The looming merger of Japanese carmakers Honda and Nissan may not include Mitsubishi after all, with reports from the nation claiming the latter brand won't go all-in on joining its compatriots.

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Japan's Mitsubishi Motors, a junior partner of Nissan Motor, is considering not joining a planned merger between Nissan and Honda Motor, sources told Reuters on Friday. Mitsubishi Motors plans to remain listed while continuing its cooperative relationship with both companies,

Mitsubishi is thought to be concerned about its management freedom, as the future of Nissan’s management restructuring is not clear.

Honda executives recently shared insights into their rationale for the proposed merger with Nissan.During a media roundtable at CES 2025 in Las Vegas Honda stressed the urgency to address mounting competition from Chinese automakers,

If there's one thing executives at Honda Motor and Nissan Motor need to fix first when - and if - they merge, it's their China business. The Japanese duo's sales have been falling for years in the world's largest car market.