Less than two months after a potential merger was floated, Honda and Nissan have called the potential partnership off, forcing Nissan, which has been experiencing difficulties, to explore alternate collaborations.

Nissan began merger discussions with Honda in December 2024 after the Yokohama-based automaker's bleak financial situation became apparent at the release of its year-end reports. Since then, it's been openly looking to break ties with its nearly two-plus-decade alliance with France's Renault.

Japanese auto giants Honda and Nissan confirmed they've scrapped merger talks announced in December​, ending a potential combination that would have created the world's third-largest automaker.