Nissan Might Help Honda Hit Detroit Automakers Where It Hurts

The potential relationship between Nissan and Honda has taken further twists and turns inside the ultimate two years than a whole franchise of thriller movies. After repeated and repeatedly failed merger talks between the two corporations, a model new CEO at Nissan, and a never-ending rumor mill, points appeared to sit back down. Now, it is perhaps selecting up as soon as extra, and by that, we indicate pickup.

Nissan has one factor Honda wouldn’t – a body-on-frame pickup truck. Now, a model new report suggests Nissan could use some empty manufacturing facility space to assemble new midsize pickups for Honda alongside its private further typical truck, the Frontier.

Nissan Could Assemble The Most American Of Autos For Honda, In America No A lot much less

It has been extraordinarily highly effective to adjust to the merger talks and subsequent casual relationship talks between the two Japanese automakers. Nonetheless, after an all-out rejection in February (because of it would make Nissan a subsidiary of Honda), the latest chatter is considerably further focused and reflective of current cases. The two corporations have been reportedly discussing combining some US manufacturing to help every deal with hefty vehicle tariffs.

Japanese newspaper Nikkei claims to have further information on the state of affairs. With out citing sources, the paper said that Nissan and Honda are investigating the chance of Honda’s larger cars being constructed at Nissan’s plant in Canton, Mississippi.

Nissan’s Canton plant is for the time being home to the Nissan Altima and the Frontier pickup. The Altima is predicted to be in its final 12 months of producing, so in September, Nissan may have a number of empty floor space. It was slated for model spanking new EVs, nonetheless they’ve now been delayed. That may go away the door open for further truck manufacturing … nonetheless with a twist.

Could Nissan And Honda Assemble A Full-Sized Truck?

The report makes it unclear if this suggests manufacturing of the Honda Ridgeline, a rebadged Nissan Frontier with some Honda trend, or maybe a brand new full-size truck. Nikkei describes Honda as making “compact” pickup vans and said {{that a}} partnership with Nissan “could help the company attain clients who’re in the hunt for full-size pickups.” The Honda Ridgeline generally is a midsize truck (it’s larger than the Frontier), nonetheless being unibody, it isn’t coveted by typical truck patrons preferring a full physique beneath the pores and pores and skin.

DrivingOnRoad contacted every Nissan and Honda for contact upon the report. A Honda spokesperson advised us that the contents of the report did not originate from Honda and provided the following assertion:

Because of this, if the report is right, the information is coming from any individual conscious of Nissan’s side of the desk. To that end, Nissan supplied us with an identical assertion.

With the demise of the Nissan Titan ultimate summer season, after plenty of makes an try and faucet into the massive full-sized pickup market inside the US, Nissan not has a full-size pickup. It’d take years to design and assemble such a vehicle. If this plan does go forward, a rebadged Frontier is essentially the most definitely different for us. Nonetheless even that appears like a stretch for Honda.

Based mostly on the report, Nissan’s Canton plant was working at merely 57% functionality ultimate 12 months, far beneath what’s taken under consideration break-even. Setting up further cars might be good for workers there. It’d even be good for every automakers correct now, as 47% of Nissan and 32% of Honda US product sales are cars made exterior of the nation.

Whereas Nissan USA has reported a slight enhance in product sales thus far this 12 months, it was down 6.5% inside the second quarter. Globally, product sales are down 5.9% inside the first 5 months of the 12 months. Nissan did have some good news this week, as a result of it effectively issued ¥860 billion ($5.9b) in bonds. It plans to utilize the proceeds to help cowl upcoming bond maturities and make hefty investments in new cars, along with electrification and software-defined cars.