Japanese auto giants Honda and Nissan confirmed they've scrapped merger talks announced in December​, ending a potential combination that would have created the world's third-largest automaker.

The chief executives of the two automakers, at separate news conferences, traded jabs about Honda’s bid to change the terms of the deal.

The proposal, which was announced in December, ran into a wall after Honda proposed a structure that would make Nissan its subsidiary instead of an equal partner.