Facing extreme competitive pressure from the rise of Chinese EV makers, the Nos. 2 and 3 Japanese automakers turn to each other to build strength.

Japanese automakers Honda and Nissan have announced plans to join forces, forming world’s third-largest automaker by sales as the industry undergoes dramatic changes in its transition away from fossil fuels.

Japanese automakers Honda and Nissan will attempt to merge and create the world’s third-largest automaker by sales as the industry undergoes dramatic changes in its transition away from fossil fuels.

The potential merger could help boost the auto companies production of electric vehicles amid growing changes in the car industry.

Honda's shares went up by as much 17% when local markets opened on Tuesday.

Honda and Nissan have announced official plans to merge.The agreement seeks to consolidate a wide range of resources from platform sharing to supply chain systems in order to bolster the position of Japanese automakers in a rapidly evolving automotive market dominated by electrification and ongoing industry consolidation.

The merger talks come amid competition from China in the auto industry and the increasing popularity of electric vehicles.

A tie-up with Honda could help Nissan solve a big problem, car dealers said: It doesn't have any hybrids. A merger could fix that.

Japanese automakers Nissan and Honda have announced plans for a merger that would catapult them to a top position in an industry that's in flux as it transitions away from its reliance on fossil fuels.

Honda will not be making it easy for Nissan, however. This is not a case of Honda paying the bills to get Nissan back up to speed, as the latter will still be responsible for digg