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Marketplace All-in-One

Nissan and Honda kick the tires on a possible merger

Marketplace All-in-One

Marketplace

News, Business

4.51.4K Ratings

🗓️ 18 December 2024

⏱️ 9 minutes

🧾️ Download transcript

Summary

From the BBC World Service: A potential merger of two of Japan’s largest carmakers could be in the cards; Nissan and Honda have said they’re “exploring various possibilities for future collaboration.” Also on the show: The global skincare market is worth billions of dollars, but it’s not just adults who are spending big — kids are also making more purchases than ever, and dermatologists are warning unsuitable products could damage their skin.

Transcript

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0:00.0

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0:25.2

That's Marketplace.org from the BBC World Service. I'm Leanna Byrne. Good morning. A potential merger of two of Japan's largest carmakers

0:55.7

could happen as Nissan and Honda are in talks to join forces. The two companies say they're exploring

1:01.8

various possibilities for future collaboration. The BBC's Surinjana Tuari has more. Hello.

1:08.0

Hi. What details do we know so far? Discussions between these two auto

1:12.6

giants were first reported by Japan's Niki newspaper and now the BBC understands that Honda

1:19.0

and Nissan are indeed discussing a potential merger. Now the talks are understood to be in the very

1:25.2

early stages and there is no guarantee that a deal will be struck.

1:29.6

But this is the clearest sign yet of some sort of reorganisation in Japan's auto industry,

1:35.7

in the face of immense challenges posed by car makers like Tesla and other Chinese electric vehicle makers.

1:44.7

Now, the two manufacturers had already agreed to collaborate

1:48.2

on some aspects of making electric vehicles

1:51.5

with that announcement coming back in March.

1:54.9

Any tie-up of Japan's number two and number three automakers,

1:59.1

both of which these companies are, would certainly create

2:02.8

a formidable domestic rival to Toyota, which of course is Japan's largest automaker.

2:09.8

Now, some analysts say this is good news because of the pressures that both the companies

2:16.3

are facing right now. Here's Neil Newman,

2:19.1

head of strategy at Asteris Advisory, Japan. Putting together a very significant Japanese car

...

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