Honda and Nissan are moving closer to a partnership, and neither company can afford to wait, according to Honda president Toshihiro Mibe.
Speaking at Honda's annual general shareholders meeting in Japan, Mibe said work with Nissan is “quite far along, with some aspects close to an announcement.”
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The comment was likely aimed at calming shareholders after Honda posted its first annual net loss in history—423.9 billion yen ($2.62 billion) for the year ending in March.
Mibe warned that if Honda cannot “beat emerging forces within three years… our four-wheel business will be in trouble.”
Shared ECUs as Foundation
Earlier this week, it was revealed that common electronic control units (ECUs) will be used across Honda, Nissan, and Mitsubishi models, including hybrids and EVs.
According to Nikkei Asia, the three companies still need to settle questions around development funding and other terms before signing, though an agreement is expected within weeks rather than months.
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Shared ECUs could reach the market around 2029 or 2030, serving as a central brain that makes further collaboration easier.
Mibe said Honda is “proceeding with each project in a win-win relationship.”
Renault's Potential Obstacle
One factor that could complicate closer ties is Renault. The French company still holds a 15 percent voting stake in Nissan.
Reports indicate Renault may have recently influenced shareholders to reject Nissan's proposal to appoint Motoo Nagai as an outside director.
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Since Nissan is publicly traded, it needs shareholder consent for important capital alliances, such as with Honda. This shows Renault still has significant sway.
