Renault is in talks that could lead to the automaker reducing its 6.1 billion euros ($5.9 billion) stake in Nissan as the partners bargain over the French company's plan to split its electric-car and combustion-engine assets.
Executives have discussed Renault's carve-out plan and reshaping the pair's two decade-old alliance since February during meetings in France and Japan. Renault and Nissan on Monday confirmed that they are holding talks over their partnership but they did not provide details.
The automakers said they were holding "trustful discussions" about the future of their alliance, adding that Nissan was considering investing in Renault's future electric vehicle unit.
"The companies continue to drive structural improvements to ensure sustainable Alliance operations and governance. Any further communication will be done in due course by the Alliance members," Renault and Nissan said in a joint statement.
The automakers' lopsided capital ties have long been a contentious issue for Nissan. The Japanese company is pressing Renault to reduce its stake to 15 percent from 43 percent to draw level with Nissan's share in Renault, sources said, declining to be named as details are private.
The French state, with a 15 percent shareholding in Renault, needs to approve any plan, they said.
The potentially transformational revamp, which could take effect as soon as next year, comes as Renault seeks to build a future in a declining European car market, the automaker's mainstay.