Recent rumors about possible interest in a merger between Japanese automakers Nissan and Honda, according to Nikkei, were generated not only by the need to confront foreign competitors. Thus, the old-timers of the Japanese market hoped to avoid the purchase of the first of the companies by the Taiwanese contract manufacturer Foxconn.
Image source: Nissan Motor
New details about the interest of this person involved in the assets of Nissan Motor are provided by Bloomberg, which claims that the Taiwanese giant has so far reduced its negotiating activity after negotiations with Renault in France, which owns a 36% stake in Nissan. At the same time, Foxconn is ready to return to this topic if the deal between Nissan and Honda still does not take place.
As you know, Foxconn has long demonstrated ambitions in the field of contract manufacturing of electric vehicles, so it would like to gain access to the assets of one of the market pioneers on favorable terms. Negotiations between Nissan and Honda are believed to have been accelerated following interest from Foxconn. Japanese companies don’t really like interacting with foreign investors, so a domestic deal is their preferred option to save Nissan’s business. Nissan Motor shares have fallen 20% since the start of the year, even after rising this week following rumors of interest in a merger with Honda Motor.