Nissan cuts 9,000 jobs and reduces manufacturing capability by 20% | EUROtoday

Listen to the audio model of the article

Japanese carmaker Nissan has introduced that it’ll minimize 9,000 jobs globally whereas decreasing its manufacturing capacities worldwide by 20%, amid a pointy deterioration in its gross sales. The group indicated on the similar time that it had drastically revised its income and working revenue forecasts downwards for the 2024 monetary 12 months: «Faced with the severity of the state of affairs, Nissan is taking pressing measures to get better its efficiency and create a extra reactive and resilient firm”, it is indicated in a note.

The cut

The group cut its annual forecasts for the second time in a row, reducing them by 70% after missing analysts’ estimates: operating profit for the financial year is now seen at 150 billion yen ($974.98 million ) from previous estimates of 500 billion yen.

In the July-September quarter, operating profit amounted to 32.9 billion yen, 85% less than the 208.1 billion yen in the same period a year earlier.

Nissan’s problems emerged, like other Japanese brands, due to a sharp decline in new car sales and strong competition from Tesla and Chinese electric vehicle brands such as BYD.