Nissan is open to working with new partners after merger talks with Honda foundered, two people familiar with its thinking said on Thursday, with Taiwan's Foxconn seen as one candidate. The struggling Japanese automaker is again at a crossroads after backing out of negotiations with bigger rival Honda to create the world's No.

According to the report, Foxconn had expressed interest in acquiring Nissan in December, despite the then-active merger talks with Honda. Nissan had reportedly rejected the bid, but it seems that the company is still considering a collaboration with the iPhone maker.

A proposed $58 billion merger to create the world’s fourth-largest carmaker appears on the verge of collapse after Honda made an unexpected proposal to turn Nissan into a fully owned subsidiary, according to three people familiar with the matter.