AutoBeta(AutoBeta.net)05/22 Report--

Nissan plans to cut more than 20000 jobs worldwide as part of its mid-term restructuring plan over the next three years, mainly in Europe and developing countries, Kyodo news agency reported on Friday. Nissan's layoffs were mainly hit by the COVID-19 epidemic, which forced Nissan to close its factories for a long time and sales fell sharply.

Since the outbreak of the epidemic, Nissan's factories in China, Japan, North America, Europe and other markets have been shut down continuously. At present, in addition to the full resumption of work in the Chinese market, there is still a greater risk of resuming work in other markets.

Since 2017, Nissan has been in a situation of internal and external trouble. in addition to the Ghosn incident, Nissan has also experienced a series of negative events such as declining sales and shelving the alliance process. coupled with the disturbance of the epidemic, Nissan has to speed up its restructuring, cutting costs through layoffs and streamlining its product line. Nissan plans to cut annual costs by about 300 billion yen (19.9 billion yuan), according to Reuters, citing people familiar with the matter.

In July, Nissan will cut 12500 jobs and cut 10 per cent of its capacity and product lines at factories around the world, from the UK to Spain, Mexico, India and Indonesia. In March, Nissan announced its withdrawal from the Indonesian market, mainly because of continued weak demand for local sales. In addition, Nissan has laid off about 10, 000 jobs at three factories in the US, 6000 in the UK and 3000 in Barcelona, Spain.

In its strategic plan for the next three years, Nissan mentioned that it would concentrate resources on the three major markets of China, the United States and Japan, according to Reuters, citing sources. In addition, Nissan plans to streamline products from countries such as India, Vietnam and Thailand, in which Datsan, an entry-level brand for developing countries, will be phased out.

Some analysts said that in the three major markets, Nissan wants to protect the development of the Chinese market, which is currently in a state of rapid recovery.

Nissan sold 5.176 million vehicles in 2019, down 8.4% from the same period in 2018, according to the data. Among them, sales in China, the largest market, was 1.547 million vehicles, down only 1.1% from the same period last year, the lowest of the three major markets.

With regard to the current development of Nissan's three major markets, the Chinese market is the only one to achieve a rebound in sales, while the current situation in the United States market and the Japanese market is not optimistic. Nissan sold 122846 units in China in April, up 1.1 per cent from a year earlier, according to data. From January to April, Nissan sold 329397 vehicles in China, down 29.2% from a year earlier.

Based on the impact of the epidemic on the company's operations, Nissan expects an operating loss of up to 45 billion yen ($420 million) and a net loss of 95 billion yen for the fiscal year ending March 2021. In February, Nissan expected an operating profit of 85 billion yen (5.63 billion yuan) and a net profit of 65 billion yen (4.31 billion yuan) this year.

Welcome to subscribe to the WeChat public account "Automotive Industry Focus" to get the first-hand insider information on the automotive industry and talk about things in the automotive circle. Welcome to break the news! WeChat ID autoWechat