On June 10, Toyota Motor Corporation announced the culmination of a landmark agreement, alongside Hino Motors, Daimler Truck, and Mitsubishi Fuso, for the integration of Mitsubishi Fuso and Hino Motors:

● Mitsubishi Fuso and Hino will embark on a collaborative journey, integrating equally in commercial vehicle development, procurement, and production.

● The newly established holding company aims to list on the Tokyo Stock Exchange's main market in April 2026.

● Daimler Truck and Toyota Motor will each acquire a 25% stake in the holding company resulting from the Mitsubishi Fuso and Hino merger.

● The holding company intends to own 100% of both Mitsubishi Fuso and Hino.

Further details regarding the scope and nature of the collaboration, including the name of the new holding company, are anticipated to be unveiled in the forthcoming months.

Mitsubishi Fuso is a subsidiary of Daimler Truck, whereas Toyota Motor holds a majority stake of over 50% in Hino Motors. Both Toyota Motor and Daimler Truck emphasized that this integration aims to enhance business efficiency across development, procurement, and production, jointly charting the future of commercial vehicles.

The partnership's journey began two years ago with a preliminary agreement, aiming for a final agreement in February 2024. However, due to an engine certification scandal at Hino Motors, the timeline was postponed. It wasn't until this year that Toyota Motor and Daimler Truck reignited merger negotiations, culminating in a decision after nearly six months of discussions.

The new holding company will adopt a "dual-brand, single operating entity" strategy, preserving Mitsubishi Fuso and Hino's brands and sales networks while integrating R&D and production systems. This is projected to reduce annual operating costs by approximately 30 billion yen.

In contrast to the swift collapse of Honda and Nissan's high-profile merger talks after just over two months, the Mitsubishi Fuso and Hino merger process spanned over two years to reach its current stage. It remains to be seen whether Toyota Motor's dominant move in the Japanese market will reignite the possibility of a Honda and Nissan merger.