Nissan Layoffs is planning to lay off 9,000 Jobs as part of Cost-Cutting Efforts
Nissan Layoffs is planning to lay off 9,000 Jobs as part of Cost-Cutting Efforts
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Nissan Layoffs: Cost-Cutting Amid Struggles in Key Markets
Nissan Motor has announced significant cost-cutting measures, including the elimination of 9,000 jobs, as it faces challenges in key markets, particularly China. Despite these changes, CEO Makoto Uchida reassured that the company is not shrinking but rather implementing a strategic turnaround.
The automaker also plans to reduce its global production capacity by 20%. Uchida emphasized in a statement accompanying the earnings report that Nissan aims to restructure its business to become more agile and resilient while reorganizing its management to adapt swiftly to market changes.
Nissan has revised its annual operating profit forecast for the second time this year, lowering it from an initial estimate of 500 billion yen to 150 billion yen ($975 million). In the July-September quarter, operating profit stood at 32.9 billion yen—an 85% drop from the 208.1 billion yen recorded in the same period last year and significantly below analysts’ expectations of 66.8 billion yen, as per LSEG data.
The company’s global sales declined by 3.8% in the first half of the financial year, reaching 1.59 million vehicles. The most notable drop was in China, where sales plummeted by 14.3% due to fierce competition from local EV manufacturers. In the United States, sales also fell by 3% to 449,000 units. Together, China and the U.S. account for nearly half of Nissan’s global sales
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