Honda, Nissan, Mitsubishi Considering Merger

Tokyo, Dec. 18 (Jiji Press)--Honda Motor Co., Nissan Motor Co. and Mitsubishi Motors Corp. are considering options for their cooperation including a merger, informed sources said Wednesday.

The Japanese automakers are eager to accelerate technology development in preparation for the full-scale spread of electric vehicles, aiming to survive competition with overseas rivals that are ahead in the EV market, people familiar with the matter said.

If realized, the three-way merger would create the world's third largest auto group, after the Toyota Motor Corp. group and the Volkswagen Group.

Honda and Nissan are expected to sign a memorandum of understanding soon and announce the start of merger talks later in the month, at the earliest, people close to the two companies said.

In a statement released Wednesday, Honda, Nissan and Mitsubishi said they are considering various future collaborations based on each company's strength.

[Copyright The Jiji Press, Ltd.]