Honda and Nissan’s planned merger, set for 2026, is risky due to potential integration issues. Read why I think investors should avoid or sell both companies' shares.

Honda has announced an agreement to merge with Nissan in a deal worth a reported $54 billion. 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.

Good morning! It’s Thursday, January 9, 2025, and this is The Morning Shift, your daily roundup of the top automotive headlines from around the world, in one place. Here are the important stories you need to know.

JACKSON, Miss. (WLBT) - The automotive world is buzzing with the news of a potential merger between Honda and Nissan. While it is still in the beginning stages, the two brands have announced plans to merge. They aim to become the world’s third-largest automaker. What does this mean exactly?

Honda’s CEO struggles to explain why the merger is happening, analysts remain skeptical, and Foxconn waits in the wings.

With their merger seeming increasingly inevitable, Honda and Nissan are considering more than just the benefits of cost savings on future electric products. With Trump returning to office and some import manufacturers feeling pressure to adjust their production strategies,

Honda’s largest crossover is the Pilot, which spans 199.9 inches (5,077 mm) long and has seating for up to eight people. The Armada is considerably larger as it measures 209.6 inches (5,324 mm) long. It’s also more burly thanks to a twin-turbo 3.5-liter V6 developing 425 hp (317 kW / 431 PS) and 516 lb-ft (699 Nm) of torque.

Here's a quick look at what a combined Honda and Nissan would mean for the companies, and for the auto industry.

A Honda executive suggested the two companies could co-develop future full-size vehicles or that Honda could utilize existing full-size Nissans for its lineup.