In the “Safest Operator” category, Carlos Lazo, Samsara’s regional sales director, commented that this space recognizes the work done with operators .

One of the finalists in the category was Grupo Vencedor , which has a 70-year track record in personnel and tourism transportation. Among the results obtained were a 30% reduction in high-risk events , a 25% decrease in incidents attributable to the operator, and a 20% increase in response times.

GCC was also a finalist in this category, with findings such as a 60% decrease in insurance premium expenses, a 40% reduction in total accidents, and 74% less time spent speeding .

The winner of this category was Grupo Aralo (member of the  Top 100 of Autotransport® ), which achieved a 30% reduction in risky driving, 25% fewer incidents with operator responsibility, and a 20% increase in incident response .

The “Excellence in asset security” category distinguishes companies that have successfully developed innovative strategies in this field.

The first finalist in the category was Grupo Express del Norte (member of the  Top 100 of Autotransport® ), which achieved, among other things, savings of more than 100 million pesos (mdp) due to accident issues, zero completed robberies in the 2024 and 2025 cycle, as well as 100% recovery of assets .

Another finalist was Trayecto (number 1 in the Top 100 of Autotransporte® ), which achieved a 38% decrease in total thefts, a 92% recovery of assets and 100% savings in insurance policy costs .

The winner of this category was Grupo MexAmerik (member of the Top 100 of Autotransporte® ), which achieved a 45% reduction in completed robberies, increased thwarted robberies by 125%, resulting in 54% fewer robbery claims, despite having an operation of high-value products and use of critical routes .

In the “Digital Transformation of the Year” category, Óscar Gutiérrez highlighted the celebration of advanced technological integration, with Nissan Mexicana being one of the finalists , with results such as increasing overall operational efficiency from 10 to 25%, as well as 100% automation in critical flows via API.

García’s Trucking (a member of the Top 100 of Autotransport® ) was another finalist, which reduced the accident rate by 78%, also obtaining 17 million pesos in fuel savings due to efficiency, and a reduction of 12 million pesos in costs related to accidents.

The winner in this category was Royal Transports , which, among other factors, reduced completed thefts by 57% and theft losses by 59%, as well as automating theft reports via Slack by 80% .

Carlos Lazo emphasized that while all these awards recognize excellence, achieving these standards depends on the human factor, and for this reason, Rigoberto Carrera of Flecha Amarilla was recognized with the “Operator of the Year” award, who achieved, among other factors, a journey of 129 million kilometers in 2025 without accidents, a total of 100% in safety score, and zero disciplinary sanctions in his career.

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El cargo Rewarding excellence fosters consistency: Samsara apareció primero en T21.

Following Nissan ‘s announcement that it is closing its manufacturing plant in the Cuernavaca Valley Industrial City (CIVAC) in Morelos, at least two automakers have shown interest in occupying the facility, according to José Víctor Sánchez Trujillo, head of the Morelos Secretariat of Economic Development and Labor (SDEyT) , who for confidentiality reasons did not reveal the names of the companies that have raised their hands.

“There are at least two automakers we’ve already interviewed who are interested. The investors are domestic, but they would evidently assemble vehicles and trucks, many of them with Chinese parts, and they’re thinking about targeting the Mexican market, but especially the Latin American market,” the state official emphasized in an interview with T21.

Although Sánchez Trujillo described Nissan’s announcement of its departure from Morelos to relocate its production to Aguascalientes as “painful,” after nearly 60 years in the state, he said that the goal is to take advantage of the state’s strategic location to position it as a logistics hub for central and southern Mexico .

In this regard, the state administration, headed by Governor Margarita González, has managed to secure nearly one billion pesos (mdp) from the federal government to improve the highway system, with the goal of facilitating the movement of goods to and from the state.

A fundamental pillar of this strategy is the reactivation of the Cuernavaca International Airport , with a cargo vocation.

“The fiscalized area is about to begin to be established. Now, since all cargo transportation has been moved to Felipe Ángeles International Airport (AIFA) , it is advisable, from half of Mexico City to here and the surrounding areas of Puebla, Guerrero, and even the State of Mexico, to distribute merchandise from Cuernavaca, Morelos, since we are two and a half hours from Puebla, four from the Gulf of Mexico, three from the Pacific, and with all the radiation towards the center-south of the country, it is a predominant location,” he explained.

The Secretary of Economic Development indicated that they will begin with shipments to Guadalajara, Jalisco, and Monterrey, Nuevo León. “We hope to announce the arrival of at least a couple of commercial lines by the end of the year, but we are looking to focus primarily on logistics.”

He specified that along the entire corridor from the airport, Xochitepec, to the Autopista del Sol, approximately 200 hectares have already been purchased , where a park will begin to be developed, primarily for logistics mobility . “Thanks to that highway and the 21st Century Highway, we have those possibilities.”

In this diversification of Morelos’ economy , e-commerce and parcel delivery giants are turning to Morelos.  Amazon is not only exploring film productions but is also evaluating redistribution centers, as are UPS, FedEx, Estafeta, and Mercado Libre. This dynamic seeks to expedite deliveries to central and southern Mexico, reducing times and costs compared to routes from the AIFA (Mexico City’s main airport).

Sánchez Trujillo emphasized that these investments could mitigate the impact of Nissan’s closure, which affects 2,200 workers , 800 of whom are on temporary contracts, which expire in December, and the rest are part of collective bargaining agreements.

The official emphasized that a large part of CIVAC is being established with activity heavily geared toward the pharmaceutical industry , and noted that they also have requests from companies already established in CIVAC for potential expansion into the 40 hectares that the Japanese automotive company will be leaving behind, as well as for the arrival of other companies.

Morelos is also known for its research centers , of which there are more than 40, enabling the generation of very important patents that are now becoming technology-based companies.   

Regarding the economic impact of the closure of the Nissan CIVAC plant, which will take place during fiscal year 2025, between last April and March 2026, the official explained that they are currently evaluating the impact and reiterated the boost the state will receive, especially with a logistical focus .

It’s worth remembering that the CIVAC plant was where Nissan established its first operation outside of Japan in 1966, and according to the automaker, more than 6.5 million units have been assembled there since then.

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El cargo Morelos boosts economy with logistics focus as Nissan closes in CIVAC apareció primero en T21.

Light vehicle sales in Mexico showed signs of slowing at the beginning of the second half of the year. According to data from the National Institute of Statistics and Geography (INEGI) , a 0.6% drop was recorded in July compared to the same period last year, with 124,480 units sold.

However, July showed a recovery compared to the previous month, with a 7.3% increase, with sales of 8,418 additional units, although the performance fell below industry expectations. The Mexican Association of Automotive Dealers (AMDA) had projected sales of 124,858 units for the month, which represented a 0.3% contraction .

Regarding the cumulative sales for January and July 2025, INEGI reported a 0.3% drop compared to the same period last year, recording 833,824 vehicles sold.

Despite the decline, sales levels for July 2025 remain 17.3% higher than those for the same month in 2019 , when 106,104 vehicles were sold. Furthermore, the cumulative January-July 2025 sales figure is 11.7% higher than those for the same period in 2019, indicating that the market is at higher levels than before the pandemic.

In terms of brand sales, Nissan took first place with an 18.2% share , selling 23,614 units; followed by General Motors with 13.3%, selling 15,919 vehicles; and Volkswagen held third place with an 11.3% share, registering 13,902 vehicles sold.

The economic environment has also influenced market behavior. Headline inflation stood at 3.55% annually in the first half of July , while the automobile purchase price index increased 1.89% over the same period.

The light vehicle market faces a complex environment marked by factors such as rising unit prices and trade uncertainty. Although Mexico secured a 90-day extension on new tariffs with the United States, levies on key inputs for the sector, such as steel and aluminum, remain in place.

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El cargo Light vehicle sales reported slowdown in July in Mexico apareció primero en T21.

Becoming Nissan ‘s nerve center in Latin America is more than just an operational change; it’s a strategic leap. The decision to move all vehicle production from Mexico to the Aguascalientes complex , following the announcement of the closure of the CIVAC manufacturing plant in Cuernavaca, Morelos, opens a new era for the state and redefines its role in the automotive industry, according to Esaú Garza de Vega, head of the Secretariat of Economic Development, Science and Technology (Sedecyt) of Aguascalientes .

From the state government, the announcement was received as a clear sign of confidence.

“It is a direct recognition of the efficiency, quality, and reliability of Aguascalientes’ talent and the world-class infrastructure we have built,” Garza de Vega told T21.

Nissan’s restructuring is part of the global Re:Nissan plan and includes the centralization of models such as the NP300 , Frontier and Versa in the Bajío region, as the Japanese company reported in a press release .

This transition will take place during fiscal year 2025 , between April 2025 and March 2026, when operations at the CIVAC plant in Cuernavaca, Morelos, will cease.

For Aguascalientes, the announcement not only represents industrial growth, but also implies more exports, opportunities for local suppliers , and direct and indirect jobs.

“Many suppliers will have the opportunity to scale their production and technology, aligning themselves with the new models that will be manufactured here,” the official said.

The state government, he added, will facilitate the necessary conditions for this restructuring to be a success, not only for the company, but also as a lever for growth for the regional economy.

“We reaffirm our commitment to working as a team with Nissan and its network of partners so that Aguascalientes remains a global industrial benchmark,” he emphasized.

The CIVAC plant , where Nissan established its first operation outside Japan in 1966, will cease vehicle production after nearly six decades of operation.

According to the automaker’s own data, more than 6.5 million units have been assembled there , making it a symbol of modernity and employment for the region. Throughout its history, it has operated three production lines and exported to key markets.

“Its history represents a fundamental pillar of Mexico’s industrial development and the brand’s international positioning,” acknowledged Garza de Vega, who highlighted the new role the Aguascalientes complex will assume within the Japanese firm’s global manufacturing network.

A state that does not stop

Beyond industrial restructuring, Aguascalientes is moving forward with a clear vision toward the end of 2025.

“Our main goal is to surpass the 27 investment announcements we made last year and continue to strengthen investor confidence in the state,” he shared.

The goal is twofold: preserving quality jobs and diversifying the economy through sectors such as electromobility, advanced manufacturing, semiconductors, biotechnology, and information technology.

At the same time, more local companies are expected to integrate into global value chains.

“Economic development must be inclusive and sustainable, which is why we continue to focus on developing specialized talent, promoting exports, and fostering collaboration between government, academia, and businesses,” concluded Garza de Vega.

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El cargo Aguascalientes “takes the wheel” after Nissan’s farewell to CIVAC apareció primero en T21.

The closure of Nissan ‘s CIVAC manufacturing plant in Cuernavaca, Morelos, marks the end of an era for the Mexican automotive industry and reflects a global restructuring strategy seeking greater operational efficiency.

Nissan chose CIVAC as the location for its first plant outside of Japan in 1966. At that time, Mexico was just beginning to write its automotive history, and the complex became a symbol of modernity, employment, and progress for the region.

Nearly six decades later, the Japanese company announced that its production lines at the facility would soon be shut down, marking the end of an era.

In an interview with T21, Alberto Bustamante, general director of the National Agency of Suppliers of the Automotive Sector (Anapsa) , commented that this closure is due to two main reasons:  the age of the facilities and a global restructuring that the Japanese brand has undertaken in several countries, which has also involved adjustments in Japan, India, England and Argentina.

“The Cuernavaca plant was the first outside of Japan and where the first Nissan vehicle in Mexico was manufactured. However, we’re talking about a facility that’s been in operation for almost 60 years. The maintenance costs were no longer viable compared to the profit margin,” he explained.

According to Nissan, production in Mexico at CIVAC will be moved to Aguascalientes , where the assembly lines will be expanded to more modern and efficient facilities.

“This type of decision does not mean a weakening of the country’s automotive industry. On the contrary, it consolidates the Bajío and northern Mexico as key regions for automotive manufacturing,” he noted.

According to industry data, more than 80% of the vehicles produced in Mexico are exported to the United States , and concentrating operations closer to the border reduces export logistics costs.

In this regard, Bustamante ruled out significant impacts on the supply chain.

“No supplier is closing. There will only be logistical adjustments in some cases, especially for those located in the state of Morelos, who will now have to send their auto parts to Aguascalientes,” he explained.

For the rest of the suppliers, especially those located outside of Morelos, there will be no significant operational changes.

This dynamic is similar to what happened with the Michelin tire manufacturer when it announced it would move its production lines to Guanajuato, which “was misinterpreted as an exit from the country, when in reality it was an internal reconfiguration,” Bustamante emphasized.

Local impact

At the state level, the plant’s closure will have an economic impact. Nissan is one of the largest industrial employers in central Mexico.

In this regard, impacts are anticipated for direct and indirect employees , as well as for local services and businesses that depended on the operation, despite the company’s assurances that the change would be gradual to avoid any impact.

However, the automaker is expected to explore alternatives for relocating some of the affected employees, although details have not yet been released.

“We’ll have to wait for Nissan’s decisions, but we know they’re evaluating options,” Bustamante said.

Nissan’s announcement comes amid a complex context for the Mexican automotive sector, as logistical tensions and the technological transformation of the industry are compounded by tariff pressures from the United States.

“We’re just days away from the deadline for Mexico and the United States to reach an agreement on automotive rules of origin. It’s a tense environment,” Bustamante warned.

Although the closure of the CIVAC plant represents a loss for the state of Morelos, the Anapsa executive emphasized that this is not a divestment, but rather a commitment to process modernization and operational efficiency within Mexico.

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El cargo Nissan puts the brakes on Morelos; strengthens the Bajío region apareció primero en T21.

With a focus on offering customized solutions, Nissan Mexico has navigated the complexities of the market, placing the customer at the center of its strategy. From its foray into the fleet sector to the implementation of new solutions for its customers, it is committed to creating long-lasting, trustworthy relationships, according to Ricardo Rodríguez, director of the company’s fleet and B2B unit.

The brand closed its fiscal year 2024, which ran from April 2024 to March 2025, with a 17.1% market share in Mexico . With a total of 258,635 units sold, Nissan achieved a 7.29% growth compared to the 241,056 units sold in 2023, according to information provided by the company.

Of the total for fiscal year 2024, 54,700 units correspond to the fleet division, representing over 20% of its sales.

 “One in every four fleet cars is a Nissan,” Rodríguez said in an interview with T21.

For Rodríguez, this achievement highlights the brand’s commercial success and its ability to adapt to the diverse demands of the sector, reflecting its strong presence in this segment. For him, the key to this success lay in offering comprehensive solutions that went beyond simply selling vehicles.

With more than 30 years of experience with the brand, Rodríguez has led the creation of a new business unit that integrates four key areas: sales, after-sales, financing, and customized solutions .

Launched in early April 2025, this unit aims to eliminate barriers between departments , offering a single point of contact for all of its customers’ fleet needs.

This approach seeks to optimize service and differentiate itself from the competition by making administration easier for businesses and providing solutions that are more tailored to their needs.

Rodríguez also mentioned that Nissan’s main fleet sectors include insurance companies, laboratories, and companies with mobile staff, such as medical representatives. These industries primarily opt for models like the Nissan Kicks and the Nissan E-Power , a vehicle that combines the advantages of electric mobility with the range of a gasoline engine, ideal for companies with varied route operations and constant mobility needs.

Regarding future challenges, Rodríguez emphasized that Nissan’s goal for 2025 is to remain the fleet market leader, not only in terms of volume but also in customer satisfaction.

He noted that while the brand has made great progress, the key is to continue differentiating itself from the competition through innovation and offering solutions that are increasingly tailored to customers’ evolving needs.

During his tenure, Rodríguez also highlighted the development of Nissan Fleet Solutions , a program designed to offer companies technical advice, long-term cost comparisons, and optimize their investment profitability. This program complements vehicle sales and financing and focuses on offering specific solutions to each customer, rather than just a product.

Rodríguez’s leadership is characterized by his adaptability and strategic vision , which has allowed him to manage multiple roles within the company over the years. His experience in engineering and project management in various Latin American markets has given him the tools to lead fleets, a key business unit for Nissan in Mexico.

With an eye to the future, Nissan seeks to maintain its leadership position and transform the fleet sector landscape in Mexico. The path taken is one of constant adaptation and learning, where each step taken serves to offer solutions aligned with its customers’ needs.

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El cargo Nissan transforms the fleet sector with innovative solutions apareció primero en T21.

Starting in January 2026, Nissan Latin America will consolidate production of the Nissan Frontier/Nissan Navara pickups into a single regional production center, centralized at the CIVAC plant in Morelos, Mexico , with the goal of boosting the Japanese automaker’s efficiency and sustainable growth.

The company noted that pickup manufacturing is currently divided between Mexico and Argentina, and specified that the plant located in Morelos, which operates with two production lines, will focus on the manufacturing of pickups on Line C2, while Line C1 will conclude this activity in the last quarter of 2025, after exceeding the initial temporary production target of this project by more than 30 percent .

“Becoming the production center for our iconic Nissan Navara/Frontier for all of Latin America is a clear sign of recognition of the Mexican manufacturing tradition, which has been part of Nissan’s history in this country for more than 60 years,” emphasized Rodrigo Centeno, president and CEO of Nissan Mexico and Infiniti.

The executive emphasized that this pickup is one of the most successful products in its portfolio “and indisputable proof of our commitment to offering innovative, exciting, and top-quality vehicles to Mexico and all our customers in Latin America.”

He recalled that this change is part of the transformation measures announced globally by Nissan Motor Corp. in February 2025, which are focused on improving the competitiveness of its products and business.

“The company has announced strategic changes to its industrial operations in Latin America to optimize its performance and build a more agile business, capable of responding more quickly to market changes,” the company said in a statement.

He indicated that Nissan’s subsidiary in Argentina will now focus on its commercial operations , building on its 10-year history, strengthening its relationship with the local dealer network, and ensuring a better customer experience.

The company emphasized that it remains committed to providing uninterrupted support and service to its customers, including the brand’s latest launches.

With these actions, Nissan Latin America is advancing in the consolidation of its manufacturing operations through the Aguascalientes plants (A1, A2 and Powertrain engine plant) and the CIVAC C2 plant in Morelos, Mexico, as well as the Resende plant in Rio de Janeiro, Brazil, ensuring sustained positive results in the region.

The company emphasized that the five plants will continue to operate normally, delivering world-class manufacturing quality, “recognized by customers throughout Latin America and in the 70 markets to which Nissan exports its vehicles.”

“Latin America is a key region for Nissan’s business, representing 15% of the company’s global sales and 25% of its global production. In calendar year 2024, Nissan Latin America sold 426,000 units, representing a 6% increase compared to 2023, and we remain focused on long-term growth,” said Guy Rodríguez, president of Nissan Latin America.

This strategic shift by Nissan comes amid US President Donald Trump ‘s tariff measures on the automotive industry, announced on March 26, which seek to impose a 25% tariff on vehicles entering the United States from several countries around the world, including Mexico and Canada, its main trading partners in North America.

Meanwhile, Mexican President  Claudia Sheinbaum  said she will provide a comprehensive response by  April 3 and is seeking a meeting with global automotive industry executives to define how her administration will respond to this measure.

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El cargo Nissan strengthens production in Mexico; moves all pickup manufacturing to the country apareció primero en T21.

Nissan Motor Co., Ltd. announced changes to its management team on Tuesday. Effective April 1, Mexican Ivan Espinosa, currently director of planning, has been appointed representative executive director, president and CEO , replacing Makoto Uchida.

Additionally, the Japanese automaker announced further changes to its Executive Committee , “introducing a significantly revamped leadership lineup to achieve short- and medium-term objectives while positioning it for long-term growth,” according to a press release.

Guillaume Cartier , Chief Performance Officer and Chairman of the AMIEO Management Committee, will have an expanded role that includes global marketing and customer experience.

Eiichi Akashi , currently corporate vice president (CVP) of the Vehicle Planning and Vehicle Component Engineering Division, will become chief technology officer and CEO, succeeding Kunio Nakaguro.

Teiji Hirata , currently CVP of the Vehicle Development and Production Engineering Division, will assume the role of director of monozukuri and executive director, responsible for Supply Chain Management and Manufacturing, succeeding Hideyuki Sakamoto.

Jérémy Papin , Chief Financial Officer, is also appointed Chief Executive Officer.

Stephen Ma , Chairman of the China Steering Committee; Mitsuro Antoku , Chief Quality Officer; and Toru Ihara , Chief Human Resources Officer will continue in their current roles.

Uchida and Sakamoto will retain their positions as directors until the annual general meeting of shareholders scheduled for June.

Other key appointments in the management

Shohei Yamazaki , chairman of the Japan-ASEAN Steering Committee, will have an expanded role that includes overseeing affiliated companies.

Christian Meunier , Chairman of the Steering Committee for the Americas, will continue in his current position.

Tatsuzo Tomita , currently Executive Vice President of Product Development No. 2, will succeed Akashi in R&D responsibilities and will also take on the additional role of Director of Total Delivered Cost Transformation, reporting to Espinosa.

Manabu Sakane , currently Executive Vice President of Procurement, will become Director of Strategy Acceleration, reporting to Espinosa.

Executives leaving their posts

In addition to Nakaguro, Sakamoto and Uchida, the following executives will be leaving their current positions on March 31:

Asako Hoshino , Brand and Customer Service Director.

Hideaki Watanabe , Director of Strategy and Corporate Affairs.

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El cargo Nissan Motor appoints Mexican Ivan Espinosa as its new CEO apareció primero en T21.

The possible imposition of 25% tariffs on Mexican products by the United States, which was paused for a month, is generating uncertainty in the automotive industry, and the Japanese vehicle manufacturer, Nissan , is already evaluating the impact if this measure were to be taken, which would entail moving its production from Mexico to another location.

This was announced at a press conference on Thursday by Makoto Uchida , president and CEO of Nissan, who said that they must be prepared for the possible entry into force of this tariff measure.

“If high tariffs are imposed, we will have to be ready and perhaps we can move the production of these models to another place. If that were the decision, we would think about how to make it a reality while monitoring the situation,” he said.

The executive stressed that the Japanese firm exports a large volume of vehicles to its northern neighbor, so he warned that “if there are high tariffs, it will have serious implications for our business.”

From its plants in Mexico, Nissan exports approximately 320,000 cars per year to the U.S. market.

Nissan’s revenues fall

During the presentation of its financial results, the Japanese firm reported a 98.4% drop in its net profit between April and December. Given this scenario, it anticipated that in 2025 it will record losses for the first time in four years.

To meet these challenges, the company announced a restructuring plan that includes cutting its global production by 20% , particularly in the small market. The plan also includes the elimination of 9,000 jobs in three plants and labor adjustments in  Thailand.

It also plans to reduce shifts at its factories in  Smyrna  and  Canton , in  the United States , which will affect 6,500 workers between this year and 2026.

Performance in Mexico

In Mexico, Nissan is one of the automakers that has had an optimal performance. In January of this year alone, it reported an 8% increase in its production, reaching 61,085 units compared to the 56,567 units manufactured in the same month of 2024, according to figures from the National Institute of Statistics and Geography (Inegi) .

In terms of exports, in the first month of 2025, Nissan shipped 33,807 units abroad and sold 20,279 vehicles in the domestic market , which represented an increase of 1.5% compared to January of last year, when it sold 19,970 cars .

According to the  Mexican Association of the Automotive Industry (AMIA) , Nissan has three plants where it manufactures around  750,108 vehicles  per year. It also has a facility where it manufactures engines, where it produces 747,000 units annually.

It is worth remembering that Nissan and Honda announced on December 23 a memorandum of understanding for a possible merger so that both firms could collaborate more closely to pool their resources and strengthen their position in the global automotive industry, and confront electric car manufacturers .

Finally, Nissan announced in a statement that the two companies “agreed to terminate the memorandum of understanding signed on December 23 of last year to consider a business integration between the two companies.”

“As a result of these discussions, both companies concluded that, in order to prioritize speed in decision-making and execution of management actions in an increasingly volatile market environment in the face of the era of electrification, it would be most appropriate to cease the discussions and terminate the MOU,” the document said.

On February 4, Donald Trump , President of the United States, was going to implement 25% tariffs on various Mexican products, however, they were paused for a month after he and the President of Mexico, Claudia Sheinbaum, reached an agreement.

On February 10, Trump announced that he had signed two executive orders to impose 25% tariffs on steel and aluminum imports , a rate that will apply to all countries and will affect his trading partners in the region, such as Mexico and Canada.

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El cargo Nissan mulls moving production from Mexico amid Trump tariffs apareció primero en T21.

On December 23, Nissan Motor Co., Ltd. and Honda Motor Co., Ltd. announced the signing of a memorandum of understanding (MOU) to begin discussions and considerations for a business integration between the two companies through the establishment of a joint holding company.

The agreement is intended to further accelerate their efforts to achieve a carbon-neutral society and a society with zero traffic accidents, and Nissan and Honda signed a memorandum of understanding on March 15 on a strategic partnership for the era of vehicle intelligence and electrification. Since then, the two companies have held talks aimed at collaborating in various fields.

On August 1, the two companies signed another memorandum of understanding to deepen the framework of the strategic partnership. The companies also announced that they had agreed to conduct joint research into core technologies in the area of ​​next-generation software-defined vehicle (SDV) platforms, particularly in the crucial areas of intelligence and electrification, to advance discussions focused on more concrete collaboration.

Throughout the process, Nissan and Honda have engaged in discussions in which various possibilities and options have been considered. At the same time, the business environment for both companies and the automotive industry in general has changed rapidly and the speed of technological innovation has continued to accelerate. The memorandum of understanding between Nissan and Honda announced today (December 23) is intended to serve as an option to maintain global competitiveness and for the two companies to continue to deliver more attractive products and services to customers around the world.

If corporate integration can be achieved, both companies can aspire to integrate their respective management resources, such as knowledge, human resources and technologies; create deeper synergies; improve the ability to respond to market changes; and hope to improve corporate value in the medium and long term.

In addition, Nissan and Honda can look forward to further contributing to the development of Japan’s industrial base as a “leading global mobility company” by integrating Nissan’s and Honda’s four-wheeled vehicle businesses and Honda’s motorcycle and electric products businesses, which will enable both companies’ brands to become more attractive and deliver more attractive and innovative products and services to customers around the world.

Commenting on the announcement, Makoto Uchida, Chairman, President, CEO and Executive Representative of Nissan, said: “Today marks a defining moment as we begin discussions on a business integration that has the potential to shape our future. If successful, I believe that by bringing together the strengths of both companies, we will be able to deliver unparalleled value to customers around the world who value our respective brands. Together, we can create a unique way for them to enjoy cars that neither company could achieve alone.”

Honda Chairman and Executive Representative Toshihiro Mibe said, “Creating new mobility value by pooling the resources including the know-how, talents and technologies that Honda and Nissan have been developing for many years is essential to overcoming the challenging environmental changes facing the automotive industry. Honda and Nissan are two companies with distinctive strengths. We are still at the stage of initiating our review and have not yet decided on a business integration, but in order to find a direction for the possibility of business integration by the end of January 2025, we are striving to be the only leading company that creates new mobility value through a chemical reaction that can only be driven through the synthesis of the two teams.”

The route to achieve this business integration will be as follows:

Potential synergies

Nissan and Honda will establish an integration preparatory committee to facilitate a smooth integration and hold focused discussions on the topic.

Based on the committee’s discussions as well as the results of due diligence, the companies will examine and analyze more specific synergies. By quickly realizing the synergies from the integration, Nissan and Honda can aim to become a world-class mobility company with sales revenues exceeding 30 trillion yen (US$191.73 billion) and operating profits of more than 3 trillion yen (US$19.17 billion).

The expected synergies from the business integration at this time are:

1. Scale advantages through standardization of vehicle platforms:

• By standardizing the vehicle platforms of both companies across multiple product segments, the companies hope to create stronger products, reduce costs, improve development efficiency, and enhance investment efficiency through standardized production processes.
• The integration is projected to increase sales and operating volumes, allowing the companies to reduce development costs per vehicle, including future digital services, while maximizing profits.
• By accelerating the mutual complementation of their global vehicle offerings, including ICE, HEV, PHEV and EV models, Nissan and Honda will be better positioned to meet the diverse needs of customers around the world and offer optimal products, leading to greater customer satisfaction.

2. Improved development capabilities and cost synergies by integrating research and development (R&D) functions:

• Pursuant to the MoU for deepening strategic partnership and the joint research agreement on core technologies dated August 1, the two companies have begun joint research on core technologies in the area of ​​vehicle platforms for next-generation software-defined vehicles (SDV), which is the cornerstone of the field of intelligence. After business integration, both companies will embrace more integrated collaboration across all R&D functions, including fundamental research and vehicle application technology research. This approach is expected to enable both companies to efficiently and rapidly improve their technological expertise, achieving both improvements in development capabilities and reductions in development costs through the integration of overlapping functions.

3. Optimization of manufacturing systems and facilities:

• Companies expect that optimizing their manufacturing plants and energy service facilities, combined with improved collaboration through shared use of production lines, will result in a substantial improvement in capacity utilization, leading to a reduction in fixed costs.

4. Strengthening competitive advantages throughout the supply chain by integrating purchasing functions:

• To make the most of the synergies arising from optimising development and production capacity, both companies aim to boost their competitiveness by improving and streamlining purchasing operations and sourcing common parts from the same supply chain and in collaboration with business partners.

5. Achieving cost synergies through improvements in operational efficiency:

• Companies expect that the integration of systems and back-office operations, along with the updating and standardization of operational processes, will drive significant cost reductions.

6. Gaining scale advantages by integrating sales financing functions:

• By integrating the relevant areas of the sales finance functions of both companies and expanding the scale of operations, the companies aim to provide a range of mobility solutions, including new financial services throughout the vehicle lifecycle, to customers of both organisations.

7. Establishing a talent base for intelligence and electrification:

• Companies’ human resources are an invaluable asset, and establishing a solid HR foundation is crucial to the transformation that will come with business integration. After integration, increased employee exchanges and technical collaboration between companies are expected to promote further skills development. Furthermore, by leveraging each company’s access to talent markets, attracting exceptional talent will become more attainable.

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El cargo Nissan and Honda Sign Agreement for Business Integration apareció primero en T21.