Despite global challenges, Japanese automaker Nissan reportedly plans to increase its workforce and revitalise its operations in India.
Nissan, which recently added 600 employees at its Chennai plant to support a third shift, does not expect the global reduction of 9,000 jobs and a 20% production cut to affect its operations in India, as long as it stays competitive in the market, said Nissan India Operations President Frank Torres to PTI via Business Standard.
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“This move is to help the production shifts. We are expanding production very soon with two new models…this is despite the global action, which involves restructuring. We don’t forecast that the impact will be in India because our plans remain untouched. Of course, the key point for us is to keep being competitive. Because, in the end, this is what is considered most important inside Nissan.”
In July, Nissan India announced plans to launch five new models over the next 30 months as part of its strategy to revitalise its operations in the rapidly growing Indian car market.
The company aims to triple both its domestic and export volumes to 100,000 units annually by the end of FY26.
In November, Nissan announced plans to cut 9,000 jobs and reduce production by 20%.
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By GlobalDataTorres added: “Nissan is betting big on India…and the plans (for India) remain intact despite this global turbulence.”
The third shift at the Chennai facility began a few weeks ago as the company aims for full capacity utilisation of the plant.
“It means that we have grown one full new shift. And then also moving forward towards 2026, where we will need to put our manufacturing plant at full capacity with both lines at three shifts. As of today, we are modifying one of them for the new models,” Torres added.
He stated that if the company meets its volume targets with the new models by the end of 2026, “It will push plant utilisation above 80%, which will require a larger workforce than today.”
The Renault-Nissan alliance has also pledged to create over 2,000 jobs in various sectors, including manufacturing and R&D, as part of a $600m investment plan announced in 2023.
Torres also mentioned that the company is modernising one production line to integrate new technologies, including electric vehicles, ahead of the planned launch of an electric SUV.
Nissan India expects sales to increase by 4% to 31,155 units in 2024-25, up from 30,065 units in the previous fiscal year.
