The problem is there is no likely outcome that would leave both companies and their employees better off than they are today.

While Honda does have the Prologue, that vehicle was part of a $5 billion joint venture with GM that only lasted through the development of two vehicles. The Prologue has been a surprise EV hit, selling over 33,000 in 2024 and outselling the larger gas-powered Honda Passport.

Mitsubishi, which has long been allied with Nissan, will decide by the end of January 2025 whether to join the venture, potentially increasing the total merger value to $58 billion. If all parties agree to merge,

Honda and Nissan’s merger risks failure due to cultural clashes and misalignment. Find out why HMC and NSANY stocks are uncertain investments.

When asked how the upcoming merger with Nissan and Mistubishi will impact collaborations with GM, a Honda executive said they'll "remain unaffected."

Once they find a common direction, Honda and Nissan will draw up a definitive agreement to merge, including a plan to transfer shares, by June 2025. If that goes through, they will seek to get plans approved by April 2026, with the merger happening later that year.

Honda may soon get its first opportunity to make a true full-size SUV and pickup truck, according to AutomotiveNews. After speaking with Honda Motor Co.'s executive vice president, Noriya Kaihara, the outlet learned that the merger between Honda and Nissan could give Honda access to Nissan's experience and knowledge in producing full-size body-on-frame trucks.