Nissan and Honda Merger Will Not Bring Synergies: Goren

Nissan CEO Takes Aim at Proposed Acquisition, Citing Lack of Complementary Effects

The proposed merger between Nissan and Honda has been met with significant skepticism from the automotive industry. In an interview, Nissan CEO Gowen expressed his concerns over the potential deal. "I do not see any complementary efficiency," he stated. "Both companies operate in similar markets, offer nearly identical products, and have very similar brands."

Gowen also criticized the merger for being a gamble rather than a practical transaction. He argued that finding synergy between the two companies would be difficult due to their similarities.

The Nissan CEO also touched on the topic of Chinese electric vehicles, which have seen rapid growth in recent years. When asked if he was surprised by this development, Gowen replied, "Not at all." In fact, during his tenure as CEO of Nissan Japan, he witnessed firsthand the growing presence of the company in China.

Gowen highlighted that Nissan's entry into China began in 2003 and saw significant progress under his leadership. The Nissan China factory, established around 7-8 years after its creation, is now among the top-performing facilities globally and boasts an impressive production efficiency record. The quality of Chinese workers was also recognized as excellent.

This indicates that Gowen believes that a merger may not be the most effective way forward for either company to improve their operations or achieve success in the automotive sector. Instead, they may benefit more from collaborations with other partners, such as Richson (Fujiskon), which Gowen has expressed support for.