Nissan Motor Company announced that it plans to shut down seven of its current 17 vehicle assembly plants worldwide and make around 20,000 redundancies from its global operations by the 2027 financial year (FY2027), which ends on 31 March 2028. The restructuring is part of its Re:Nissan recovery plan, after the Japanese automaker reported a net loss of JPY 671 billion in FY2024.

Unconfirmed reports in Japan, citing an unnamed company source, have suggested that Nissan is considering closing two plants in Kanagawa Prefecture as part of its restructuring plans. The plants said to be marked for closure include the main Oppama plant in Yokosuka, which makes the Leaf, Note and Note Aura models, and the Shonan plant, which makes the NV200 and AD and is controlled by its subsidiary Nissan Shatai Company.

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The two plants have among the lowest capacity-utilization rates in the company’s domestic network, due mainly to weak demand for the models they produce. Nissan has yet to initiate talks with labour unions, suppliers and the local governments, however.

Nissan pointed out that it has not named any specific domestic plants that it plans to close, and that the reports are “speculative and not based on any official information from the company.”

In terms of overseas facilities, Nissan has already announced that it will close a plant in India and one in Argentina. By FY2027, Nissan plans to cut its global capacity by 30% to 2.5 million units, excluding China, as it focuses more on higher-margin products.

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