Confirmed – Toyota and Nissan negotiate industry-shaking super alliance that threatens Tesla and BYD

Toyota and Nissan are teaming up marking a milestone in the automotive industry! They are two important companies from Japan known around the world and this possible strategic alliance will bring innovation to the manufacturing of vehicles. Nowadays electric cars, digitalization and sustainability are what companies are searching for, but what are Toyota and Nissan incorporating?

This wouldn’t just mean an impact on the Japanese automotive industry, but also on the global market. Maybe China, the United States and Europe will have another rival in the competition. So, let’s find out what Toyota and Nissan might be coming up with!

The start of it all

This possible alliance began when Nissan tried to join Honda to share costs, technology and international presence; helping both companies mostly with electric vehicles and digital technology. However, conversations between Nissan and Honda didn’t go as planned because of some disagreements on the corporate culture and business strategies. This made Nissan to urgently look for another company to secure its future in an industry that’s changing very fast.

What happened next?

After this failure of trying to join Honda, there were rumors about Nissan immediately starting conversations with Toyota – one of the world’s largest manufacturers in Japan. At the beginning, it was thought to be speculation but specialized media like Electrek and Carscoops reported that Toyota was helping Nissan, and exploring a possible alliance.

After the failed attempt of joining Honda, Electrek said: ‘’Nissan found its saviour: Toyota’’. According to these reports, Toyota would be the ideal partner for Nissan because it has a huge economic capacity, a great presence on the global market and a well established position when it comes to technological innovation and production.

Importance of this alliance

If Nissan and Toyota end up teaming up, this will mean a historic moment in the Japanese and global automotive industry. Why? Let me show you some of the reasons:

Have most of the global market, so a new rival would join the competition against huge names like China, the United States and Europe.
Share technology, fabrics and development processes to reduce costs and speed up innovation.

Advance in areas like electric vehicles, autonomous cars and digitized production.

Why does Nissan depend on Toyota?

Nissan has experienced some difficulties to keep up the rhythm of technological advances in the automotive industry. 

That’s why they see Toyota as a strategic ally that can contribute financial stability and technique enough to adapt to the current market.

As Electrek says: ‘’Nissan management sees Toyota as the ideal partner to overcome electrification and digitization challenges’’. This shows Nissan is not only looking for support, but also a big change in their business model.

Ref: Confirmed – Toyota and Nissan negotiate industry-shaking super alliance that threatens Tesla and BYD  (unionrayo)