Parting Partnerships: Nissan and Honda to terminate MOU for consideration of business integration

Toronto, Ontario – On February 13, 2025, Nissan and Honda agreed to terminate the Memorandum of Understanding (MOU) originally signed on December 23, 2024 for the consideration of a business integration between the two companies.

According to a recent press release, since signing the MOU, the management teams from both companies, including chief executive officers, reconsidered the surrounding market environment, the objectives of business integration and the management strategies and structures post-integration.

The press release further notes that during the discussions between both automakers, Honda proposed changing the structure from establishing a joint holding company, where Honda would appoint the majority of directors, to a structure where Honda would be the parent company and Nissan the subsidiary through a share exchange.

However, following these discussions, both companies concluded that, to prioritize the speed of decision making, it would be most appropriate to cease discussions and terminate the MOU.

The press release concluded that going forward, Nissan and Honda will collaborate within the framework of a strategic partnership aimed at the era of intelligence and electrified vehicles.

To see the full release, click here.