Latest news with #NissanMotorKyushu
Qatar Tribune
2 days 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.
Time of India
3 days ago
- Automotive
- Time of India
Nissan closes its Oppama plant in Japan to cut costs
YOKOHAMA, Japan - Nissan is closing its flagship factory in Oppama, Japan, to cut costs and moving all its production there to another plant in southwestern Japan. 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 Tuesday. 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. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Thanh Pho Ho Chi Minh: Repossessed Houses For Sale At Prices That May Surprise You Foreclosed Homes | Search ads Search Now Undo 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 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. Live Events "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 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. 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 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 ($4.5 billion) for the fiscal year through March, down from a 426.6 billion yen profit recorded in the previous fiscal year. Espinosa replaced Makoto Uchida, who stepped down to take responsibility for the faltering results.
Time of India
3 days ago
- Automotive
- Time of India
Nissan to end production at Japan's Oppama factory by March 2028
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." Live Events 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.
Nikkei Asia
3 days ago
- Automotive
- Nikkei Asia
Nissan to cease vehicle production at flagship plant in Japan
Nissan's Oppama Plant in Yokosuka, Kanagawa prefecture. The Japanese automaker says the site will cease vehicle production by March 2028. (Photo by Satoko Kawasaki) YUICHI SHIGA TOKYO -- Japanese automobile manufacturer Nissan Motor announced on Tuesday that it will discontinue vehicle production at its flagship Oppama plant by March 2028, in a move that its CEO described as both essential and a cause of "significant pain". Both current and future models scheduled for production at Oppama will be produced at Nissan Motor Kyushu in Fukuoka prefecture in western Japan, as part of the company's restructuring efforts.
Euronews
3 days ago
- Automotive
- Euronews
Nissan is closing flagship Oppama plant in Japan to cut costs
Vehicle production at the Oppama plant in Kanagawa Prefecture, south of Tokyo, will be halted at the end of the 2027 fiscal year, in March 2028, the Japanese automaker said on Tuesday in a statement. 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. "This transfer is expected to significantly reduce manufacturing costs in Japan, strengthen plant competitiveness, improve product profitability, and support Nissan's long-term growth," said the statement, adding that the related costs are going to be disclosed during the upcoming first quarter financial announcement at the end of July. The plant's closure was expected, as the carmaker has said repeatedly that it is restructuring its operations to boost its profitability, including by consolidating production sites. Nissan, based in the port city of Yokohama, says the tariff policies of President Donald Trump have hurt its bottom line. Earlier this year, Nissan said it was slashing about 15% of its global workforce, or about 20,000 employees, which would include a 9,000 headcount reduction announced late last year, with some 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. Nissan racked up a loss of ¥670.9 billion (€3.9bn) for the fiscal year through March, down from a ¥426.6bn (€2.5bn) profit recorded in the previous fiscal year. Its chief executive Ivan Espinosa took up the post in April and was set to speak to reporters later Tuesday. He replaced Makoto Uchida, who stepped down to take responsibility for the faltering results.
