Monday, December 23, 2024

Honda merging with Nissan and Mitsubishi? Maybe Renault too? LOL.


TAGLINE UNDER THE HEADLINE: "Mitsubishi is involved in the merger talks as well, but Nissan shareholder Renault figures to play a crucial role in how this all unfolds."

So, it would be Honda, Nissan, Mitsubishi and (maybe) Renault all under the same corporate umbrella?

So, 1 company that was previously good and 3 that are absolute crap? 

FROM THE ARTICLE: "“Today marks a pivotal moment as we begin discussions on business integration that has the potential to shape our future,” said Nissan CEO Makoto Uchida. “If realized, I believe that by uniting the strengths of both companies, we can deliver unparalleled value to customers worldwide who appreciate our respective brands. Together, we can create a unique way for them to enjoy cars that neither company could achieve alone.”"

What exactly would Nissan be contributing to this partnership? Their product line is both unreliable and bland. Honda's product, while boring (to me) is at least (usually) reliable. What would Nissan be able to teach Honda? This seems more like Nissan trying to save their skin (again) with yet another strategic alliance. Bad idea for Honda.

FROM THE ARTICLE: "There aren’t yet any specific details of share ownership or transfers, nor is there word of how the companies will cooperate. Those are expected to come in time. However, both brands are floating the idea of standardizing vehicle platforms and powertrains, splitting R&D costs, and streamlining their supply chains, which we gained some insight into over the weekend."

Whatever happens here, Honda should take charge and ditch the CVT transmissions that ruined Nissan over the last 18 years. Don't use Nissan's electrical systems, either. They are known to have various gremlins in them.

FROM THE ARTICLE: "One of the main reasons for this merger seems to be electric vehicle development, specifically for the Chinese market, where Japanese car sales are down. Joining forces will allow Honda and Nissan to pool their resources, split development costs, and ideally offer more competitive, affordable EVs in China, the world’s biggest EV market."

Waste of time and money, even in China. The Media tried to get me to believe that EVs are becoming mainstream, especially in China. However, I know better. Most people in China are too poor to buy a bicycle, let alone a car. Also, EV tech is still years away from being practical/supported by adequate infrastructure ANYWHERE in the world. The sales for EVs are also way down here in America, the world's principal auto market. Focusing so much on EVs just seems like throwing good money after bad to me.

All that being said, since I hate Japanese cars anyway, I don't care if these companies ruin each other. I'm not about to interrupt my enemy while he's making a mistake. Go right ahead, Honda. Absorb those shit brands. Let them ruin you. GM & Ford will be laughing all the way to the bank with increased marketshare. Toyota, VW and (maybe) Stellantis too. 

And no, I am not worried about there being less choices in the marketplace for consumers. When one company goes away, another will take its place.

When Studabaker died, AMC took its place as the economy car company/foil and mortal enemy for MOPAR (esp. Plymouth and Dodge) in America.

When Packard died, Mercedes-Benz took over as a luxury brand competing with Detroit's luxury marques. (Cadillac, Lincoln and Imperial.) Ironically enough, it was Studabaker that helped MB get into the American market by convincing their dealer network to sell that product along with the Studabaker line. Studabaker knew they were dying a slow death and wanted to help their dealers stay in business. 

When AMC started struggling in the 1970s, that's when the Japanese came into the American market and took the small car segment for themselves.

When the Japanese cars stopped being affordable, the Koreans came in with Hyundai and KIA to be the new low-price leaders. Despite being absolute shit, they still sell quite well. Many folks just can't afford anything better. 

No matter what, the market will correct itself. And now, it looks like Honda is going to be the next victim of that harsh mistress called Macroeconomics. RIP Honda. You will be fondly remembered by many others and remembered by me as a formidable/respectable adversary to my preferred automotive brands.

- Lord Publius

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