Car maker Nissan says it’s open to sharing factories all over the world with its Chinese-owned associate Dongfeng because it shakes up its enterprise.
The Japanese agency, which employs hundreds of individuals within the UK, advised the BBC it may convey Dongfeng “into the Nissan production eco-system globally.”
This week, the struggling firm mentioned it will lay off 11,000 employees and shut seven factories however didn’t say the place the cuts can be made.
Speaking about Nissan’s UK plant on Thursday at a convention organised by the Financial Times, its new boss Ivan Espinosa mentioned: “We have announced that we are launching new cars in Sunderland… In the very short term, there’s no intention to go around Sunderland”.
Nissan’s newest job cuts got here on high of 9,000 layoffs introduced in November because it faces weak gross sales in key markets such because the US and China.
The whole cuts will hit 15% of its workforce as a part of a value saving effort that it mentioned would cut back its international manufacturing by a fifth.
Nissan’s personal manufacturers have struggled to make in-roads to China, which is the world’s largest automotive market, as stiff competitors has led to falling costs.
It has partnered with Beijing-controlled Dongfeng for over 20 years and so they presently work collectively to construct automobiles within the Chinese metropolis of Wuhan.
Nissan employs round 133,500 individuals globally, with about 6,000 employees in Sunderland.
The agency has additionally confronted quite a few management modifications and failed merger talks with its bigger rival Honda.
Negotiations between the 2 collapsed in February after the companies had been unable to agree on a multi-billion-dollar tie-up.
After the failure of the talks, then-chief government Makoto Uchida was changed by Mr Espinosa, who was the corporate’s chief planning officer and head of its motorsports division.
This week, Nissan additionally reported an annual lack of 670 billion yen ($4.6bn; £3.4bn), with US President Donald Trump’s tariffs placing additional stress on the struggling agency.
This month, Nissan’s battery associate AESC secured a £1bn ($1.3bn) funding bundle from the UK authorities for a brand new plant in Sunderland.
It will produce batteries for the Juke and Leaf electrical fashions.
Visiting the location, Chancellor of the Exchequer Rachel Reeves mentioned the transfer would “deliver much-needed high-quality, well-paid jobs to the North East”.
https://www.bbc.com/news/articles/cy8dpy27pv0o