Nissan has officially ended its merger talks with Honda, a decision that highlights the challenges posed by increasing competition from Chinese electric vehicle (EV) manufacturers. In light of this development, Nissan is reportedly seeking a partnership with Tesla, led by billionaire Elon Musk, to enhance its position in the automotive market and potentially avoid tariffs. This strategic shift comes as a high-level Japanese group, including a former prime minister, has proposed plans for Tesla to invest in Nissan. The breakup of the merger talks has also drawn attention from investors, including Warren Buffett, who has historically been cautious about the auto industry due to its volatility.
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