Mitsubishi Motors Considers Opting Out of Honda-Nissan Merger

Mitsubishi Motors Corp. is reportedly reconsidering its participation in the planned merger between Nissan Motor Co. and Honda Motor Co.

Sources suggest that Mitsubishi is now focusing on strengthening its current cooperation with the two larger automakers, rather than joining the merger under a holding company structure.

This shift in strategy stems from concerns about losing management control if it becomes part of the combined entity.

Mitsubishi, which has established a strong presence in Southeast Asian markets like Indonesia and the Philippines through its partnership with Nissan, appears wary of the potential loss of influence within a larger merged organization.

As the automotive industry increasingly shifts focus toward electric vehicles (EVs) and software development—areas where all three companies face significant challenges—Mitsubishi’s reluctance to join the merger highlights ongoing doubts about the potential synergies between the three manufacturers.

Mitsubishi has not yet finalized its decision and is exploring various options. The company has stated that no specific direction has been decided as of now.

Late last year, Honda and Nissan, Japan’s second- and third-largest carmakers by volume, announced plans to merge under a holding company by 2026.

This merger would create the world’s third-largest automotive group by volume, designed to more effectively compete with U.S. and Chinese electric vehicle manufacturers.

However, Mitsubishi’s hesitation to join the merger points to internal concerns regarding Nissan’s recent struggles. In November, Nissan unveiled a major restructuring plan, including job cuts and a significant reduction in global production capacity, following a sharp decline in net profit. This has led to caution within both Mitsubishi and Honda, with some questioning Nissan's ability to successfully execute its turnaround strategy.