Nissan Announces Major Restructuring Plans Amid Declining Sales

Nissan Motor Co. has announced significant restructuring measures, including the elimination of 9,000 jobs and a reduction of its global production capacity by 20 percent. These drastic cuts come as the company confronts a notable downturn in sales across all its core markets.

The chief executive officer of Nissan, Makoto Uchida, will also be personally affected by these changes, taking a substantial 50 percent cut in his monthly salary as part of the company’s effort to navigate through these challenging times.

These strategic decisions are a response to Nissan’s recent financial struggles. The automaker reported a staggering 90 percent decline in operating profit, plummeting to just $214 million during the first half of the current fiscal year. This decline was mirrored by a decrease in retail sales across all of Nissan’s key markets, including North America, Japan, and China.

As Nissan seeks to stabilize its operations and enhance its competitiveness, the forthcoming measures underscore the urgent need for the company to adapt to evolving market conditions.