Honda and Nissan plan to merge as the two Japanese firms seek to fight back against competition from the Chinese car industry. The integration would create one of the world's biggest car producers alongside Toyota,

Among the reasons for Honda Motor Co. to enter merger talks with Nissan Motor Co., one looms large: China. The surging popularity of electric and hybrid vehicles made by BYD Co. and others has erased the leading position that Japan’s automakers once enjoyed as providers of high-quality cars with cachet.

Nissan and Honda have said they want to merge. The result would be one of the the world's top-five car companies. Their combined sales are about eight million cars a year, with a turnover of £150bn a year.

Former U.S. Marine Corps pilot Daniel Duggan will be extradited from Australia to the United States over allegations that he illegally trained Chinese aviators