Japanese auto giants Honda and Nissan on Monday agreed to launch talks on a merger seen as a bid to catch up with Chinese rivals and Tesla on electric vehicles.

With this planned merger, the top Japanese car titans will lead to creating the third-largest automotive company in the world, and they also have Nissan alliance member, Mitsubishi Motors, also looking to join the deal to form this new auto superteam.

Former Nissan CEO Carlos Ghosn says Honda is destined to dominate any future company resulting from a merger with Nissan, claiming his former firm will be the victim of 'carnage.'

Japanese automakers Nissan and Honda have announced plans to work toward a merger that would catapult them to a top position in an industry in the midst of tectonic shifts as it transitions away from its reliance on fossil fuels.

Auto expert Nik Miles joins FOX6 WakeUp with in-depth analysis on this developing story.

In a move that could change the automotive industry, Japanese carmakers Nissan and Honda have signed a memorandum of understanding (MOU) to merge their business. They’ve also invited Mitsubishi Motors to join the discussions on integrating their operations.