Media reported on a possible merger of Nissan and Honda

Japanese car companies Honda and Nissan are in talks on deepening cooperation and possible merger in connection with growing competition from Tesla and Chinese automakers. This was reported by Reuters on December 18, citing two sources.

In the case of a merger in the global auto industry will form a new auto giant. The merger of Honda and Nissan will lead to the creation of a company worth $54 billion with an annual production volume of 7.4 million cars, which will make it the third largest automobile group in the world in terms of sales after Toyota and Volkswagen.

In March, the two companies entered into a strategic partnership to jointly develop electric vehicles. Nissan's financial and strategic problems, which have worsened in recent months, have reinforced the need for closer cooperation with Honda.

Honda and Nissan have issued statements saying neither company has announced a merger. Renault, a major Nissan shareholder, declined to comment.

Downstream: why new car sales have fallen in Russia

Market participants forecast further decline in sales of cars

On December 12, AvtoVAZ head Maxim Sokolov said that while the domestic company is ramping up production and developing new models after the withdrawal of foreign partners and suppliers from Russia, major Western manufacturers, including those that left the Russian market, are experiencing problems.

On December 26, it was reported that Nissan is looking for an anchor investor to help it survive the coming year as Renault cuts its stake in the Japanese company.