Nissan is one of the largest Japanese car manufacturers. It is the third company in the country as it is at the bottom of the list Toyota y Honda in terms of annual volume of vehicles manufactured. However, it is a firm without a fault in terms of the quality of its products or the technology it is developing. However, it is now experiencing difficult times because Their sales have fallen and therefore their profits, leaving their future in the air..
As you well know, because we have told you many times, The Japanese company is part of the Renault-Nissan Alliance and together with Mitsubishi it is one of the main manufacturers in the world. The problem is that, due to all the problems they have had with the French, they have had to start the journey alone. And things are not going very well for them, as they are currently looking for a new partner with whom to secure their future. All this while they are negotiating with Honda…
Nissan is reportedly looking for a new partner and Honda would be the ideal solution… although it would be the last option…
If you think back you must remember that not long ago we talked to you about the possibility that Nissan and Honda would take a step and join forces. For now, this is a possibility, but it could mean important changes for the structures of both companies. Even more so because Japanese car manufacturers see competition in a different way than in Europe. The best example is Toyota, Mazda and Suzuki and their great technical alliance.
The downside is the fact that Renault is selling shares in NissanAs we all know, the French have strengthened their ties with the Chinese manufacturer Geely and, therefore, they are no longer interested in collaborating so much with their current partners. This sale of shares is part of the new agreement to redistribute power with Nissan, but a greater outflow of their capital is expected as their alliance with the Chinese is strengthened with new developments…
To solve their problems, they will also sell a large part of their shares in Mitsubishi…
When the house of three diamonds went into decline Nissan acquired 34% of its sharesWith this percentage, they ensured their control by making it part of their association with Renault. In addition, the French are going to use Mitsubishi to improve their numbers, while the Japanese are going to use the French to increase their range. This can already be seen in the new ASX or Colt, which are nothing more than mere rebadges of the Renault Captur and Clio that we already know.
However, Nissan needs liquidity and its plans would involve reduce its stake in Mitsubishi to 10%With that percentage they would maintain their control while obtaining liquidity to "cover holes." And then there are those responsible for Renault who would be waiting for events to decide what to do. Yes, because with Honda there could be an exchange of shares, although this situation would be the last one they would have thought of.
However, several sources, including the Financial Times, indicate that Nissan would only have one year to find a new partnerThey would only have 12 to 14 months to secure their future and it would be all the same to them whether it was a bank, a new brand or any other type of exchange. They need the money because without it they will not be able to maintain their internal structure for much longer. The only requirement is that it be a stable partner.
Nissan's goal is to change its fortunes in the two most powerful markets in which it is present. The United States and Japan are going through turbulent times, especially the former now that Trump will return to power on January 20, 2025. The only thing that matters to the brand's executives is that they make money in both countries and to do so they need to change everything. For this reason, they are even considering the option of Renault sells part of its shares in Nissan to Honda.
Finally, we will enter the realm of conjecture. There are already those who say that a super group could be created in the automobile sector. On the one hand, there would be Nissan-Honda-Mitsubishi which would be responsible for focusing all their operations in the US, Asia and ASEAN. These three Renault would join which knows the European market better and therefore the four of them would practically monopolise the entire world. Do you think this is a good solution? Time will tell…
Source - Financial Times
Images | nissan
