In this article 7267.T-JP7201.T-JP Follow your favorite stocks CREATE FREE ACCOUNTNissan Motor CEO Makoto Uchida (L) listens to Honda Motor CEO Toshihiro Mibe (R) attend a joint press conference on March 15, 2024 in Tokyo, Japan. Tomohiro Ohsumi | Getty Images News | Getty ImagesTop Japanese carmakers Nissan Motor and Honda Motor are understood to be exploring a blockbuster merger, sending shock waves through the global automotive industry as the two rival companies seek to stay competitive on the road to full electrification. The prospective tie-up could create the world's third-largest auto group by vehicle sales, with 8 million sales annually, according to Citi. Nissan and Honda previously forged a strategic partnership in March to collaborate on producing key components for EVs. It's been trying to equalize or balance out its relationship with Renault, but it's been struggling," Wells told CNBC's "Street Signs Europe" on Wednesday.

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Persons: Makoto Uchida, Toshihiro Mibe, Tomohiro Ohsumi, Peter Wells, There's, It's, it's, Wells, CNBC's, Cardiff Business School's Wells, Akira Kishimoto, Kishimoto, Lucinda Guthrie, I've, Foxconn, Guthrie Organizations: Nissan, Honda Motor, Getty, Honda, Nikkei, Mitsubishi Motors, Citi, Mitsubishi, Toyota Motor, Volkswagen, French, Renault, Cardiff Business School's, Automotive Industry Research, EV carmakers, U.S, Visual China, JPMorgan, Bloomberg, CNBC, General Motors Locations: Tokyo, Japan, New York, Jinhua, Zhejiang Province, China, Canada, Taiwan, EVs, Richmond , California