Categories: Auto News

Honda and Nissan announced the creation of a holding company

As part of the merger, they will jointly develop platforms and applications for future cars, and combine financial flows and supply chains. The synergistic effect will help the Japanese become more competitive, plus they will be able to create and bring new models to the market faster.

Honda and Nissan have signed a memorandum of understanding to create a joint parent company. Thanks to the synergy, the Japanese plan to effectively deal with modern challenges, as well as become one of the leading mobility companies with annual sales revenue of 30 trillion yen ($191 billion). Among other things, Honda and Nissan will jointly develop platforms for software-defined (software-defined) cars, as well as fundamental technologies.

Collaboration in R&D is only a small part, since the companies will also jointly operate their existing factories and share common supply chains for raw materials and components. Here we can add a unified and standardized document flow and the consolidation of some financial transactions, which will provide customers of both brands with new financial services and tools throughout the entire life cycle of the car.

The parent company will receive part of the shares of Honda and Nissan, but the size of the shares is still unknown. The deal will be closed in August 2026, and by the end of January 2025, Mitsubishi Motors may join the alliance. There we took a break for now to evaluate the pros and cons of cooperation and understand what roles we could play in all this. At the same time, despite the uncertainty, Mitsubishi is already participating in the condemnation of the prospects of the newly formed holding company.

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