Latest news with #IvanEspinosa
Yahoo
2 hours ago
- Automotive
- Yahoo
Nissan to cease production at its Oppama plant
Nissan Motor Company announced that it plans to shut down vehicle production at its Oppama plant in Japan's Kanagawa Prefecture at the end of the 2027 fiscal year. The decision is part of a previously-announced, Re:Nissan global restructuring plan in which the company said it plans to close seven of its seventeen vehicle assembly plants currently in operation globally. The Oppama plant was originally opened in 1961 and currently produces the Note and Note Aura compact models, employing around 2,400 people. Production will be transferred to the company's plant in Kyushu, Fukuoka Prefecture. The Japanese automaker confirmed that the decision only affects the Oppama assembly plant, within the Oppama district. Other operations in the district, such as the Nissan Research Center, the Grandrive proving ground, the nearby crash test facility, and Oppama Wharf, will be unaffected by the decision and will continue to operate as usual. Nissan said it will explore 'a wide range of options' for the future utilization of the Oppama plant after production ends. Nissan's CEO, Ivan Espinosa, said in a statement: "Today, Nissan made a tough but necessary decision. It wasn't easy—for me or for the company—but I believe it is a vital step toward overcoming our current challenges and building a sustainable future. The Oppama Plant is a proud part of our history, and its legacy will endure. I want to sincerely thank our employees, the local community, and our partners who have supported this plant with dedication and heart. We will continue to operate in the Oppama area with strong support for the local community, as we carry forward the spirit of the Oppama plant and work to restore Nissan's true value." Under the Re:Nissan restructuring programme, Nissan aims to reduce its global production capacity from 3.5 million units per year (excluding China) to 2.5 million units. The company has determined that discontinuing operations at its Oppama plant and consolidating production at its Kyushu facility is 'the most effective solution to reduce capacity in Japan, based on the plant's production capacity, cost efficiency, and investment requirements.' The company confirmed that consolidating production at Kyushu will help it 'significantly reduce manufacturing costs in Japan, strengthen plant competitiveness, improve product profitability, and support Nissan's long-term growth.' Nissan also announced that production of the NV200 at its Shatai Shonan Plant in Japan will end in fiscal year 2026, with a successor planned to be launched in fiscal year 2027. "Nissan to cease production at its Oppama plant" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Erreur lors de la récupération des données Connectez-vous pour accéder à votre portefeuille Erreur lors de la récupération des données Erreur lors de la récupération des données Erreur lors de la récupération des données Erreur lors de la récupération des données
Yahoo
8 hours ago
- Automotive
- Yahoo
Nissan is closing a major factory in Japan to cut costs. Could American plants be next?
Nissan announced July 15 the company will close its flagship factory just south of Tokyo in Oppama, Japan, the latest edition of the company's cost-cutting efforts. The move is part of a larger company shakeup that includes cutting 11,000 jobs and closing seven of its manufacturing plants worldwide. "Nissan will restructure production operations at the Oppama plant and plans to transfer and integrate into the Kyushu plant by end of fiscal year 2027," a Nissan spokesperson said. "This step supports our goal of building a resilient and responsive global manufacturing footprint." The Japanese automaker, whose American operations are based in Franklin, Tenn., will also close the doors to its Nissan Shatai's Shonan factory by March 2027, CEO Ivan Espinosa said. "It was a difficult decision for both myself and the company," Espinosa said at a press conference in Yokohama, reported by Reuters. "However, we believe it is necessary for Nissan to overcome its current challenging situation." The report follows an abysmal fiscal year for the Japanese automaker. The company reported a 200 billion yen ($1,352,111,000) operating loss in its first quarter, a 88% crater in operating profits, according to Reuters. Opening in 1961, the Oppama site was one of Japan's first large-scale auto factories. Employing 3,900 workers, the site dubbed Nissan's 'mother factory' has manufactured more than 17.8 million vehicles to date. Oppama operations will be consolidated at Nissan's Kyushu plant. On average, Nissan's Japanese factories run at 60% capacity, but once production moves to Kyushu, the factory will run at 100%, Espinosa added. Roughly 2,400 workers could be transferred to non-factory functions or other plants, Espinosa added. Other facilities and functions in the district like the Nissan Research Center and the crash test site, among others, will 'remain unaffected and continue to operate as usual,' the spokesperson said. Despite Nissan's cuts overseas, the automaker's Smyrna and Canton, Mississippi, manufacturing plants remain in full swing, producing Nissan Pathfinder, Murano, Rogue, Altima, Frontier and Infiniti QX60. 'Our manufacturing operations in Tennessee and Mississippi are strategically important to the company's future in this crucial market,' Nissan Americas Corporate Communication Director Kyle Bazemore told The Tennessean in May following the job cuts announcement. Reuters contributed to this story This article originally appeared on Nashville Tennessean: Nissan plans to close Oppama, Japan production plant Sign in to access your portfolio
Qatar Tribune
a day ago
- Automotive
- Qatar Tribune
Struggling Nissan to shut its Oppama plant in Japan to cut costs
Agencies Nissan is set to close its flagship factory in Oppama, Japan, to cut costs, while it will move all its production from that area to another plant in southwestern Japan, the struggling company said on Tuesday. Vehicle production at the Oppama plant in Kanagawa Prefecture, south of Tokyo, will end at the end of the 2027 fiscal year, in March 2028, the Japanese automaker said. After that, all models that have been made or scheduled for production at Oppama will be manufactured at Nissan Motor Kyushu, located in Fukuoka Prefecture. The Oppama plant has been a prized symbol for Nissan Motor Corp., which rolled out its Leaf electric car there in 2010, ahead of key rivals. Chief executive Ivan Espinosa, who took on the job in April, said the decision was extremely difficult, calling the Oppama plant 'an icon for Nissan.' He promised employees that they would be treated fairly and responsibly, with transfer offers to other locations or alternative work in the area, in consultation with the labor union. The plant now employs 2,400 people. 'I believe it's a vital step toward overcoming our current challenges and building a sustainable future,' he said. 'The world is changing by the minute' 'The world is changing by the minute,' he told reporters at a hastily called news conference at Nissan's Yokohama headquarters. Espinosa said the company was in talks about possibly selling the factory land or using it for another purpose. He declined to give details. Even if a buyer is not found, the decision on ending production will not change, he added. The plant's closure was expected, as the maker of the Infiniti luxury models and the March subcompact has repeatedly stated that it is restructuring its operations to boost profitability, including by consolidating production sites. Nissan says the tariff policies of President Donald Trump have hurt its bottom line. Earlier this year, Nissan announced it was slashing approximately 15% of its global workforce, or around 20,000 employees, which would include a 9,000 headcount reduction announced late last year, including in China. The company has been racking up losses, hurt by slipping vehicle sales in China and elsewhere, huge restructuring costs and ballooning inventories.
Yahoo
a day ago
- Automotive
- Yahoo
Nissan says Oppama plant will stop production by March 2028
YOKOHAMA (Reuters) -Nissan Motor Co will stop producing vehicles at its Oppama plant in Japan by March 2028 and transfer operations to its factory in the southern prefecture of Fukuoka as part of a global restructuring plan to cut capacity, it said on Tuesday. Japan's third-largest automaker will also cease production at Nissan Shatai's Shonan factory that builds light commercial vehicles by March 2027, CEO Ivan Espinosa said. Espinosa has announced sweeping plans aimed at turning around the embattled automaker, including slashing global production capacity to 2.5 million vehicles from 3.5 million and manufacturing sites to 10 from 17. Reuters reported last week that Nissan was in talks to allow Taiwan's Foxconn to use the Oppama factory, in the port city of Yokosuka, south of Tokyo, to produce EVs and avert a closure. "It was a difficult decision for both myself and the company," Espinosa told reporters at the automaker's headquarters in Yokohama. "However, we believe it is necessary for Nissan to overcome its current challenging situation." Espinosa said Nissan was exploring various options for repurposing the assets in negotiations with "multiple partners", declining to elaborate, citing confidentiality agreements. Costs related to the transfer of production to Nissan Motor Kyushu will be disclosed along with first-quarter financial results, Nissan said. When the Oppama factory opened in 1961, it was one of Japan's first large-scale auto factories and a symbol of Nissan's - and Japan's - global ambitions. Long referred to as Nissan's "mother factory", it employs 3,900 workers and has produced more than 17.8 million vehicles to date. Other facilities and functions in the district such as the Nissan Research Center and a crash-test facility will be unaffected, Nissan said. Espinosa said that about 2,400 workers from the Oppama factory could be transferred to non-factory functions or to other plants. Battered by declining sales in the United States and China, Nissan faces large debt repayments and mounting losses. Espinosa said factory utilisation at Nissan's domestic factories remained low, at an average of 60%. Once production from Oppama moves to Nissan Motor Kyushu, utilisation would rise at the latter to 100%, he said.
Scottish Sun
a day ago
- Automotive
- Scottish Sun
Huge crisis-hit car brand to shut its flagship factory with 2,400 workers in ‘tough but necessary decision'
The move is part of the company's aim to restructure its business in order to turnaround its fortunes SKIDDING HALT Huge crisis-hit car brand to shut its flagship factory with 2,400 workers in 'tough but necessary decision' Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) A STRUGGLING car manufacturer is to shut its flagship factory which employs 2,400 workers, with its boss calling it a 'tough but necessary decision'. Vehicle production at Nissan's Oppama plant in Kanagawa Prefecture south of Tokyo, will end at the end of the 2027 fiscal year, in March 2028, the Japanese automaker said today. Sign up for Scottish Sun newsletter Sign up 2 A worker assembles a vehicle on the production line of Nissan's Oppama plant in Yokosuka, Japan (file image) Credit: Getty After that, all models that had been made or scheduled for production at Oppama will be made at Nissan Motor Kyushu, in Fukuoka Prefecture. The Oppama plant has been a prized symbol for Nissan Motor Corp., which rolled out its Leaf electric car there in 2010, ahead of key rivals. Chief Executive Ivan Espinosa, who took on the job in April, said the decision was extremely difficult, calling the Oppama plant an icon for Nissan. He promised employees will be treated fairly and responsibly, with transfer offers to other locations, or other work in the area in consultation with the trade union. The plant now employs 2,400 people. 'I believe it's a vital step toward overcoming our current challenges and building a sustainable future,' he said. 'The world is changing by the minute,' he told reporters at a news conference at Nissan's Yokohama headquarters. Espinosa said the company was in talks on possibly selling the factory land, or using it for another purpose. He declined to give details. Even if a buyer is not found, the decision on ending production will not change, he added. New Nissan Leaf tested - it's bigger, better and goes further The plant's closure was expected, as the maker of the Infiniti luxury models and March subcompact has said repeatedly that it is restructuring its operations to boost its profitability, including by consolidating production sites. Nissan says the tariff policies of US President Donald Trump have hurt its bottom line. Earlier this year, Nissan said it was slashing about 15% of its global work force, or about 20,000 employees, which would include a 9,000 head count reduction announced late last year, including in China. The company has been racking up losses, hurt by slipping vehicle sales in China and elsewhere, huge restructuring costs and ballooning inventories. Earlier this year, Nissan said it's reducing the number of its auto plants to 10 from 17 to create a leaner, more resilient business. At that time, it didn't say which plants were being closed but confirmed the closures will include factories in Japan. It's also reducing production capacity to 2.5 million units from 3.5 million. The latest announcement concludes the production closures in Japan, according to Espinosa. Nissan racked up a loss of 670.9 billion yen (£3.36 billion) for the fiscal year through March, down from a 426.6 billion yen (£2.14 billion) profit recorded in the previous fiscal year. Espinosa replaced Makoto Uchida, who stepped down to take responsibility for the faltering results.
