say Honda has been worried about the progress being made on it. Unsurprisingly, shares of Honda increased by 8% on the Tokyo Stock Exchange by the end of trading Wednesday, while Nissan's slid by 4%. Neither company has officially commented on the report or on how the merger talks are progressing, but they previously said they would provide an update in mid-February. We can't help but wonder if [Mitsubishi](), which seemingly left the negotiations, received a similar offer to Nissan's that it really didn't like. *Got tips? Send ’em to tips@thedrive.com* ## Author Ronan is a contributing writer for The Drive. He draws on over 15 years of experience to cover breaking industry news, cool one-off builds, and anything in between. He began writing for The Drive in 2021 and stepped into his current role in 2024. His obsession with cars started when a relative gave him a Majorette die-cast shortly after his first birthday. It hasn't flickered since. Ronan lives in France; He swapped Utah's Rocky Mountains, where he grew up, for the Alps. He's an avid hiker, mountain biker, and musician. He also restores classic European cars and mopeds, including a 1978 Citroen 2CV that he's rebuilding from the ground up. ### Author social links [Twitter]()