Nissan is set to quit talks with rival Honda over a potential merger deal worth up to a staggering $60 billion . Talks had been developing between the two car makers over a deal that would have seen them join forces to create the world's third-largest car manufacturer. According to Reuters , Nissan is set to pull out over misgivings over the structure of the deal. Honda envisioned the merger as Nissan becoming a subsidiary, only for Nissan to baulk at the prospect, instead preferring a deal of equals. Honda, though, has a market value of about $51.9 billion, dwarfing Nissan's $9.4 billion. A further update on the matter is expected by mid-February. Renault owns around 36% of Nissan, and is open to the merger, notably as the latter is apparently in financial trouble, with 9,000 jobs expected to be cut. A further complication, Reuters explained, is the uncertainty over tariffs deployed by the president of the United States, with Donald Trump hitting Canada and Mexico with 25% tariffs. Although these have been paused from taking effect, Nissan is said to be more susceptible to the impact of tariffs than either Honda, or even Toyota. Honda is set to return to F1 as a full works programme in 2026 with Aston Martin, after withdrawing in 2021 after winning the drivers' title with Max Verstappen and Red Bull.
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