TOKYO, Feb. 13 (Xinhua) -- Honda Motor Co. and Nissan Motor Co. have decided to terminate discussions on a potential merger, bringing an end to the restructuring attempt to create one of the world's largest automotive groups.

Both companies held board meetings on Thursday, where they agreed to withdraw the basic agreement signed in December 2024 and officially end merger discussions, national broadcaster NHK reported.

Honda will hold an online press conference at 4:50 p.m. local time (0750 GMT) regarding details of the decision.

The two companies initially focused on forming a holding company that would oversee both brands, but negotiations stalled over the shareholding structure as tensions escalated when Honda proposed making Nissan its subsidiary, an idea Nissan strongly opposed.

According to local media, Honda has been pushing Nissan to accelerate its restructuring efforts. In November 2024, Nissan announced plans to cut 9,000 jobs worldwide and reduce its global production capacity by 20 percent after reporting a more than 90 percent drop in net profit for the April-September period. Enditem

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