In December, there was an improvement in the automotive sector that could change the balances. Nissan and Honda officially announced the decision of cooperation and merger at a joint press conference. However, the latest developments show that things are not going well.

Nissan-Honda merger talks ended

According to information shared by reliable sources such as Nikkei, Honda suggested Nissan to make its own subsidiary instead of merging under a new holding company, as previously explained.

Although Honda’s CEO said that this was not a rescue operation for Nissan at that time, the last proposal proves the opposite. As it is known, Nissan announced in the first half of last year that he would dismiss thousands of employees after explaining a decrease in a 93 percent decrease in his net profit. So, things weren’t going well.

Japanese giants officially explained: Nissan, Honda and Mitsubishi unite!

Nissan, Honda and Mitsubishi officially announced the cooperation and merger decision at a joint press conference today.

However, Honda’s proposal was met with reaction on the Nissan front and the ongoing unification negotiations ended for a while. As it will be recalled, the first plan was the unification of the companies under a holding company. With this move, it was planned to be the third largest car manufacturer in the world.

After the emergence of news that the merger was canceled, Nissan shares fell by 4.8 percent. Honda shares increased by 8.2 percent.

For now, there is no explanation from Honda and Nissan. However, if this claim is true, things in the automotive sector may not be the same for the companies in question.

So what do you think about this? Don’t forget to share your opinions with us in the comments section!