Media reports have suggested Nissan Motor Co. plans to close manufacturing facilities in South Africa, India, and Argentina while consolidating operations in Mexico. The headlines were enough for the company to issue a statement in response, calling these reports “speculative.”
In an official statement released May 16, Nissan said: “Regarding the recent reports on the potential closure of certain plants, Nissan wants to clarify that this news is speculative and not based on any official information of the company.”
The statement confirmed two specific points: “We have officially announced to consolidate the production of Nissan Frontier/Nissan Navara pickups, currently split between Mexico and Argentina, into a single production HUB in the region, centralized at the CIVAC plant in Morelos, Mexico. In March, we announced that Renault Group would own 100% of Renault Nissan Automotive India Private Ltd (RNAIPL), by acquiring the 51%-shareholding currently held by Nissan.”
The company declined to comment further, stating: “At this time, we will not be providing further comments on this matter. Our focus remains on our operations and the dedicated workforce that drives our success. We are committed to maintaining transparency with our stakeholders and will communicate any relevant updates as necessary.”
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Multiple news outlets have reported that Nissan is planning a significant restructuring that would reduce its global production network from 17 plants to 10 by 2027 and cut approximately 20,000 jobs following a reported 670.9 billion yen ($4.5 billion) net loss in the fiscal year ended March.
These reports have claimed the Japanese automaker is considering closing two factories in Japan — the Oppama plant and the Shonan joint venture facility — which would be its first domestic plant closures since 2001.
Nissan has not confirmed plans for its South African operations, which reportedly produce around 10,000 vehicles annually. The company’s Sunderland plant in the UK and US facilities are reportedly likely to be spared from any potential closures.
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