Nissan, Honda respond to reports of potential merger being scrapped

Core Viewpoint - Nissan and Honda are facing challenges in their potential merger discussions, with Nissan considering backing out due to unacceptable terms proposed by Honda [1][2]. Group 1: Merger Discussions - Reports indicate that Nissan is weighing the option to abandon the memorandum of understanding with Honda [1]. - Nissan plans to finalize its direction regarding the merger discussions by mid-February [3]. - Honda stated that discussions are still ongoing but did not provide further details [4]. Group 2: Background and Objectives - In late December, Nissan and Honda announced a memorandum of understanding aimed at maintaining global competitiveness and enhancing product offerings [5]. - The potential merger could create the world's third-largest automaker, integrating management resources, knowledge, and technologies [6]. Group 3: Production and Market Capitalization - Honda produced over 3.7 million vehicles in 2024, while Nissan produced over 3.1 million [7]. - As of the latest reports, Honda's market capitalization was approximately $50.11 billion, and Nissan's was around $9.44 billion [7].