Nissan reaffirms South Africa growth plans amid plant uncertainty
New chief executive Ivan Espinosa unveiled sweeping cost cuts in May that included plans to shed 15% of the global workforce and close seven factories worldwide. Battered by declining sales in the United States and China, Nissan faces a mountain of debt repayment and is scrambling to upgrade its ageing vehicle line-up.
In May, sources told Reuters that one of the closures being considered was the Rosslyn plant in South Africa, where Nissan assembles its Navara pickup trucks.
Asked about the future of the 59-year-old plant, Nissan Africa President Jordi Vila said: "We're committed to grow in Africa and in South Africa, just to be more precise."
"The plant is probably still under study, but there's no statement I can do today," Vila told reporters at the launch of Nissan's Navara Stealth pickup truck.
The plan for South Africa includes introducing the Patrol SUV along with two new SUV models next year. This year, Nissan launched a commercial panel-van variant of its Magnite compact SUV to attract business clients, replacing its half-ton NP200 pickup.
On Thursday, it launched a new variant of its popular Navara pickup truck, called the Stealth, valued from 695,200 rand ($39,200). The 4x4 is aimed at the mid-price range, where Nissan is seeing high demand.
Nissan's Navara models compete with Toyota's (7203.T), opens new tab Hilux, a top-selling pickup in South Africa, Ford's (F.N), opens new tab Ranger, and Isuzu's (7202.T), opens new tab D-Max range.
South Africa has a huge market for pickup trucks, with farmers needing off-road reliability, small business owners looking for capable load-luggers and urbanites who love big cars.
($1 = 17.7328 rand)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
an hour ago
- Reuters
Angola says death toll from fuel hike protests rises to 22
LUANDA, July 30 (Reuters) - Angola's government said on Wednesday that the death toll from violent protests against a fuel price hike had risen to 22 from the previous day's estimate of four. The unrest broke out on Monday when minibus taxi associations launched a three-day strike against a government decision to increase the price of diesel by one-third, part of efforts to curb costly subsidies and shore up public finances. Looting, vandalism and clashes with police started in the capital Luanda, then spread to other provinces. President Joao Lourenco's cabinet met on Wednesday and received an update on the security situation and police response. A presidency statement said there had been 22 deaths, 197 people injured and 1,214 arrests. Sixty-six shops and 25 vehicles had been vandalised, and some supermarkets and warehouses looted, the statement said. Angola has been gradually removing fuel subsidies since 2023, when a petrol price hike also triggered deadly protests, encouraged by the International Monetary Fund among others. Subsidies amounted to as much as 4% of gross domestic product (GDP) last year, according to the Southern African oil-producing country's finance minister. Investors are closely watching the drive to phase out subsidies. Pieter Niesten, portfolio manager for emerging market debt at Neuberger Berman, told Reuters that fuel subsidies were estimated to account for 1.8% of GDP this year, contributing to fiscal pressures. "Investors and international financial institutions regard subsidy reform as evidence of Angola's commitment to difficult structural adjustments," he said.
Reuters
an hour ago
- Reuters
Renault names procurement chief Francois Provost as new CEO
PARIS, July 30 (Reuters) - Renault ( opens new tab named Francois Provost, its chief procurement officer, as CEO on Wednesday, opting for a little-known company insider to steer the French carmaker through growing competition and weak demand that triggered a profit warning earlier this month. The appointment, effective from July 31, comes a month after former boss Luca de Meo abruptly resigned to join luxury group Kering. "With a strong international experience in both operational and strategic roles, an in-depth understanding of the sector's challenges, and a strategic vision, Francois Provost has the qualities required to continue and accelerate the development of Renault Group," the French carmaker said in a statement. Provost takes on the job at a critical time for Renault, which has fared better than many of its peers over the last year thanks to a focus on Europe that insulates it from trade turmoil caused by U.S. President Donald Trump's tariffs. But its reliance on Europe makes it more vulnerable to the region's sluggish growth, and weaker-than-expected June volumes led it to cut its full-year margin forecast earlier this month and step up cost-cutting measures. The warning, weeks after news of De Meo's departure, rattled investors already worried about the management transition, sending shares plunging to an 18-month low, despite the company's promise of a better second half.
Reuters
an hour ago
- Reuters
Ghana's central bank cuts key rate by 300 basis points as inflation eases
ACCRA, July 30 (Reuters) - Ghana's central bank on Wednesday lowered its benchmark policy rate (GHCBIR=ECI), opens new tab by 300 basis points to 25%, exceeding expectations, as consumer inflation showed signs of continued decline in the gold and cocoa-producing economy. The Bank of Ghana had been widely anticipated to reduce the rate by 200 basis points to 26%, according to a Reuters poll of 10 analysts. "The committee noted that macroeconomic conditions have significantly improved. Inflation expectations are broadly anchored... and confidence in the economy is returning," governor Johnson Asiama, told a news conference. Asiama added that inflation risks are expected to be mitigated through appropriately managed monetary policy frameworks and ongoing fiscal consolidation efforts. "Given these considerations, the MPC, by a majority decision, voted to lower the monetary policy rate by 300 basis points to 25%," he said. Last month, consumer inflation dropped to 13.7% from 18.4% in May, reaching the lowest level since December 2021.
